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Posts under ‘China’

Shell-BG deal to win green light

Questions have been raised about the growing gulf between the price of BG shares and Shell’s cash and stock offer, while some market sources have argued that the low oil price could force Shell to renegotiate the deal and reduce its bid. Regulators in China and Australia likely to support move to create Britain’s biggest […]

Complications Grow For Shell-BG Deal

Trefis Team, CONTRIBUTOR: NOV 27, 2015 …the Chinese authorities reviewing the proposed Royal Dutch Shell – BG Group merger are reportedly urging Royal Dutch Shell to dole out concessions on long-term liquefied natural gas supply contracts with the country. After getting an all-clear from the Australian completion authority last week, Shell now needs clearance from China and Australia’s […]

Royal Dutch Shell, Exxon Mobil and Glencore: Energy companies risk wasting trillions on uneconomic projects

By Jessica Morris: 25 November 2015 Energy companies risk wasting $2.2 trillion (£1.46 trillion) on uneconomic projects over the next 10 years, according to a new report. Think tank the Carbon Tracker Initiative’s (CTI) report how fossil fuel firms risk destroying investor returns says energy companies’ focus on fossil fuels at the expense of emerging clean technologies […]

Questor share tip: Shell should walk away from BG

The FTSE 100 oil major has endured a turbulent year after announcing its offer for rival BG, says Questor. By John Ficenec, Questor Editor: 22 Nov 2015 SHELL’S [LON:RDSB] deal to buy gas group BG makes perfect sense on paper. But if oil prices remain at these deeply depressed levels, then it could bring nothing but […]

China wants LNG supply concessions in return for BG merger approval, sources say

Beijing holding a “wonderful piece of leverage” by Veselin Valchev: Friday, 20 Nov 2015 Royal Dutch Shell Plc (LON:RDSA) might have to shell out in order to get regulatory approval from Chinese authorities for its proposed takeover of fellow UK energy giant BG Group. According to unnamed sources cited by Reuters, the Chinese ministry of commerce […]

In Shell-BG review, China wants concessions on huge gas deals

LONDON/BEIJING | BY RON BOUSSO, DMITRY ZHDANNIKOV AND CHEN AIZHU: Deals | Thu Nov 19, 2015 Chinese regulators vetting Royal Dutch Shell’s (RDSa.L) proposed merger with BG Group (BG.L) are pressing the Anglo-Dutch company to sweeten long-term gas supply contracts in a move that could cast new doubt over the near-term benefits of the $70 billion […]

ACCC clears Shell’s $98b takeover of BG Group

To the relief of Shell, the Australian Competition and Consumer Commission waved through the mega-merger on Thursday… Angela Macdonald-Smith: Energy Reporter East coast gas buyers left disappointed by the competition regulator’s unconditional approval for Royal Dutch Shell’s $US70 billion ($98 billion) takeover of BG Group have turned their attention to the Foreign Investment Review Board as […]

Shell plans to retain four senior BG executives after merger – memo

Business News | London Mon Nov 16, 2015 Royal Dutch Shell plans to retain four members of BG Group’s executive team after the companies’ planned merger next year, according to an internal memo seen by Reuters on Monday. The memo indicates that the planned $70 billion takeover of BG by Shell remains on track. Shell […]

Shell share price: Oil major sells downstream assets

by Veselin Valchev: Monday, 02 Nov 2015 Royal Dutch Shell Plc (LON:RDSA) announced today that it has completed the sale of two assets from its downstream portfolio as part of its strategy to divest lower-margin businesses, as profits wane amid the depressed oil price. The Hague-based oil major has completed the sale of its Butagaz liquefied […]

BG Group profits drop as it nears merger with Shell

By Jon Yeomans: 30 Oct 2015 BG Group, which is due to be taken over by Shell early next year, has reported a slump in profits as the low oil price continues to take a toll on producers. Net income at the Reading-based company fell 63pc to $280m (£182m) in the third quarter from $759m a […]

Shell share price: Company’s problems extend beyond oil prices, analyst says

Big bets on shale “destroyed huge amounts of capital” and the company has few growth assets…the firm is far more likely to remain a laggard than become a leader among the oil majors for the rest of this decade… by Veselin Valchev: Tuesday, 27 Oct 2015 Royal Dutch Shell Plc (LON:RDSA) carries hefty baggage and even […]

Saudi Arabia’s Oil War With Russia

By Leonid Bershidsky: Oct 16, 2015 As President Vladimir Putin tries to restore Russia as a major player in the Middle East, Saudi Arabia is starting to attack on Russia’s traditional stomping ground by supplying lower-priced crude oil to Poland. At a recent investment forum, Igor Sechin, chief executive of Rosneft, Russia’s biggest oil company, […]

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 […]

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 […]

Here’s How Royal Dutch Shell plc And BP plc Will Be Impacted By A Weak Chinese Economy

Bidness Etc discusses how European oil majors are impacted by the slowdown in the Chinese economy By: Micheal Kaufman: Sep 25, 2015 The slowing Chinese economy has impacted the overall world economy and various other sectors. According to a Moody’s Investor service report EMEA (Europe, Middle East, and Africa)’s mining sector is totally exposed to the […]

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 […]

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 […]

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 […]

Exxon Mobil Corporation, Chevron Corporation, BP And Royal Dutch Shell Face Challenging Dividend Environment

Bidness Etc sheds light on the challenges for companies like Exxon, Chevron, BP, Royal Dutch Shell, and Total SA in sustaining dividend payouts amidst depressed crude oil prices By: MICHEAL KAUFMAN: Sep 1, 2015  Crude prices have dropped more than 50% since the highs of June last year, following weak Chinese demand and a global supply […]

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 […]

Royal Dutch Shell in framework LNG deal with private Chinese firm

18 August 2015 BEIJING: Royal Dutch Shell has entered a framework deal with a Chinese energy firm to jointly purchase and distribute liquefied natural gas, Shell said on Tuesday, a rare cooperation between a global energy company and a local private player. Shell signed the non-binding framework agreement with Guanghui Energy Co Ltd, which is […]

Oil price: five reasons why oil has re-entered a bear market

The oil price has fallen by more than a fifth since it hit a year-high of $69.63 a barrel in May Jul 8, 2015 Oil re-entered a bear market yesterday as the price for Brent Crude, the international benchmark, recorded its largest one-day loss since February. On Monday, the oil price fell by six per […]

BG-Shell takes first step towards Brazilian blessing

The £47bn blockbuster deal has been officially filed with competition regulators in Brazil, a key hurdle and strategic area for Shell’s interest By Ashley Armstrong: 6:38PM BST 23 Jun 2015 Shell’s £47bn plan to become the world’s biggest gas producer has moved a step closer to reality after the oil giant officially filed its takeover of […]

Exclusive – Gazprom building global alliance with expanded Shell

  Exclusive – Gazprom building global alliance with expanded Shell The deal with Shell is a coup for Gazprom at a time when many Western companies are reducing their exposure to Russia because of Western sanctions over Moscow’s actions in Ukraine. Gazprom, which is under U.S. but not EU sanctions… Fri Jun 19, 2015 Gazprom […]

U.S. Ousts Russia as Top World Oil, Gas Producer

Article by Rakteem Katakey published 10 June 2015 by The U.S. has taken Russia’s crown as the biggest oil and natural-gas producer in a demonstration of the seismic shifts in the world energy landscape emanating from America’s shale fields. U.S. oil production rose to a record last year, gaining 1.6 million barrels a day, according […]

BP sees ‘tectonic shift’ in world energy production

BP sees ‘tectonic shift’ in world energy production Oil giant’s chief economist says energy consumption slowed dramatically last year as China cutback and Opec battled US shale drillers for supremacy of world markets By Andrew Critchlow, Commodities editor:10:00AM BST 10 Jun 2015 Global energy consumption slowed to its slowest rate of growth since the late […]

Will China’s Ministry Of Commerce Block Shell-BG Deal?

Jun. 4, 2015 3:15 PM ET Will China’s Ministry Of Commerce Block Shell-BG Deal? Summary Shell-BG deal is likely to face most scrutiny in China. MOFCOM is likely to approve the merger with conditions. These conditions could involve both structural and behavioral remedies. Ever since Royal Dutch Shell (NYSE:RDS.A) (NYSE:RDS.B) announced to acquire BG Group’s […]

Shell takeover deal may face local resistance

Article by Matt Chambers, published 3 June 2015 by The Australian Business Review under the headline: Shell takeover deal may face local resistance Australian regulators are shaping up as one of the major hurdles for Royal Dutch Shell’s friendly $91 billion takeover of BG Group, with analysts tipping coal-seam gas sales may be needed for Shell’s […]

Prices Are Down, but Saudis Keep Oil Flowing

Article by CLIFFORD KRAUSS and STANLEY REED published 1 June 2015 in the New York edition of The New York Times under the headline Prices Are Down, but Saudis Keep Oil Flowing HOUSTON — The international cartel of oil producers has long followed the same basic strategy. When the market was soft, the group slashed production […]

Shell-BG Group Deal Faces Hurdle From Chinese ‘Black Box’ Regulator

By: MICHEAL KAUFMAN: Published: May 29, 2015 Royal Dutch Shell Plc’s (ADR) (NYSE:RDS.A) deal to acquire the UK-based BG Group (OTCMKTS:BRGYY) that is already at a risk of facing numerous obstacles, including volatility in the crude oil prices and a risk of a competitor outbidding Shell’s bid. Meanwhile, when the deal is already hovering around such […]

Shell Elects Huibert Vigeveno To Lead BG Group Merger

By: MICHEAL KAUFMAN: May 29, 2015  European oil giant Royal Dutch Shell Plc (ADR) (NYSE:RDS.A) has elected the head of its Chinese operations to lead the company’s planned merger with UK-based natural gas company, BG Group Plc (ADR) (OTCMKTS:BRGYY), as it seeks approval from regulatory authorities in several countries. Earlier this week, the oil company told […]

Shell drilling may spur Arctic resource race

Colin Chilcoat, May 27, 2015 In a few short months Shell will (re)enter the Chukchi Sea, between Alaska and Russia. The oil and gas major still awaits approval from a number of state and federal agencies, but in early May the company received the consent of the Obama administration to explore the remote Arctic sea […]

Petrobras scandal looms large in Shell’s plan to buy BG Group

As Royal Dutch Shell seeks to finalise its £55bn takeover of smaller UK-based rival BG Group, it will be closely watching the situation at Petrobras, Brazil’s state-controlled oil company that is engulfed in scandal. FULL ARTICLE WITH WORKING LINKS

Shell share price: boss to present BG merger case to China regulators

Article by Veselin Valchev published Wednesday, 06 May 2015 by Shell share price: boss to present BG merger case to China regulators Ben van Beurden on tour to win authorities’ approval for £47bn deal Royal Dutch Shell Plc’s (LON:RDSA) chief executive Ben van Beurden is scheduled to visit China this week, in what analysts say is […]

Shell Chief Visits China to Win Backing for $70 Billion BG Deal

Article by Rakteem Katakey published 6 May 2015 by The biggest obstacle to Royal Dutch Shell Plc’s $70 billion offer for BG Group Plc probably lies in China. Shell Chief Executive Officer Ben Van Beurden visits the country this week to convince officials that the combination of two large oil and gas producers poses little risk […]

U.S. Maps Pinpoint Earthquakes Linked to Quest for Oil and Gas

“Predicting risk is also hard, the report noted, because there is no scientific consensus on just how powerful such quakes can be. The report estimated the effects of shocks up to magnitudes 6 and 7, while noting that some scientists have speculated that the catastrophic 7.9-magnitude earthquake in China in 2008 was caused by human […]

How Will Exxon Mobil Fare After The Shell-BG Deal? article published 13 April 2015 How Will Exxon Mobil Fare After The Shell-BG Deal? Summary It seems as though Exxon Mobil could be the next integrated oil company in line to announce a merger. According to Credit Suisse, it is possible that Shell, post-merger, could surpass Exxon Mobil as the largest publicly traded producer […]

Kashagan to Start Production in 2017, Says Royal Dutch Shell Report

BY MICHELLE WITTE in BUSINESS on 13 APRIL ASTANA – Production at Kazakhstan’s giant Kashagan offshore oil field is expected to restart in 2017, Royal Dutch Shell stated in its 2014 annual report. “After the start of production from the Kashagan field in September 2013, operations had to be stopped in October 2013 due to […]

Funds circle for spin-off gains from Shell deal

Article by Ashley Armstrong published 12 April by The Sunday Telegraph Funds circle for spin-off gains from Shell deal The world’s largest private equity firms are already circling the $30bn (£20bn) of assets that could be spun off by Shell following its acquisition of BG Group, the largest ever merger between two UK companies. Warburg […]

Shell Acquisition of BG Group to Create Giant Operator of LNG Ships

LONDON –  Royal Dutch Shell PLC’s (RDS.A) planned $70 billion acquisition of BG Group PLC would create a giant operator of liquefied-natural-gas vessels, offering owners that charter the ships more opportunities for lucrative, long-term contracts in an otherwise-depressed shipping industry. “The merger offers owners more flexibility and better utilization of their fleets, which could mean […]

Is Royal Dutch Shell Up For The Challenge?

By: MICHEAL KAUFMAN: Published: Apr 10, 2015 at 10:33 am EST he energy sector’s mega deal between Royal Dutch Shell Plc (ADR) (NYSE:RDS.A) and BG Group Plc (ADR) (OTCMKTS:BRGYY) is now under close scrutiny by China and other countries, as well as by investors. When asked about the details of regulatory concerns, both parties refused to […]

Shell Will Buy BG for $70 Billion in Push for Gas Dominance

by Javier BlasRakteem Katakey for Royal Dutch Shell Plc agreed to buy BG Group Plc for about 47 billion pounds ($70 billion), making Europe’s largest oil company the pre-eminent player in global natural gas and adding fields in Brazil. The deal, the industry’s biggest in at least a decade, will push Shell further into producing, […]

Iran riches coveted by big oil after decades of conflict

Extracts from a Bloomberg article published 31 March 2015 Iran riches coveted by big oil after decades of conflict Now, as Iran and the US enter 11th hour negotiations to reach a nuclear deal and ease sanctions, the West Asian country is emerging again as a potential prize for western oil companies such as BP, […]

Non-U.S. Shales Prove Difficult to Crack

By JUSTIN SCHECK and SELINA WILLIAMS: WALL STREET JOURNAL March 18, 2015 11:20 p.m. ET Exxon, Shell and others are pulling back from once-promising shale finds in Europe, Asia After spending more than five years and billions of dollars trying to re-create the U.S. shale boom overseas, some of the world’s biggest oil companies are starting […]

SEC continuing to scrutinise Shell’s claimed oil reserves

By John Donovan A letter emailed to Royal Dutch Shell Plc Chief Executive Officer, Ben van Beurden, on 23 Oct 2014, from the U.S. Securities & Exchange Commission, asked why Shell had omitted to supply in a Form 20-F filing, figures for Shell’s share of Kashagan proved undeveloped reserves. Shell’s partners in the much troubled Kashagan oil […]

Who Will Rule the Oil Market?

OPINION ARTICLE BY DANIEL YERGIN PUBLISHED IN PRINT BY THE NEW YORK TIMES ON SATURDAY 25 JAN 2015 WASHINGTON — A HISTORIC change of roles is at the heart of the clamor and turmoil over the collapse of oil prices, which have plummeted by 50 percent since September. For decades, Saudi Arabia, backed by the […]

BP sees $50 oil for three years

BP can’t be immune to the upheaval. Today its job announcement is focused on the UK. But it won’t be long till it announces staff reductions in Houston, another of its important centres. Robert Peston article published by BBC News 15 Jan 2015 BP sees $50 oil for three years BP’s job announcement later today, […]

Oil prices down by almost 50%

From an article published by Bloomberg News Friday 2 Jan 2015 Oil dropped to the lowest in more than five and a half years amid growing supply from Russia and Iraq and signs of manufacturing weakness in Europe and China. Oil output in Russia and Iraq surged to the highest levels in decades in December, […]

Many predicting oil prices as low as $40 per barrel

With the oil market appearing set to endure worsening fundamentals over the next few years at least, shareholders could see dividends at Shell come under severe pressure once again. FROM AN ARTICLE BY ROYSTON WILD PUBLISHED BY THE MOTLEY FOOL ON MON 15 DEC 2014 Headline: Is Royal Dutch Shell Plc Really Robust Enough To […]

Why Is Shell Divesting Stake In China Lubricants Business

By: MICHEAL KAUFMAN Published: Dec 12, 2014 at 10:05 am EST Royal Dutch Shell plc (ADR) (NYSE:RDS.A) has announced plans to sell off stake in the Tongyi oil lubricants joint venture. The company holds a 75% stake in the lubricant firm, while the remaining 25% stake is held by Huo Zhenxiang, the founder of the […]