Royal Dutch Shell plc .com Rotating Header Image

Shell unable to insure risk of Arctic drilling?

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

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

Dear Mr Brandjes

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

SELF-INSURING THE ARCTIC DRILLING RISK

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

Kiobel v Shell

Am I also right in recollecting that the board refused to say if Royal Dutch Shell has lobbied the UK government and/or the Dutch government to intervene on your behalf in the Kibel v Royal Dutch Shell case currently before the U.S. Supreme Court?

If I receive no reply by 3pm on Wednesday 23 May, I will assume that my understanding of what was stated by Shell on these matters is correct.

As always, if you need more time, just let me know, and I will then await your considered response.

Best Regards
John Donovan

EMAIL ENDS

No response has been received. If I do receive a reply, it will posted here.

RELATED 60 PAGE LLOYD’S ARCTIC RISK REPORT

Comments are closed.

%d bloggers like this: