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Shell makes $4bn North Sea investment pledge

Screen Shot 2016-06-10 at 10.22.37

Written by Energy reporter – 10/06/2016 7:56 am

Royal Dutch Shell said its spending plans will include a cash injection of around $4billion for the North Sea.

The investment drive will be rolled out between this year and 2018 and is understood to be line with its previous expenditure in the region.

The energy giant announced on Tuesday that it would scale down global investment and pinpoint further savings as it grapples with lower oil prices.

Paul Goodfellow, Shell’s vice president for Upstream in UK & Ireland, told the Press Association that it will “include significant investments with our partners West of Shetland in the Clair and Schiehallion projects in which Shell has a 28% and 55% share respectively.” read more

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North Sea sale move after Shell profit warning

Screen Shot 2014-02-15 at 09.44.10Royal Dutch Shell plans to put three oil and gas assets in the North Sea up for sale as it seeks to ramp up disposals and focus on improving shareholder returns after a shock profit warning.
read more

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Shell Completes First Phase of Gannet Oil Recovery Op

by  Jon Mainwaring: Rigzone Staff: Tuesday, September 25, 2012

Royal Dutch Shell announced Tuesday that it has finished the first phase of its operation to remove oil from the Gannet pipeline in the UK North Sea.

A major oil spill occurred at the Gannet Alpha platform in August 2011, but the recovery operation aimed at collecting the majority of the oil that remains in the carrier pipe only gained approval last month.

Shell reported in a statement that it has now completed the operation to remove oil contained in the outer carrier pipe of the Gannet F flowline bundle. The recovery operation involved the use of subsea pumps to recover oil into storage tanks on a recovery vessel. The recovered oil has been returned onshore for disposal via a licensed waste oil contractor read more

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BP selling Norway stake to Shell for $240 mln

September 13, 2012|Steve Gelsi

NEW YORK (MarketWatch) — BP PLC (US:bp)(UK:bp) said Thursday it agreed to sell for $240 million in cash its 18.4% non-operated interest in the Draugen field in the Norwegian Sea to a unit of Royal Dutch Shell (US:rdsa)(UK:rdsa).

“The agreement is a further example of BP’s active management of its portfolio in the North Sea, focusing on high value assets with long term potential growth,” BP said. BP said it’s in final stages of completing two major projects in Norway, the Skarv field and the re-development of the Valhall field. read more

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Shell fears it could be driven out of the UK over North Sea taxes

Shell warned the government not to tax it out of the UK, as it sketched out ambitious growth plans alongside an underwhelming set of results.

Chief executive Peter Voser said the Anglo-Dutch oil company was aiming to pump 4bn barrels of oil per day (bpd) by 2017, compared to 3.2bn today.

Net spending will rise from £15bn to £19bn this year as it chases its goal, although most of the difference will come from fewer asset sales, with actual investment set to rise by a more modest £1bn to £21bn.
read more

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North Sea oil spill risk ‘unacceptably high’, claims European commission

The Guardian home

Commission says new laws needed to prevent another Deepwater Horizon, as Shell and Exxon reveal massive profits

Shell made $7.2bn in profits in the third quarter. Photograph: Royal Dutch Shell/EPA

The European commission has warned that the likelihood of a Deepwater Horizon-type accident in the North Sea remains “unacceptably high” as it outlined new laws to counter the danger.

The moves have angered the UK government and offshore oil industry while threatening to put a brake on some of the huge profits declared by big North Sea operators Shell and ExxonMobil.

Brussels officials defended their plans to in effect seize overall control of North Sea regulation from the British authorities. read more

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Employee safety advice to Shell ‘bean counter’, Peter Voser

COMMENTS FROM RETIRED ROYAL DUTCH SHELL GROUP HSE AUDITOR, BILL CAMPBELL (RIGHT) RELATING TO THE ARTICLE:

HSE feared a ‘catastrophe’ at Brent C platform

Learning after the event is a recipe for Disaster

Maybe its because he is a bean counter but Peter Voser does not seem to understand that risks need to be controlled before the event – not raised to unacceptable levels where loss of containment occurs – it would seem on a regular basis – within Shell North Sea operations and elsewhere around the World in its daily activities.

In general loss of containment, or other circumstances causing flammable atmospheres to exist, when these exist concurrent with a source of ignition causing an explosion,  is the largest cause of industrial deaths and asset damage worldwide. read more

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Tax grab casts doubt on Shell’s North Sea field plan

By Ross Davidson and Elaine Maslin

Published: 30/07/2011

THE UK Government’s £10billion tax raid on North Sea operators has cast doubt on the future of another significant discovery.

Oil and gas giant Royal Dutch Shell said yesterday it would not develop the Fram field, which holds hundreds of millions of barrels of oil, until it had assessed the full extent of the tax impact.

The firm said it had submitted a field-development plan to the Department of Energy and Climate Change, but the tax rise had made even that decision more difficult. read more

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Shell platform to shut down amid continuing concerns about safety

JULY 6, 2011

The Shell-operated Brent Charlie platform 125 miles north-east of Lerwick is to shut down from next Friday on the orders of oil industry regulators amid continuing concerns about safety.

No oil has been pumped ashore from the installation, the hub for the Brent pipeline that comes into Sullom Voe, since January and gas production, which goes through the FLAGS pipeline to St Fergus on the north-east coast of Scotland, has been restricted to one well.

But now the Health and Safety Executive (HSE) has served Shell with a legally-enforceable prohibition notice which means the operator will have to cease production entirely. An HSE spokesman declined to give details of the “safety issues” it was concerned about for legal reasons. read more

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Warning about Mark Carne of Royal Dutch Shell Plc

Subject: Brent Bravo: watch Mark Carne

Dear John,

This email contains information about Mark Carne (right), who is currently employed by Shell as Regional Vice President for Middle East and North Africa. He reports directly to Malcolm Brinded. This email account has been set up to safeguard my anonymity, as Mr. Carne is known to not handle criticism very well.

Over the years you have reported about Brent Bravo http://royaldutchshellgroup.com/tag/brent-bravo/, and consistently linked the matter with Malcolm Brinded. Maybe the time is right to take a closer look at Mr. Carne, who was the manager for Brent at the time. Mr. Carne’s style is to manage-by-viewgraph and to ignore or suppress unwanted information from the work floor. He instigated bonuses that led to the “Touch F*** All” culture on Brent; he remained clueless about their negative impact while others had already become concerned. Several years ago, Mr. Carne didn’t get a job in Shell UK that he was hoping for, and he left to take a role in BG. It didn’t take BG long to release him. read more

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Part of Shell Brent Bravo oil platform falls into North Sea

Good Morning John: Please find link to an article in the mornings Aberdeen press and Journal.  It would appear that Brinded’s “Touch F***All” initiative is alive and well in the Shell organisation! The natural enemies of safety are still:- Ignorance, arrogance and complacency, all three are still being lovingly cared for within the Shell Business Principles .

Production Stops at Shell’s Brent Bravo

By Rebecca Buchan

Published: 17/01/2011

OIL giant Shell has halted production at four of its platforms and sent 100 workers back onshore after part of a platform fell into the North Sea.

An investigation is being carried out on the Brent Bravo platform after a heavy protective frame, known as a fender, collapsed.

No one was injured and the company said there was no significant damage caused.

The other three Brent platforms – Alpha, Charlie and Delta – do not have these protective frames, however Shell has had to stop all production on the Brent field as all the rigs work together in a “hub”. read more

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Shell sells Norwegian field for $225 million

17 September 2010

AMSTERDAM — Royal Dutch Shell PLC says it has agreed to sell its stake in the Statfjord oil field in the Norwegian North Sea and several related assets to Centrica Resources AS for $225 million.

Shell said Friday its share in the mature field, 9.4 percent, produced 13,300 barrels of oil a day last year. Other major owners include Statoil, ExxonMobil and ConocoPhilips.

Shell said it was selling the asset as part of a plan to raise at least $7 billion by 2011 to reinvest in growth projects. read more

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Shell, BP May Reap `Serious Profit’ by Using CO2 in Oil Fields

Bloomberg

By Catherine Airlie – Sep 16, 2010 12:00 AM GMT+0100

Royal Dutch Shell Plc and BP Plc stand to make “serious profit” by pumping carbon dioxide from European power plants into North Sea oil fields, according to Petroleum and Renewable Energy Company Ltd.

Putting carbon dioxide into old oil wells may yield profits of as much as $40 a metric ton in the next decade, Stewart Whiteley, managing director at the consultant known as Petrenel, said today at a seminar at London’s Geological Society. read more

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BP lacked ‘basic safety’ in North Sea before Gulf of Mexico oil spill, HSE investigation finds

DAILY TELEGRAPH

BP was subject to an investigation in the North Sea which found new staff were not trained to “basic safety standards” – six months before its Gulf of Mexico accident.

By Rowena Mason
Published: 10:40PM BST 14 Sep 2010

The blaze after the explosion on the Deepwater Horizon oil rig

The Health and Safety Executive (HSE) began its inquiry after a complaint by a worker on the Clair rig off the Shetlands, near to where BP is about to begin deepwater drilling.

The conclusions, sent to BP executives in a letter in October last year, found “training of some new personnel to basic safety standards was ineffective”.

The letter, obtained by The Daily Telegraph under Freedom of Information laws, added there was “evidence of a culture among your contractors, Seawell (up to senior levels of management), of working outside of procedures, permit or permit conditions”. read more

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Oil rigs plagued by safety lapses

Figures from the HSE show that Shell UK was challenged last year over lack of maintenance checks for pipes carrying hazardous hydrocarbons from the Brent Alpha platform. In 2003, a gas leak on the installation killed two men for which the oil giant was fined £900,000. It was served an improvement notice in 2007 for failing to inform the HSE of safety breaches.

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The U.K.’s Double Whammy: Banks and Oil

Tax from North Sea oil and the dividends from U.K.-listed energy giants BP and Royal Dutch Shell are among the few solid revenue streams for both the U.K. Treasury and private pension funds. Yet they are under pressure.

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5,000 oil wells face closure

Jules Schoenmakers of Shell said: "Operators are looking for breakthrough technologies and new approaches in this emerging business. The size of the market appears large enough to support many businesses and teams of specialised well abandonment professionals for several decades."

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‘They know what they have to do: launch the life rafts and get out’

In July 2002, a Sikorsky S76 helicopter was ferrying personnel between a platform and a drilling rig, both owned by Shell, when it ditched about 25 miles north-east of Great Yarmouth, killing all 11 on board. In March 1991, six men were killed when a Sikorsky S61N struck a crane on a Shell oil platform and plunged into the sea 116 miles east of Lerwick in Shetland.

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Shifts in corporate philanthropy

Early manifestations of the change included the mauling handed out to Royal Dutch Shell over its plans to dispose of the Brent Spar oil platform in the North Sea...

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Shell – ‘risk-free’ North Sea still vital

SHELL'S UK chairman has pledged the oil major's continuing commitment to the North Sea despite his belief that more than half the area's natural reserves have been produced. James Smith told The Scotsman that the fact that there was still a "low risk" in operating in the North Sea compared with some regions of the world also remained a big plus for the major explorers.

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BP and BG agree North Sea asset swap

LONDON, Dec 3 (Reuters) - BP said on Wednesday it has agreed to an asset swap with UK gas producer BG Group which would strengthen its position as a major operator of fields in the southern region of the UK North Sea.

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North Sea oil and gas reserves may pass to Brussels under proposals in the new EU constitution

According to a leaked Department of Trade and Industry memo obtained by The Telegraph (News, Nov 7), DTI civil servants are concerned that control of our North Sea oil and gas reserves may pass to Brussels under proposals in the new EU constitution.

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Safety legacy left by Piper Alpha

A review into safety in the offshore oil industry in the North Sea was announced earlier this week.

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Storm clouds gather over the West of Shetlands, Britain’s last gas frontier

Gordon Brown has made energy a priority for his Government and in April encouraged BP and Shell to spend more in the UK. “We do need the oil coming out of the North Sea; we do need to encourage the new exploration,” he said.

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Oil price boom sparks new North Sea gold rush

The North Sea is set for a second oil boom as record prices open up reserves previously regarded as too expensive to exploit. Aberdeen is set to be the new Dallas as the second North Sea oil boom gets underway.

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Oil explorers find new fields to conquer

Companies are also dipping into “unconventional” hydrocarbon deposits — the sticky mountains of tar sands in Alberta, Canada and on the banks of Venezuela’s Orinoco river, the “tight sands” gas reserves of western Australia, and the methane trapped in long-disused European coal mines.

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North Sea oil reserves ‘will last decades’

In 2004, Shell stunned shareholders when it revised its proven oil and gas reserves, slimming the figure by 20%. The revelation had an instant impact on the company's share price and has served as a lesson to the industry ever since

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Strike could affect Shell’s production

THE CALGARY HERALD: Royal Dutch Shell PLC, Europe's biggest oil producer, may be forced to cut output from a North Sea platform if rig managers strike this weekend.

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U.S. Probes Crude Oil Trading for Price Manipulation (Update3)

May 30 (Bloomberg) -- The U.S.Commodity Futures Trading Commission, the watchdog for commodity transactions, is investigating U.S. crude oil trading to determine whether the surge to record prices is the result of manipulation or fraud.

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Intriguing £3 million gift/bonus for Prince Andrew

Kazakh wealth comes from reserves of oil, gas and minerals. Britain is the third-largest foreign investor, with British Gas, Shell and BP among members of a Caspian Sea consortium exploring the Kashagan field, thought to contain 1.5 times the reserves of the North Sea.

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Update on Shell employee safety issues from Bill Campbell, former Shell HSE Group Auditor, Shell International

Upstream Magazine reported and made Society aware on 14th March technical problems with lifeboats on Brent Bravo and Tern. Although the HSE now confirm that lifeboats had now been repaired it was neglect of maintenance and failure to invest in replacement lifeboats which led to the problems arising. All this in a Company earning net profits of circa $3 million per hour and which in the last day or two announced record quarterly profits. This is a Company that constantly replays in response to any criticism that Safety is its Number 1 priority and it would never compromise safety.

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The Majors Look West, Again

After years of shunning North America and Europe in favor of exotic locales that promised oil in far greater quantities at a much lower cost, the industry's largest players have come crawling back. The reason? Those big projects have been difficult to pull off and haven't made up for declining production in more mature regions like the U.S. Last year the five largest U.S. and British oil companies—ExxonMobil, Royal Dutch Shell (RDSA), BP (BP), Chevron (CVX), and ConocoPhillips (COP), which together account for 11% of worldwide output—saw their oil production slide 3%, to 10 million barrels per day. Those shrinking supplies are one reason that oil now tops $125 a barrel.

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SHELL EMPLOYEE HEALTH AND SAFETY: THE PROPAGANDA VERSUS THE ATROCIOUS TRACK RECORD

A GREEDY OIL GIANT TOO MEAN AND RUTHLESS TO EVEN MAINTAIN SERVICEABILITY AND SAFETY OF NORTH SEA OIL PLATFORM LIFEBOATS...

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FT REPORT – WORKING IN THE OIL & GAS INDUSTRY 2008: Big rewards of working in remote, exotic places

Working in the oil and gas industry has many rewards, particularly now, when business is booming and skilled staff are in short supply.

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North Sea oil’s ebbing tide

Gordon Brown pleaded with BP and Shell last week to spend some of their combined £7bn record first-quarter earnings on pumping more crude out of the sea bed off Britain's eastern coast. 'I hope that these profits are going to be invested in getting more oil out of the North Sea,' he said.

It's likely his pleas fell on deaf ears. BP has already sold its Forties field - one of the largest in the North Sea. Shell, too, has been selling off its fields there so it can concentrate on bigger, higher-growth projects like its oil-sands projects in Canada.

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Dawn of an energy famine

This week the shape of the global energy crisis came into its sharpest focus yet. The world needs renewable energy fast, but as BP and Shell announced record profits, they also demonstrated that they are in essence retreating from renewables, perhaps with the exception of biofuels. They intend to focus their record billions on expanding production of what remains of traditional oil and gas, plus tar sands and liquid fuels from coal - ruinous in their effect on the climate.

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Man broke an elbow when he fell 20ft from helideck of Shell’s Tern Alpha Platform

Daily Record (Scotland): FALL SPARKS RIG INQUIRY: The man broke an elbow when he fell 20ft from the helideck of Shell’s Tern Alpha. read more

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Shell takes three-year extension on Maersk Curlew contract

Lloyds List: Shell takes three-year extension on Maersk Curlew contract

Tuesday 14 June 2005

Anglo-Dutch group set to develop further satellites as FPSO gets new lease of life that will see it through to 2008, writes Martyn Wingrove

SHELL is making a commercial commitment to develop more of the fields surrounding the Maersk Curlew production ship after extending its lease for another three years.

The Anglo-Dutch oil major had its eye on developing satellites to the floating production storage offloading vessel for the past five years and seems to be willing to make further progress after extending its lease with Maersk Contractors. read more

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Lloyds List: Shell ready to reap rewards of gas find

Lloyds List: Shell ready to reap rewards of gas find

Martyn Wingrove

May 24, 2005

Royal Dutch/Shell has found a significant gas-condensate field in the Norwegian Sea which holds the potential for a raft of new awards for offshore contractors.

The Anglo-Dutch oil major found a large reservoir of natural gas and some condensate in the Onyx SW wildcat exploration well in block 6406’9, 40km west of its Draugen production platform.

‘We are dealing with a significant find,’ said Rien Herber, exploration director for Shell Exploration ‘ Production Europe. read more

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Oilvoice.com: Shell Awarded Eight Blocks in 22nd Offshore Licensing Round

Oilvoice.com: Shell Awarded Eight Blocks in 22nd Offshore Licensing Round

17 September 2004

Shell U.K. Limited has been awarded two licences in the 22nd offshore licensing round in the UK Continental Shelf. Both licences are in the deep water Atlantic area West of Shetland and comprise a total of eight blocks. One is a new ‘Frontier’ licence with BP as partner and the other a Traditional licence with BP, ChevronTexaco and Faroe Petroleum as partners. Shell will be operator in both cases.

Kieron McFadyen, Technical Director of Shell Exploration & Production in Europe said: “We are very pleased with the awards in this licensing round. We believe the Atlantic margin West of Shetland is an area of potential. The award of these new licences is a further demonstration of Shell’s continued commitment to the North Sea and as the leading oil and gas operator in the UK Continental Shelf.” read more

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Oil Cos Agree To Code Easing North Sea Pipeline Access

THE WALL STREET JOURNAL: Oil Cos Agree To Code Easing North Sea Pipeline Access

“Oil companies in the North Sea, including heavyweights BP PLC (BP) and Royal Dutch/Shell Group (RD, SC) have agreed with the U.K. government to adhere to a new code of conduct aimed at easing access to undersea pipelines.”

DOW JONES NEWSWIRES

Posted 16 Sept 04

LONDON — Oil companies in the North Sea, including heavyweights BP PLC (BP) and Royal Dutch/Shell Group (RD, SC) have agreed with the U.K. government to adhere to a new code of conduct aimed at easing access to undersea pipelines.

The U.K. is keen to encourage new and often smaller companies to develop the dwindling oil and natural gas resources of the North Sea. Gaining access to the infrastructure that delivers the hydrocarbons to market is key for these companies, particularly in the development of small fields which the major companies that control the pipelines won’t bother with. read more

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Daily Telegraph: Oil price flares as Yukos woes worsen

Daily Telegraph: Oil price flares as Yukos woes worsen

By Malcolm Moore, Economics Correspondent (Filed: 06/08/2004)

A renewed threat to Russian oil company Yukos, which supplies 2pc of the world’s oil, sent prices to record highs in London and New York yesterday.

The price of a barrel of Brent crude for September delivery rose $1.42 to $41.12 in London, while the price gained $1.57 on the New York Mercantile Exchange to $44.40.

On Tuesday, the Russian Justice Ministry told Yukos that while its bank accounts remained frozen in light of a $3.4 billion tax bill, the oil giant could use any new earnings to pay for day-to-day operations. read more

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