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Posts under ‘Shell Project Overruns’

Royal Dutch Shell bets on LNG, on an epic scale

By John Donovan The comments below are from a Motley Fool article that draws attention to the fact that Shell’s Prelude FLNG project represents a bet “on an epic scale.”  The author is right. The project is an uninsured, uninsurable risk, which like Shell’s Alaskan ambitions, could potentially destroy Shell.  As to the likelihood of […]

Here’s Why Royal Dutch Shell is Walking a Dangerous Tightrope

Extracts from an article by Bob Ciura published 14 April 2014 by The Motley Fool Heading into 2014, new Chief Executive Officer Ben van Beurden set rigorous capital discipline as his firm’s top priority. Over the past few years, Shell was led on an ambitious growth strategy that involved several high-profile resource acquisitions. Many of […]

Controversial Corrib field to pump gas by next year

Extracts from an article by Sarah McCabe published 10 April 2014 by the Irish Independent The development of the field off the north-west coast has been plagued by setbacks, which have delayed it for more than 13 years. Construction of a 4.9km tunnel under Sruwaddacon Bay, a special conversation area, is also progressing, new company […]

Interior Dept. Preps for Arctic Oil Spills

Extracts from an article by Alan Neuhauser published 8 April 2014 by USNews & World Report They’re preparing for the worst. Interior Department officials recently put out a call for “new and innovative mechanical technologies” to help clean up oil spills in the Arctic. Yet even as ice around the Arctic has melted amid rising global temperatures, […]

Shell seeks urgency on Alaskan litigation

Extracts from an article by Alan Bailey of Petroleum News published week of April 06, 2014 under the headline: Shell seeks urgency: Asks court to accept BSEE proposal in Chukchi Sea lease sale appeal case In an April 2 filing submitted to the federal District Court in Alaska Shell said that it opposes any delay in resolving […]

Shell ignored safety warnings ‘partly to avoid tax’, says US Coast Guard

Terry Macalister theguardian.com, Friday 4 April 2014 14.54 BST Damning allegations are made in the report into how Shell came to allow the Kulluk to run aground in December 2012. Photograph: PA3 Jon Klingenberg/AP Shell has been accused by the US Coast Guard of ignoring safety warnings and moving one of its drill ships in […]

Shell Rushed Rig to Arctic Sea to Avoid Alaska Tax: U.S.

Article by Jim Snyder published Apr 4, 2014 5:00 AM GMT+0100 by Bloomberg News A desire to avoid millions of dollars in Alaska state taxes played a role in Royal Dutch Shell Plc (RDSA)’s decision to move a drilling rig, which later broke free from a tow boat and ran aground on an uninhabited island […]

Shell was underprepared for ill-fated tow across Gulf of Alaska

Extracts from an article by Suzanna Caldwell published April 3, 2014 by AlaskaDispatch under the headline: Coast Guard report shows Shell was underprepared for ill-fated tow across Gulf of Alaska A Coast Guard report released Thursday shows that while a series of events ultimately led to the grounding of a drilling rig designed to drill […]

Poor Management and Tax Dodging Led to Kulluk Grounding

Article by RACHEL D’ORO Associated Press published 4 April 2014 by ABC NEWS under the headline: “Report: Poor Management Led to Shell Grounding” A Coast Guard report says poor risk assessment and management were factors that led to the grounding of a Shell oil drilling rig in the Gulf of Alaska in 2012. The report […]

Norway Warns Oil Companies Against ‘Unacceptable’ Project Delays

Extract from an article by Mikael Holter published 2 April 2014 by Bloomberg News Norway, western Europe’s biggest oil and gas producer, warned companies that “unacceptable” delays to offshore projects risk damaging the goodwill they currently enjoy from the government. Oil companies from Statoil ASA (STL) to Royal Dutch Shell Plc (RDSA) are cutting investment […]

Shell undergoing massive sell off to fix its balance sheet

Extracts from an article poublished Monday 24 March 2014 by MarketWatch under the headline: Ghana’s Jubilee Points to Best Offshore Acreage in the World LONDON / ACCESSWIRE / March 24, 2014 / The oil industry hasn’t started off 2014 with a bang. The oil majors – ExxonMobil, Royal Dutch Shell, Chevron, BP – all posted […]

Shattering weekend for Alan Shatter, Irish Jusice Minister

In the past few days, there have calls for the resignation of the Irish Justice Minister, Mr. Alan Shatter, who dealt with the OSSL corruption allegations against Shell EP Ireland raised in the Irish Parliament on my behalf and engaged in correspondence with me on the subject. I reached the conclusion that he was incompetent […]

Big Oil Drowning in Extremely High Project Costs

Extracts from a Matt DiLallo article published 17 March 2014 by The Motley Fool Big oil has a big problem. Cost overruns around the globe are calling into question the commercial viability of many megaprojects. When Gorgon was approved, the project was expected to cost about $37 billion. However, late last year, Chevron raised the […]

Shell Corrib Gas 12 years behind schedule and four times over budget

Extract from an article by Nick Webb published Sunday 02 March 2014 by Independent.ie THE controversial Corrib gas field is expected to come onstream by “mid 2015.” Gas was originally expected to flow from the Mayo field back in 2003. The project is now likely to be 12 years behind the original schedule. The cost […]