Royal Dutch Shell plc .com Rotating Header Image

Posts under ‘Chevron’

Shell: Fire Forces Closure of Key Oil Pipeline in Nigeria

screen-shot-2016-09-27-at-13-32-41

Shell says a fire has forced it to close a key oil pipeline feeding Nigeria’s strategic Bonny Export Terminal, which militants attacked last week.

The ongoing challenges are losing oil multinationals billions of dollars in what used to be Africa’s biggest petroleum producer.

SBM Intelligence risk analysts estimate that renewed militant attacks, low oil prices and weak refinery margins have cost Dutch-British Shell and U.S.-based Chevron and ExxonMobil $7.1 billion in the first half of the year, representing about 70 percent of earnings.

read more

Namesake tenant departing One Shell Plaza

screen-shot-2016-09-21-at-07-24-51The move will affect 3,400 employees when it takes place early next year as part of “an effort to meet the ever changing market conditions and optimize resources for future opportunities,” Shell said in a statement Tuesday. Employees will move to the company’s Woodcreek facility and Shell Technology Center on the west side of town.

Those who work for Shell’s downtown trading operations will stay put, although the company said it eventually plans to have all of its Houston-based staff in company-owned facilities on the west side.

read more

5 Oil Majors, One Big Nigeria Lawsuit

screen-shot-2016-09-20-at-22-50-57

September 20, 2016, 4:48 P.M. ET

By Dimitra DeFotis

Allegedly illegal Nigerian oil exports valued at $12.7 billion are at the heart of a lawsuit the country has filed against units of Chevron (CVX), Royal Dutch Shell (RDSA), Total (TOT) ENI (E) and Petroleo Brasileiro (PBR).

The case points to outsiders’ shipments to the United States between 2011 and 2014, but is likely to expose domestic corruption as well. Militants have crippled Nigeria’s oil production this year, a recurring theme over recent decades. Lagos hearings, which begin next week, come as the country struggles with the affects of policy stagnation, currency devaluation, inflation and low oil revenue.

read more

Nigeria sues oil companies for $12.7B over “illegal” oil exports

screen-shot-2016-09-20-at-21-17-26

Sep 20 2016, 15:19 ET | By: Carl Surran, SA News Editor

Nigerian officials say the government is suing several major oil companies for $12.7B of oil that allegedly was exported illegally to the U.S. during 2011-14.

The Federal High Court in Lagos begins hearings next week in cases filed against Nigerian subsidiaries of Chevron (NYSE:CVX), Royal Dutch Shell (RDS.A, RDS.B), Eni (NYSE:E), Total (NYSE:TOT) and Petrobras (NYSE:PBR).

The officials say the government alleges that the companies did not declare more than 57M barrels of crude oil shipments.

read more

Chevron Corporation, Royal Dutch Shell: Is the LNG Market Nearing Saturation?

screen-shot-2016-09-08-at-11-19-44

By Staff Writer on Sep 7, 2016 at 3:19 pm EST

In the past few years, the global energy market has undergone major changes. The usage of traditional energy resources has dropped significantly, while demand for cleaner, environmental-friendly energy sources has escalated. People are now increasingly becoming aware of the effects of greenhouse gases emissions from conventional energy sources, crude oil, and coal on our natural environment and most importantly, the ozone layer.

Last year, the Paris Agreement (COP21) was a major breakthrough for the renewable industry, as leaders from around 195 countries agreed to curb their carbon emissions. The energy producers aim to maintain the rise in global temperature to 2 degrees above pre-industrial levels in the coming few years. The agreement has provided a positive momentum to the green-tech resources as a number of international energy companies have now started to increase their exposure in the segment.

read more

Slashing Dividends: The Only Option Left For Big Oil?

Screen Shot 2016-09-01 at 18.43.41

Screen Shot 2016-09-01 at 19.49.56

Screen Shot 2016-09-01 at 19.52.34

By Nick Cunningham – Aug 31, 2016, 4:03 PM CDT

The oil majors will have an extraordinarily difficult time trying to maintain their hefty dividends in today’s oil market environment, and unless oil prices rebound substantially, companies may be forced to slash their payouts to shareholders.

The largest oil producers pay shareholders a combined $40 billion in dividends each year, a level that is not sustainable with oil prices at $50 per barrel, according to Chris Kettenmann of Macro Risk Advisors. “There’s massive risk to the dividend structure of these big oil companies over the next 12 months,” Kettenmann said on Bloomberg TV.

read more

Shell Looking Beyond Petroleum

Screen Shot 2016-09-01 at 18.43.41

Screen Shot 2016-09-01 at 18.44.31

Screen Shot 2016-09-01 at 18.45.16

There are many players looking to enter the oil markets thanks to the raft of deals available as the oil price crash appears to be over. For the oil majors, this will likely mean major opportunities to snap up unconventional producers and assets at low valuations. One “oil” major that may not be participating is Shell. The Anglo-Dutch oil giant is increasingly turning away from its roots in oil and moving towards natural gas as an alternative.

In the year 2000, 37 percent of Shell’s production was from natural gas. By 2015, that number had risen to 49 percent. For ExxonMobil, those figures were 40 percent in 2000 and 43 percent in 2015. For Chevron and BP, the 2000 figures were 27 percent and 40 percent respectively, and for 2015, it was 33 percent and 38 percent. Among oil majors, only ConocoPhillips has seen a comparable shift to gas going form 33 percent to 43 percent gas production between 2000 and 2015.

read more

Shell Sells Gulf Of Mexico Asset, But Faces A Tough Road Ahead

Screen Shot 2016-08-31 at 23.13.17Sarfaraz A. Khan: Aug. 31, 2016 3:20 PM ET

Summary

  • Royal Dutch Shell has agreed to sell its Brutus/Glider assets in the U.S. GoM to EnVen Energy for $425 million in cash.
  • The asset sale is a small step in the right direction which will improve Shell’s cash reserves.
  • The company, however, has made little progress toward achieving its target of selling $6Bn to $8Bn assets this year and $30Bn by 2018.

Royal Dutch Shell (RDS.A, RDS.B) has recently agreed to sell its Brutus/Glider assets in the U.S. Gulf of Mexico to Houston-based EnVen Energy for $425 million in cash. Shell was pumping 25,000 barrels of oil per day from these offshore properties, which was equivalent to 5.8% of the oil giant’s Gulf of Mexico production or less than 1% of its total production.

The asset sale is a small step in the right direction which will improve Shell’s cash reserves which stood at $15.2 billion at the end of June. Shell intends to sell $6 billion to $8 billion of assets this year. Overall, the company aims to dispose $30 billion of assets, spread in 5 to 10 countries and representing 10% of its production, by 2018. That will allow the company to reduce its debt which has ballooned following the $53 billion takeover of BG Group.

read more

Joint-venture partners in Browse open to new options

Screen Shot 2016-08-29 at 18.22.59

BRIDGET CARTER, GRETCHEN FRIEMANN:

  • The Australian
  • 12:00AM August 30, 2016

The one thing that the Woodside Petroleum-led Browse project has never had much of is unity among the project partners. But that may quietly be changing.

DataRoom understands that the various joint-venture partners in Browse are open to new development options for the project, and that the pipeline option floated by Woodside last week is increasingly being seen by all the partners as the most sensible plan as it stands today.

Woodside chief Peter Coleman told journalists on Friday that the option of connecting Browse to the big but ageing North West Shelf liquefied natural gas plant via a massive 1000km subsea pipeline was back on the table.

read more

Is energy industry ready to join open source world?

Screen Shot 2016-08-27 at 16.35.03

By David Hunn: August 26, 2016

Landmark, a technology unit of the energy services company Halliburton, is betting that it is, unveiling a cloud-computing platform last week that will allow companies to collaborate on developing software to process the massive volumes of data they collect on everything from geology to seismology to chemistry to drilling to flows of oil and gas. The idea is that easy and open access to the code on which the platform is based will lead to faster and better analysis of the data and ultimately to innovations that allow the industry to extract more oil and gas at lower costs.

read more

Why I’ve sold all of my Shell and BP shares, by manager of £543 million

Screen Shot 2016-08-26 at 09.36.01

Screen Shot 2016-08-26 at 09.34.45

Screen Shot 2016-07-29 at 16.46.22Bailey concluded his comments with the remark that the Shell dividend is uncovered. That means the company is not generating enough cash to pay the dividend itself.

David Thorpe 25 Aug 2016

Stephen Bailey, who runs the Liontrust Macro Equity Income fund has revealed the reasons why he has sold all of his shares in Shell and BP.

He began selling his Shell shares about a year ago, and completed the sale, ‘during the month of August’ 2016.

Bailey commented, ‘A year ago we had 9 per cent of the fund in oil, now it’s zero. You have to look at the macro view on this, and be very concerned about the oil market. The big suppliers in the market can no longer be controlled by OPEC, the Saudis recently announced an initiative called project 2030 which is aimed at boosting other areas of the economy, and they are doing that because they expect to receive less revenue from fossil fuels in the future.’  

read more

Oil major debt climbs to record high as crude prices continue to wallow

Screen Shot 2016-08-24 at 22.42.36

Screen Shot 2016-08-24 at 22.43.32

Screen Shot 2016-07-30 at 15.21.34

Billy Bambrough is City A.M.’s deputy news editor. Wednesday 24 August 2016

Some of the biggest global oil majors are being weighed down by record levels of debt.

Exxon Mobil, Royal Dutch Shell, BP and Chevron hold a combined net debt of $184bn (£138bn) — more than double their debt levels in 2014, according to analysis by the Wall Street Journal.

The drop in the oil price has been blamed for the soaring debt levels. The price of a barrel of oil remains less than half of what it was in the summer of 2014.

The enduring low oil price and soaring debt levels have caused some investors to question whether the majors will be able to fork out for new investments and dividends in coming quarters.

read more

Largest Oil Companies’ Debts Hit Record High

Screen Shot 2016-08-24 at 11.34.11

By SELINA WILLIAMS and BRADLEY OLSON: Aug. 24, 2016 

Executives at BP, Shell, Exxon and Chevron have assured investors that they will generate enough cash in 2017 to pay for new investments and dividends, but some shareholders are skeptical. In the first half of 2015, the companies fell short of that goal by $40 billion, according to a Wall Street Journal analysis of their numbers.

“Eventually something will give,” said Michael Hulme, manager of the $550 million Carmignac Commodities Fund, which holds stakes in Shell and Exxon. “These companies won’t be able to maintain the current dividends at $50 to $60 oil—it’s unsustainable.”

read more

Royal Dutch Shell, Chevron Corporation: Is it Time to Leave Nigeria?

Screen Shot 2016-07-06 at 08.16.50

Screen Shot 2016-08-22 at 16.50.32

Screen Shot 2016-08-21 at 10.01.07

Bidness Etc discusses how militant groups are affecting operations of foreign energy companies in Nigeria

By Staff Writer on Aug 22, 2016

Royal Dutch Shell plc (ADR) (NYSE:RDS.A), Chevron, and other energy companies are losing hope in the Nigerian government as the safety conditions of the country are not showing signs of improvement. Although on Saturday, the Niger Delta Avengers (NDA) agreed on a ceasefire, the emergence of other militant groups along with low probability of a deal between the officials and the groups anytime soon has raised doubt about the country’s oil and gas sector recovery.

read more

Anger in the Delta keeps oil majors quiet – and Nigeria’s crude offline

Screen Shot 2016-08-04 at 09.29.49

Screen Shot 2016-08-21 at 09.55.50

Screen Shot 2016-08-21 at 10.01.07

By Libby George and Ulf Laessing | LONDON/LAGOS

Oil companies and even Nigerian officials are losing faith in a deal anytime soon with militants who have slashed the nation’s oil output, casting doubt on a production recovery in what is typically Africa’s largest oil exporter.

In the six months since the first major attack on Nigeria’s oil – a sophisticated bombing of the subsea Forcados pipeline – dozens of attacks have pushed outages to more than 700,000 barrels per day (bpd), the highest in seven years.

read more

Royal Dutch Shell (RDS.A): Declaration of Force Majeure; Crude Price Rally Underway?

Screen Shot 2016-08-14 at 11.56.06With the recent shutdown of pipeline owned by the energy giant in Nigeria coupled with the pipeline outages and militants attacks, we forecast a crude price rally

By Staff Writer on Aug 14, 2016 at 6:34 am EST

Following a string of attacks on its oil facilities combined with pipeline outages in Nigeria, Royal Dutch Shell (ADR) (NYSE:RDS.A) has finally declared a force majeure on Bonny Light crude oil. Citing statement by the company on Friday, Reuters reported that the Nembe Creek Trunk Line (NCTL) was shut down after a leakage by Aiteo, the pipeline’s operator. Aiteo was unavailable to comment on the matter.

Natasha Obank, spokesperson for the company stated: “The pipeline has been shut down for a joint investigation visit into the cause of the leak and repairs.”

read more

Crude Slump Sees Oil Majors’ Debt Burden Double to $138 Billion

Screen Shot 2016-08-06 at 16.17.53

Screen Shot 2016-08-06 at 16.12.04

Screen Shot 2016-07-29 at 16.46.22“On the debt, it may go up before it comes back down,” Shell Chief Financial Officer Simon Henry told investors last week. “And the major factor is the oil price.”

By Javier Blas: August 5, 2016

When commodity prices crashed in late 2014, oil executives could look at their mining counterparts with a sense of superiority.

Back then, the world’s biggest oil companies enjoyed relatively strong balance sheets, with little borrowing relative to the value of their assets. Miners entered the slump in a very different state and some of the world’s largest — Rio Tinto Plc, Anglo American Plc and Glencore Plc — had to reduce dividends and employ draconian spending cuts to bring their debt under control.

read more

Nigerian oil targeted by hard-line militants

Screen Shot 2016-08-03 at 13.51.36

Terror-fed pandemonium broke out in the Christian-populated south of Nigeria when a renowned grouping that calls itself Niger Delta Avengers once again took to arms and destroyed several oil wells and installations. There is a grim feeling of déjà vu taking us back to 2006-2009 when militants of this region inhabited by some 20 million people revolted against the federal government demanding at least some control over local natural resources.

The previous hostilities in Niger Delta ended seven years ago with a payoff by the government in Abuja, the national capital. Central authorities consented to a comprehensive amnesty for the rebels, launched a job-training vocational program and employed the yesterday’s ‘bombists’ as guardians of the oil infrastructure they used to blast. Actually, it amounted to a monthly ’stipend’ (at that time worth some $400) paid to the fighters to pacify them and buy out peace and tranquillity in the troubled region.

read more

How Exxon Mobil, Royal Dutch Shell, BP Are Affected by Low Oil Prices

Screen Shot 2016-07-06 at 08.16.50

Screen Shot 2016-08-01 at 14.09.41

Screen Shot 2016-08-01 at 14.11.08

By Muhammad Ali Khawar on Aug 1, 2016 at 7:57 am EST

Just when you thought oil prices will rebound they got even worse. The last few weeks have been quite eventful for the oil and gas industry, with companies releasing their second-quarter earnings. The quarter hasn’t been as rewarding for integrated oil and gas majors.

The decline in crude oil price has persisted for quite a while now. West Texas Intermediate was down 0.50% at $41.40 per barrel, while Brent Crude was down 0.32% at $43.39 per barrel, earlier today.

read more

Oil giants’ profits on the skids as crude price dives

Screen Shot 2016-07-31 at 18.39.36

  • BRADLEY OLSON, SELINA WILLIAMS
  • The Wall Street Journal
  • 12:00AM August 1, 2016

The world’s biggest oil companies posted losses or steep declines in profit for the second quarter, and now face a daunting remainder of the year as crude prices retreat to about $US41 a barrel.

ExxonMobil on Friday reported its quarterly profit fell 60 per cent to the lowest level since 1999, while Chevron disclosed its biggest quarterly loss since 2001. The results capped a bad week for big Western oil companies: BP and Royal Dutch Shell earlier posted earnings that disappointed investors.

read more

Gorgon full output delayed until mid-2017

Screen Shot 2016-07-31 at 18.30.44Brian Robins: August 1 2016

A series of commissioning problems has delayed the timing of when Chevron Corp expects the giant Gorgon gas export project to be in full production, until well into 2017.

Since it began to bring the initial stage of the project on stream, it has encountered a series of problems that have forced it to halt processing from time to time, and it has now told analysts the first unit is operating at only a little over two-thirds of its rated capacity.

Production was halted for two months soon after the initial exports of gas, forcing Chevron to push back towards mid-2017 when it expects the project to be fully operational, from earlier this year.

read more

Oil Giants Find There’s Nowhere to Hide From Doomsday Market

Screen Shot 2016-07-30 at 15.22.34

By Joe CarrollJuly 29, 2016 — 1:02 PM BST: Updated on July 30, 2016 — 5:01 AM BST

Exxon Mobil Corp. and Royal Dutch Shell Plc this week reported their lowest quarterly profits since 1999 and 2005, respectively. Chevron Corp.’s third straight loss marked the longest slump in 27 years, and BP Plc lodged its lowest refining margins in six years.

Welcome to year two of a supply overhang so persistent it’s upsetting industry expectations that the market would return to a state of balance between production and demand. It’s left analysts befuddled and investors running to the doorways as the crude market threatened to tip into yet another bear market, dashing hopes that a slump that began in mid 2014 would show signs of abating.

read more

This Is Why Oil Firms Suffered Another Awful Earnings Season

Screen Shot 2016-07-30 at 14.59.35

Screen Shot 2016-07-30 at 15.00.46BKatie Fehrenbacher: JULY 29, 2016

Analysts expected the oil giants’ cost cutting to help more.

Many of the world’s biggest oil companies continue to feel the pain as low oil prices continue to undercut profits and lead to shuttered projects and layoffs.

Exxon, Royal Dutch Shell, Statoil, BP, and Chevron announced dismal earnings this week, missing expectations and showing how slashing spending and pulling back isn’t yet enough in a world where oil has dropped from a high of $115-per-barrel in 2014 to a low of $27-per-barrel in January of this year.

read more

Oil price drops to three-month low on oversupply fears

Screen Shot 2016-07-25 at 21.30.50

25 July 2016

Oil prices have fallen to a three-month low, hit by rising concerns that a global oversupply of both crude and natural gas will dampen prices.

US oil fell 2.4% to $43.11 (£32.72) a barrel, its lowest level since April, meaning it has now fallen by 12% so far this month.

Brent crude dropped 2.1% to $44.75, its lowest level since 10 May.

Shares in oil and firms also lost ground, with Exxon Mobil shares down 1.8% and Chevron down 2.6%.

“Crude oil markets have been under pressure as oil supplies have started growing with the resumption of output from the capacity lost due to wildfires in the Canadian oil sands,” said EY energy analyst Sanjeev Gupta.

read more

Next Week Is as Good as It Gets for Big Oil

Screen Shot 2016-07-22 at 13.47.46

ByRakteem Katakey and Joe Carroll: 22 July 2016

Several majors expected to post highest earnings in 3 quarters

Strong performance may not last as oil seen easing back to $40

For oil companies, the second quarter might be as good as it gets.

Shares gained more than in any other industry, thanks to crude rising from a 12-year low. Profits were the best in at least three quarters for majors including Royal Dutch Shell Plc, Chevron Corp. and BP Plc, helped by cost cuts, analysts say. The rest of the year might not be as rosy as supply holds near record levels.

The combined market value of the world’s oil companies shrank by $2 trillion in the past two years following crude’s collapse. While analysts agree the worst of the oversupply is over, BNP Paribas SA and JBC Energy GmbH are among those forecasting a slide back to $40 a barrel as output rebounds in Canada, Iran, Nigeria and the U.S., hurting producers whose investment cuts have put future growth in doubt.

read more

Is Gas The Future? Shell Seems To Think So

Screen Shot 2016-07-01 at 23.22.31

Screen Shot 2016-07-21 at 08.28.48

Screen Shot 2016-07-08 at 14.36.15

By Gregory Brew – Jul 20, 2016

The world’s second largest private oil company sees a new future, and it’s not in oil.

Shell has made a concerted effort to shift the bulk of its business from oil-related projects to natural gas, LNG and renewables. Coming on the heels of its February purchase of BG Group (a $54 billion acquisition), Shell has organized a division focused solely on renewable energy. It announced new investment for its LNG facility on Curtis Island in Australia, where natural gas has enjoyed $180 billion in new capital. It has emerged as a stronger voice on global climate change than its competitor ExxonMobil and the company’s website proposes a number of “Shell Scenarios” that could allow for a growing energy market while creating less CO2.

read more

Why Big Oil Is Still A Good Bet For Investors

Screen Shot 2016-07-01 at 23.22.31

Screen Shot 2016-07-20 at 22.46.38

Screen Shot 2016-06-30 at 18.15.43By Michael McDonald – Jul 20, 2016, 2:23 PM CDT

Investors getting cold feet about the spiking price of Big Oil stocks over the last year may risk missing out on further gains, according to one top ranked analyst. Doug Terreson of Evercore, one of the top ranked oil analysts according to Institutional Investor magazine, is recommending that investors stick with integrated oil majors like Royal Dutch Shell, Chevron, and Exxon despite the run up in their prices.

Terreson’s thesis is that many of the catalysts for positive price performance remain in place. In particular, integrated oil companies have effectively reduced operating capital costs permanently, which lowers their breakeven expense to produce oil. The retort to this point of course is that Big Oil stocks may have cut costs but frackers have been much more successful than integrated majors in cutting their costs as a percentage of pre-crash production cost.

read more

Royal Dutch Shell: Huge Dividend And Long-Term Growth Ahead

Screen Shot 2016-07-20 at 17.07.11

Wayne Duggan: 20 July 2016

A number of British stocks have been hit hard since the referendum vote to leave the EU, but Royal Dutch Shell (RDS.A, RDS.B) is not one of them. Shares are now up 0.3% since the Brexit vote after initially falling more than 8% during the knee-jerk market sell-off.

With the possibility that the Brexit could severely impact British GDP growth in coming years, RDS.B offers a unique opportunity to invest in a company within a sector that is in a global upswing, a company that has significant international exposure and a company that is committed to maintaining the single largest dividend payment in the MSCI World Index.

read more

Getting Ready for Another Round of Commodity Market Downturn

Screen Shot 2016-07-18 at 13.43.35

By Staff Writer on Jul 18, 2016 at 7:30 am EST

Crude oil prices have dropped below the $50 per barrel mark yet again after hitting their highest level in 2016 last month. US crude benchmark, West Texas Intermediate (WTI) is trading at $45.97 per barrel while Brent is trading at $47.69 per barrel in European Markets today. The global crude oil benchmark reached as high as $52.51 per barrel earlier in June.

Although oil prices have recovered some momentum after touching 12-year lows of $27 per barrel earlier in 2016, it still has a lot of ground to gain before reaching summer-2014 levels. Oil market showed some positive gains in June when oil prices crossed the psychological barrier of $50 per barrel. However, it was short-lived as it is currently trading below $48 per barrel.

read more

Shell chair Andrew Smith vows to rein in costs as downturn bites

Screen Shot 2016-07-14 at 19.44.11

ANDREW BURRELL: July 15, 2016

Shell Australia chairman Andrew Smith says the downturn in the oil and gas industry has strengthened his resolve to rein in costs as he seeks to integrate the company — the nation’s biggest foreign investor — with the Queensland assets of BG Group.

“You have to treat every dollar like it’s your own,” Smith tells The Deal, published in The Australian today, as he reflects on his 30-year career and the massive changes that have hit Shell and the petroleum industry. His mantra even extends, Smith’s colleagues reveal, to their boss’s insistence a few years ago that newspaper subscriptions be pared back in the company’s Melbourne office.

read more

Chevron Halts Production At Gorgon Plant For Second Time This Year

Screen Shot 2016-07-01 at 23.22.31

Screen Shot 2016-07-01 at 23.23.17

Screen Shot 2016-07-01 at 23.27.25

By Lincoln Brown – Jul 01, 2016, 3:18 PM CDT

For the second time this year, Chevron has stopped production at its Gorgon liquefied natural gas operation in Australia. The plant had to be evacuated after a gas leak was detected.

Chevron will make the necessary repairs to the plant before restarting production next week. The plant is a joint venture with ExxonMobil, Shell, Osaka Gas, Tokyo Gas and Chubu Electric Power. The terminal, which is also owned in part by Exxon Mobil and Royal Dutch Shell, will still load cargo during the interim.

read more

Shell, BP defy market-sell off on dollar income, dividends

Screen Shot 2016-06-27 at 19.09.28

Screen Shot 2016-06-13 at 22.34.33

Business | Mon Jun 27, 2016 7:26pm IST

** Royal Dutch Shell and BP defy a broad market sell-off after Britain’s vote to leave the EU

** Investors cite oil majors’ dollar dividends and income as key attraction points

** A weaker pound makes Shell and BP a cheaper alternative to U.S. peers Exxon Mobil and Chevron

** With dollar-based dividends, which both companies chose due to the underlying oil price, the depreciation of the pound offered automatic gains

** “The oil sector has been the perfect hedge against Brexit,” says Richard Hulf, co-manager of the Artemis Global Energy Fund, which holds shares in Shell and BP

read more

Will Buhari’s Visit to Niger Delta Solve Shell and Chevron Problems?

Screen Shot 2016-06-27 at 13.33.21

By Staff Writer on Jun 27, 2016

Screen Shot 2016-05-21 at 10.18.28Problems of international oil and gas companies, including Shell and Chevron Corporation (NYSE:CVX), in Nigeria might end in the near future as the militant group, Niger Delta Avengers, has asked the Nigerian President Muhammadu Buhari to visit the southern region of the Niger Delta. The group has asked the President to hold a referendum in the country and to assess how the multinationals and the government are adversely impacting the locals. The talks between the two parties are expected to bring an end to the political turmoil in the country, which has been haunting Africa’s biggest economy for the past few months.

read more

Shell puts revamped shale arm at heart of growth drive

Screen Shot 2016-06-20 at 08.28.35

Having turned round its North American shale business, Royal Dutch Shell (RDSa.L) is putting so-called unconventional energy at the heart of its growth plans, and believes lessons from the revamp can be applied across the company.

Greg Guidry, head of the Anglo-Dutch group’s unconventionals business, told Reuters a drive to slash costs and streamline decision-making had put his division largely on a par with leading rivals in terms of productivity and efficiency.

And now the rest of Shell could reap the benefits too.

read more

Report: Shell’s Martinez refinery could be sold

Screen Shot 2016-06-18 at 08.01.09

Screen Shot 2016-06-18 at 08.02.12Screen Shot 2016-06-18 at 07.59.16

By Sam Richards , [email protected]

Screen Shot 2016-05-21 at 10.18.28MARTINEZ — Two published reports Friday say the Shell Martinez Refinery is up for sale, prompted by what are expected to be crude oil prices rising faster than gas prices at the pump.

The reports, one of them from the international news agency Reuters, say the Netherlands-based global energy company Royal Dutch Shell is looking to shed some of its smaller, less profitable refineries ahead of the anticipated price hike for crude.

The Reuters story said Shell and at least three other major oil companies, including San Ramon-based Chevron, have seen dropping profit margins from their refining operations since a peak in 2015 and want to shed some lower-profit operations before crude oil prices rise much further from recent low levels.

read more

Global oil majors look to shed refineries as crude prices rebound

Screen Shot 2016-06-17 at 09.45.37

NEW YORK | BY JESSICA RESNICK-AULTFri Jun 17, 2016

Global oil majors Chevron Corp and Royal Dutch Shell Plc are putting small refineries on the auction block as they look to trim lower-margin assets in the face of headwinds from rising crude oil prices.

Chevron, the second largest U.S. oil company, is soliciting interest in its Burnaby, British Columbia, refinery and gasoline stations, the company told Reuters. Shell is looking for buyers for its Martinez, California, refinery, two people familiar with the situation told Reuters. Shell declined to comment.

read more

Militants Claim Responsibility for Another Attack in Nigeria

Screen Shot 2016-06-02 at 07.26.47

Screen Shot 2016-06-16 at 18.38.19

Screen Shot 2016-06-16 at 18.39.19

By Staff WriterJun 16, 2016

Oil majors including Chevron Corporation (NYSE:CVX) and Royal Dutch Shell plc (ADR) (NYSE:RDS.A) heaved a sigh of relief when militant group, Niger Delta Avengers (NDA) agreed to hold peace talks with the Nigerian government. However, the relief was short-lived when on Thursday the militant group claimed to have blown up another pipeline owned by the Nigerian National Petroleum Corporation (NNPC).

The attack comes as a great setback for oil producers and the Nigerian government as the militant group had agreed to hold talks with them, provided certain conditions were met. The NDA tweeted from one of its unverified accounts:

read more

Royal Dutch Shell plc (ADR) to Increase Exposure to LNG Market

Screen Shot 2016-06-02 at 07.26.47

Screen Shot 2016-06-15 at 16.06.59

Screen Shot 2016-06-15 at 16.08.24

By Staff WriterJun 15, 2016

Royal Dutch Shell plc (ADR) (NYSE:RDS.A) plans to further strengthen its foothold in the liquefied natural gas (LNG) market, as according to Reuters, the company will sign the Baltic LNG project deal with Russian energy giant, Gazprom in the coming days. The multi-billion dollar deal with London-based BG Group has already increased the company’s exposure to the LNG segment.

According to news sources, Shell CEO, Ben van Beurden, will sign the deal at the International Economic Forum in St. Petersburg. Russian President, Vladimir Putin, is also expected to attend the meeting.

read more

Shell CEO Faces Long Haul in Bid to Pass Exxon as Top Oil Major

Screen Shot 2016-06-07 at 10.26.02

Screen Shot 2016-06-15 at 11.21.47

Screen Shot 2016-06-15 at 11.30.56

By Rakteem Katakey: June 15, 2016

Royal Dutch Shell Plc Chief Executive Officer Ben Van Beurden spelled out his main goal last week — surpass Exxon Mobil Corp. to become the best-performing oil major. 

“I am determined to get us to that number one place,” he said after outlining the company’s long-term strategy in London. “I want to create a world class investment case for Shell and our shareholders.” 

There are signs Van Beurden is winning over some investors following his record $54 billion acquisition of BG Group Plc. Shell has closed the gap on Exxon for total shareholder returns, which accounts for share prices, dividend payouts and buybacks, after lagging behind for five years. Still, the Anglo-Dutch explorer trails its U.S. rival on a range of other metrics from return on capital and assets to cash flow.

read more

Royal Dutch Shell, Chevron Corporation: Niger Delta Avengers Agree to Peace Talks

Screen Shot 2016-06-02 at 07.26.47

Screen Shot 2016-06-14 at 16.49.31

Screen Shot 2016-06-14 at 16.53.34

By Staff WriterJun 14, 2016

Screen Shot 2016-05-21 at 10.18.28Finally, Royal Dutch Shell plc (ADR) (NYSE:RDS.A), Chevron and other oil and gas companies can heave a sigh of relief as the militant group, Niger Delta Avengers has agreed to consider peace talks with the Nigerian government. The group has said that it does not have new demands, as it just wants foreign oil and gas companies to leave the southern region of the Niger Delta and stop oil pollution.

The group said it wants “genuine attitude” by the government and a “conducive atmosphere” to carry out dialogue. This is definitely good news for the Nigerian economy and international energy companies which have suffered badly in the past few months. The Avengers started to attack oil infrastructure in February, when they blew up Shell’s Forcados terminal and under-water pipeline.

read more

Shell, Total look to expand terminals and power plants in new markets

Screen Shot 2016-06-13 at 08.43.32

Written by Reporter – 13/06/2016 6:00 am

Oil majors Shell and Total are said to be considering building terminals and power plants in new markets.

The move comes after companies have invested billions in plants to help produce liquefied natural gas (LNG) in place such as the US and Australia.

Laurent Vivier, president for the gas division of Total, said the company was ready to go downstream “as much as it takes” to unlock gas demand.

He said: “We need to be present in downstream ourselves, to create demand and unlock bottlenecks along the chain including regasification, pipeline and power plants.”

read more

Coming wave of gas puts focus on finding new shores

Screen Shot 2016-06-12 at 08.46.57

Screen Shot 2016-06-06 at 10.26.15LONDON | BY RON BOUSSO AND OLEG VUKMANOVIC: Sun Jun 12, 2016

Energy giants such as Royal Dutch Shell and Total are looking to build terminals and power plants in new markets to soak up the industry’s rapidly burgeoning supply.

Companies have invested billions in plants to produce liquefied natural gas (LNG) in places such as Australia and the United States.

But gas demand growth is slowing, prices are down and the LNG volumes companies are set to produce will exceed those even major buyers such as China and Japan can absorb.

That has turned attention to the downstream market and opportunities to create new markets from Ivory Coast to remote Indonesian islands by building gas-fired power plants, pipelines, regasification and storage terminals.

read more

Britain to shed a quarter of its oil jobs since price fell – industry

Screen Shot 2016-05-26 at 09.26.29

Screen Shot 2016-06-10 at 11.09.13

Friday 10 June 2016

Screen Shot 2016-05-21 at 10.18.28LONDON (Reuters) – As many as 120,000 oil workers will have lost their jobs in Britain by the end of the year compared to mid-2014 when oil prices started declining and unleashed sector-wide cost cuts, the industry’s lobby group said on Friday.

Britain’s oil industry and indirectly related jobs like supply chain and services are estimated to fall to 330,000 by the end of the year, down from 450,000 in 2014, Oil and Gas UK said in a report.

Major British oil industry employers like Royal Dutch Shell (RDSa.L), BP (BP.L) and Chevron (CVX.N) have all announced substantial job cuts in order to rein in costs as revenues have been hit hard by weak oil prices.

read more

What Caused Royal Dutch Shell’s Shares To Soar

Screen Shot 2016-06-06 at 22.14.18

Screen Shot 2016-06-09 at 16.10.34

Arie Goren: Jun. 9, 2016 6:14 AM ET

Screen Shot 2016-05-21 at 10.18.28Summary

  • In its Tuesday, June 7, investor meeting, Shell offered a very encouraging update on the company’s strategy, which sets a clear course for stronger returns and free cash flow.
  • Oil prices have shown a significant rebound in the last five months. As such, we can expect much better results for Shell’s upstream operations in the forward quarters.
  • Investing in a supermajor integrated oil & gas company like Royal Dutch Shell will give investors a significant price appreciation when oil prices recover along very generous dividend yielding 7.1%.
  • In my view, we can learn from the company’s new strategy that the dividend is sustainable.

Shares of Royal Dutch Shell (NYSE:RDS.A) (NYSE:RDS.B) soared in the last two days after its Chief Executive Officer Ben van Beurden provided on Tuesday, June 7, an update on the company’s strategy, that according to the company, sets a clear course for stronger returns and free cash flow. Shares of RDS.A have increased 6.43% in the last two days and shares of RDS.B have risen 6.58%.

Since the beginning of the year, RDS.A’s stock is already up 15.7% while the S&P 500 Index has increased 3.7% and the NASDAQ Composite Index has lost 0.7%. However, since the beginning of 2012, RDS.A’s stock has lost 27.5%. In this period, the S&P 500 Index has increased 68.5% and the Nasdaq Composite Index has risen 91%.

read more

Can This Troubled LNG Project Still Deliver for Chevron, ExxonMobil, and Royal Dutch Shell?

Screen Shot 2016-06-06 at 09.13.12

By Jay Yao: Jun 4, 2016

Australia’s Gorgon LNG is one of the largest liquefied natural gas projects in the world. When complete, the Gorgon is expected to produce 15.6 million metric tons of LNG a year and last for 40 years. For Australia, the Gorgon was supposed to add hundreds of billions of dollars to Australia’s GDP and employ thousands of people. For the companies that invested, Gorgon was supposed to be one of the cornerstones of their LNG portfolios and deliver long-lasting shareholder value.

read more

Chevron, Shell: Will Nigerian Crude Production Come to a Halt?

Screen Shot 2016-06-06 at 08.56.45

By Micheal KaufmanJun 4, 2016 at 10:50 am EST

The Nigerian government’s problems are only expected to worsen; the militant group, Niger Delta Avengers, has vowed again to bring the country’s crude oil production to “zero.” In the past few months, the group has attacked oil and gas facilities of foreign energy companies, including Chevron, Shell, and Eni, in a bid to force them to leave the southern region of the Niger Delta. The militants want international oil companies to end oil pollution in the country and give a higher share of crude sale revenue to the locals.

read more

Chevron Corporation: Another Day, Another Attack In Nigeria

Screen Shot 2016-06-02 at 07.26.47

Screen Shot 2016-06-02 at 07.25.46

Screen Shot 2016-06-02 at 07.27.19

Shell, ConocoPhillips and Total are also considering to divest their assets in the Niger Delta.

By Micheal Kaufman: Jun 1, 2016

Operations of international oil & gas companies seem to be in a lot of trouble in Nigeria as militant activities have accelerated in the past few weeks. The militant group, Niger Delta Avengers, has again targeted a Chevron Corporation (NYSE:CVX) facility today, pressurizing it to leave the impoverished area. This is the fourth attack on a Chevron facility in Africa’s biggest economy.

The militant group said on Twitter that it blew up the energy company’s RMP 23 and RMP 24 crude oil wells in the Niger Delta at 3:44 AM. According to the Niger Delta Avengers, these two wells are Chevron’s largest oil producing wells.

read more

The death of Opec?

Screen Shot 2016-05-30 at 19.39.33

Screen Shot 2016-05-30 at 19.40.54

Screen Shot 2016-05-30 at 15.37.19

By Ed Crooks: 27 May 2016

“Insanity is doing the same thing, over and over again, but expecting different results.” That widely-misattributed line, first published by the novelist Rita Mae Brown, has apparently been taken to heart in the oil market at last.

After a succession of Opec meetings that were preceded by fevered speculation about action to support crude prices – mostly recently the much-discussed plan for a production “freeze” that fell apart in Doha in April – no-one has any great expectations for the ministerial gathering in Vienna next week. “The freeze is finished,” one Opec delegate said.

read more

Militants Blow up Shell, Agip Pipelines in Nigeria

Screen Shot 2016-05-25 at 12.01.39

Screen Shot 2016-05-30 at 14.28.51

Screen Shot 2016-05-21 at 10.18.28By HILARY UGURU, ASSOCIATED PRESS: WARRI, Nigeria — May 28, 2016, 10:32 PM ET

Militants blew up strategic gas and crude pipelines belonging to Shell and Agip on Saturday in an increasingly fierce campaign that has chopped Nigeria’s oil production in half, militants and residents said.

A new militant group, calling itself the Niger Delta Avengers, reported in social media that they had dynamited the trunkline linking the Dutch-British Shell company’s Bonny terminal and the Brass export terminal of the Italian company Agip. A local community leader Eke-Spiff Erempagamo confirmed the attack.

Nigeria’s oil production had already fallen from a projected 2.2 million barrels a day to 1.4 million barrels before the latest attacks on the oil industry in southern Nigeria, including three within the past week on facilities of the U.S. oil major Chevron. Several companies have evacuated some of their workers.

read more

Shell Bans External Movement Of Niger Delta Staff Following Attack On Chevron

Screen Shot 2016-05-08 at 08.30.13

Screen Shot 2016-05-26 at 19.01.56

Screen Shot 2016-05-21 at 10.18.28SaharaReporters has learned that the corporate management of Shell Petroleum in the Niger Delta region have ordered that their employees refrain from any external movements between today and 8am on Monday, May 30th. An employee with Shell told SaharaReporters that an email was sent to staff following the latest bombing of the Chevron tank farm in Escravos, Warri South Local Government Area (LGA) in Delta State by the Niger Delta Avengers.

BY SAHARA REPORTERS, NEW YORK: MAY 26, 2016

SaharaReporters has learned that the corporate management of Shell Petroleum in the Niger Delta region have ordered that their employees refrain from any external movements between today and 8am on Monday, May 30th.

An employee with Shell told SaharaReporters that an email was sent to staff following the latest bombing of the Chevron tank farm in Escravos, Warri South Local Government Area (LGA) in Delta State by the Niger Delta Avengers.

read more

%d bloggers like this: