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Posts under ‘BG Group’

Wishful Thinking

Christopher Adams, Anjli Raval and David Sheppard: Oct 6, 2015 Royal Dutch Shell on Tuesday warned of the risk of a “spike” in oil prices should Opec keep pumping flat out in the face of an expected decline in output after spending cuts by energy groups outside the producers’ cartel. Ben van Beurden, Shell’s chief […]

Shell-BG Deal Could Face Regulatory Sanctions, But Shell Will Do Everything It Can To Save Deal

Trefis Team, CONTRIBUTOR: 2 Oct 2015 Ever since announcing the $70 billion deal to acquire BG Group back in April, Royal Dutch Shell Plc. has been busy these last few months obtaining the required merger related approvals from various regulatory authorities. After obtaining the required clearances in Brazil, the U.S., and Europe, the process hit a […]

Shell CEO Ben van Beurden says carbon price needed to tackle climate change

“Shell’s track record on climate change does not inspire us with confidence…” By business reporter Michael Janda and staff: 2 Oct 2015 Shell’s global chief executive says an effective carbon price is needed to tackle climate change, whether through a trading or tax system. Speaking exclusively to ABC TV’s The Business, Ben van Beurden said […]

Shell boss confronts environmental, carbon challenges

On Monday, the oil and gas giant gritted its teeth and pulled out of one of the most ambitious, expensive and controversial exploration forays on the planet – Alaska. A project that could have delivered tens of billions of dollars instead delivered a dry well and, on Sunday, van Beurden and his team called it quits. […]

A rig too far

Ben van Beurden, installed as Shell’s chief executive in 2014, could have halted the ill-fated project. But after a “personal journey”, he decided to go ahead. Shell’s retreat from the frozen north shows the new realities of “big oil”: Reputation was another factor in Shell’s retreat Oct 3rd 2015 | HOUSTON | From the print […]

Shell pulls plug on Arctic drilling campaign

By ETAIN LAVELLE FOR THE DAILY MAIL: PUBLISHED: 22:22, 28 September 2015 To the delight of eco-warriors worldwide, Shell pulled the plug on its Arctic drilling campaign, taking a £2.7billion hit on the controversial venture that was persistently undermined by the prolonged oil price weakness and fierce opposition from ecological activists. Although an exploratory well showed […]

Shell has made a costly call to abandon Alaska

Kamal Ahmed: Business editor: 28 Sept 2015 It could have been Hillary Clinton’s tweet that did it. Just after the US government had given the go-ahead for Shell to restart its exploration in Alaska, the Democratic presidential candidate took to the social media site. “The Arctic is a unique treasure,” Mrs Clinton said on Twitter. “Given […]

Shell pulls the plug on Arctic exploration

Mon Sep 28, 2015 6:21am EDT By Karolin Schaps (Reuters) – Royal Dutch Shell has abandoned its Arctic search for oil after failing to find enough crude, a move that will appease environmental campaigners and shareholders who said its project was too expensive and risky. The withdrawal came six weeks after the final U.S. clearance […]

Merger of Royal Dutch Shell and BG Group

Published by Joshua Noonan: September 27, 2015 With the declared April 2015 merger of Royal Dutch Shell and BG Group, formerly British Gas, a combination of assets spanning continents is occurring. The completion date of the merger in early 2016 has had some roadblocks. In Kazakhstan’s Karachaganak Field project, the combined group could lead to Shell […]

Shell, Statoil among energy companies forging climate advice group

Green Business | Thu Sep 24, 2015  Representatives from energy companies including oil heavyweights Shell and Statoil have joined forces to advise on making cleaner energy decisions, the latest push by energy firms to become more pro-active on climate issues. Shell Chairman Chad Holliday, Statoil Vice-President Bjorn Otto Sverdrup and RWE Chief Executive Peter Terium […]

Market Skeptics Miss Out on $5.5 Billion From Biggest 2015 Deal

By Inyoung Hwang: BLOOMBERG.COM 22 Sept 2015 A fresh drop in in oil prices and political instability in Brazil is making investors miss out on about $5.5 billion in Royal Dutch Shell Plc’s pending takeover of BG Group Plc. BG closed on Monday at 990.4 pence, about 9.5 percent below Shell’s cash-and-stock offer. The difference in share […]

Analysts concerned Shell dividend under immense risk

Will Royal Dutch Shell plc (ADR) (RDS.A) Maintain Dividends? By: Micheal Kaufman: Sep 21, 2015 Analysts are concerned that future of Royal Dutch Shell plc’s (ADR) (NYSE:RDS.A) dividend is under immense risk, and expressed concerns that Shell will not be able to deliver its promise of 7% dividend yield. Currently, the American Depository Receipts (ADR) of […]

Shell’s high-risk game in the Arctic

Sunday 20 September 2015  Ben van Beurden, the Shell chief executive, was on a media blitz last week trying to prop up sagging confidence in his ability to keep paying blue-chip dividends while expanding his empire at a time of very low oil prices. The planned takeover of BG Group is an important test of […]

Why we MUST drill for oil in the Arctic: Shell boss’s message to climate change campaigners and governments

By JON REES, FINANCIAL MAIL ON SUNDAY: 20 Sept 2015 Some green campaigners seem to believe Shell boss Ben van Beurden would be happy dunking polar bears in thick, black crude oil if it helped make the planet even hotter. But van Beurden, the 57-year-old engineer who has run Royal Dutch Shell for nearly two […]

Shell’s dividend gusher can survive a prolonged siege

If the oil price stays low, Shell’s van Beurden may have to eat his words Photo: AFP Sunday Telegraph: Jeremy Warner: 20 Sep 2015 Ben van Beurden, chief executive of Royal Dutch Shell, is on a charm offensive to convince investors – and the press – that both the dividend is safe and the pending £45bn takeover of […]

Shell Handed A Get-Out-Jail Card As Its $70 Billion Bid For BG Hits An Obstacle

Tim Treadgold, CONTRIBUTOR Shareholders in Royal Dutch Shell ngIf: ticker will be uncertain whether they should thank, or criticize, the Australian Government’s competition regulator for threatening the proposed $70 billion merger with rival oil and gas producer, BG Group ngIf: ticker . On one hand, a deal which could transform Shell is being threatened. On […]

Australia throws spanner in the works for Shell’s takeover of BG Group

by Sarah Spickernell Royal Dutch Shell’s takeover of rival BG Group has been postponed, after Australian regulators voiced concerns about the potential impact on domestic gas supplies.   In a statement today, Rod Sims, chairman of the Australian Competition and Consumer Commission (ACCC), claimed the deal was not in the best interests of Australian consumers, as […]

Australia delays decision on Shell bid for BG on gas supply concerns

Commodities | Thu Sep 17, 2015  * Regulator raises domestic gas supply, price concerns * ACCC to issue final decision on Nov. 12 * Shell says still expects to complete deal in Q1 2016  By Sonali Paul MELBOURNE, Sept 17 (Reuters) – Australia’s competition watchdog flagged concerns on Thursday that Royal Dutch Shell’s proposed $70 […]

Shell-BG Deal Poses Competition Concerns, Regulator Says

By James Paton Sept 17, 2015: BLOOMBERG.COM Royal Dutch Shell Plc’s $70 billion deal to buy BG Group Plc could reduce the supply of natural gas to local customers in Australia and boost prices, according to the nation’s competition regulator, which delayed a decision on the agreement until November. The transaction may decrease the incentive for Shell’s […]

Shell CEO says BG deal risk is overstated

Ed Crooks in New York: 13 Sept 2015 Investors have exaggerated the risk that Royal Dutch Shell will fail to complete its planned £43bn acquisition of BG Group, Shell’s chief executive has said. BG shares are trading at a substantial discount to the value of Shell’s offer, suggesting some in the market are concerned the deal […]

Shell CEO says only ‘something cataclysmic’ could stop BG deal

Sep 9 2015, 14:43 ET | By: Carl Surran, SA News Editor Royal Dutch Shell (RDS.A, RDS.B) CEO Ben van Beurden has told investors privately that only “something cataclysmic” – i.e., “if people stopped using energy” – could derail the company’s planned takeover of BG Group (OTCPK:BRGXF, OTCQX:BRGYY), WSJ reports. The episode is among the […]

Shell CEO Says Only ‘Something Cataclysmic’ Could Stop BG Merger

By SHAYNDI RAICE And SARAH KENT: Sept. 9, 2015  LONDON—Royal Dutch Shell CEO PLC Ben van Beurden has told investors privately that only “something cataclysmic” could derail the company’s $70 billion takeover of BG Group PLC, according to a person familiar with the matter. FULL ARTICLE

Shell CEO: The World Will Need More Oil

By Julia Limitone: Published September 08, 2015 During an interview with FOX Business Network’s Maria Bartiromo, Royal Dutch Shell’s (RDS.A) CEO Ben van Beurden said the company is responding with “vigor and determination” to cope with lower oil prices. “We started off the slide in oil prices with a low gearing 12.4%. Since then, we have […]

Regulatory worries, energy prices take shine off Shell-BG deal

…persistently low oil prices could yet lead Shell to rethink the deal are dampening sentiment. That has left BG shares trading at a discount to the Shell cash and share offer. LONDON | BY RONBOUSSO: Business News | Tue Sep 8, 2015 A look at valuations illustrates how regulatory concerns and stubbornly low energy prices have […]

Shell Cheapest in Six Years for Buyers Who Brave Takeover Doubts

“In the current oil situation, the market is also taking a view there’s a bit of risk that Shell could walk away,” By Rakteem Katakey: September 8, 2015 It’s the cheapest opportunity in six years to be a shareholder in Europe’s largest oil and gas company. BG Group Plc, the oil and gas producer Royal Dutch […]

How Royal Dutch Shell Is Addressing Its Dividend Concerns

Christopher F. Davis: Sept 3, 2015 Summary This article is a follow-up to my prior article addressing the company’s dividend concerns. History won’t always repeat itself, so I felt I would talk about what the company is doing in detail and expand on my thoughts. I am betting history continues. As you know, Royal Dutch […]

Australia Defers Decision on Shell’s Takeover of BG

Australia and China are the two regulatory hurdles yet to be cleared after Europe’s highest antitrust regulator approved the deal unconditionally on Wednesday By ROBB STEWART: Sept. 2, 2015 MELBOURNE, Australia–Australia’s antitrust regulator has given itself more time to consider Royal Dutch Shell PLC’s planned takeover of U.K.-based oil-and-gas firm BG Group PLC. FULL ARTICLE

ACCC defers decision on Royal Dutch Shell’s $US70b BG Group takeover

BG’s Queensland Curtis LNG plant would be owned by Shell if the merger is approved. Photo: Bechtel Royal Dutch Shell Group will have to wait a bit longer for Australian regulatory clearance of its proposed $US70 billion ($99.4 billion) takeover of BG Group after the national competition authority delayed its decision on the deal. The decision, […]

Shell still has to prove its BG Group takeover is a slick deal

Nils Pratley: Wednesday 2 September 2015  As its £55bn purchase moves closer, falling oil prices mean Shell’s offer is looking less compelling than it did when first announced read more

Shell-BG Recommended Combination Receives EU Antitrust Clearance


BG says European Commission signs off on Shell bid

Wed Sep 2, 2015 BG Group Plc (BG.L) said the European Union’s antitrust regulators had approved Royal Dutch Shell Plc’s (RDSa.L) $70 billion takeover bid for the oil and gas producer. The deal, which will help Shell compete better with world No. 1 oil major ExxonMobil (XOM.N), has already received the green light from regulators […]

Exclusive : BG puts Thai gas field stake worth $1.2 billion on sale – sources

HONG KONG/LONDON | BY DENNY THOMAS AND RON BOUSSO: TUESDAY Sept 1, 2015 BG Group plc, which is being acquired by Royal Dutch Shell plc, has put up for sale its 22.2 percent stake valued at around $1.2 billion in Thailand’s huge Bongkot offshore gas field, people familiar with the matter said. The move represents […]

Shelling out too much

Mr van Beurden – who ill-advisedly said the deal only really sings once the oil price recovers to $90 a barrel – would be unwise to count on it. He’s on the hook for a £750m break fee if he pulls out, a pay-out he’d be hard pressed to survive. By Jeremy Warner: Sunday Telegraph […]

BG Group share price: Gap between market valuation and Shell offer widens

…the growing gap between the offer value and the market value indicates increasing investor anxiety over the merger, thus markets are beginning to question the deal’s prospects of success… by Veselin Valchev: 26 Aug 2015 BG Group Plc’s (LON:BG) share price is sliding further away from the proposed offer by larger London-listed energy peer Royal Dutch […]

Shell-BG deal off?

By Oliver Haill | Sharecast – Tue, Aug 25, 2015 08:36 BST LONDON (ShareCast) – (ShareCast News) – A global stock market sell-off and tumbling oil prices have increased fears that some of this year’s largest takeover deals are at risk of falling apart – including Royal Dutch Shell (Xetra: R6C1.DE – news) ‘s $70bn bid for […]

Royal Dutch Shell Is Now A 7.54% Dividend Yield Monster

Aug. 24, 2015 6:45 PM ET Summary Stock market downturn takes Shell’s dividend yield to an astonishing 7.54%. The dividend looks reasonably safe. High initial yield but little growth expected in coming years. Royal Dutch Shell (NYSE:RDS.A) (NYSE:RDS.B) doesn’t need an introduction. This Anglo-Dutch multinational is one of the largest, integrated oil & gas majors […]

Impact of Global Sell-Off on Shell-BG Group Deal

By: MICHEAL KAUFMAN: Aug 25, 2015 Royal Dutch Shell plc. (ADR) (NYSE:RDS.A) earlier this year finalized its $70 billion merger deal with BG Group plc. (ADR) (NYSE:BRGYY). The cash-and-stock deal valued BG at $20 per share. Shell, based on BG’s stock price on April 7, agreed on paying a 50% premium. However, as yesterday’s sell-off and […]

Royal Dutch Shell bid for BG Group at risk of falling apart

Arash Massoudi and Miles Johnson: 24 Aug 2015 A global stock market sell-off and tumbling oil prices have increased fears that some of this year’s largest takeover deals are at risk of falling apart — including Royal Dutch Shell’s $70bn bid for UK rival BG Group. FULL ARTICLE

In the case of Royal Dutch Shell PLC’s agreement to buy BG Group PLC, the year’s largest announced deal, the spread widened to 13.7% Friday from 11.4% a week earlier. That is the widest since the deal was announced in April, as investors fret over the possibility that plummeting oil prices could cause Shell to […]

Brazil regulator tells Shell, partners to develop two oilfields as one

RIO DE JANEIRO | BY MARTA NOGUEIRA: 18 Aug 2015 Brazil’s National Petroleum Agency (ANP) ruled that Royal Dutch Shell (RDSa.L) and its Qatari and Indian partners need to treat oil and gas fields in the Parque das Conchas area as a single deposit, Shell said, a move that could increase taxes on output. Shell […]