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July, 2004:

Shell agrees to pay fines of £83m

Jul 30th, 2004
by John Donovan.
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The Times: Shell agrees to pay fines of £83m

“continuing criminal investigation by the US Department of Justice.”: “Both Euronext and AFM, the Dutch securities institute, are also investigating Shell”

By Carl Mortished, International Business Editor

July 30, 2004

SHELL will pay fines totalling £83 million to UK and US stock market regulators as a penalty for offences of market abuse and violation of securities laws relating to its misreporting of oil and gas reserves.

The payments, revealed yesterday by the oil company in a statement that did not concede liability, include £17 million to the Financial Services Authority, the largest fine ever imposed by the UK regulator, and a $120 million (£66 million) civil penalty to the Securities and Exchange Commission. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

The Times: Shell and BASF set to sell $6bn plastics business

Jul 30th, 2004
by John Donovan.
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The Times: Shell and BASF set to sell $6bn plastics business

“first strategic move for the Anglo-Dutch oil company since becoming mired in its oil reserves scandal in January.”

By Carl Mortished, International Business Editor

July 30, 2004

SHELL and BASF, the German chemical company, are preparing to sell Basell, a $6 billion (£3.3 billion) global plastics business, marking the first strategic move for the Anglo-Dutch oil company since becoming mired in its oil reserves scandal in January.

Shell’s plan to cut its exposure to the chemicals sector emerged as the oil company announced second-quarter profits of $3.8 billion — a 16 per cent increase on 2003. The figures include a strong improvement in its refining and chemicals profits, but a weak result from the upstream oil production business, which suffered a 3 per cent fall in profits despite the exceptionally high oil price. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

Simple solutions are best for Shell

Jul 30th, 2004
by John Donovan.
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The Times: Simple solutions are best for Shell

“One of the world’s most trusted investments lost its credibility and its top credit rating.”: “directors and top managers were the authors of Shell’s misfortunes”

By Patience Wheatcroft

July 30, 2004

SHELL shareholders have suffered enough. They have seen oil prices booming, yet their own fortunes have been shrinking. One of the world’s most trusted investments lost its credibility and its top credit rating. Investors have suffered a series of sudden downgrades of reserves of unproven value, resignations of top executives, class-action lawsuits and investigations by regulators in London, New York, Washington, The Hague and Amsterdam.

They have watched shares of their arch rival BP rise 10 per cent so far this year. BP has comfortably beaten the market and is poised to reach new highs on the strength of analysts’ plaudits and buoyant oil prices. Over the same climatically benign period, Shell shares had fallen 7 per cent, until yesterday that is. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

BG’s bet on Bolivian gas could help it to breeze past oil majors

Jul 29th, 2004
by John Donovan.
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The Times: BG’s bet on Bolivian gas could help it to breeze past oil majors

By Angela Jameson

29 July 2004

OIL prices soar and another energy company reports record profits. Sounds like a familiar story but at BG Group there is something different going on.

Of course, BG has benefited from the high oil price but that is not the whole picture. For a start, BG Group is quite a different animal from its giant cousins, Shell and BP. The company is 70 per cent dependent on gas, which means that its earnings are less volatile. And in an increasingly environmentally friendly world, it will reap the benefit of being cleaner than an oil-biased explorer. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

BG investigated over Kazakhstan customs duties

Jul 29th, 2004
by John Donovan.
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The Times: BG investigated over Kazakhstan customs duties

“BG is talking to the Kazakhstan Energy Minister to try to settle the deal on the terms agreed with the partners Eni, ExxonMobil, Shell and Total.”

By Angela Jameson, Industrial Correspondent

July 29, 2004

BG GROUP, the oil and gas producer, is being investigated by the Kazakhstan authorities for alleged underpayments in customs duties from the Karachaganak oil and gasfield.

The Reading-based group yesterday downplayed the investigation into its alleged underpayment of $5 million (£2.8 million) as a “routine audit”. BG rejected suggestions that the investigation was connected with the Kazakhstan Government’s ambitions to buy the company’s stake in a second oilfield. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

BP ‘risking its reputation’ in Russian oil deal

Jul 29th, 2004
by John Donovan.
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The Times: BP ‘risking its reputation’ in Russian oil deal

By Dominic Kennedy

July 29, 2004

BP WAS accused yesterday of gambling with its reputation by buying into a Russian oil company part-owned by the Chelsea football club boss Roman Abramovich.

The warning came from the Liberal Democrat Treasury spokesman Vincent Cable, an oil expert, as shareholders in Russia claim in law suits that they have been cheated of $1 billion in profits.

BP, the London-based oil giant, said it was trying to improve corporate governance in its Russian investments but admitted: “It’s clearly something that’s going to take time.” read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

BG soothes fears over Kazakhstan tax inquiry

Jul 29th, 2004
by John Donovan.
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The Independent: BG soothes fears over Kazakhstan tax inquiry: “BG had planned to sell its stake to its partners, who include Shell, Exxon-Mobil, Total and ENI, until the government stepped in.”

By Michael Harrison Business Editor

29 July 2004

BG, the oil and gas exploration group, yesterday shrugged off an investigation by the Kazakhstan government into alleged non-payment of taxes as a “routine” matter.

Speaking as BG became the latest oil producer to benefit from soaring prices, posting a 16 per cent increase in second-quarter operating profits, Frank Chapman, the chief executive, said BG was in discussions with the country’s tax authorities, as was “usual” in the these circumstances. “It is a routine business and really not exceptional in any sense,” he added. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

BG burns as bright as sector’s giants

Jul 29th, 2004
by John Donovan.
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Financial Times: BG burns as bright as sector’s giants: Royal Dutch/Shell is also expected to report impressive earnings today as a result of higher oil prices.

By James Boxell

Jul 29, 2004

BG Group continued to match its bigger rivals yesterday as it reported a sharp rise in second-quarter profit on the back of record energy prices and continued growth in production.

The UK-based oil and gas exploration company revealed a 20 per cent rise in underlying earnings, a day after BP announced a 23 per cent rise in second-quarter profit. Royal Dutch/Shell is also expected to report impressive earnings today as a result of higher oil prices.

Production volumes in BG’s key exploration and production division, which accounts for most of its profit, rose by 5 per cent in the quarter, although this was down from 9 per cent in the year’s first three months. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

SEC Settlement With Royal Dutch Shell Fails to Fix Governance Flaws

Jul 29th, 2004
by John Donovan.
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Yahoo.com: SEC Settlement With Royal Dutch Shell Fails to Fix Governance Flaws That Allowed Fraud to Occur and Fails to Hold Executives Personally Accountable for Over $150 Million in Fines

Thursday July 29, 3:14 pm ET

SAN DIEGO, July 29 /PRNewswire/ — The Securities and Exchange Commission’s (SEC) decision to end its investigation of the Royal Dutch Shell Group petroleum companies is short-sighted and disappointing because it does nothing to force the company to correct corporate governance flaws that allowed the oil reserve fraud to occur and fails to hold personally accountable the corporate insiders who perpetrated the fraud, the attorney for two large American institutional shareholder groups said today. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

Bloomberg: Shell Pays $150 Million to End Probe; Output May Fall

Jul 29th, 2004
by John Donovan.
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Bloomberg: Shell Pays $150 Million to End Probe; Output May Fall

“hopeful step in ending the reserves debacle that led to the ouster of three senior executives, the loss of a top-tier investment rating and more than a dozen shareholder lawsuits”

July 29, 2004

July 29 (Bloomberg) — Royal Dutch/Shell Group agreed to pay $150 million to settle U.S. and U.K. regulatory probes into the overstatement of its reserves and said the billions spent on drilling may not boost production in the next two years.

Oil and gas output at Shell, Europe’s second-largest oil company, may drop to 3.5 million barrels a day in 2006, down 2.2 percent from now. Second-quarter net income rose 16 percent to $3.77 billion from $3.26 billion a year ago, using accounting that excludes inventory-related gains. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

London Evening Standard: Shell pays over reserves scandal

Jul 29th, 2004
by John Donovan.
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London Evening Standard: Shell pays over reserves scandal

“It still faces a host of multi-billion dollar class-action lawsuits and a US Department of Justice probe.”:

Steve Hawkes, Evening Standard

29 July 2004

TROUBLED oil giant Shell has agreed to fork out £83m in penalties to UK and US stock market regulators to settle the reserves crisis that cast a huge shadow over half-year results unveiled today.

Shell plans to pay £17m to the Financial Services Authority* and $120m (£66m) to the US Securities and Exchange Commission to ‘resolve’ investigations into whether it broke disclosure rules.

It still faces a host of multi-billion dollar class-action lawsuits and a US Department of Justice probe. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

BBC NEWS: Shell fined over reserves scandal

Jul 29th, 2004
by John Donovan.
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BBC NEWS: Shell fined over reserves scandal

“will pay a penalty of £17m to the FSA – the biggest fine ever imposed by the regulator – and a $120m (£65.7m) civil penalty in the US.

The scandal rocked investor confidence

29 July 04

Oil giant Shell has agreed to pay more than £80m in penalties to settle inquiries by US and UK regulators into the firm’s restatement of reserves. The firm slashed its reserves estimates by 20% in January, a move which cost three top executives their jobs.

News of the settlement came as the company unveiled second-quarter net income of $4bn (£2.2bn) boosted by high oil prices from last year’s $2.6bn.

Shell added the review of its corporate structure was moving at a “good pace”. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

Shell fined US$120 million

Jul 29th, 2004
by John Donovan.
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TheStarOnline: Shell fined US$120 million

“Rebuilding credibility” and “regaining trust” are now the company’s key priorities, it said in its annual report.”

29 July 04

LONDON (AP) – The Royal Dutch/Shell Group of Cos. said Thursday it has agreed to pay a penalty of US$120 million to the U.S. authorities over the company’s misstatement of its oil and gas reserves.

Shell announced the fine as it reported a 54 percent increase in quarterly net income that reflected high global oil prices. Net income for the three months to June 30 was US$4 billion, compared with US$2.6 billion in the same period a year ago.

Shell said it had agreed in principle to pay a US$120 million civil penalty to resolve the pending inquiry by the U.S. Securities and Exchange Commission into the reserves downgrading. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

Reuters: Shell pays fines for reserves woes

Jul 29th, 2004
by John Donovan.
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Reuters: Shell pays fines for reserves woes

“Royal Dutch/Shell will pay about $150 million (82 million pounds) in fines for an oil reserves scandal that tarnished its reputation”

“Shell’s profits looked reasonable, but concerns remain over future production.” Oriel Securities analyst Richard Rose

By Sudip Kar-Gupta

Thu 29 July, 2004 09:12

LONDON/AMSTERDAM (Reuters) – Royal Dutch/Shell will pay about $150 million (82 million pounds) in fines for an oil reserves scandal that tarnished its reputation, the group says after reporting higher second-quarter profits.

The world’s third-biggest oil group said on Thursday net profit adjusted for the current cost of supply was $3.768 billion in the quarter, up 16 percent from a year earlier, but below forecasts. The company said production was lower and would fall further. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

The Scotsman: Shell Fined £65M after Reserves Crisis

Jul 29th, 2004
by John Donovan.
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The Scotsman: Shell Fined £65M after Reserves Crisis

“inquiry which found that Shell violated reporting, record-keeping and anti-trust rules.”

By David Winning, City Staff, PA News

Thu 29 Jul 2004 8:07am (UK)

Oil giant Shell said today it had been hit with a 120 million US dollar (£65.7 million) fine following its reserves crisis earlier this year.

The penalty was imposed by the Securities and Exchange Commission (SEC) in the US after an inquiry which found that Shell violated reporting, record-keeping and anti-trust rules.

The Anglo-Dutch group rocked the market in January by announcing that its oil and gas stocks were 20% lower than previously thought. It subsequently downgraded its reserves a further three times. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.

Shell Transport To Resolve FSA And SEC Investigations

Jul 29th, 2004
by John Donovan.
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The Wall Street Journal: Shell Transport To Resolve FSA And SEC Investigations

“Shell to cease and desist from future violations of, the antifraud, reporting, recordkeeping and internal control provisions of the U.S. Federal securities laws and related SEC rules.”

DOW JONES NEWSWIRES

July 29, 2004 3:12 a.m.

Edited Press Release

LONDON — The Royal Dutch/Shell Group of Companies said Thursday that it has reached agreements in principle with the United Kingdom’s Financial Services Authority and the staff of the United States Securities and Exchange Commission to resolve their pending inquiries related to Shell’s reserves recategorisation.

In connection with the agreement in principle with the FSA, Shell will agree, without admitting or denying the FSA’s findings or conclusions, to the entry of a Final Notice by the FSA finding that Shell breached market abuse provisions of the UK’s Financial Services and Markets Act 2000 and the Listing Rules made under it. read more

This website and sisters royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.
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