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Posts on ‘July 8th, 2011’

Shell’s drilling off Australia could ‘devastate’ endangered marine life home

WWF demands full environmental impact assessment before Shell starts work near the Ningaloo marine park, north of Perth

Alison Rourke: Friday 8 July 2011 17.49 BST

Whale sharks, the world’s biggest species of fish, could be put at risk by oil drilling near Ningaloo marine park, western Australia. Photograph: Henry Walcott/AP

Conservation groups in Australia say a decision to allow Shell to carry out exploratory drilling near Australia’s newest world heritage site, Ningaloo marine park, could devastate the area if there was a spillage.

“It beggars belief that the government is not requiring a full environmental estimate of this drilling proposal,” said Paul Gamblin of the World Wildlife Fund.

Instead, the enrgy giant must abide by certain conditions, including visual observations for whales. The Australian government said Shell’s proposal did not require further assessment. read more

Shell CEO: Company ‘Learned’ From Russian Experience -Report

By London Bureau Published July 08, 2011 Dow Jones Newswires

LONDON -(Dow Jones)- Anglo-Dutch oil giant Royal Dutch Shell PLC will take lessons it learned from past negative experiences in Russia to aid it in future, Chief Executive Peter Voser said in an interview with Swiss newspaper Finanz und Wirtschaft to be published Saturday.

When Shell was asked about its negative experiences in Russia, Voser said, “You learn from the past and do it differently in the future.”

In May, Voser met with Russian Deputy Prime Minister Igor Sechin to discuss broader cooperation between state company OAO Rosneft (ROSN.RS) and Shell. Recent speculation has posited that Shell may seek to jointly develop blocks with Rosneft in the Russian Arctic Sea after talks between the Russian company and BP PLC (BP, BP.LN) broke down. read more

Gulf Coast governors defend Shell drilling plan

Gulf Coast governors defend Shell drilling plan

MELINDA DESLATTE, Associated Press

Updated 05:00 p.m., Friday, July 8, 2011

BATON ROUGE, La. (AP) — The governors of Louisiana, Mississippi and Alabama are asking a federal appeals court to uphold the Obama administration’s approval for a Shell deepwater drilling plan in the Gulf of Mexico.

Environmental groups have asked the 11th Circuit U.S. Court of Appeals in Atlanta to throw out the exploration plan. The three Gulf Coast states are seeking to intervene in the case, saying deepwater oil and gas exploration is vital to the states’ economies and to the fossil-fuel dependent nation. read more

Shell plans $30 bln, 5 year Australia investment

July 8, 2011, 2:45 p.m. EDT

By London Bureau

LONDON (MarketWatch) — Anglo-Dutch oil giant Royal Dutch Shell PLC (RDSA.LN, RDSB.LN, RDSA, RDSB) plans to invest $30 billion in Australia over the next five years, Chief Executive Peter Voser said in an interview with Swiss newspaper Finanz und Wirtschaft to be published Saturday.

The country is a key part of Shell’s liquefied natural gas, or LNG, strategy. Shell aims to produce significantly higher volumes of LNG in coming years, including from the A$43 billion Gorgon project offshore Western Australia state, in which it has a 25% interest. read more

Shell aims to grow dividend but at ‘right time’

July 8, 2011, 2:42 p.m. EDT

By London Bureau

LONDON (MarketWatch) — Royal Dutch Shell PLC (RDSA, RDSA.LN) aims to grow its dividend as its cash flow increases, though this will be done in a measured way, said Chief Executive Peter Voser in an interview with Swiss newspaper Finanz und Wirtschaft to be published Saturday.

“We’re aiming at a rising dividend. However, we are active in a volatile business, and I don’t want a stop-and-go dividend policy,” said Voser, according to the paper. read more

Shell serious about ethanol and other biofuels, says CEO


Royal Dutch Shell is heavily focused on investing in the exploration and production of gas and biofuels in promising countries, including China and Brazil, as it foresees that these sources of energy will play an important role over the next four decades as the demand for energy, particularly from Asian countries, will grow much faster than supply.

Chief executive officer Peter Voser yesterday said in Malaysia that Shell was focusing on four areas for future energy development: natural gas, biofuels, reduction of carbon-dioxide (CO2) emission and energy-efficiency products. read more

Shell to produce more gas than oil from 2012-report

Fri Jul 8, 2011 12:59pm EDT

* Royal Dutch Shell CEO says future belongs to gas-report

* Says trend for energy prices pointing upwards

* Says Shell to invest $30 bln in Australia in next 5 yrs

ZURICH, July 8 (Reuters) – Royal Dutch Shell Plc (RDSa.L) will produce more gas than oil from 2012, Chief Executive Peter Voser was quoted as saying on Friday.

“The future belongs to gas. The known reserves will last for 250 years. Gas power plants complement renewable energies perfectly because power production can be adjusted to demand,” Voser told Swiss newspaper Finanz und Wirtschaft.

“Shell will produce more gas than oil from 2012,” he said in the interview that will be published on Saturday, adding long-term energy price trends were pointing upwards. read more

Mining the Canadian tar sands: CCS-Project Quest; Pollution of Athabasca River; Concerns of the Canadian Aboriginals

From pages 20 & 21 of “Royal Dutch Shell and its sustainability troubles” – Background report to the Erratum of Shell’s Annual Report 2010

The report is made on behalf of Milieudefensie (Friends of the Earth Netherlands)
Author: Albert ten Kate: May 2011.

CCS-project Quest

Shell’s Athabasca Oil Sands Project (AOSP, Shell share 60%) is planning a carbon capture and storage (CCS) project, called Quest, near to its Scotford Upgrader. The total cost of the project is projected to be USD 1.35 billion. The province of Alberta (USD 745 million) and the government of Canada (USD 120 million) are willing to pay most of the costs. The plant is planned to be commissioned at the end of 2015.

The CO2 will be permanently put under the ground during an estimated 25 years at a depth of over 2,000 meters, in a saline formation, with a maximum of 1.2 millions tonnes of CO2 each year. In a recent report quantifying the GHG reduction benefits from the CCS-project, the facilities were assumed to operate with 90% availability, capturing 1.08 million tonnes of CO2 annually. The full lifecycle emissions of the CCS-project itself were estimated to be between 0.16 to 0.24 million tonnes of CO2, around 20% of the annual capture. Conclusively, the project is estimated to reduce 0.84 to 0.92 million tonnes of CO2 annually.109 AOSP emitted 3.7 million tonnes of CO2-equivalents in 2009110, while its production stood at 78,000 barrels per day. Considering an already planned 440,000 barrels per day tonnes of production by AOSP and in- situ by Shell before 2020, the CCS-project will only partly compensate for the increasing emissions due to deriving fuel from oil sands compared to fuels derived from conventional oil. read more

Ireland’s share of revenue from its gas fields could be as low as 7%, report shows

July 3, 2011 by William Hederman

The tax write-offs under Ireland’s licensing terms for oil and gas are so generous, oil companies could end up paying the exchequer as little as 7% of the revenue from Irish gas fields. This shocking figure is extrapolated from information provided by Brian O’Cathain, former head of the Corrib Gas project. He also predicted Corrib would not now pay any tax. By William Hederman

[ The information presented in this article formed the basis for part of the Think Tank column I wrote for the Sunday Times, July 3rd, 2011 ]

“The State stands to gain at least 25% of profits from Corrib and the sooner the gas is brought ashore, the sooner that money can be used to fund essential services.” Comments such as this one by Fine Gael’s Leo Varadkar [1] last March (2011) perpetuate one of the great misconceptions about oil and gas exploration in Ireland: namely, that the Irish exchequer will earn a healthy share of the revenue from gas or oil fields without having to share in the cost of finding or extracting the resource. read more

WWF slams Shell reef drilling plans

2011-07-08 14:15

Sydney – Australian green activists expressed outrage on Friday at a government decision to allow energy giant Shell to drill for gas at a pristine reef that was listed as a World Heritage site just two weeks ago.

Ningaloo Reef is considered a natural wonder, sprawling some 260km along Australia’s west coast and teeming with hundreds of tropical fish and coral species.

The UN’s cultural body Unesco listed the remote Ningaloo coast as a World Heritage site late last month due to its reef, sea turtles and white whales. read more

Greens in shock over Shell drilling rights

Drilling is planned near heritage-listed Ningaloo Reef.

CONSERVATIONISTS say they may appeal a Government decision to allow Shell to drill near the World Heritage-listed Ningaloo Reef.

The Department of Environment said Shell could drill the Palta-1 exploration well, about 50km west of the Ningaloo Marine Park border, if it abided by conditions, including taking measures to avoid significant impacts on threatened species and migratory creatures such as whales.

The controversial decision has sparked outrage among conservationists, including The Wilderness Society, the World Wildlife Fund and the Greens. read more