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Posts under ‘Oil Prices’

Shell joins queue of investors waiting on Iran oil contracts

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Questor delivers a damning verdict of the proposed Shell BG merger

An Opec meeting on December 5 could send oil price even lower and sound the ‘death knell’ for the deal. ‘If oil prices remain at these deeply depressed levels, then it could bring nothing but disaster. The famous Shell dividend could be cut, investors will be diluted and the shares would become a riskier prospect,’ […]

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 […]

Goldman eyes $20 oil as glut overwhelms storage sites

By Ambrose Evans-Pritchard: 20 Nov 2015 The world is running out of storage facilities for surging supplies of oil and may soon exhaust tanker space offshore, raising the chances of a violent plunge in crude prices over coming weeks, experts have warned. Goldman Sachs told clients that the increasing glut of oil on the global market […]

Lorraine Mitchelmore is stepping down as the head of Shell Canada. But she’s not going quietly.

NOVEMBER 18, 2015 10:20 AM Extracts Shell has reduced greenhouse gas emissions by 20 per cent per barrel from its oilsands business in the past five years, through many small efforts, including making more efficient use of its trucks. Yet that hasn’t stopped Shell from being a target and paying a high price for the […]

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 […]

Shell finds 100 million oil barrels in deep-water Gulf discovery

Posted on November 18, 2015 | By Collin Eaton HOUSTON — Probing one of its recent discoveries in deep waters of the Gulf of Mexico, Royal Dutch Shell found 100 million barrels of oil equivalent buried at its Kaikias field, nearby three of its massive production facilities and a network of subsea pipes, the company […]

Shell share price: Canada boss leaves company

by Veselin Valchev: Tuesday, 17 Nov 2015, 11:18 GMT Royal Dutch Shell Plc (LON:RDSA) announced yesterday that the boss of the firm’s Canada division, Lorraine Mitchelmore, is stepping down from the company at the end of 2015, following six years at the helm. The move comes less than a month after the Anglo-Dutch oil major abandoned its […]

Shell Plans to Retain Four Senior BG Executives After Merger

By Javier Blas: November 16, 2015 BG COO Sami Iskander to join Shell as head of joint ventures Shell to retain head of BG trading business Steve Hill Royal Dutch Shell Plc plans to retain four senior executives from BG Group Plc after the merger between the two oil and gas groups completes next year, according […]

Fresh doubts over Shell and BG merger as Qatar sells £1bn stake

The Qatar Investment Authority has sold 43m shares in BG Group and a further 24m shares in Shell By Ben Marlow 7:45PM GMT 14 Nov 2015 The Qatar Investment Authority has offloaded shares in Shell and BG worth nearly £1bn in recent weeks, raising fresh questions over whether the oil­giants’ proposed mega-merger has the support of […]

An Oil-Soaked Globe as Production Keeps Climbing and Demand Falls

A version of this article appears in print on November 14, 2015, on page B1 of the New York edition HOUSTON — Such is the state of the oil industry these days that there is sometimes nowhere to put the oil. Off the coast of Texas, a line of roughly 40 tankers has formed, waiting […]

US oil settles down $1.01, or 2.42%, at $40.74 a barrel

Oil fell over 2 percent on Friday, extending the week’s loss to the largest in eight months, pressured by swelling storage of crude on both land and sea. U.S. crude traded slightly above $40 a barrel while benchmark Brent was less than $2 from setting new 6½-year lows. The slump widened to oil products with […]

Shell vessel heads to deep Gulf waters amid region’s uncertainty

Posted on November 13, 2015 | By Collin Eaton HOUSTON — Royal Dutch Shell’s newest oil-production vessel began a 15,000-mile journey this week from a Singapore shipyard to the world’s deepest underwater oil field, tasked with adding more crude to a worldwide oil glut that could upend industry plans to venture deeper offshore. The $1 […]

Are the Oil Sands Going Bust?

Written by Keith Kohl: Posted November 12, 2015 at 6:51PM After backing out of an Arctic drilling program, Shell is taking yet another hit by leaving the Canadian oil-sands in Alberta. To put it simply: the losses were too great. There was no way Shell would have been able to stay competitive, so it decided to […]

Oil price slump causes stock markets in UK and US to fall

Phillip Inman Economics correspondent: Thursday 12 November 2015 19.42 GMT Stock markets have tumbled on both sides of the Atlantic, after a slump in oil prices and uncertainty over the prospect for US interest rates triggered anxiety among financial traders.  German and French stock markets were also hit by reports of an oil glut … FULL ARTICLE

Shell share price: Company not giving up on oil sands

by Veselin Valchev: Wednesday, 11 Nov 2015 Royal Dutch Shell Plc (LON:RDSA) boss Ben van Beurden said last week that the withdrawal from the Carmon Creek thermal oil sands project in Alberta, Canada, does not mean that the Anglo-Dutch oil major has given up on oil sands in general. Shell’s chief executive noted that the company […]

Is Royal Dutch Shell Plc Making A Big Mistake By Acquiring BG Group plc?

By Rupert Hargreaves | 9 November 2015 Royal Dutch Shell’s (LSE: RDSB) £47bn cash-and-stock offer for BG (LSE: BG) is one of the largest takeover deals ever to take place in the UK. However, the deal is also rapidly becoming one of the most controversial takeover deals ever to take place here. One fund management is now […]

Shell share price: Fund manager boss attacks tie-up with BG

Jupiter Fund Management exec likens deal to RBS’ purchase of ABN Amro by Alice Young: Monday, 09 Nov 2015 08:40 GMT A senior executive at one of the City’s biggest fund managers has attacked Royal Dutch Shell’s (LON:RDSA) proposed takeover of BG Group (LON:BG), The Times has reported. The comments come after the Anglo-Dutch giant’s […]

Fund boss blasts Shell’s pursuit of BG Group

Martin Waller: 8 November 2015 A senior executive at one of the City’s biggest fund managers has attacked the proposed takeover of BG Group by Royal Dutch Shell, likening it to the disastrous purchase of ABN Amro by Royal Bank of Scotland in 2007, soon before the financial crisis. Ian McVeigh, head of governance at […]

Saudi Arabia will not stop pumping to boost oil prices

November 8, 2015 Saudi Arabia is determined to stick to its policy of pumping enough oil to protect its global market share, despite the financial pain inflicted on the kingdom’s economy. FULL FT ARTICLE

Shell says $60-$80 carbon price needed to justify carbon storage

Nov 6 2015, 16:59 ET | By: Carl Surran, SA News Editor Royal Dutch Shell (RDS.A, RDS.B) unveils a $1.3B carbon capture storage project for Alberta, but says future efforts to curb greenhouse gases will continue to need financial support from governments. Shell CEO Ben van Beurden says carbon capture and storage projects need a […]

How a poor Nigerian town got Shell to pay for major oil spills

JESSE WINTER: November 6, 2015 For decades, poor residents of the oil-rich Niger Delta have fought the pollution of their lands with little success. Now, writes Jesse Winter, a town ravaged by oil spills has changed the game with a historic court victory against Shell. The Yamaha outboard coughs indignantly but refuses to catch. John Agava […]

Shell update on BG takeover stokes fears for North Sea jobs

The update fuelled fears about the implications for the North Sea, where Shell and BG have around 2,800 staff and contractors working in total. Both have big operations centres in Aberdeen. The company has shed 7,500 posts globally this year in response to the crude price plunge. It has cut 500 North Sea jobs since […]

Shell’s boss fights to keep BG deal alive as he attempts to calm jittery investors

By LAURA CHESTERS FOR DAILY MAIL: 3 November 2015 Royal Dutch Shell chief executive Ben van Beurden is the oil industry’s equivalent of a swan – below his calm demeanour he is furiously paddling to keep his planned £40billion mega-deal afloat. Shell is buying rival BG Group and, to get the deal away and for […]

Angela Macdonald-Smith: November 4, 2015 Royal Dutch Shell remains unequivocally bullish on prospects for liquefied natural gas despite the current market glut, pointing to several options for new supply projects after its planned $US70 billion ($97 billion) takeover of BG Group and plenty of new markets opening up around the world. “The fundamentals of this market look […]

Shell carves more savings from BG Group deal, expects further job cuts

Posted on November 3, 2015 | By Collin Eaton HOUSTON — Shell has found another $1 billion in costs it could shake free after it buys BG Group, company officials said Tuesday, partly in response to critics of the huge acquisition Shell announced when crude was more expensive in the spring. The cuts would mean […]

Shell makes further cost cuts of £650m to keep BG takeover on track

Sean Farrell: Tuesday 3 November 2015 12.43 GMT Investors have been nervous about Shell’s purchase of BG since it was announced in April. At the time, Shell suggested oil prices would recover to $90 a barrel by 2020. However, they have fallen from $115 a barrel last year to less than $50 and are predicted to stay […]

Shell describes Arctic drilling project as a good prospect that just didn’t work out

Associated Press: Nov. 3, 2015 LONDON (AP) — Royal Dutch Shell CEO Ben van Beurden says the company will reflect on its decision to consider drilling off the coast of Alaska but voiced his regret that the prospect couldn’t be made to work out. Van Beurden told reporters Tuesday as Shell updated its strategy that it […]

Shell Says Purchase of BG Group Would Allow Further Cost-Cutting

By STANLEY REED: NOV. 3, 2015 LONDON — Royal Dutch Shell said on Tuesday that its planned acquisition of BG Group, the British oil and gas producer, would lead to major cost-cutting opportunities as well as sales of oil and gas properties. As it prepares to complete the deal, expected early next year, Shell also said […]

Shell Reorganizes Natural Gas Business as BG Takeover Approaches

Rakteem Katakey: November 3, 2015: Maarten Wetselaar to lead stand-alone Integrated Gas business Marvin Odum to lead new Unconventional Resources unit Royal Dutch Shell Plc announced organizational changes in its business as it prepares for its biggest ever takeover amid what it expects to be a prolonged downturn in oil prices. Europe’s biggest oil […]

Shell leaves door open for future exploration in Alaska’s Arctic

Jennifer A. Dlouhy | Houston Chronicle: November 2, 2015 WASHINGTON — Shell is walking away from oil exploration in Arctic waters north of Alaska, but it isn’t ready to close the door completely. Disappointing results from a critical test well at the company’s Burger prospect in the Chukchi Sea, combined with the high costs of developing the […]

Royal Dutch Shell plc Management Day November 2015

LONDON, November 3, 2015 /PRNewswire/ — NOT FOR RELEASE, PRESENTATION, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISIDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.   Competitive underlying performance in low oil prices – planning for prolonged downturn  Both net investment […]

Shell sees $70 billion BG deal working even with $60s/barrel oil

Tue Nov 3, 2015 3:02am EST: LONDON Royal Dutch Shell (RDSa.L) on Tuesday again sought to assuage investor concerns over its planned $70 billion takeover of BG Group (BG.L) as it announced plans for further synergies and cost cuts aimed at making the deal work with oil prices in the mid-$60s a barrel. The Anglo-Dutch […]

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 […]

Big Oil Gears Up For $60 Break-even Price As Profits Sink

Gaurav Sharma: OCT 31, 2015 The latest quarterly results season is receding into the accounting archives, with BP, Royal Dutch Shell, Chevron and the keenly anticipated numbers of Exxon Mobil now with us. That lower oil prices continue to dent profits at the world’s biggest oil companies is no longer news. Figures on their often unloved […]

Shell’s £43bn gamble of a deal for BG is sliding out of reach

The big question facing Mr van Beurden, is whether he can pull off such an ambitious move. If not, his time at the helm will be shortlived. By Ben Marlow: 31 Oct 2015 Ben van Beurden must be sick of answering the same question but unless there is an unlikely sudden surge in the oil price […]

LNG moves from blessing to curse for BG/Shell

By Andy Critchlow October 30, 2015 The author is a Reuters Breakingviews columnist. The opinions expressed are his own. Liquefied natural gas is taking the shine off Shell’s $70 billion takeover of BG Group. When the Anglo-Dutch major launched its deal in April, LNG was one of the main ways it justified the deal to […]

Shell’s $7.4B loss raises stakes for CEO’s big deal

By Rakteem Katakey Bloomberg News: Oct 29 2015 Royal Dutch Shell’s worst loss in at least 16 years has further stoked concerns about the wisdom of buying BG Group. For now at least, investors are still giving Chief Executive Ben Van Beurden the benefit of the doubt. Europe’s biggest oil company said it will press ahead […]

Shell Leads $19 Billion of Gas, Oil Writedowns in Just One Week

Asjylyn Loder: 29 Oct 2015: Shell leads writedowns with $8.2 billion in impairments Predictions of future cash flow have fallen along with prices More than $19 billion in oil and gas writedowns have been reported in a single week as producers acknowledge what investors already knew. Royal Dutch Shell Plc leads the pack in recognizing […]

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 boss confident of ‘good’ ruling from ACCC on BG takeover

Angela Macdonald-Smith: 30 October 2015 Royal Dutch Shell’s global chief executive Ben van Beurden says there is “massive support” from Australian federal and state governments for the oil giant’s $US70 billion ($98.6 billion) takeover of BG Group and is confident the national competition regulator will wave the deal through. Mr van Beurden said even though the decision from the Australian Competition and […]

Shell’s Loss: Oil Prices Aren’t the Only Problem

There is blood in the water at Royal Dutch Shell By HELEN THOMAS: Oct. 29, 2015  There is blood in the water at Royal Dutch Shell. The wound will take some time to heal. The U.K. oil and gas company Thursday posted a huge third-quarter loss, dragged down by impairments of $8.2 billion in its upstream business. […]

In defence of Shell CEO Ben van Beurden

By a regular contributor Only one member of the EC is directly involved in North American activities, Marvin Odum.  Perhaps worth noting is that investment decisions on the scale of the recent Shell write-offs would have required approval by the entire EC in the Hague long before BvB was around. Few of the EC members […]

Even as it walks away from Arctic drilling, Shell keeps door open for future work

Posted on October 29, 2015 | By Jennifer A. Dlouhy WASHINGTON — Shell is walking away from oil exploration in Arctic waters north of Alaska, but it isn’t ready to close the door completely. Disappointing results from a critical test well at the company’s Burger prospect in the Chukchi Sea, combined with the high costs […]

Royal Dutch Shell’s share price tumbles as group posts dramatic loss as falling oil prices take toll

by Catherine Neilan: 29 Oct 2015 Royal Dutch Shell’s share price tumbled this morning after it revealed a third quarter loss of $7.4bn (£4.8bn) as the company gets to grips with the falling oil price.  The figures The Anglo-Dutch oil giant posted its dramatic loss on the back of nearly $8bn-worth of exceptional items. Adjusted net income […]

Low Oil Prices Take a Toll on Royal Dutch Shell in Quarter

By STANLEY REED: OCT. 29, 2015 LONDON — Lower petroleum prices took a big toll on Royal Dutch Shell in the third quarter. The company reported a loss of $7.4 billion, compared with a profit of $4.5 billion in the quarter a year earlier. Adjusted for inventory changes and one-time items — a more closely watched […]

Shell profits slump after huge write-offs

Business News | Thu Oct 29, 2015 7:18am GMT Royal Dutch Shell (RDSa.L) on Thursday reported a sharp drop in third-quarter profits on the back of low oil prices and a hefty $8.2 billion (5.4 billion pounds) charge which included write-offs in Alaska and Canada. Shell’s current cost of supplies (CCS) earnings excluding identified items, […]

Shell Makes Biggest Net Loss in at Least a Decade on Price Slump

Rakteem Katakey: 29 October 2015 Company reports net loss after taking $7.9 billion charge Third-quarter adjusted profit drops 70% to $1.8 billion Royal Dutch Shell Plc reported its biggest net loss in at least a decade as it wrote down the value of assets and lowered its oil-price expectations. The company, which is buying BG […]

Shell halts construction on new Alberta oil sands project

CALGARY, ALBERTA: Tue Oct 27, 2015 Royal Dutch Shell Plc will not continue construction of its 80,000 barrel per day Carmon Creek thermal oil sands project in northern Alberta because of the lack of infrastructure to move Canadian crude to market, the company said on Tuesday. Shell said the decision to halt the project was […]

Profit Down at BP, Which Predicts Era of Low Oil Prices

By STANLEY REED: OCT. 27, 2015 LONDON — The British oil giant BP said on Tuesday that its profit was down sharply in the third quarter as depressed oil prices took a heavy toll. The company, saying it expects prices to stay low for years, indicated that it would continue to cut costs and limit its […]