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Posts from ‘January, 2011’

Dr John Huong accused Shell lawyers of tampering with evidence

May I asked you where you got all those information for your articles, the publication of which prompt Shell to take legal actions against me, in breach of my human rights and freedom?

Email received from Shell whistleblower Dr John Huong on 21 April 2008. We have provided hyperlinks to the articles he itemized.

Dear Mr. Donovans,

Good evening.

A few months ago, you wrote articles concerning the Malaysian judiciary System.  Can you confirm and tell me where the following articles were posted and the author and/or authors of those articles itemized from 1-3 below.

1. CORRUPTION CRISIS IN MALAYSIAN JUDICIARY IMPACTS ON SHELL LITIGATION

2. Malaysia: Judiciary and corruption (For obvious reasons the legal jurisdiction of choice for Shell)

3. HRH Sultan Azlan Shah speaks out on crisis in Malaysian judiciary.

Since posting those articles, were there any changes made to the document since then?

This is urgent because my lawyer will be going to the court tomorrow and I would like him to bring these information to the judge. This is because the affirmed affidavit by one Shell’s Thuvakumar had included your article in his affidavit as a basis to giving me more injunctions.

May I asked you where you got all those information for your articles, the publication of which prompt Shell to take legal actions against me, in breach of my human rights and freedom?  I believe removing part of the documents is a criminal act of tampering a document which subsequently was affirmed before the Commissioner of Oath and the Court must know this.

Yours sincerely,
Dr. John Huong

EXTRACTS FROM RELATED LETTER FROM DR HUONG DATED 28 APRIL ADDRESSED TO HIS LAWYER, TREVOR GEORGE DE SILVA

I am very disappointed with Shell in the person of Mr. Thuvakumar for preferring to torture me and continue to do so.  In his affidavit affirmed on 6.11.2007 before the Commissioner of Oath, Mr. Thuvakumar and the Shell Counsel knew very well that I was not the author of the published document containing two glaring themes – the “Corruption crisis of the Malaysian Judiciary” and the “unlawful deduction” from the Employee’s Provident Fund from ex-Shell employees.

4. The document was published in UK by Mr. Alfred and John Donovan (father and son) and was downloaded from their website, www.royaldutchshellplc.com which was operated from a server located in New York, USA.  I have no access to upload any publication and including the attached document found in Mr. Thuvakumar’s affidavit.

Shell should take issue with Mr. Alfred and John Donovan in the right jurisdiction.  The Donovans have informed the Malaysian lawyers concerned and the Malaysian High Court where Shell has sued the wrong person, in the wrong place and for wrong reasons.  These gentlemen have repeatedly invited Shell to seek legal redress if Shell thinks that her good reputation was injured and defamed.

In addition, such acts of injustice and including perjury, missing medical reports, tampering of records, certification of actual records, making up false tabulations, etc were also used by Thuvakumar, his counsels and witnesses in my Industrial Court Case and I will be pointing this out to the judge when the case which was scheduled for hearing on the 28th April 2008 is now deferred to 7th May for a mention; to set a new trial date. Mr. Sim, the Shell counsel in my Industrial court case should know better since he is the President for the Sarawak Bar Association.  He ought to know better what is ethical and just of a reasonable man in a legal profession.  As was replied to the Statement of claims in the defamation lawsuit, the information obtained in the Industrial Court case will be inclusive as stated in the response.

EXTRACTS END

RELATED EMAIL THAT DR HUONG RECEIVED FROM HIS LAWYER on 28 APRIL 2008

Dear Dr. Huong

I  trust all is well with you.

I am glad to inform that the Court agreed with our submission and expunged Shell’s last affidavit (i.e the one exhibiting the Donovan’s website write-up on the M’sian Judiciary).

The Judge has now fixed both injunction matters for disposal on August 27, 2008, with a mention first on August 1, 2008.

Meanwhile, we are also getting case management directions for the setting down of the matter for trial. I will contact you in this regard once the order has been made so that we can make arrangements for the collation of all documents you wish to adduce at the trial.

Best Regards

Trevor George De Silva
Partner
Suite 2.07-2.10, 2nd Floor, Wisma Mirama
Jalan Wisma Putra, 50460 Kuala Lumpur

Lee Ong & Kandiah Advocates & Solicitors

EMAIL ENDS

NEITHER CASE GOT TO TRIAL. SHELL SETTLED BOTH ACTIONS OUT OF COURT. TOO MUCH “INTERNAL LAUNDRY” TO BE AIRED IN OPEN COURT, INCLUDING THE CRIMINAL TAMPERING OF EVIDENCE BY SHELL LAWYERS, E.G. HIDING IMPORTANT INFORMATION FROM THE JUDGE BY REMOVING IT FROM DOCUMENTS PUT BEFORE HIM.

RELATED ARTICLE: http://royaldutchshellplc.com/2011/01/03/royal-dutch-shell-terrorist-tactics-against-malaysian-whistleblower/

Shell Canada Insider Speaks Out

…huge potential for a large fire, explosion, or sending toxic H2S gas to atmosphere. Shell management knowingly operated like this, not wanting to sacrifice production for process safety…

Recent Problems for Shell in Central Alberta Region of Canada

BY A SHELL CANADA INSIDER

Some background on me: I used to work at the Caroline Gas Plant as an operator.

I read your online articles with great interest, as I am always interested in the corporate behavior of the company I work for, mainly in terms of HSE performance, which is something I have passion for.  I believe that there is greater potential to create change from within an organization, which is one of many reasons that I work for a petroleum company while being an environmentalist and conservationist at heart.  I have quit working for other companies which placed little regard in this area, based on what I experienced.  Shell is NOT the worst offender in this neck of the woods, but their performance COULD be better.  More recently, their performance in the region has declined as a result of cost cutting, neglect, and not practicing what they preach.

For example, the Caroline Gas Plant’s primary “A-Pool” reservoir is in pretty steep decline in recent years.  The operating facilities are evolving, as new sources of gas are brought in to the plant and being processed. New sources of gas are drier, contain more CO2, and less H2S.  The Caroline plant was built to process very sour gas (30-40% H2S inlet raw gas stream) and is now being optimized to run the less sour, drier (significantly lower volumes of natural gas condensate) gas. Less hydrocarbon liquids mean significantly less money being generated by the facility, and the lower sulphur content challenges the facility in terms of providing less heat (steam) in the sulphur recovery plant, which has had to co-fire significantly higher in recent years with supplemental fuel gas in order to maintain the required steam to operate the facility.  Management has been mostly concerned with cutting costs and phasing out plant equipment as it is no longer required.  Most of this was scheduled to happen over the course of the past year and into 2012, when it is planned to shut down one sulphur recovery train, which may have a significant effect on operational reliability, as it will become a single train operation. Plant upsets will have a much greater likelihood of creating short term flaring events in which H2S is burned at the flare stack (0% recovery: becomes emissions), instead of in the sulphur recovery unit (99% recovery, most is recovered as sulphur, which is processed and sold at market prices.)  Recent culture has been of the “don’t touch F_ck all” variety, in terms of putting money into maintaining the plant equipment, especially those units which are to be decommissioned in the next year or so.

Before I quit working there, I was appalled by how often we ran our plant equipment limping along with various instrumentation protective functions (IPF) and measurement points not operational, for longer periods of time.  Some operation this way is unavoidable, as performing maintenance in a running facility requires a processing facility to run without certain instrumentation at times when it needs to be repaired, maintained, or calibrated. As such, it is important to strive to retain high reliability and minimize the risks created by running in an impaired state.  The Baker Report (BP disaster) has shown us this, along with all of the other collective industry experiences and learnings.  They (Shell management) know this, yet the risk assessment models and processes are frequently manipulated and given “window dressing treatment” to justify to employees how they can continue to operate the facility in this impaired fashion, rather than fixing known problems in a TIMELY manner. They fully intend to perform the necessary repairs sometime, but always seem to justify why these matters do not get treated as high priority items, including shutting down equipment to repair as needed.  They seem more concerned with overall reliability and staying running.  This isn’t a completely bad thing, as it is important to keep a facility like this running.  Shutdowns are costly, both in terms of lost revenue, as well as riskier operations in starting up and shutting down, with greater risk likelihood of environmental exceedances occurring.

We operated two consecutive liquid hydrocarbon processing portions of the plant with the level indications faulty, unreliable, or non-operational for several months, relying on one IPF function as a barrier to passing high pressure sour gas to the condensate storage tanks which would create huge potential for a large fire, explosion, or sending toxic H2S gas to atmosphere. Shell management knowingly operated like this, not wanting to sacrifice production for process safety, and instead relied on their skilled control room and unit operators to limp the facility along.  During this time, there were several small flaring events, process upsets and large potential for equipment damage and greater magnitude process upsets. Our (Operations workers) wished to get these problems fixed.  It went largely ignored for quite a while, but we continued to make it hard for management to ignore, by reporting ALL incidents related to this unit and mentioning the root cause in reports for the related process upsets caused by impaired instrumentation.  Eventually they had no choice but to perform some stop-gap repairs, but they continued to operate for a while longer until the unit was shut down for repairs, which they cut corners on.  They decided to get rid of several tower trays when several damaged top ones became inconvenient to repair.  They gambled and got away with it.  Mostly.

In spite of the creation of SPOG: Sundre Petroleum Operators Group. which was mostly window dressing and was actually Shell Operations people (in the Caroline Plant control room) doing the job that the ERCB (Alberta Energy Resources Conservation Board), Shell was only interested in APPEARING to be a good neighbor to the area residents.  Other companies in the area have the same flawed mentality.  (Make it look good, and make some token efforts and donations here and there, but when it comes to the hard decisions, it is business first, environment and safety second.)

Another series of events highlighted Shell’s disregard for the public occurred when we continued to operate while creating a large odor in the area as fugitive emissions drifted from our condensate storage tanks.
We had some operational issues (remember those trays they didn’t think they needed in the towers, along with the level indications not working, as well as fouled heat exchangers due to poor planning and scheduling of maintenance?)  Shell told us (Operations) that the tank odors were because of the stabilizer tower operational difficulties. A few people did not believe this was the case and told them so.  They ignored it as usual (they were much smarter than us) and continued to operate the stabilizer for many weeks while complaints rolled in from the public about the bad smells in the area from the aromatics and other volatile components still contained in the finished Caroline Condensate product, which were venting from the tank.  Shell told the government watchdog a sob story about their process unit being in sick shape, but that every effort was being made to remedy the situation ASAP.  The ERCB relented and told them we didn’t have to follow the usual protocol of phoning in every time there was a new odor complaint, due to the increased volume of calls related to this subject.  We filled out the paperwork for each complaint, but did not have to phone the ERCB every time.  The calls continued to come in for weeks, and the complaints stacked up, while Shell abused the slack that they were given by the watchdog agency.  Eventually the ERCB caught on to this and they sort of hit the roof when they found out JUST how many people had complained and for how long.  I think the ERCB would have forced them to earlier action, had they been getting the reports all along.  The Alberta Government was asleep at the switch again, and the public suffered for it as usual.  Eventually all other possibilities were exhausted, and Shell was forced to recognize what a few of us said all along; that IT WAS THE TANK (FLOATING ROOF) SEALS ALL ALONG that were to blame.  They confirmed this (an employee broke an LSR during activity; still kept his job.  Shell only seems to like firing contractors over LSR violations, but that is another story….)  This tank repair would be costly and inconvenient, so the tanks would be largely bypassed, sending product straight to pipeline as much as practical.

By now, I was pretty disgusted with Shell’s conduct.  The management was largely made up of good old boys who said “yes” and were lap dogs to their former boss (CAB region supervisor and former plant manager, Keith Eslinger, who left a wake of neglected plants and lots of useless “window dressing” for good PR.) With each set of new promotions, it was demonstrated that crap does float, as most of the best and brightest chose to leave or were cast from Shell when their talents and expertise were ignored and the incompetents and back-stabbing hypocrites continued to get rewarded and promoted.  Rules were changed to pave the way for promoting those who “played the game” and nepotism flourished.  They seemed to promote family values almost as often as they hired and promoted family members.  Some of these people were very good employees, but that is not the point.  Incident reports were sometimes whitewashed to the point that one fellow employee commented that “I wasn’t even sure if I was there, after reading the report.”  Management insisted also on having employees choose to live in certain locations, and invested heavily in Sundre real estate while forcing some employees to live there (for business reasons.)  Unethical?  For sure.

I felt that we were headed for another TOP EVENT, such as the one that occurred in the past with the pipeline blow-out in the , or the produced water storage tank that was neglected and eventually blew up before its issued could be resolved.  I chose to work somewhere else, because I felt that there was too much corruption and neglect to overcome, and I had watched my facility (when I started there it really wasn’t a bad place to work at all)  become quite neglected and the work environment was really headed downhill at an alarming rate.

So, we’ve recently seen the following happen:

Billion-dollar gas plant shut down at Caroline: Red Deer Advocate 7 January 2011

Massive fire at Shell Shantz plant: Mountain View Gazette 7 December 2010

Shell Shantz fire related to glycol leak, say officials: Mountain View Gazette 14 December 2010

Here is some background information on the facility.  They HAVE done some good things here, but have had a lot of issues, too: http://www.kirbymedia.ca/shellcabregion/pg2-3_caroline.html

Below is a report from the pipeline that leaked into the:

Caroline Pipeline Failure: Findings On Corrosion Mechanisms In Wet Sour Gas Systems Containing Significant Co2

To give credit to Shell, they have chosen not to produce that well using the river pipeline, and has remained shut in ever since the incident.  The wellsite is dormant, but not abandoned.

In closing, I feel to share that it is my opinion that we the public in Alberta are too focused on working hard and making money, or choose to ignore or care because many of us would rather not jeopardize our decent standard of living and employment in the petroleum industry.  The Alberta Government has not been very accountable for a LONG TIME because of too many parties splitting the vote.  The Conservatives remain in power and are extremely corrupt with big business calling the shots. Corporations such as Shell have the government officials in their back pocket.  A little whining every now and again when the government tries to take a bigger royalty cut or make them more accountable to the environment seems to work.  They tell the same old sob story about how tough it is to make money doing what they are doing and that toughening the rules will drive a lot of business away (or under), leading to dire economic consequences for the province.  This province needs to wake up and be leaders. We need stewardship and to not squander these resources we have been blessed with.  We need to take care of our environment, our citizens health, and diversify our economy. The oil sands ARE a blight on the landscape, but a necessary one, so we need to be realistic and find better ways to do things. I feel cautiously optimistic about the future, as companies are VOLUNTARILY sharing tailings management technology and research, and are striving to improve and change public opinion on how they do their business up north.  Not because they have to or want to, but because they are worried that it will cost them too much money if they don’t. They might be right.

I believe (and know for a fact) that there are a lot of citizens who whine and point the finger at the oil companies for all of their health and farming woes.  The “squeaky wheel gets the grease”; a lot of times the oil companies will pay money to these individuals or do them favors, just to shut them up.  I’ve seen and heard about it.  So some people continue to try to take advantage of this.  This greed unfortunately makes a lot of genuine complaints from honest people lack credibility, due to the amount of  false allegations floating around.  Your recent story about Donna Getz has some ring of truth to it, but I wonder a bit about the credibility of the “specialist” that Donna saw (her story sounds a little bit fishy on some levels, but perhaps it is just the way she communicates.)  “Specialists” can be found to support a great many arguments, many of which are spin stories to try to get money from the oil companies. Not that Shell and other corporations don’t resort to similar sinister practices; they do, but often the truth lies somewhere in the middle of the two stories.

That being said, I firmly believe that there are some serious long term effects that are being ignored in terms of air quality and the petroleum industry.  The public that live in Sherwood Park, and other municipalities that lie downwind of Edmonton and Fort Saskatchewan’s refineries and petroleum plants are paying a price for living so close to industry.  There is an alarmingly high occurrence of respiratory issues in this area. I am one of these people, with allergies and asthma like symptoms which I need to take medication for. It seems like just about everyone has some sort of breathing issue around there. Some days, you can smell it and see it in the air, as inversions or prevailing winds push the pollution down on nearby citizens.

Keep up the good work with the website. Keep it honest and do not get let astray in rumors. Great job so far.

We can make a difference, with our actions.

ARTICLE ENDS

Royal Dutch Shell Plc has had advance sight of this article by a Shell Canada insider and the opportunity to provide comment for publication on an unedited basis. If we receive any such response, it will be added to the article. The article was supplied without any highlighting in bold print. That has been added by us, not the insider who has provided a balanced view. Some of the information is likely to be of particular interest to Bill Campbell, the retired HSE Group Auditor of Shell International, who with his audit team, discovered the “Touch F*** All” safety culture on the Brent Bravo oil platform prior to the explosion resulting in the deaths of Shell offshore workers. Safety records were falsified with management approval.

Comment from Donna Getz

I would like to bring up lots of points such as: he chose to work in the gas field and loose his lung function, My family and I were just minding our own business on the ranch.  We didn’t choose what happened to us.  As for being greedy and wanting money, I believe we would choose to have our health and horses back. Money cannot buy this. As for specialists, none of them really know how to deal with H2S injuries. The remedy we were told was to move out of the gas field to where there is fresh air and pine trees. There isn’t anything we can take for our lungs.

All a person has to do is drive down from Pink Mountain to Fort Saint John, BC and you can see, smell and feel that the gas companies do not care what they are putting into the air. We are sick for over a week after going to town. We are living on a pine ridge on one of the highest points right now but there is going to be a well drilled right above us on the highest point not even a km from us. On a clear day ( if you can find one) there is a covering over the whole country.  A few years ago this wasn’t here.

We know we were hurt and need to go where the air is more fresher, but how does a person get there? It is hard to get a job when you are coughing stuff up most of the time and don’t have the lung capacity to do some jobs. They really want you in a restaurant!

Every night, we listen to our lungs, feel the stuff oozing out of our lungs and have to cough stuff up. All day long we cough stuff up. We did not choose to have this happen to us. How many more are like this? Lots of people don’t even know what is wrong with them and the doctors sure can’t tell them. Medication does not help.

REPLY FROM THE AUTHOR OF THE ARTICLE

Thank you for printing my article.  I would appreciate the chance to comment back to Donna Getz response.

I am still a little concerned about negative consequences for speaking out as an insider, but a person should be allowed to exercise their right to free speech as a concerned member of society, and I tried to keep it as factual as possible.

I respect Donna Getz response, and apologize if it sounded like I was personally trying to discredit her.  That is not the case.  I should have chosen my words a little more carefully and not speculate.  I guess I was just commenting that there were a couple points in her article that sounded a bit odd to me (flushing the lungs and coughing up foam); but I am NOT a medical expert and do not know much about treating severe exposures. Exposure can result in pulmonary edema, if memory serves me correct.  I re-read the article and it sounds to me like her case was a very concentrated and acute exposure, based on the information about what happened to her truck. If that’s what it did to her truck, what kind of serious damage does it do to someone’s lungs? I was simply wondering if her “expert’s” opinion came from a medical professional, based on some wording of the article that sounded odd to my ears.  In any case, I sympathize for her being in such an awful situation and for the way she was treated. I’m sure ANYONE would rather be healthy than have money and not be able to enjoy quality of life.

She is 100% correct in stating that my lung issues could have been caused by my choice to work in industry. It is just so hard to prove that is the case. How much honest research has really been done on LOW level chronic exposures? Not much, I’m afraid.  I guess the point I was trying to make is that there are plenty of residents who complain looking for handouts.  It sometimes makes it difficult in telling fact from fiction. Some of them even move into the area willingly and knowing full well that they are going to be located very close to an industrial facility, then expect their new industrial neighbor to drastically change the way they operate.

Perhaps respiratory issues such as mine have much to do with environmental factors such as industry nearby. Or perhaps it is a result of living in a modern home with many manufactured products that leach chemicals into the air around us. Or perhaps from my hobbies. I will probably never know for sure. It is so hard to prove when there are so many possible factors, and it is one of the many reasons why long term research is difficult.

I certainly do NOT condone or support eco-terrorism such as the events that have happened primarily to Encana up in the NW corner of Alberta, but I think I understand the frustration that drives ordinary citizens over the edge when their concerns are not addressed and there is no one willing to fight for their cause.

There is a growing contingent of people who are fed up with their well being coming up second to development. See the events in the proposed Alta-Link 500KV line to the Heartland Substation as an example.  The government watchdog embarrassed the heck out of their bosses in the Alberta government when they chose to spy on their own citizens opposed to the project. No wonder it is so hard to trust the government being balanced in the application and hearing process.

Hello again:

I just wanted to make a small fact correction to the article that was printed.  The photo at the top of the article is of the Shell Shantz sulphur facility.  It is in fact located some distance (about 40 Km) from the Shell Caroline facility.

Thought I had better set the record straight, since anyone who lives or has driven through the area would immediately know the difference by looking at the photo.

Thanks.

THE MENTIONED MEDICAL REPORTS

GetzOleMedicalReport20Apri2004 Medical Report dated 30 April 2004 written by Professor Jeremy Beach

GetzDonnaMedicalReport20Apr04 Medical Report dated 30 April 2004 written by Professor Jeremy Beach

Dr. Jeremy Beach – Diagnosis and Management of Occupational Asthma

Jeremy Beach trained in Medicine at the University of Newcastle upon Tyne, UK, qualifying MBBS in 1983. He subsequently worked in General Internal Medicine and Respiratory Medicine gaining his MRCP (UK), and then moved to a research position leading a project studying occupational asthma in shipyard welders which provided the basis of his doctorate. He went on from this to train as a specialist in Occupational Medicine gaining his MFOM and specialist accreditation in the UK 1996. In his work in Occupational Medicine he has combined work in academia at the University of Birmingham and Monash University in Australia; work in industry, becoming Senior Medical Officer with a major multinational engineering company; and the health service, working as a specialist in occupational medicine and occupational lung disease in hospitals in Birmingham and Bradford, UK. He was awarded FRCP in 1999 and FFOM in 2000. He moved to Canada in 2002 to take up the position as Associate Professor and Director of the Occupational Medicine Residency Program at the University of Alberta.

He is past editor of the journal ‘Occupational Medicine’, adopted journal of the Occupational and Environmental Medical Association of Canada (OEMAC), and remains the assistant editor for Canada. He was elected President of the Occupational Medicine Section of the Alberta Medical Association in February 2004, and of the President of the Occupational and Environmental Medicine Association of Canada in September 2004. In addition to both undergraduate and graduate teaching at the University of Alberta he is actively involved in a number of research projects, and sees patients in the occupational medicine clinic at the University hospital. His major interests are in occupational lung disease, particularly occupational asthma, the health effects of pesticides, and health surveillance.

Royal Dutch Shell in Viet Nam

Shell failed properly to control the oil shipments which flowed through indirect channels to the Vietcong. According to his book “Fuelling the war: revealing an oil company’s role in Vietnam”, [1] Shell knowingly employed as a manager a notorious former senior police official with a “fearsome and well-deserved reputation” who “had already shown his inclination to settle security matters by military action with little compunction about killing, innocents along with suspects”.

Updated January, 21 2011 09:47:05

President prompts Shell to expand Viet Nam operations

HA NOI — President Nguyen Minh Triet said Viet Nam’s achievements in recent years were accomplished due to the co-operation and support the country has received from foreign partners.

Triet made the statement yesterday at a reception in the capital that was attended by Shell’s Chief Financial Officer Simon Henry.

The President said that during the freshly concluded 11th National Party Congress, the Communist Party of Viet Nam reiterated its renewal policy and intention to further strengthen and consolidate its co-operation with other countries and international partners.

He expressed his wish that Shell would provide further support to Viet Nam’s socio-economic development.

“Shell is one of the world’s leading corporations to resume its business in Viet Nam during the early years of the country’s renewal process,” said Triet.

He asked Shell to expand its operations in Viet Nam in the energy and infrastructure sectors.

Henry lauded the recent Party Congress and the achievements Viet Nam had made in socio-economic development.

“Global integration has helped Viet Nam become an attractive destination for foreign investors, ” said Henry. “International integration has opened up promising development for Viet Nam in the years to come. As a result the demand for energy will increase, particularly electricity.”

He informed President Triet of Shell’s business strategy, in which his corporation would focus on oil and gas exploration and importing and distributing liquefied natural gas (LNG).

Henry expressed his interest in becoming a share holder in the process of equitising the distribution of petrol and diesel in Viet Nam, as well as in co-operating with the Viet Nam National Petroleum Corporation in their efforts to discover new oil and gas fields. — VNS

SOURCE ARTICLE ENDS

HISTORICAL INFORMATION ABOUT SHELL’S ROLE IN THE VIETNAM WAR

Between 1972 and 1975, the last three years of the Vietnam War, Shell Vietnam (the local “operating company” of the Shell Group) controlled half of Vietnam’s oil supply. A book by Louis Wesseling, the President of Shell Vietnam during that period, revealed that Shell failed properly to control the oil shipments which flowed through indirect channels to the Vietcong. According to his book “Fuelling the war: revealing an oil company’s role in Vietnam”, [1] Shell knowingly employed as a manager a notorious former senior police official with a “fearsome and well-deserved reputation” who “had already shown his inclination to settle security matters by military action with little compunction about killing, innocents along with suspects”. Wesseling later served as CEO of Shell companies in South America and the Middle East and collaborated on drafting the “Shell Group Business Principles”.

Book Review:

“I read it in one stretch. Excellent on macro and micro levels of economics in wartime. Sensitive description of people and country. Objective description of the Shell Group.”
G.A. Wagner, ex-Chairman Royal Dutch Shell, the Hague.

WikiLeaks revelations: Pernicious influence of Royal Dutch Shell

It is clear from these cables that Royal Dutch Shell has the Dutch government in their hip pocket. No surprise there, the Queen must get her dividends. Royal Dutch Shell management apparently thinks it has so much influence it can dictate foreign policy matters to ALL of the G8 governments? Isn’t that a revelation. Maybe not after all we have learned about Shell’s not so secret ‘shadow government’ in Nigeria.

Article by a former employee of Shell Oil USA

No matter what you or I may think about the Wiki-leaks gang, they do produce some important revelations that I am sure the US government, et al, and RD Shell would just as soon not disclose to the public.

The latest postings are interesting because of the degree of influence it appears that RD Shell has with the G8 group of nations.

It is clear from these cables that Royal Dutch Shell has the Dutch government in their hip pocket. No surprise there, the Queen must get her dividends. RD Shell is one of the Dutch national flagship companies and clearly influences Dutch governmental policy on ‘energy policy’ matters.

What is most surprising in the level of access AND influence RD Shell had in the US State Dept. during the Bush Administration. In American politics the saying goes that the Republicans never saw an oil company they didn’t like, and that is certainly true of the modern Republican Party, which has its roots in Houston, TX. Clearly, RD Shell had a friend in the White House during the Bush years.

In these cables Mr. John Crocker, head of RD Shell’s international relations group, appears to have been coaching the US State Dept. on the sort of ‘helpful’ action the US government might/should take that would aid RD Shell in its dispute with Russia’s Gazprom over RD Shell’s (mis)management and ownership stake of the Sakhalin II project.

Since when does the US government do the bidding or come to the aid of a foreign national oil company when they screw up a project in Russia? Since when does such an oil company set US governmental policy? Does anyone besides me find this level of influence with/over the sovereign ‘elected’ government of the US government during the Bush years highly disturbing? (Recall the Gail Norton affair and the ‘sex and drugs’ scandals at DoI during the Bush years. Does anyone see a connection here???)

More that just seeming to try and enlist the influence of the US government in its dispute with Gazprom, RD Shell seems to have tried to coach the US State Dept. on obtaining support from the other G8 countries in their dispute with Gazprom. They appear to have even gone so far as to suggest what the G8 countries (high level officials) should emphasize to the Russian (high level officials) government. Crocker even went so far as to suggest that these messages from the G8 countries could remain private for a few weeks, but that the the G8 countries should then issue strong public statements to bring pressure to bear on the Russian.

Really? Royal Dutch Shell management apparently thinks it has so much influence it can dictate foreign policy matters to ALL of the G8 governments? Isn’t that a revelation. Maybe not after all we have learned about Shell’s not so secret ‘shadow government’ in Nigeria.

If all of this is indeed true, and RD Shell does indeed have this kind of power and influence over these governments, then I submit that it is time to break-up RD Shell. They have gotten too big for their britches. We did it to Standard Oil when they got out of control, and we can do it to RD Shell.

ARTICLE ENDS

Note: The Russian government has confirmed that the evidence (leaked Shell internal emails) it used to threaten Shell with a multi-billion dollar lawsuit, which resulted in Shell surrendering its majority holding in Sakhalin II for a fraction of its true worth, was supplied by John Donovan.

Prospect Magazine: Rise of the Gripe Site

Argus FSU Energy: Mitvol Turns up the heat: 19 November 2006

Johnson’s Russia List (sourced from Russian news agency, Interfax: Nov 2006: http://www.cdi.org/russia/johnson/2006-256-22.cfm

RELATED ARTICLES

Shell to be grilled over Nigerian oil tensions

Shell to Face Nigeria Grilling

WikiLeaks: Shell’s astonishing revelations about Nigerian corruption

WikiLeaks: Shell says ‘amateur technocrats’ run Nigerian oil and gas sector

WikiLeaks: Oman secret plans to take gas fields away from Royal Dutch Shell

WikiLeaks: Shell’s secret speculation about Irish gas fields

Activists demand prosecution of Shell over Wikileaks revelations

GRIPING AND GRINNING: REPUTATION NETWORKS START WITH ONE

I want to share another story. According to this article, a single site run by a man and his octagenarian father in the UK has cost the petro-giant Shell billions of dollars. And it all started with a gripe.The Donovan website has become an open wound for Shell.

By Max Lenderman

We all know the power of reputation networks. It is how eBay runs its business. A web of comments for or against a particular vendor drives its sales. Overall, people talking about their experiences with a brand, product or service is how commerce will function. Forget advertising. That’s just fluff. The real brand equity is in the reputation networks.

Case in point: this particular study shows that online customer product reviews drive satisfaction and loyalty and provide a competitive advantage for sites that offer them. No duh.

But this is not the reason for this post. I want to share another story. According to this article, a single site run by a man and his octagenarian father in the UK has cost the petro-giant Shell billions of dollars. And it all started with a gripe.

The Donovan website has become an open wound for Shell. The Anglo-Dutch giant has tried to shut it down on the grounds that it uses the company name. However, as www.royaldutchshellplc.com makes no money, this hasn’t worked.

“We wanted it to become a magnet for people who had a problem with the company,” Donovan told me when I visited him recently. It has. The Ogoni tribe of Nigeria uses the website to spread information about Shell’s activities in the Niger delta. And unhappy Shell insiders frequently post on the site’s live chat facility.

Another muckraking site is targeting McDonalds. These “gripe sites” are the uber-reputation makers. They may not get millions of people to rate a company from good to bad, but they are repositories of information from those who have intimate knowledge of the inner workings of a corporation or an industrial complex. These folks can bring a company down. And it all starts with one person.

BTW, it is estimated that Donovan’s actions have cost Shell billions of dollars in lost revenue.

SOURCE ARTICLE Published JAN 24, 2007

Corrib pipeline gets approval

A previous application submitted by Shell and Corrib gas partners was rejected by Bord Pleanala. Photograph: Dara Mac Donaill

LORNA SIGGINS, Western Correspondent

Bord Pleanála has approved Shell E&P Ireland’s third proposed route for the final section of the Corrib gas pipeline with 58 conditions.

Inspector Martin Nolan, who chaired last year’s resumed oral hearing on the revised plan, says that the application’s “clarity and transparency” provides “confidence that the safety of the public is fully protected, and that the public will not be put at risk”.

He said this new plan submitted by Shell and partners last year was the “most suitable, the shortest and the most obvious route for this development”.

The route involves constructing a 4.2m-wide tunnel in Sruwaddacon estuary for a pipe carrying high pressure raw gas from the landfall at Glengad. The final section will run overland to the gas terminal already completed at Ballinaboy.

The offshore pipeline has already been laid.

Sruwaddacon estuary is a special area of conservation (SAC), running between the communities of Rossport, Pollathomas, Glengad and Aughoose. Among the groups which made submissions to Bord Pleanála on health and safety issues was the local national school at Pollathomas

Mr Nolan said the development was a “major project by any measure”, but the modifications proposed would have a “remarkably light impact on the pristine environment of the area”.

A previous application submitted by Shell and Corrib gas partners was rejected by Bord Pleanála as half of it was deemed unacceptable on safety grounds due to proximity to housing.

Mr Nolan said the board’s decision to “adopt a consequence based routing distance was a key driver” which “provided the impetus for Shell to moderate the consequence of a gas release” from the pipeline.

“Corrib will, I have no doubt, provide impetus for future expansion of the natural gas network in Ireland and I expect it will provide impetus for additional exploration off the coast,” Mr Nolan said. “Corrib will in my view provide opportunity for Mayo in particular to develop as a new energy producing centre.”

However, he said that new momentum was required to “engage the local community and to ensure the benefits of the scheme are developed and harnessed locally”.

He has recommended that an €8.5 million “community gain investment fund” be paid over five years by Shell and partners, which would be held in trust by Mayo County Council.

He said he believed this fund would “provide a strong enabling community gain which can be developed with leadership at every level into a long term economic and social stimulus for the area locally, but regionally as well”.

He praised Government policy on developing gas energy, but said that “further strategic planning” was required if “the depths of controversy and conflict seen in the Corrib scheme are to be avoided in future”.

“Standards, strategic development sites, strategic corridors, clear process requirements for all consents, open procedures for decision making, transparency in presentation of projects” were areas which had “led to the depth of conflict and controversy seen in the Corrib scheme”, Mr Nolan said.

SOURCE ARTICLE

BP Applies Some Bid Repellant

BP Chief Executive Bob Dudley (L) looks towards state-run Russian firm Rosneft’s President Eduard Khudainatov (R) before signing an agreement to form a global and arctic strategic alliance.

By Edward Tan, JANUARY 20, 2011

BP and Rosneft presented their $7.8 billion stock swap as solidifying an exploration alliance in Russia’s South Kara Sea.

The Rosneft deal, however, served another purpose for BP — scaring off potential acquirers that might see the U.K. firm as vulnerable following its recent disaster in the Gulf of Mexico.

BP’s new CEO, Robert Dudley, needs time to overhaul his company’s safety program and rebuild its competitiveness in the global race for petroleum reserves. He doesn’t need the distraction of, say, Royal Dutch Shell inquiring about a merger while BP’s shares continue to trade 25% below pre-Deepwater Horizon levels.

Dudley simply wants breathing room to prove that BP is capable of recovering without help. He’s likely to get it: Any would-be buyer now has two companies to tangle with, one of them closely tied to the Russian state.

A BP spokesman denied that the swap with Rosneft was motivated by a desire to repel suitors.

What does Rosneft get in return? Funding for capital expenditures. Russian Deputy Prime Minister Igor Sechin said Russia would count on BP to provide the initial funding of $1.4 billion to $2 billion for exploring the South Kara Sea concession — despite the fact that ownership of the South Kara JV is split 33% for BP and 67% for Rosneft.

It’s no secret that Rosneft is interested in cutting a slimmer financial figure. A Rosneft representative confirmed the company reduced capital expenditures in 2009 from the previous year and has a goal of keeping net debt near 1x Ebitda.

It was also convenient that Rosneft had a billion treasury shares on hand, acquired through its absorption of Yukos Oil Company. These shares were swapped with BP as part of the deal.

This is not to say there is no strategic upside for BP. Rosneft was awarded five exploration licenses in 2010, with more expected over the next two years. This provides BP with ample opportunities to sink more money into possible future exploration efforts. But with Russian oil export taxes at roughly 50%, on top of an 18% mineral extraction tax and 20% corporate income tax, the returns from any Russian investment are well into the future. Furthermore, the joint venture does not expect to be drilling its first exploratory well until 2015 or 2016.

Fortunately, the stock swap with Rosneft has one clear-cut benefit in the short term. It provides protection from unwanted suitors as BP recovers its footing, for at least the two years that Rosneft has agreed to hold the stock.

SOURCE ARTICLE

This article originally appeared on Dow Jones Investment Banker. To find out more about the service please visit: www.dowjones.com/ib/

WikiLeaks: More embarrassment for Royal Dutch Shell

WikiLeaks: Leaked U.S. diplomatic cable from the U.S. Embassy in The Hague reveals that the Dutch government would not support any targeted sanctions against Royal Dutch Shell in respect of its activities in Iran.

Also contains embarrassing information for Shell about its dealings with the Russians.  John Croker, a senior Royal Dutch Shell executive, is reported to have complained that Russia’s treatment of Shell in relation to the Sakhalin II project “does not fit” within internationally accepted norms. The Russians (Gazprom) offered less than 30% of what Shell considered fair for a stake in the project.

EXTRACT FROM RADIO NETHERLANDS ARTICLE

Dutch Government protected Shell’s interests in Iran

Published on 19 January 2011 – 9:16pm

Leaked US diplomatic cables from the embassy in The Hague show that the Dutch government in 2006 supported UN sanctions against Iran as long as they did not harm the interests of the Anglo-Dutch oil company Shell. The sanctions were imposed because of Iran’s controversial nuclear programme.

Later cables show that Shell eventually did scale down its activities in Iran as a result of international pressure. The cables from the US embassy in The Hague were leaked by WikiLeaks and subsequently published by Dutch public broadcaster NOS and the commercial RTL Nieuws news channel.

© Radio Netherlands Worldwide

EXTRACT ENDS

THE LEAKED U.S. GOVERNMENT CABLE

UNCLAS SECTION 01 OF 02 THE HAGUE 002654

SIPDIS

SENSITIVE

SIPDIS

STATE FOR EUR/UBI (RREITER)

E.O. 12958: N/A

TAGS: ETTC, EPET, ENRG, PREL, NL, CH, IR SUBJECT: ILSA: DUTCH, SHELL ON YADAVARAN, IRAN, SAKHALIN II

REF: A. STATE 194960

B. THE HAGUE 02316

1. (SBU) Summary. The Dutch government supports targeted sanctions against Iran but not actions that limit Shell’s activities there. Shell does not plan a final Yadavaran investment decision until 2008 and will keep State abreast. The government continues to follow negotiations between Gazprom and Shell over Sakhalin II, Shell’s big natural gas project. End Summary.

2. (U) Econoff raised U.S. concerns about the Iran’s Yadavaran oilfield project with Ministry of Foreign Affairs (MFA) officials John Roosegaarde Bisschop, Gulf States division head, and senior policy officer Loek ten Hagen on December 15. On December 18, Econoff discussed Yadavaran and developments at Sakhalin II with John Crocker, Shell’s head of international government relations.

————————————— Iran Policy and Relationship with Shell —————————————

3. (SBU) MFA’s Roosegaarde Bisschop responded with three main points on Iran. First, he said MFA supports a UNSC resolution “with teeth,” meaning reversible sanctions targeted against the assets and travel of individuals associated with Iran’s nuclear program. Iran had “crossed the line.” The Dutch, he said, fully support the P5 discussions, as part of a dialog aimed at a diplomatic solution. Harsher measures — such as omnibus sanctions or those complicating Shell operations — are not on the table and would be “very difficult” to get through the UN, he said.

4. (SBU) Second, regarding Shell, Roosegaarde Bisschop noted that Shell briefs MFA on a regular basis about the Pars gas field development, but not Yadavaran. While MFA shares advice to ensure that Shell’s activities “fall on the safe side” politically, the ministry refrains from voicing approval or disapproval over Shell projects, he said. MFA has become more involved with Shell, he said, because the energy security situation has forced shell to look at markets where the political environment is hazardous.

5. (U) Third, Roosegaarde Bisschop noted that French and Italian oil companies were much more “advanced” in their efforts in the Iranian energy sector. He asked whether we had reached out to these countries with the same message.

—————————————– No Final Decision on Yadavaran Until 2008 —————————————–

6. (SBU) In response to reftel A points, Shell’s Crocker said that a deal on Yadavaran had been “imminent” for months. He added that Shell had recently seen a sense of urgency on the Iranian side and some signs that the Chinese were ready, but the two had yet to come to agreement. If they do agree, Crocker continued, Shell would examine it and decide whether to issue a statement of interest. After that it would take Shell 12-18 months of analysis to decide whether to invest. Such a decision would be taken in 2008 at the earliest, he said, adding that Shell would notify State — which he visits on a regular basis — before any decision is made.

7. (SBU) Crocker expressed concern about USG efforts to discourage investment in Iran’s energy sector. In the short run, he said, the volume of oil produced in Iran will remain unchanged, whether or not Shell participates in Iran oil projects. This is because phase I oil extraction — a period that normally lasts 10 years — is not “tricky,” and the Iranians and Chinese have the requisite technology to proceed on their own. It is from the second phase onward, Crocker added, where the exclusion of foreign oil companies will have an impact. Since this is beyond 2020, it might make life difficult for ordinary Iranians at a time when the political environment hopefully may be more friendly toward the west, Crocker said. That said, he added that Shell views its relationship with the USG as important and that the company is very conscious of how its actions are perceived.

THE HAGUE 00002654 002 OF 002

——————————————— ——-

Sakhalin II: Shell on Possible Gazprom Participation

——————————————— ——-

8. (SBU) On Sakhalin II, Crocker offered thoughts on Gazprom’s potential involvement and helpful USG actions. First, Crocker said Shell had always thought having a Russian partner was a good idea, and had offered, in exchange for other assets, a 25% stake to Gazprom before discussions were disrupted by the potential revocation of Shell’s Sakhalin II environmental permit (reftel B). The Russians, however, had offered less than 30% of what Shell considered fair. Talks have made some progress in the last week. Gazprom’s participation could now go “either way,” Crocker said, adding that Shell is open to a Gazprom stake at a different level as long as it was a commercially viable and defensible to shareholders. Failing this — and if the Russian government continued to use “all means” to apply pressure — Shell would be prepared to go to international arbitration.

9. (SBU) Second, Crocker said G8 countries should emphasize to Russia that its treatment of Shell “does not fit” within internationally accepted norms. Crocker hoped that the G8 message would include a discussion of the potential delays to Japanese, Korean, and U.S. consumers. A failure to deliver would hurt these countries as consumers and Russia as a supplier. In “one to two weeks,” these countries may need to issue strong public statements to Russia — but for now the messages should be delivered privately, Crocker said. BLAKEMAN

Essar finalises to buy Shell’s UK refinery for $350 mn

19 Jan, 2011, 03.17PM IST, Darshan Mehta,ET

MUMBAI: Essar Oil has finalised the acquisition of Shell’s Stanlow refinery in UK for $350 million dollars, a source close to the deal told ET NOW. The Stanlow refinery is part of the Royal Dutch Shell group with a capacity of 2.37 lk barrels per day. The deal will be announced in the first week of February.

As per the deal, Essar will pay $50 million on signing of the deal, another $100 mn on closing of the deal and $100 mn dollars each in the next 2 years after closing the deal. With crude prices over $91 per barrel, the refining business is becoming more attractive and the sector as such is seeing a turnaround on higher energy demand. European companies are selling their non profitable plants to cut expenses and they fit into Indian refiners global strategy of expansion.

“Essar can confirm that it is still in talks with Shell for the purchase of its Stanlow refinery and associated marketing businesses. We cannot comment on details or timelines” responded the spokesperson via an email on being contacted for the story.

The management of Essar had indicated post the results that it has re-engaged in discussions to buy Royal Dutch Shell’s Stanlow refinery but refused to divulge any timelines for the same.

SOURCE ARTICLE

Comment on Donna Getz allegations against Shell

Comment received on the extraordinary story of the Canadian family allegedly poisoned by Shell gas flaring

Please tell this family how sorry I am to hear of their experience with Shell Oil.  I have not purchased from Shell since back in the 1990′s after a CBC documentary on their treatment of residents and small farmers near their fields in Africa.   Very similar.

This corporation  needs to be held accountable for their wanton disregard for human life.

Best of luck.

(Full name and email address supplied)