Posts under ‘Dow Jones Newswires’

By James Herron

Published October 18, 2011| Dow Jones Newswires

OCTOBER 5, 2011, 8:26 A.M. ET

By Hassan Hafidh

Of DOW JONES NEWSWIRES

AMMAN (Dow Jones)–Royal Dutch Shell PLC (RDSA) has drilled more than 100 wells in Jordan in the two years since it a concession agreement to explore for oil from the country’s vast oil shale reserves, a person familiar with the project said.

Shell signed a production-sharing agreement with Jordan in May 2009 and pledged to spend some $500 million for exploration, assessment and designs on the project.

The project aims at exploring for and, if successful, developing and producing oil from Jordan’s vast oil shale resources that are estimated at 40 billion metric tons.

Many analysts now see oil shale–an unconventional form of oil contained in difficult-to-extract reservoirs–as a serious rival to crude.

Shell is mobilizing two rigs in the project that covers an area of 22,000 square kilometers from northern Jordan and west Safawi to Azraq in the middle and Sirhan and al-Jafer in the south. A third rig will be mobilized next year, the person told Dow Jones Newswires.

If the exploration proves successful Shell would invest billions of dollars and produce thousands of barrels of oil a day, the person said.

Jordan signed similar agreements with companies such as U.K.-registered Jordan Energy & Mining Ltd., or JEML, and Estonian EESTi Energy.

Jordan, home to around 6 million people, imports some 100,000 barrels of oil a day, which constitutes around 98% of its energy needs.

-By Hassan Hafidh, Dow Jones Newswires; +962 799 831 831; hassan.hafidh@dowjones.com

(Benoit Faucon in London contributed to this article)

SOURCE ARTICLE

Alaska Dispatch | Sep 21, 2011

Environmental groups say they’re reviewing air quality permits approved Monday by the federal government for Shell Oil, which hopes to drill offshore next year in Alaska’s Arctic.

The Environmental Protection Agency authorized air emissions from Shell’s drill ship Discover and a support fleet of icebreakers, oil spill response vessels and supply ships to operate 120 days a year in Alaska’s Chukchi and Beaufort seas.

According to reports by Dow Jones and Reuters, Shell could face additional legal challenges over the permits, the approval of which marked a “major milestone” in oil multinational’s multi-year, billion dollar Arctic offshore drilling quest.

Lawyers for Earthjustice and the Center for Biological Diversity are reportedly reviewing the air permits before they, along with Alaska Native tribal groups they represent, decide to appeal.

Erik Grafe, with Earthjustice and based in Alaska, told Dow Jones that “until the petition is adjudicated, Shell does not have a final air permit.”

Brendan Cummings, a senior lawyer for the Center for Biological Diversity, said that “all signs were that the group would appeal the new permits,” Reuters reported.

Other permits still need yet to be acquired and approved before Shell can proceed with its Arctic drilling plans.

Read more about the quest to unlock Arctic Alaska energy reserves.

SOURCE ARTICLE

Related

By Alexis Flynn

Published September 15, 2011 Dow Jones Newswires

LONDON -(Dow Jones)- Royal Dutch Shell PLC (RDSA.LN) may be prosecuted for the U.K.’s worst oil spill in a decade after Energy and Climate Change Secretary Chris Huhne confirmed an investigation into a 10-day leak from the oil major’s Gannet Alpha platform last month will be sent to Scotland’s public prosecutor.

“My department and the Health and Safety Executive have commenced investigations into the cause of the incident,” said Huhne, adding it would likely “take some months.”

“A full report will be sent to the procurator fiscal to consider whether a prosecution is appropriate,” Huhne said.

Previously, the DECC had said the findings of the investigation would only be sent to the procurator fiscal “if appropriate.”

About 218 metric tons of oil–equivalent to 1,300 barrels–spilled into the North Sea from a leaking undersea pipeline at the North Sea platform between Aug. 10 and 19.

Huhne said the DECC was initially informed on Aug. 10 of a surface oil sheen and told a leak had occurred. However, he was then told by Shell that the leak had been stemmed the following day.

On Friday Aug. 12, aerial surveillance in the late afternoon showed the leak was continuing “with significant potential for pollution,” said Huhne. Shell only confirmed the leak to journalists later that day, leading to criticism from some environmental groups and Scottish politicians about its slow disclosure of the incident.

Shell wasn’t immediately available to comment when contacted by Dow Jones Newswires.

Copyright © 2011 Dow Jones Newswires

“A prohibition notice was served on Shell July 1 over hydrocarbon release issues on the Brent C platform. The rig is currently ‘shut in’…

SEPTEMBER 14, 2011

LONDON (Dow Jones)–The U.K. offshore regulator issued Royal Dutch Shell PLC (RDSA.LN) with two warnings in July for safety incidents at its aged Brent Charlie platform in the North Sea, the Health and Safety Executive website showed Wednesday.

One of the warnings is a more serious prohibition notice, which indicates there is an elevated risk of injury, while the other is an improvement notice, which gives an operator a period of time to correct a potential risk.

“A prohibition notice was served on Shell July 1 over hydrocarbon release issues on the Brent C platform. The rig is currently ‘shut in’, which means it has complied with the prohibition notice ordering activity to stop,” an HSE spokesperson told Dow Jones Newswires.

The 35-year old platform is located 145 kilometers north east of Unst. Production on the Brent field has continued to decline in recent years and many of the aging installations are due to be decomissioned in a few years. From 2000 to 2010, production on the whole Brent oil field dropped 91%.

The Brent field has four large platforms, Alpha, Bravo, Charlie and Delta.

A Shell spokesman wasn’t immediately able to detail the incident that resulted in the prohibition notice.

-By Alexis Flynn and James Herron, Dow Jones Newswires, +44 207 842 9471, alexis.flynn@dowjones.com

SOURCE

SEPTEMBER 9, 2011

LONDON (Dow Jones)–Royal Dutch Shell PLC (RDSA.LN), Friday confirmed that it has made solid progress in starting up three world-class oil & gas projects in 2011, which at peak will add some 400,000 barrels oil equivalent, and is on track to deliver its strategic targets for 50-80% growth in cash flow from operations from 2009 to 2012.

MAIN FACTS:

-Shell’s three-year strategic plan, outlined in 2010, is building the foundations for profitable growth for shareholders in the future.

-The company is improving near-term competitive performance, and delivering a new wave of production growth.

-Shell’s decision to maintain investment in new projects in the 2009 downturn is driving growth in the company.

-In Canada oil sands, the company has progressed with ramping-up of the expansion project at its Scotford Upgrader, and ASOP-1 recently reached its full production level of 100,000 barrels per day.

-In Qatar, the Qatargas 4 LNG project reached production plateau earlier this year. Ramp up of Train 1 of the Pearl GTL project continues to make good progress, with Train 2 on track for start-up before year- end, as planned.

-These three projects, representing some $30 billion of investment, underpin our targets for financial and production growth to 2012.

-The company is on track to deliver strategic targets for 50-80% growth in cash flow from operations from 2009 to 2012, driven by cost savings, operating performance, and an 11% increase in oil & gas production from one of the most substantial portfolios of new oil & gas projects in the industry Friday.

-Building on this growth, the company has launched 14 further Upstream projects so far in 2010-11, which have a expected peak production of some 400,000 barrels oil equivalent per day for Shell in the medium term, and underpinning the company’s longer-term growth potential.

-In Downstream, as the company completes a major phase of asset sales, it is consolidating this reshaped portfolio, focusing on operating performance, and investing in selective growth, for example recently forming the Ra??zen biofuels and marketing joint venture in Brazil.

-The scale and integration of projects such as Pearl GTL, Ra??zen biofuels and Prelude floating LNG are a solid platform to create long term value for shareholders.

-Shares at 1315 GMT down 10 pence, or 0.5%, at GBP20.49, valuing the company at GBP74.19 billion.

-By Razak Musah Baba, Dow Jones Newswires; 44-20-7842-9275; razak.baba@dowjones.com

SOURCE ARTICLE

The organization tasked with policing safety on U.K. North Sea oil and gas installations said Wednesday it is prepared to change the way it publishes information on leaks and other incidents, amid criticism of a lack of transparency around Royal Dutch Shell PLC’s recent spill at the Gannet Alpha platform.

By Alexis Flynn Published September 07, 2011 Dow Jones Newswires

ABERDEEN, Scotland -(Dow Jones)- The organization tasked with policing safety on U.K. North Sea oil and gas installations said Wednesday it is prepared to change the way it publishes information on leaks and other incidents, amid criticism of a lack of transparency around Royal Dutch Shell PLC’s (RDSA) recent spill at the Gannet Alpha platform.

“There has been pressure on us to be more transparent, there is more expected on this,” said Steve Walker, head of the Health and Safety Executive’s offshore division. “We could do it in a more attributable way.”

Walker said the HSE could by next year release more detailed information identifying companies responsible for safety and environmental breaches.

“There is now a drive for us to actually release that data [and say] ‘here is a hydrocarbon release by so and so on such a such a such date,’” said Walker.

Under the current system, interested parties have request data under the Freedom of Information Act, which allows citizens to obtain sensitive documents held by public service organizations.

However, criticism has mounted in recent weeks following an undersea pipeline leak at a Shell platform and the subsequent release of crude oil into the North Sea, the U.K.’s biggest spill in a decade. HSE data obtained under the Act showed the company to be among the worst offenders when it came to recent hydrocarbon releases.

Walker said any move to “name and shame” negligent operators would have to be done in accord with the industry.

“We are in discussions with Oil and Gas UK, because it is a sensitive issue, and if we are going to chance it we need to get the views of the industry, and I think they are pretty supportive of that,” said Walker.

Copyright © 2011 Dow Jones Newswires

SOURCE ARTICLE

upstreamonline.com

Cost hike on Shell Iraq deal

Iraq’s gas deal with supermajor Shell, to capture and exploit associated gas from its giant southern oilfields, is expected to produce 2 billion cubic feet per day and cost $17.2 billion, according to an official agreement summary.

Aleya Begum 16 August 2011 09:38 GMT

AUGUST 12, 2011 12.23 P.M. ET

LONDON (Dow Jones)–Royal Dutch Shell PLC (RDSB) Friday confirmed that an oil spill has occurred at its Gannet Alpha platform in the U.K. North Sea.

“We can confirm we are managing an oil leak in a flow line that serves the Shell-operated Gannet Alpha platform,” said Shell spokesman Kim Blomley.

“We have stemmed the leak significantly and we are taking further measures to isolate it,” he said. “The subsea well has been shut in, and the flow line is being depressurized. We continue to monitor the situation on the surface and subsea.”

Blomley said Shell has informed the relevant U.K. authorities.

The Maritime and Coastguard Agency said: “We are aware of the incident, our counter-pollution and salvage officer is monitoring the situation.” The Health and Safety Executive said it was making enquiries into the incident.

The platform is located 180 kilometers east of Aberdeen. Shell operates the platform along with partner ExxonMobil Corp.’s (XOM) U.K. unit Esso.

-By Alexis Flynn and Konstantin Rozhnov, Dow Jones Newswires; +44 207842 9471, alexis.flynn@dowjones.com

SOURCE WSJ ARTICLE

Royal Dutch Shell (NYSE:RDS.B), which bottomed at $71.82 on 08/02/11, the day Congress resolved the debt crisis, has since dropped 14.4% to its most recent close of $61.48. Over the same time period the Dow Jones Industrial Average fell 9.7% from 11,866 to 10,720 as of the last close.

Royal Dutch Shell PLC, through subsidiaries, explores for, produces, and refines petroleum. The Company produces fuels, chemicals, and lubricants. Shell owns and operates gasoline filling stations worldwide.

Royal Dutch Shell has overhead space with shares priced $61.48, or 40.5% below the average consensus analyst price target of $86.35. Royal Dutch Shell shares should first meet with resistance at the 200-day moving average (MA) of $69.41and find additional resistance at the 50-day MA of $70.54.

Royal Dutch Shell share prices have moved between a 52-week high of $78.81 and a 52-week low of $50.48 and are now trading 22% above that low price at $61.48 per share. Over the last five market days, the 200-day moving average (MA) has remained constant while the 50-day MA has declined 0.8%.