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Posts under ‘Groningen Earthquakes’

Financial tremors for Shell and Exxon from Groningen earthquakes

By John Donovan

A Dutch court has just upheld a government decision to cap production at the Groningen gas field, a giant natural gas field located in Groningen province in the northeastern part of the Netherlands. The largest natural gas field in Europe.

It is operated by the Nederlandse Aardolie Maatschappij BV (NAM), a joint venture between Royal Dutch Shell and ExxonMobil, with each company owning a 50% share. 

For decades, the venture has been a money spinner for the oil giants and the Dutch government. read more

Dutch court hit with 25 appeals against Groningen production cap

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Written by Reporter – 18/11/2016 

A Dutch court has received 25 appeals against the government’s decision to cap production at the Groningen gas field to an annual figure of 24 billion cubic metres from protesters who do not think it goes far enough.

A number of groups in the region asked for a steeper reduction to prevent earthquakes, which have damaged thousands of structures in the northern province.

Groningen used to supply 10% of demand in the European Union.

But it has halved in the past two years after the Dutch Safety Board said the government was failing to protect citizens from earthquakes triggered by gas exploitation. read more

Dutch groups demand tighter curbs on Groningen gas production

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screen-shot-2016-11-17-at-19-09-24A top Dutch court has received 25 appeals against the government’s decision to cap production at the Groningen gas field at an annual figure of 24 billion cubic metres from protesters who think it does not go far enough.

Several groups in the region had asked for a steeper reduction to prevent earthquakes, which have damaged thousands of structures in the northern province.

Output from Groningen, which once supplied 10 percent of demand in the European Union, has halved over the past two years after the Dutch Safety Board said the government was failing to protect citizens from earthquakes triggered by gas exploitation. read more

Dutch government confirms cut in Groningen gas output

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Screen Shot 2016-09-01 at 08.40.08By REUTERSPUBLISHED: 23 September 2016

AMSTERDAM, Sept 23 (Reuters) – Gas extraction from the northern Groningen gas field will be held at 24 billion cubic metres per year for the coming five years, Dutch Prime Minister Mark Rutte said on Friday.

The decision made on Friday by Rutte’s government cemented a preliminary plan to cut output to minimise the risk of earthquakes resulting from production at Groningen, which once supplied 10 percent of the gas used in the European Union. read more

Dutch parliament orders annual check on Groningen gas production

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Thu Sep 15, 2016 4:51pm BST

The Dutch parliament adopted a motion on Thursday ordering the government to evaluate every year whether gas production at the country’s Groningen field can be reduced further.

Output from Groningen, Europe’s largest gas field, has halved over the past two years after the country’s Safety Board said the government was failing to protect citizens from earthquakes triggered by gas exploitation.

In June, the government capped production at 24 billion cubic meters (bcm) annually for the coming five years but the motion adopted Thursday opens the door to further reductions. read more

Groningen gas demand seen falling sharply

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Screen Shot 2016-09-01 at 08.40.08Groningen gas demand seen falling sharply

The Netherlands has been forced to scale back production at Groningen, which once supplied 10% of European Union gas requirements, to 24B cm/year due to damage from earthquakes.

Sep 13 2016, 08:31 ET | By: Carl Surran, SA News Editor

Demand for gas from the Groningen field in the Netherlands will fall sharply from 2020 as production is reduced, Economy Minister Kamp says in a letter to the Dutch parliament.

The Netherlands has been forced to scale back production at Groningen, which once supplied 10% of European Union gas requirements, to 24B cm/year due to damage from earthquakes.

Groningen is operated by a joint venture between Royal Dutch Shell (RDS.A, RDS.B) and ExxonMobil (NYSE:XOM). read more

Dutch see demand for Groningen gas down sharply from 2020

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Screen Shot 2016-09-01 at 08.40.08Demand for gas from Groningen will “fall sharply from 2020” as production at the northern Dutch field is reduced, Economy Minister Henk Kamp said in a letter to parliament released on Tuesday.

The Netherlands has been forced to scale back production by roughly half at Groningen, which once met 10 percent of European Union gas requirements, to 24 billion cubic meters per year due to damage from earthquakes.

Citing a June study by Gasunie, Kamp said a 480 million euros gas conversion facility in Zuidbroek was no longer needed due to falling exports. read more

Shell and ExxonMobil apologise for Groningen earthquake problems

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Officials made the comments during a parliamentary hearing with Shell and ExxonMobil executives after being challenged by GroenLinks MP Liesbeth van Tongeren, broadcaster NOS reported.

‘We acknowledge that the people of Groningen are dealing with most of the problems caused by gas extraction, which we in the Netherlands can thank for our prosperity,’ Shell Nederland president Marjan van Loon said.

‘That is why the people of Groningen deserve our support. The NAM has expressed its regrets and I can fully support that. So I can say too, “I’m sorry, sorry”.’ read more

Oklahoma earthquake: 37 wells ordered to shut down after scientists’ warning

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Screen Shot 2016-09-04 at 16.52.01Samuel Osborne: Sunday 4 Sept 2016

A magnitude 5.6 earthquake in Oklahoma has brought fresh attention to the practice of disposing oil and gas field wastewater deep underground.

The United States Geological Survey said the quake happened at 7.02am on Saturday, in north-central Oklahoma, on the fringe of an area where regulators had stepped in to limit wastewater disposal. 

The shallow quake struck 9 miles northwst of Pawnee, where there were no immediate reports of injuries. Damage in the town appeared to be minor.

An increase in magnitude 3.0 or greater earthquakes in Oklahoma has been linked to underground disposal of wastewater from oil and natural gas production. read more

SHELL CEO: REINVEST NATURAL GAS REVENUES IN RENEWABLE ENERGY

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Screen Shot 2016-09-01 at 08.40.08Posted on Sep 1, 2016 by Janene Pieters

Marjan van Loon, CEO of Shell Nederland, wants to use natural gas revenues from Groningen for a “delta plan” for the transition to green energy and for the local economy, she said in an Interview with the Financieele Dagblad. Though she adds that the Netherlands must continue gas extraction for as long as possible.

According to Van Loon, the Netherlands can still earn billions of euros with the Groningen gas fields, but only if support from Groningen residents and safety are made priorities. Shell has a 50 percent share in NAM, which is responsible for gas extraction in Groningen. read more

Einstein Never Knew He’d Help Shell Discover Oil

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By Eric Roston: July 7, 2016

Albert Einstein suggested a century ago that large-scale cosmic violence—two black holes colliding, for example—might send gravitational ripples through the universe like a stone disturbing the surface of a pond. In September physicists in the U.S. conclusively detected gravitational waves for the first time, again proving Einstein right. While it’s a safe assumption he wasn’t thinking about how building a wave observatory might lead to finding oil and gas, two physicists in Amsterdam have started a company betting they can. read more

Dutch government lowers Groningen gas output cap to 24 bcm

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Reuters: Friday, June 24, 2016

THE HAGUE, June 24 The Dutch government said on Friday it would lower the cap on production at the Groningen gas field, which has supplied up to 10 percent of European demand, to 24 billion cubic metres a year for the next five years.

The decision to lower the ceiling from 27 bcm, beginning on Oct. 1, follows a recommendation by the Dutch National Mines Inspectorate.

The Dutch government has been steadily reducing output at Groningen, prompted by a spate of earthquakes linked to production that caused extensive property damage in the northern province. read more

Dutch Winter Gas Rises to Six-Month High Before Output Decision

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Screen Shot 2016-06-22 at 10.28.33Netherlands may decide on Groningen field production on Friday

By Rob VerdonckFred Pals: June 22, 2016 – 11:17 AM BST

Dutch natural gas advanced to the highest since December before a government decision on production from Europe’s biggest field expected on Friday.

The winter contract, for the six months from October, gained as much as 5.1 percent, according to broker data compiled by Bloomberg. Dutch Economy Minister Henk Kamp expects the government to decide on output from the Groningen field on Friday, the ANP news agency reported late Tuesday after De Telegraaf newspaper said gas extraction linked to earthquakes would be curbed by another 11 percent. read more

Dutch agency calls for further cut in Groningen gas production

Screen Shot 2016-06-22 at 10.29.52The agency declined to comment.

The Cabinet is expected to announce its production plans for the field for the period after Oct. 1, 2016 on Friday, after several cuts in the past year have left it at the rate of 27 bcm on an annualized basis.

The final decision will be based on the recommendations from the agency, Groningen’s operator NAM, a joint venture of Royal Dutch Shell and Exxon, and six other parties.

A majority of lawmakers Dutch parliament have called for production to be cut as far as possible to reduce earthquakes in the northern province caused by the gas extraction. read more

Dutch Take On Gazprom in Battle Over Europe’s Oil-Linked Gas

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Screen Shot 2016-05-13 at 10.52.28The legal action coincides with government curbs on output after earthquakes in the Netherlands…

By Kelly Gilblom: May 18, 2016

In its new role as a natural gas importer, the Netherlands wants to make sure it doesn’t overpay.

GasTerra BV, the nation’s biggest buyer and seller of gas, initiated arbitration against Gazprom PJSC’s export unit, the Russian company said Monday. It is seeking a price review for fuel purchased from Europe’s largest supplier under a long-term contract linked to oil, which has rallied this year as the price on gas hubs extended declines.

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The legal action coincides with government curbs on output after earthquakes in the Netherlands, home to the European Union’s largest gas field, which turned it into a net importer of the fuel. Utilities from Germany’s RWE AG to Turkey’s Botas Boru Hatlari Ile Petrol Tasima AS filed arbitration claims against Gazprom PJSC’s export unit after market prices fell below contract rates, with EON SE and Engie SA settling cases with Europe’s biggest gas supplier this year. read more

Shell and Exxon secured ‘secret deal’ on Groningen gas production

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Friday 13 May 2016

Oil companies Shell and Exxon held secret talks with the economic affairs ministry in 2005 to set levels of production in the Groningen gas field up to and beyond 2020, according to documents obtained by NOS.

The documents show that the two companies exerted pressure on the ministry not to scale back gas extraction despite increasing concern over the increased frequency of earthquakes in the region.

The Dutch parliament was informed of the talks, which took place in 2005, but only knew of an agreement to set production levels for the next 10 years. The documents obtained under freedom of information legislation show that the deal also covered the years up to 2020, when the gas field is expected to go into decline, and afterwards. read more

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