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Posts on ‘May 23rd, 2012’

Shell self-insurance of Arctic drilling risk

COMMENT BY A FORMER SHELL EMPLOYEE

I just read your blog about Shell not being able to obtain disaster insurance for its operations in the Arctic. I interpret this to mean that the insurance underwriters, who are pros at this sort of thing, find the probability of an ‘accident’ on the part of Shell during drilling operations to be so high that they are unwilling to risk their own financial well being.

This is essentially a vote of ‘no confidence’ on the part of the insurance industry in Shell’s contingency plans, and Shell’s engineering and management capabilities, i.e., the competence of Shell staff, technical as well as administrative. The insurance industry simply finds that Shell is not up to the task at hand and the risk of a major accident is too great. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Shell oil plans irk Canadian tribes

THE HAGUE, Netherlands, May 23 (UPI) — Plans by Shell to expand operations in oil fields in the Canadian province of Alberta are threatening the environment, a tribal group said.

Leaders from the Athabasca Chipewyan First Nation presented a report to Shell shareholders at The Hague, Netherlands, highlighting concerns about the environmental impacts of oil development in Alberta.

Eriel Deranger, a spokeswoman for the group, said Shell’s plans for the region are harming traditional tribal lands, including sensitive watersheds in the area. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Ashamed of Shell

COMMENT FROM A FORMER SHELL EMPLOYEE (Name and contact information supplied).

I was reading your blog today about Shell’s annual meeting and the dissatisfaction being expressed by shareholders. One shareholder I think summed up the attitude of most shareholders in general, and employees in particular (who are also shareholders in Shell through the various stock purchase plans). The comment about the conduct of corporate management was – ‘… I don’t want to be ashamed (of the way the company was conducting itself) ….’.

Well, I think that shareholders have a good deal to be ashamed of, whether it is the (mis)conduct of the company in Nigeria (oil exploitation), corporate (mis)conduct in the States and South America (pesticide production and pollution), corporate (mis)conduct with regard to the IP rights of partners, contractors, etc., and the defrauding of investors, etc., through the cooking of the ‘reserve books’, and so on. Shareholders should even be ashamed of the company’s past affiliation with the Nazis and Shell’s refusal to come clean on that matter. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Shell unable to insure risk of Arctic drilling?

EMAIL SENT TO ROYAL DUTCH SHELL PLC COMPANY SECRETARY MICHIEL BRANDJES BY JOHN DONOVAN

From: John Donovan <[email protected]>
Subject: AGM
Date: 22 May 2012 23:36:40 GMT+01:00
To: [email protected]

Dear Mr Brandjes

I would like to verify two answers given by the Shell board during the AGM held today.

SELF-INSURING THE ARCTIC DRILLING RISK

Did I hear correctly that Shell has been unable to obtain contingent insurance from Lloyd’s of London against a major disaster arising from your pending Arctic drilling project, and that instead, Shell is going to self-insure? This means Shell shareholders will run the risk of the company being potentially made bankrupt, as very nearly happened to BP due to the Macondo disaster.  I am astonished that this situation, if I correctly understood what was stated, has not been picked up by the news media.  It means that the risk is deemed so dire by  Lloyds’ underwriters that they will not insure the risk at any cost. In this regard, the risks involved in Arctic drilling are obviously potentially far greater than drilling in the Gulf of Mexico. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Shell under fire over Arctic plans and pay

Michael Kavanagh: Financial Times

22 May 2012

Environmental campaigners and shareholders clashed with Royal Dutch Shell at an annual meeting dominated by concerns over exploration in Alaska, slow progress tackling oil leakages in Nigeria, dividend policy and executive pay.

Shell, which faced criticism from retail investors at the meeting over pay increases for top executives, said 9 per cent of its shareholders voted against its remuneration report.

In March, it revealed that its chief executive Peter Voser took home €11.7-million last year, more than doubled his pay in the previous 12 months, after lucrative long-term incentive plans paid out. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Shareholders shake Shell with pay vote

23 May 2012

Shell became the latest company to receive a bloody nose yesterday, as more than a tenth of the oil giant’s investors failed to approve the pay awards of its top-level executives.

Despite Shell reporting a 54 per cent jump in profits last year, just over 9 per cent of investors voted against the pay award for chief executive Peter Voser, which more than doubled over the period. Including abstentions, 11 per cent of shareholders failed to back Shell’s remuneration report, which also included a €2.52m (£2m) severance payment for Malcolm Brinded, who stepped down as head of exploration and production in April. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Shell Will Take Cue From Nigeria On UN Report

LONDON (Dow Jones)–Royal Dutch Shell PLC (RDSB.LN) “hopes to hear soon” from Nigerian President Goodluck Jonathan on how recommendations from a United Nations report into long-standing pollution in the Niger Delta should be implemented, Chief Executive Peter Voser told shareholders Tuesday.

The 2011 report, which was funded by Shell, documented fifty years of oil contamination in the Delta region of Ogoniland. It concluded that stakeholders–including Shell and other oil companies, as well as the Nigerian government–should commit at least $1 billion to funding new institutions that oversee the clean-up and rehabilitation of the affected areas. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Shell Shunned as Cove Prefers PTT

May 23, 2012

By ALEXIS FLYNN And ORANAN PAWEEWUN

LONDON—The race to secure access to East Africa’s natural-gas fields took a twist Wednesday after Thai state firm PTT Exploration & Production PCL PTTEP.TH -6.19% trumped Royal Dutch Shell RDSA -0.11% PLC’s offer for Mozambique-focused explorer Cove Energy COV.LN +11.24% PLC with a late $1.9 billion bid.

And in a sudden about-face Cove’s board, which only this week had recommended Shell’s offer to its shareholders, said it now advised investors to accept PTTEP’s 240 pence a share bid, which is 9.1% higher than Shell had offered last month and represents a 6.6% premium to Cove’s average closing price over the five business days ended May 22. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.
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