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Big Oil’s Nightmare Is Coming True

By Nick Cunningham – Jun 30, 2020, 5:00 PM CDT

Royal Dutch Shell said that it could cut the value of its oil and gas assets by as much as $22 billion, as it takes a dim view of the state of the oil market. The move adds more evidence to the notion that a huge slice of oil reserves will wind up as stranded assets.  Shell cut its Brent oil prices forecast from $60 per barrel to $35 for this year, and lowered its 2021 and 2022 forecasts to $40 and $50 per barrel, respectively, down from $60 previously. The lower outlook reflects the expected damage to the oil market due to the coronavirus and the negative impacts on the global economy, Shell said. read more

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Oil Firms Raise $171 Billion in Debt as Virus Hits Fuel Demand

Bloomberg News: Jacqueline Poh: May 29, 2020: 10:51 AM EDT

Bloomberg) — Oil and gas companies worldwide have raised $171 billion of debt from the loan and bond markets since March after the coronavirus pandemic hit demand for fuel.

The $171 billion tally is equivalent to the volume of bonds sold for the industry in the whole year of 2019. The debt pile is set to grow further with almost $120 billion of borrowings due by the end of the year that will need to be either repaid or refinanced. Of that amount, $43 billion is in bonds and $76 billion in loans. read more

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Shell, XOM to seek arbitration against Netherlands: report

Shell, XOM to seek arbitration against Netherlands: report

May 29, 2020

Shell and ExxonMobil will file an arbitration claim against the Netherlands government over compensation for the early closure of gas field, according to Global Arbitration Review (GAR).

The companies operate the Groningen gas field through NAM — a 50-50 Dutch joint venture. Production from the onshore gas field causes earthquakes affecting local communities, which has prompted the government to shut it down early.

NAM is working with the Dutch government and other stakeholders to fulfill its obligations to residents of the area, which include compensation for damage caused by the earthquakes. read more

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Coronavirus Outbreaks Threaten Oil Majors’ Biggest Projects

Coronavirus Outbreaks Threaten Oil Majors’ Biggest Projects

By Sarah McFarlane and Vipal Monga:

Oil majors including Chevron Corp., Exxon Mobil Corp., Royal Dutch Shell PLC and Total SA are scrambling to cope with coronavirus outbreaks among their workers that could threaten the profitability of some of their largest projects.

FULL ACCESS SUBJECT TO SUBCRIPTION

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Yes, oil is dead. Just read the writing on the wall.

May 12th 2020

It has been an interesting week. On the morning of May 6, I held a press conference in West Block before the weekly in-person session of Parliament opened. I spoke about how virtual Parliament is working, and Green recommendations to make it work better.

When we got to questions, the first one was CBC’s Julie Van Dusen. She asked about a possible bailout to Big Oil. And I explained that the evidence was coming in thick and fast that oil’s day was done. And she zeroed in on: “Are you saying oil is dead?” read more

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Big Oil Earnings Battered By Virus, But Worst is Yet to Come

Big Oil Earnings Battered By Virus, But Worst is Yet to Come

Laura Hurst: May 11 2020, 4:31 AM

EXTRACTS

(Bloomberg) — Big Oil emerged from first-quarter earnings battered and bruised, but things are only going to get uglier.

Major oil and gas producers from Norway to the U.S. saw profit plunge in the opening three months of the year. Exxon Mobil Corp. reported its first loss in over 30 years, Royal Dutch Shell Plc cut its dividend for the first time since the Second World War.

Big Oil’s generous dividends have long been its main attraction to investors. But thanks to Shell Chief Executive Officer Ben van Beurden they are no longer sacrosanct, after he slashed his company’s payout by two thirds. read more

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Oil Majors Take On More Debt To Fund Dividends

By Nick Cunningham – May 04, 2020, 5:00 PM CDT

Exxon posted its first quarterly loss in more than 30 years. But even as debt mounts and questions arise about peak oil demand, the oil supermajor nevertheless vowed to protect its dividend while also aiming to grow indefinitely into the future. Exxon lost $610 million in the first quarter, down from a profit of $2.4 billion a year earlier. Worse, the period only included a few weeks of oil prices at catastrophically low levels. As a result, the second quarter is bound to lead dramatically worse numbers. read more

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Shell Has A Dire Warning For Oil Markets

By Alex Kimani – May 04, 2020, 3:00 PM CDT

After months of a deep and harrowing slide, fuel demand across the world is finally starting to sputter back to life. Traffic data, pipeline flows, and sales at gas stations in the Texas City of San Antonio, Beijing, and Barcelona all suggest that the oil demand slump may have already bottomed out. But don’t rush to pop the champagne corks just yet.  Indications so far are that the road to full recovery is going to be harder than climbing out of a subterranean pit, with many oil traders predicting that it might be a year or more before demand returns to pre-crisis levels. read more

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MPs’ pension fund still investing in oil companies despite climate emergency

Shares in Shell and BP still part of the scheme

Jon Stone Policy Correspondent @joncstone: 24 March 2020

The parliamentary pension fund for MPs is still investing in fossil fuels despite parliament declaring a climate emergency, new figures show.

The fund is still heavily invested in Shell (£8m) and BP (£4.4m) despite over 350 current and former MPs backing a campaign to set a good example by diverting cash elsewhere.

MPs have however welcomed news in the fund’s latest filings that it is increasingly shifting its cash towards renewable energy – with five per cent of investments going to the green sector for the first time. read more

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Big Oil Is Literally Burning Cash In The Permian

By Alex Kimani – Mar 15, 2020, 10:00 AM CDT

Global oil giants are facing ever-increasing public pressure and higher levels of scrutiny over their responsibility to curb harmful greenhouse emissions. Yet, in the sprawling oilfields of Texas, New Mexico and North Dakota, an industry-old practice of burning off unwanted natural gas has refused to die.

The burning off (flaring), as well as the intentional release (venting) of natural gas, is proving to be a black eye that Permian producers just can’t get rid of. read more

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Exxon, Shell Face Uphill Legal Battle Over Soured Nigerian Deal

Oil majors including Exxon Mobil Corp. and Royal Dutch Shell Plc are facing uphill battles to convince U.S. courts to enforce multi-billion dollar arbitration awards they secured against Nigeria’s state oil company.

The companies accused the Nigerian National Petroleum Corp. of taking more crude than it was entitled to under four deals that were signed in 1993 to incentivise them to develop deep offshore blocks. Those projects today account for about 30% of the country’s 2 million barrels of daily output. read more

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Somalia agrees offshore oil exploration roadmap with Shell/Exxon: minister

MARCH 2, 2020 / 5:02 PM

CAPE TOWN (Reuters) – Somalia has agreed an initial roadmap with a Shell/Exxon joint venture to explore and develop potential offshore oil and gas reserves, the Ministry of Petroleum and Mineral Resources said on Monday.

“I am delighted we have agreed an initial roadmap with the Shell/Exxon joint venture. This gives us confidence in (the)ability to further explore any offshore hydrocarbon potential,” minister Abdirashid Mohamed Ahmed said in a statement. read more

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Egypt’s offshore segment poised for growth

Carla Sertin Carla Sertin: Feb 12, 2020

At the close of Egypt’s Red Sea bidding round, it is clear that international oil companies see opportunity in the country, and its growth is just beginning to swell. Egypt awarded Shell, Mubadala, and Chevron exploration rights in the Red Sea. Chevron and Shell each won one block, and a third block was awarded to Shell and Mubadala.

The three concessions cover a combined 10,000sqkm, and will require a minimum investment of $326mn. The licensing round started in February, following Egypt’s gas boom in multiple regions. The Red Sea bidding round included ten exploration blocks, each approximately 3,000sqkm. Saudi Arabia has also discovered large amounts of gas in the Red Sea, and is planning to conduct feasibility studies. It will use its autonomous subsea seismic acquisition fleet for its Red Sea exploration efforts, which are expected to intensify in the next two years. read more

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Shell boosts crude output in top U.S. shale field to 250,000 bpd

FEBRUARY 5, 2020

(Reuters) – Royal Dutch Shell, which plans billions of dollars in spending on shale drilling projects, boosted output in the top U.S. shale field to 250,000 barrels per day in December, the company’s Permian Basin head said on Wednesday.

Shell plans to spend about $3 billion per year for the next five years on shale projects, said Amir Gerges, vice president of Permian assets for Shell, at the Argus Americas Crude Summit in Houston. Its Permian Basin production rose more than 100,000 barrels per day in the last year. read more

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U.S. refinery sales hit the brakes, with 5% of capacity on block

Jessica Resnick-Ault, Laura Sanicola: 10 JANUARY 2020 NEW YORK (Reuters) – From coast to coast, U.S. refineries are available for the taking, but nobody is buying.

With the news that Royal Dutch Shell Plc is looking to unload its Anacortes, Washington, facility, there are seven different U.S. refineries on the block now, accounting for about 5% of U.S. crude oil processing capacity, according to data compiled by Reuters.

Even with U.S. energy production at an all-time record, these properties, located from Washington state to Pennsylvania, are having trouble finding bidders because of unfavorable locales, worries about falling margins, and the coming restart of nearby facilities in the Caribbean that will add to competition, bankers and analysts said. read more

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Expect More Writedowns From Oil Majors

By Nick Cunningham – Dec 22, 2019, 6:00 PM CST

On Friday, Royal Dutch Shell announced that it would take a $1.7-$2.3 billion write down for the fourth quarter, another financial blow to an industry dealing with oversupply and low prices.

The write down is the result of the bad “macro outlook,” Shell said in a press release, which refers to the slowdown in the global economy, weak demand growth and relatively low prices for gas, oil and for refining margins. “Additional well write-offs in the range of $100-200 million are expected compared to the fourth quarter 2018. No cash impact is expected,” Shell said in a statement. The company’s share price in London fell 1 percent on the news. read more

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Dutch firms to study solar-to-hydrogen project

Dutch firms to study solar-to-hydrogen project

By Energy Reporters  |

Dutch transmission operator Enexis, natural gas infrastructure firm Gasunie and oil producer Nederlandse Aardolie Maatschappij (NAM) are in discussions over plans to convert spare solar power into hydrogen.

The three firms said a feasibility study was being conducted for sites owned by NAM, a joint venture formed by Royal Dutch Shell and ExxonMobil, in Emmen and Drenthe with the results expected in the middle of next month. 

Enexis said: “The research is examining the conditions under which it is feasible to directly convert locally generated sustainable energy into hydrogen. And whether that energy can be transported via existing gas pipelines to customers so that this green energy still contributes to the energy transition.” read more

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Shell’s third-quarter profits fall 15% on lower oil and gas prices

Sam Meredith: 31 Oct 2019

POINTS
  • Net income attributable to shareholders on a current cost of supplies (CCS) basis, used as a proxy for net profit, and excluding identified items, came in at $4.767 billion for the third quarter of 2019.
  • That compared with a profit of $5.624 billion in the same quarter a year ago and $3.462 billion in the second quarter.
  • Shares of the Anglo-Dutch oil company are down more than 1% when compared to the same period in 2018.

Oil giant Royal Dutch Shell reported weaker-than-expected third-quarter net profit on Thursday, citing lower energy prices and chemicals margins.

Net income attributable to shareholders on a current cost of supplies (CCS) basis, used as a proxy for net profit, and excluding identified items, came in at $4.767 billion for the third quarter of 2019. That compared with a profit of $5.624 billion in the same quarter a year ago and $3.462 billion in the second quarter. read more

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Big Oil Investors Bracing for Bad News as Headwinds Gather

Bloomberg News: Kevin Crowley and Kelly Gilblom: October 28, 2019

(Bloomberg) — Slumping energy prices, sluggish global demand and shrinking chemical margins are weighing on the oil industry as its biggest names prepare to announce quarterly results to investors demanding ever-higher payouts.

The so-called supermajors — Exxon Mobil Corp., Royal Dutch Shell Plc, Chevron Corp., Total SA and BP Plc — are expected to disclose a 42% plunge in third-quarter earnings, on average, when they post results this week. That drop-off is too steep to blame on the 18% decline in crude oil prices, which means executives will have some explaining to do. read more

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Shell brings in Ocean Endeavor for drilling work at Fram field

Shell brings in Ocean Endeavor for drilling work at Fram field

Drilling work is set to begin today and should last up to 110 days, according to the latest Kingfisher Bulletin from the Seafish non-departmental public body.

The Fram field, operated by Shell, lies 136 miles east of Aberdeen.

Shell UK and Esso Exploration and Production UK have stakes of 32% and 68% respectively.

Diamond Offshore’s third quarter results announced the deal with Shell was part of a £70 million backlog of North Sea contracts that included work for its Ocean Patriot and Ocean GreatWhite drilling rigs with Apache and Siccar Point, respectively. read more

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Why it is hard to be a saint in the city

Why it is hard to be a saint in the city

By Nick Charalambous: Monday, October 28, 2019 – 06:30 AM

Greta Thunberg’s speech at the UN’s Climate Action Summit last month stirred a lot of the world’s views about the environment and this is creeping more and more into our everyday lives.

I saw one headline last week stating that “climate change is the most serious issue for the majority of voters” but notably it added that these same voters are reluctant to meet the cost of tackling the crisis.

As a financial adviser, I must say my experience is that investing and ethics typically don’t go hand in hand. I must, however, add there has noticeably been more of a focus on socially responsible investments (SRI) from my clients in recent times. read more

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Somalia says Shell, Exxon agree to pay $1.7 million for oil blocks lease

Oct 25, 2019

MOGADISHU (Reuters) – Royal Dutch Shell and Exxon Mobil have paid $1.7 million to Somalia to lease offshore blocks for 30 years, the country’s state news agency reported on Friday.

“Shell/Exxon Mobil have paid $1.7 million to Somalia as the preliminary rent for 30 years,” SONNA reported.

Shell and Exxon Mobil had a joint venture on five offshore blocks in Somalia prior to the toppling of dictator Mohamed Siad Barre in the early 1990s.

The country has been mired in insecurity since Barre left and is battling Islamist group al Shabaab that frequently carries out bombings in the capital Mogadishu and elsewhere in the country. read more

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Oil and gas majors sign deal to implement blockchain in Bakken oilfield

Liz Hampton: SEPTEMBER 10, 2019

Sept 10 (Reuters) – A group of oil and gas companies has agreed to begin testing blockchain, a technology at the heart of digital currencies, in a bid to lower administrative costs in their field operations while also reducing payment disputes and chances for fraud.

The OOC Oil & Gas Blockchain Consortium, whose members include Chevron Corp, ConocoPhillips, Exxon Mobil Corp, Equinor and Royal Dutch Shell , among others, has awarded a contract to Data Gumbo to pilot the technology for water handling services in the Bakken shale field in North Dakota. read more

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Bloomberg: Oil Giants Note — Nigeria Now Has a Chance to Open Its Fields

Bloomberg: Oil Giants Note — Nigeria Now Has a Chance to Open Its Fields

By Dulue Mbachu and Tope Alake: 16 July 2019, 05:00 BST

*Buhari’s parliamentary control could speed passage of reforms

*Oil majors want favorable fiscal terms to explore deep waters

Investors’ 11-year wait for the Nigerian government to open up Africa’s biggest crude industry may be over.

An overhaul of oil policy that’s been in the works for more than a decade is among a raft of laws President Muhammadu Buhari could steer through parliament in his second term to help drive investment in the oil-dependent economy. The delays cost an estimated $15 billion a year in lost funding for the industry over the past decade, according to the Petroleum Ministry. read more

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Shell, Exxon Mobil eye re-entry into Somalia’s upstream sector

JUNE 28, 2019

LONDON (Reuters) – Royal Dutch Shell (RDSa.L) and Exxon Mobil (XOM.N) are looking to re-enter the market in Somalia ahead of an oil block bid round taking place later this year, the country’s oil ministry said in a statement.

Shell and Exxon Mobil had a joint venture there prior to the toppling of dictator Mohamed Siad Barre in the early 1990s.

Somalia has been mired in insecurity since Barre left and is battling Islamist group al Shabaab that frequently carries out bombings in the capital Mogadishu and elsewhere in the country. read more

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Shell beats profit expectations on strong trading, LNG

Ron Bousso: MAY 2, 2019

LONDON (Reuters) – Royal Dutch Shell reported on Thursday a small drop in first quarter profit to $5.4 billion, but still easily beat forecasts, helped by stronger trading and liquefied natural gas earnings.

Shell’s results outshone those of rivals Exxon Mobil, Chevron and BP which all saw sharp declines in profits in the first three months of the year as a result of lower refining margins and weaker crude and gas prices.

Shell shares were up 1.4 percent shortly after trading opened.

“Shell has made a strong start to 2019,” Chief Executive Officer Ben van Beurden said in a statement.

“Our integrated value chain enabled our Downstream business to deliver robust results despite challenging market conditions.” read more

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Shell in talks to buy BP stake in North Sea gas field: sources

Shell has a 28 percent stake in Shearwater, BP holds 27.5 percent and Exxon Mobil has the remaining 44.5 percent. read more

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Shell’s stand on climate change meets skepticism from critics and the industry

by Josh Siegel: April 04, 2019 12:00 AM

Shell’s move to leave a trade group because of its climate change position is being met with skepticism from fossil fuel critics and energy producers alike, because Shell remains in other groups that oppose policies to address climate change.

Sen. Sheldon Whitehouse, D-R.I., perhaps the harshest critic of the oil and gas industry, said that Shell’s decision to leave American Fuel & Petrochemical Manufacturers “begs the question as to how Shell justifies continued membership in the much larger lobbying behemoths that spend millions opposing the climate action Shell claims to support.” read more

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Oil Giants Invest $110 Billion In New Fossil Fuels After Spending $1 Billion On Green PR

Exxon Mobil Corp., Royal Dutch Shell, Chevron, Total and BP together have spent more than $1 billion on public relations since the Paris Agreement.

The world’s five largest publicly traded oil companies are increasing their investments in oil and gas, putting a combined $110 billion in new fossil-fuel production.

Meanwhile, those firms are projected to spend just $3.6 billion on low-carbon investments, such as biofuels and renewables, according to a new analysis that Influence Map, a British nonprofit that analyzes corporate influence on climate policy, derived from industry data and numbers buried in company disclosures.

The reckless disparity comes just months after the United Nations warned that the world must rapidly phase out fossil fuel use over the next decade or face catastrophic global warming of at least 2.7 degrees Fahrenheit. read more

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Shell Says It Can Be Top Power Producer and Make Money

By Kevin Crowley and Alix Steel: 11 March 2019, 20:09 GMT: Updated on 11 March 2019, 21:38 GMT

Oil major aims to be top power producer by early 2030s

Shell seeks 8-12% returns in historically low margin business

Royal Dutch Shell Plc plans to become the world’s biggest power company despite electricity’s historically narrow margins.

The world’s second-largest oil explorer by market value is spending up to $2 billion a year on its new energies division, mainly to grow in a power sector it envisions delivering 8 percent to 12 percent annual returns, according to Maarten Wetselaar, director of Shell’s integrated gas new energies unit. read more

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Shell on Prowl for Permian Deals as Majors Make Shale Play

By Kevin Crowley: 11 March 2019, 16:16 GMT: Updated on 11 March 2019, 22:56 GMT

European major ‘actively looking’ for targets, Sawan says

Upstream director-in-waiting declines to comment on Endeavor

Royal Dutch Shell Plc is on the hunt for deals to bulk up its position in the Permian Basin, where it lags rivals Exxon Mobil Corp. and Chevron Corp.

“We are definitely actively looking at opportunities,” Wael Sawan, Shell’s deepwater boss, said in an interview on the sidelines of IHS Markit’s CERAWeek conference on Monday. “If none ever come up then that’s a disappointing outcome.” Sawan is set to lead the European supermajor’s entire upstream division in July. read more

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Novatek, Shell see Russian gas keeping edge in Europe over U.S

Dmitry Zhdannikov: FEBRUARY 27, 2019 LONDON (Reuters) – Russian gas giant Novatek and oil major Shell said on Wednesday Russian gas would remain more competitive in Europe than U.S. gas, as Moscow pursues new mega projects that would be insulated from any new U.S. sanctions.

The United States has already imposed numerous sanctions against Russian individuals and companies over Moscow’s interference in Ukraine, alleged meddling in the 2016 U.S. presidential election, and accusations it was behind a nerve agent attack in Britain. Russia denies the allegations.

Washington is mulling new sanctions that could put further strain on Russia’s economy and companies. So far, there have been no sanctions affecting conventional or liquefied natural gas (LNG) production in Russia. read more

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Exclusive: Nigeria hits oil majors with billions in back taxes

FILE PHOTO: A view shows the Bonny oil terminal in the Niger delta which is operated by Royal Dutch Shell in Port Harcourt, Nigeria August 1, 2018. REUTERS/Ron Bousso/File Photo

RON BOUSSO: FEBRUARY 21, 2019

LONDON (Reuters) – Nigeria has ordered foreign oil and gas companies to pay nearly $20 billion in taxes it says are owed to local states, industry and government sources said, in a move that could deter investment in Africa’s largest economy.

In a letter sent to the companies earlier this year via a debt-collection arm of the government, Nigerian National Petroleum Corp (NNPC) cited what it called outstanding royalties and taxes for oil and gas production. read more

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Shell leads the way on upstream spending plans, says GlobalData

Shell leads the way on upstream spending plans, says GlobalData

Written by

Shell is leading the way on new-build spending plans to 2025, according to a new report from GlobalData.

The analysts forecast that the energy giant is expected to spend £42.4billion on a total of 60 upstream projects over the period..

Total global capital expenditure on new-build developments in the next six years is £657.8bn.

Behind Shell in the spending ranks Gazprom and ExxonMobil, spending £38.7bn and £33.4bn respectively.

Canada, the US and Russia can expect to see the highest spending, according to the report, along with Mozambique.

GlobalData analyst Soorya Tejomoortula said: “Shell has spread its new-build capex for the development of 60 upcoming upstream projects. read more

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Shell, Eni, Exxon among winners in Egypt’s oil and gas exploration tender

Shell, Eni, Exxon among winners in Egypt’s oil and gas exploration tender

FEBRUARY 12, 2019

CAIRO (Reuters) – Royal Dutch Shell, Eni, BP and Exxon Mobil were among winners of Egypt’s international tender for oil and gas exploration on Tuesday, with 12 concessions awarded in total.

It marks Exxon Mobil’s entry into gas exploration in Egypt, while Shell was awarded the most concessions in the tender – three for oil and two for gas.

Neptune Energy, Merlon, Shell, Eni and state-controlled Egyptian General Petroleum Corporation (EGPC) were awarded seven oil exploration concessions in total in which 39 wells will be drilled, Egypt’s petroleum ministry said in a statement. read more

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Shell wins most blocks in Egypt oil and gas tender; Exxon makes debut

|About: BP p.l.c. (BP)|By: , SA News Editor

Royal Dutch Shell (RDS.A, RDS.B), Eni (NYSE:E), BP and Exxon Mobil (NYSE:XOM) are among the winners of Egypt’s international tender for oil and gas exploration, with 12 concessions awarded in total.

The tender marks XOM’s entry into gas exploration in Egypt, while Shell is awarded the most concessions – three for oil and two for gas.

Egypt expects investments of at least $750M-$800M in the first stage of exploration in the 12 concessions, Petroleum Minister Tarek El Molla says. read more

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Groningen gas production falling faster than planned -Dutch gov’t

GRAPHIC DOES NOT APPEAR IN REUTERS ARTICLE

FEBRUARY 8, 2019

AMSTERDAM, Feb 8 (Reuters) – Gas production at the Groningen field in the north of the Netherlands is falling faster than planned, the Dutch government said on Friday.

Output at the field will fall to 15.9 billion cubic metres (bcm) in the year ending October 2020, the government said, which is 1.5 bcm lower than originally planned.

The Dutch government last year said it would end production by 2030 and lower it as quickly as possible in coming years, as decades of extraction have led to a series of damaging earthquakes in the region. read more

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Shell leads cash race but Exxon catching up

Shell leads cash race but Exxon catching up

Ron Bousso: 8 Feb 2019

LONDON (Reuters) – Royal Dutch Shell widened its lead over Exxon Mobil as king of cash among the world’s top oil and gas companies last year but its U.S. rival could catch up with its investment drive in new production.

The five leading firms, known as oil majors, more than tripled profits and doubled cash generation since 2016 as deep cost cutting bore fruit after an industry slump. read more

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Shell: Tentative deal impacting 30,000 refinery workers reached

Royal Dutch Shell says it has reached a tentative deal with the union impacting 30,000 refinery workers and a consortium of Big Oil majors and energy companies nationally. The deal affects 5,000 refinery, chemical and pipeline workers in the Houston area.

Royal Dutch Shell – representing several energy companies including Exxon Mobil, Shell, PBF Energy, Valero, Phillips 66, Chevron, Chevron Phillips Chemical, LyondellBasell and Marathon Petroleum – said it has struck a tentative deal with the United Steelworkers union just hours before a 12:01 a.m. deadline. read more

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U.S. union boss heads to oil contract talks after win for steelworkers

Erwin Seba: JANUARY 16, 2019 / 6:09 AM

HOUSTON (Reuters) – Buoyed by concluding a big pay raise for steel workers last month, a United Steelworkers union top negotiator squares off on Wednesday against oil companies seeking to win a 24 percent wage hike for 30,000 refinery and chemical employees.

The stakes are high for the union and oil industry, which scored big profits last year from refining and chemicals. The talks are the first since 2015 when a stalemate led to rolling strikes that sent more than 7,000 workers off their jobs at 12 U.S. refineries and three chemical plants. read more

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Dutch court to hear demands next week to end Groningen gas production

Jan. 9, 2019 11:58 AM ETBy: , SA News Editor

The Dutch High Court says it will consider demands on Jan. 17 seeking an immediate end to gas production from the Groningen field, after the government said it would cut output gradually.

The High Court says it received 26 objections to the plan, expressing concerns about seismic risks caused by drilling and demanding an urgent halt in production.

Analysts say the court is unlikely to grant an immediate halt because the Netherlands still depends on Groningen gas for a significant part of its energy supply. read more

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Shell: Kitimat LNG, Trouble Ahead?

Fluidsdoc: Jan. 7, 2019 4:31 AM ET

Summary

  • Shell has taken a positive FID on a massive 14 mpta LNG project in Western Canada.
  • Several companies have abandoned this effort due to opposition and low gas prices.
  • We review the scenario ahead of Shell going forward.

Introduction

Shell (RDS.A, RDS.B) has the strongest position in LNG of any Super Major oil company. On the whole, we think this is a perfect direction in which to take a legacy oil company like Shell. The energy mix that runs the world is changing, and strong companies must adapt to stay strong. We’ve have written about this in a number of articles. These are set to free status so you can go into more depth on Shell. For the most part, we think Shell is doing that. read more

This website and sisters royaldutchshellplc.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

Shell in Talks To Buy Endeavor Energy

Shell is in talks to acquire Endeavor Energy Resources for US$8 billion, Bloomberg reports, citing sources close to the negotiations. Earlier, Shell was not the only suitor, with Exxon, Conoco, and Chevron also reportedly interested in the acquisition but not enough to pursue it.

The value of the deal Bloomberg’s sources mentioned is half the sum Endeavor was believed to be able to score when it announced earlier this year that it was selling. The talks with Shell are still at an early stage, and it is uncertain whether a deal will be agreed, especially since the founder of Endeavor, Autry Stephens, has insisted that he keeps a substantial part of the company’s mineral rights after the sale, if a sale takes place. read more

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Shell says talks over asset swap with Gazprom are suspended: Kommersant

Dec 12, 2018

MOSCOW (Reuters) – Talks about a possible asset swap deal between Royal Dutch Shell and Gazprom have been suspended, Kommersant business daily reported on Wednesday, citing Cederic Cremers, head of Shell’s business in Russia.

The memorandum on the possible asset swap was signed in 2015 and was seen as a coup for Gazprom at a time when many Western companies were reducing their exposure to Russia because of Western sanctions over Moscow’s actions in Ukraine.

Cremers also told the newspaper that the plans for the expansion of Sakhalin-2 plant, which produces 11 million tonnes of liquefied natural gas per year, hinge on the outcome of the talks with the Sakhalin-1 consortium led by Exxon Mobil Corp and Rosneft about gas supplies. read more

This website and sisters royaldutchshellplc.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

Shell to go ahead with Shearwater gas expansion in North Sea

DECEMBER 10, 2018 / 12:28 PM

LONDON (Reuters) – Royal Dutch Shell said on Monday it would expand the Shearwater gas hub in the British North Sea, its seventh project to get the green light in the aging basin this year.

The project, a joint venture with Exxon Mobil and BP, will include a modification of the Shearwater platform to allow production and processing of wet gas as well as the construction of a 23 mile (37 kilometre) pipeline from the Fulmar Gas Line (FGL) to Shearwater, Shell said in a statement. read more

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BP, Shell to Face New Shareholder Challenge Over Climate in 2019

  • Dutch group Follow This may also target Exxon Mobil, Chevron
  • Resolutions ask companies to align business with Paris accord

The activists who rankled Royal Dutch Shell Plc by filing climate-change resolutions for three straight years now are targeting other oil majors.

Follow This, a Dutch group that accumulates shares in oil companies in order to press them over greenhouse gas emissions, has filed another resolution against Shell for 2019. It also filed its first resolution against BP Plc and may target Chevron Corp. and Exxon Mobil Corp. in the same way.

The group, led by former journalist Mark van Baal, has been a source of frustration for Shell management, even though its resolutions have gone down to defeat. Van Baal stood up at the Anglo-Dutch supermajor’s May 2018 shareholder meeting and said Shell was misleading its investors by saying it was on track to meet global climate targets, prompting CEO Ben van Beurden to angrily retort that wasn’t the case. read more

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Groningen gas output to drop 75% by 2023, Dutch government says

Dec. 3, 2018 2:45 PM ET|By: , SA News Editor

Gas production at the earthquake-prone Groningen field will drop by at least 75% to below 5B cm/year in the next five years, the Dutch government says, as measures to reduce demand for Groningen gas are working ahead of schedule.

The government decided this year to shut down in 2030 what was once Europe’s largest natural gas field, citing several earthquakes over decades of extraction that damaged thousands of homes and buildings.

Production is set to drop to 19.4B cm in the year that began in October, already down 65% from its peak of 54B cm in 2013. read more

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Dutch government to cut Groningen gas production, eventually to zero

By: , SA News Editor

  • The Dutch government says it expects gas production from Groningen, Europe’s largest onshore field, will fall to 7.5B cm/year by 2022 and drop to zero in the following years.
  • The government also gave its final approval to limit output from Groningen to 19.4B cm/year for the gas year 2018-19, compared to 21.6B cm/year previously.
  • Groningen production is limited due to activity at the site linked to earthquakes in the region, with the government under pressure to enforce further restrictions.
  • Gas company NAM, which runs the Groningen field, is a joint venture of Royal Dutch Shell (RDS.A, RDS.B) and Exxon Mobil (NYSE:XOM).
  • read more

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    Shell’s up next, and last, in $200 billion Australia LNG bonanza

    And then there was one.

    Australia’s nine-year, $200 billion boom in liquefied natural gas still has a final debut in the works: Royal Dutch Shell Plc’s Prelude, floating 200 kilometers (124 miles) off its northwest coast. It’s the last project in that investment cycle to start production after Japan’s Inpex Corp. shipped its maiden cargo from Ichthys LNG on Monday.

    Shell’s Prelude is among seven export projects in gas-rich Australia sanctioned since 2009 by global energy giants including Chevron Corp. and Exxon Mobil Corp., as well as regional big hitters such as Australia’s Woodside Petroleum Ltd. and Malaysia’s Petroleum Nasional Bhd. The Pacific nation now rivals Qatar as the world’s biggest seller of LNG, a form of natural gas super-chilled into a liquid that can be shipped on tankers. read more

    This website and sisters royaldutchshellplc.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.