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Wednesday 1 September, 2004 $1.5bn Compensation: Shell to Sue Senate: “SHELL Petroleum Development Company (SPDC) Nigeria Limited may take the National Assembly to court if the Senate forces it to pay $1.5 billion compensation to Ijaw communities for alleged environmental degradation.”

TELLSHELL: Comment by former Shell geologist Dr John Huong on the Financial Times article: Governance: Managers look for the moral dimension: “Post-Enron, post-Shell, post-WorldCom, post-Parmalat” (

THE WALL STREET JOURNAL: Chile Enap Not In Running For Local Shell Assets-Minister: “Shell’s local business, meanwhile, has been the object of intense media speculation in the past weeks, as the company has retreated from several markets in the region and the rest of the world.

Washington Times: Pemex negotiates alliance with Shell

MercoPress: Mexico finds massive oil deposits but…

AFX Europe (Focus): Galp to complete purchase of Shell petrol stations in Spain tomorrow – report

AFX Europe (Focus): Malaysia’s Petra Perdana unit wins 11 mln rgt contract from Sarawak Shell

Financial Times: We will run short of oil for all the wrong reasons: market failure and short-termism Scott & Scott LLC of Colchester, Conn. has filed to become lead plaintiff in the various lawsuits against Cardinal Health Inc.: “The firm is currently lead counsel litigating major shareholder cases including the employee benefits case against Royal Dutch/ Shell Petroleum”


TELLSHELL: Oil companies must be made to follow UN on human rights (re letter from former Shell director Sir Geoffrey Chandler)

Houston Chronicle: Bonus program at Shell revised: Company alters reward system after scandal over reserves

Friends of the Earth: Anger as Shell Rejects Nigerian $1.5 Billion Compensation Order: “Shell’s behaviour in Nigeria is disgraceful. This vast company claims to be a leader in corporate responsibility but its legacy in Nigeria will scar the country for decades to come.”

Thursday 2 September, 2004

THE WALL STREET JOURNAL: Shell’s Dunlin Alpha Oil Platform Reducing Gas Build-Up: “Shell experienced problems with gas build-up in the utility leg of another one of its platforms, Brent Bravo, last year. Two men were killed in that incident.”

Business Report: Shell rejects Nigeria’s $1.5bn damages claim: ‘According to the senate document, the legal panel reported “uncontradicted evidence” of massive oil spills at Shell facilities in Bayelsa state.’ (

Financial Times: Observer: Shell looks at its dashboard: ‘Observer thought the most notable thing about Shell’s “dashboard” was that the fuel gauge was too low.’

The Times: Watchdog’s rules ‘depress investment in smaller companies’: “Many recent City scandals have centred on large blue chip companies, such as Shell, traditionally regarded as “safe”.

The Times: Precipice bonds ban just the start, says FSA: “The tough talk from the City’s main regulator comes just a week after it hit Shell with a £17 million fine for misleading investors over its oil and gas reserves.”

Daily Telegraph: City briefs: Shell fine

Daily Telegraph: Price of petrol ‘to fall’ as US goes back to work: A spokesman for Shell said: “We have started bringing down prices in some areas as a reaction to a fall in the cost of the product.”

Philippine Daily Inquirer: More oil companies raise pump prices: “The energy chief likewise appealed to oil firms not to implement another increase in the next two weeks”

Arizona Republic: Honeywell division gets $5.3 million contract

Reuters: Shell weighs mega sale of power venture: “SULLIED REPUTATION”: “Shell’s reputation as a blue chip multinational was dragged through the mud this year after it revealed a 20 percent overbooking of its oil and gas reserves.”

London Evening Standard: Shell mulls £2.2bn power stake sale: “TROUBLED oil major Shell is said to be considering selling its share of global power venture InterGen for an estimated $4bn (£2.23bn).”

Friday 3 September, 2004

Financial Times: Nigeria MPs seek Halliburton’s exclusion from business: “Nigerian, French and US investigators are probing the TSKJ case, which concerns illicit payments allegedly made in relation to a $12bn gas project jointly owned by the Nigerian government and the oil companies Royal Dutch/Shell, Total and Eni.”: “Shell denied it had colluded with either consortium and said its work as technical adviser had been “rigorous and well-documented”.

The Times: Need to Know: Global Business Briefing: “Royal Dutch/Shell, the embattled oil company…”

THE WALL STREET JOURNAL: Shell Transport. Buyback 1.9M Shares At 414.73P Each

THE WALL STREET JOURNAL: Athabasca Oil Sands Project Sets Monthly Production Record

Daily Mail: Yukos freeze sends oil prices surging:  “The pace of disposals at Shell is accelerating. In what would be a radical move, it may put Intergen, its global power venture with 20 plants, on sale.”: “Shell… is unloading petrol stations and refineries to focus on finding oil and gas.” Group Flays Shell On $1.5bn Compensation: “This stance of Shell is not surprising. They never accept liability until they are truly boxed into a corner”: “As long as there is room for argument, they will kick, scream and resist any form of settlement”.

Business Times (Malaysia): CSR schemes can help raise shareholder value: “forum, sponsored by The Coca-Cola Co, Shell and Genting group”

Jamaica Gleaner: Shell to spend $400m on operational facilities here

Times of India: Seven Indians win Shell scholarships

The New York Times: California Regulators OK Gas Flows From Mexico: “The PUC decided to allow Sempra Energy and Shell to create a border point where LNG would move from Mexican to U.S. pipelines.” National Thermal Power Corp plans to import LNG

Business World: Shell to sell power arm for USD6 bn? “World number three oil firm Shell is expected to put its worldwide power venture InterGen up for sale with a multi-billion dollar price tag as part of a drive to put its house in order.”

El Pais – Spain: Galp finalises purchase of Shell’s Spanish petrol station network

Die Welt – Germany: BASF warns of research transfer abroad if GMO law amendment goes ahead: “BASF, the German chemicals giant, is hoping to sell off Basell, its joint venture with the Anglo-Dutch oil group Shell, and to complete the transaction in the first half of 2005.”

THE WALL STREET JOURNAL: Sulfur-removal Units Blamed For Tainted Gasoline In La.: “Shell now says the tainted fuel also contained hydrogen sulfide, an extremely corrosive compound that occurs naturally in unrefined crude oil.”

THE WALL STREET JOURNAL: Nigerian Senate Reiterates Demand Shell JV Pay $1.5B: “Nigeria’s senate Friday repeated a demand that an oil partnership led by Royal Dutch/Shell Group (RD, SC) pay $1.5 billion in compensation”

Saturday 4 September, 2004

The Times: Thinking big: “edu-tainment”: “when activists stage a protest at the home of the Royal Dutch Shell chairman Sir Mark Moody-Stuart, they end up staying for tea.”

TELLSHELL: The unpalatable truth about Shell Management: “While the Ogoni people sit on top of oil fields, but remain abysmally poor, Sir Philip Watts sits on an $18 million (US dollar) pension pot. It is in my humble opinion simply obscene and indefensible.”

The Guardian: The firefighter: “Calpers has emerged as corporate America’s self-styled moral compass.”: Shell is on Calpers’ annual “focus list”, which identifies the biggest problem companies.”

Daily Telegraph: The week that was: “Shell… latest bid to restore its tarnished reputation”

The Times: Need to Know: Global Business Briefing

The Times: Hollick to step down as UBM chief: “Shell Transport & Trading, the troubled oil giant, is also looking for a chairman to replace Lord Oxburgh…”

Toronto Star: Couche buys 22 U.S. sites from Shell

Sunday 5 September, 2004

Sunday Telegraph: Big Four ‘will not audit banks’ unless liability is limited: “KPMG and PwC are facing a multi-billion dollar class action in the US over their audit of Shell”

Sunday Telegraph: Cairn’s Indian oil find comes in at the top end of City forecasts: “Investors have become concerned about reserves bookings in the wake of the debacle at Royal Dutch/Shell. The Anglo-Dutch oil giant shocked the market in January by revealing it had overbooked its reserves by 25 per cent.”

Pakistan Times: Shell Card introduced, Investment in Pakistan nearly US$ 300Mln

The Observer: The acceptable face of Russian capitalism?

The Business: Kremlin vows to underwrite China’s huge Yukos contract: “The state-owned gas company PertoChina struck out at Moscow in retaliation at the start of August by cancelling a $5.6bn (£3bn,€4.6bn) contract with Russia’s natural gas giant Gazprom, Shell and Exxon-Mobil to build the longest gas pipeline in the country from newly discovered gas fields in western China to Shanghai.”

Monday 6 September, 2004

Financial Times: TMT boom behind step up to respectability: “But the recent history of some corporations – think Shell, Marks and Spencer and Hollinger – shows only how things should not be done.” (this article is the first time that the Shell scandal has been bracketed with Hollinger – for background information on Hollinger, see “The Hollinger Chronicles” below)

Financial Times: The Hollinger Chronicles: the dramatic story of a press baron’s downfall

The Times: Discoveries push £2.4bn Cairn into FTSE 100: “…it will also seal the humiliation of an already shamed Shell”

TimesOnline: Scotland: Cairn to make FTSE 100 debut: “Cairn is poised to join the FTSE 100 index at the quarterly reshuffle, putting it in the same league as giants BP and Royal Dutch/Shell Group.”

TellShell: A debate contribution posted on “TellShell” by Dr John Huong: “Basic moral standards whether learnt from the Sacred Scriptures or even enshrined in a corporate code of conduct, provide an ethical framework from which we depart at our peril. Honesty, integrity, transparency and respect for each other – our family members, work colleagues, friends, business investors and fellow citizens of this crowded planet, are all absolutely vital ingredients if the human species is to survive in a civilised form.”

Business Standard (India): Shell, Caltex move govt on LPG subsidy Shell Malaysia’s Jintan gas field comes onstream

Tuesday 7 September, 2004

Financial Times: French jealous of powers in US and UK: “However, the French were sceptical about a system that allowed companies to escape admission of guilt in return for paying a fine. Shell, for instance, did not admit or deny the FSA’s findings that it breached UK rules on market abuse and listings.”

Financial Times: FSA considers further criminal actions: “Last month, the FSA agreed a £17m (9.6m) penalty with Shell for market abuse associated with its mis-statement of oil and gas reserves.”

The Independent: Market Report: “Cairn bought control of an oilfield in Rajasthan, India, from Shell in 2002. The amazing success of this asset forms the basis of Cairn’s £2.4bn market capitalisation. The group paid Shell just £4m for control of the field.”

The Guardian: BG snatches up Shell’s Nile delta cast-off: “The reserves downgrade – which triggered the departure of its chairman of managing directors, Sir Philip Watts, and others – has turned the spotlight on Shell’s poor record for replacing reserves.”

BBC News: BG expands Egyptian gas interest: BG Group, the UK gas exploration and production firm, has expanded its interest in Egypt, buying Shell’s stake in a joint venture project.

Financial Times: Oil majors put the future on hold: “Even Royal Dutch/ Shell, the Anglo/Dutch energy group struggling to build its oil and natural gas reserves base…”

AFX Europe (Focus): Malaysia’s Petronas-Shell jv makes new gas discovery

Financial Times: BG lifts Egyptian offshore gas stake: “The Reading-based company pre-empted the sale by Royal Dutch/Shell, the Anglo/Dutch energy group, of its interest on the Nile Delta’s Rosetta venture…”

The Guardian: How to pick a winner

Persian Journal: Shell Bids for New Oil Field Development Contracts in Iran

LONDON FREE PRESS (CANADA): Gas wells in ocean out of favour: “After Shell Canada paid $28 million after-tax dollars for its 30-per-cent stake in the Weymouth disappointment, it let all three of its deep water licences expire.”

BG PRESS RELEASE: BG pre-empts Shell’s sale of Rosetta stake offshore Egypt: “BG Group has today announced that it has finalised an agreement for the purchase of Shell Egypt N.V. and Shell Austria G.m.b.H’s (collectively Shell’s) interest in the Rosetta concession”

THE WALL STREET JOURNAL: Shell Gabon, Partner Make Light Oil Discovery

THE WALL STREET JOURNAL: Nippon Oil To Start LNG Production in Sarawak, Malaysia: “Shell Malaysia, a unit of Royal Dutch/Shell Group (RD) is the main project operator.”

THE WALL STREET JOURNAL: Shell Transport Buys Back 1.3M Shares At 417.35P/Shr

Bloomberg: Cairn May Boost Oil Reserves When Giving Results, Analysts Say: “Royal Dutch/Shell Group, whose stock is the worst performer of Europe’s biggest oil companies this year and has said it overstated reserves, sold its stake in the Indian prospect to Cairn in 2002.”

Wednesday 8 September, 2004

Financial Times: Shell faces challenge of where to pump its sell-off proceeds: “While Royal/Dutch Shell has been engaged in its high-profile battles over the international investigations and lawsuits following its oil reserves scandal, it has been quietly conducting a huge sale of assets.”

Financial Times: Oil consortium faces anxious wait as Russia weighs cost overruns: “Shell recently raised its estimate for this year’s capital spending from $13bn to between $14.5bn and $15bn, largely because of budget overruns in Sakhalin and a Nigerian project.”

Financial Times: Engineers: Industry striving to restore its ‘sex appeal’: “In Britain, for instance, the number of people studying chemical engineering is estimated to have fallen by 32 per cent and those studying chemistry fell by 12 per cent in the past five years, according to a study by Royal/Dutch Shell”

Business Times (Malaysia): Petronas-Shell joint venture strikes gas again

The Guardian: Notebook: Are big fines fine?: “Ever since the Financial Services Authority clouted Shell with a £17m fine, a debate has been raging about whether it is right that regulators levy hefty penalties on companies guilty of wrongdoing.”

The Guardian: Why the Big Four do not deserve our sympathy: “PwC, KPMG, Ernst & Young, and Deloitte”: “Lawyers crawling all over them; billion-pound legal suits.”: “…she has turned down the pleas of auditors who want protection from legal actions that might put them out of business.”

The Guardian: Notebook: Time to grow up:  This is the firm that snatched an exploration licence for the Indian state of Rajasthan from Shell for the comical price of £10m – just before Shell owned up to its serial over-statement of its reserves. Cairn proceeded to make a string of discoveries…”

The Guardian: Rajasthan oil takes Cairn into FTSE 100: “Cairn was also able to announce another drilling success in Rajasthan, with a fifth oil discovery near Mangala, which it bought for a song from Shell.”

Daily Telegraph: Modest Scot who has hit the jackpot: “Seven years ago he invested in an overlooked Rajasthan field, buying the last 50pc from Shell for $7.5m in 2002. By last December, Cairn had spent $100m on drilling. Then in January, it struck black gold.”

Daily Telegraph: Cairn joins the big time and pledges to go it alone: “Mr Gammell was generous to Shell, the crisis-hit major that sold its 50pc in the concession for just $7.5m three years ago.”: “Cairn also admitted that it had sold some gas assets in Bangladesh for $180m in 1996 to Shell, only to buy them back this year for $50m, netting Cairn a profit of $130m at Shell’s expense.”

Daily Telegraph: City comment: Too dangerous for us, say auditors: “KPMG is the auditor to Shell, where the American class-action lawyers are just getting going.”

Daily Telegraph: City diary: The S word: “Cairn bosses were doing their best not to mention the “S” word during their presentations (Cairn bought half of its oil-rich Indian concession from Shell for just $7.25m two years ago).”

The Times: Cairn waits for green light on Mangala: “Approval by the Government would enable Cairn to start developing Mangala to extract up to 100,000 barrels of oil a day from the Rajasthan desert bloc it bought off Shell two years ago.” Shell to sell stakes in Belgian gas firms to France’s Suez: “(460 million dollars).”: “The agreement is the result of commercial discussions that had been initiated several months ago,” Shell said in a statement to the London Stock Exchange after the close of trading.

Forbes: Shell’s Belgian Unit Sells Utilities

THE WALL STREET JOURNAL: Shell Sells Distrigas, Fluxys Stake: “Shell Transport reported Tuesday that Belgian Shell has agreed to the sale of its 16.67% interest in each Distrigas SA, the Belgian gas wholesale company, and Fluxys SA, the Belgian gas transmission company…” Shell Canada “buy”: “analysts mention that Shell Canada has declared impressive operational results from its oilsands so far in the current year.”

The New York Times: Asia’s Elite Jet in for ‘Subdued’ Brunei Wedding: “new mood of thrift in a palace once tainted by financial scandal.”: “Now, corporate sponsors are funding a big part of the total cost of celebrations, estimated at around $5 million.”: “Oil and gas firms Brunei Shell and Brunei LNG…”

ChannelNewsAsia: Total dismisses idea of takeover bid for Royal Dutch/Shell: “Total dismissed prospects for a takeover bid aimed at Anglo-Dutch rival Royal Dutch/Shell, which is struggling to recover from a reserves scandal, signalling that such a move would prove too complex.”

Oil & Gas Journal: Shell, PanOcean announce oil discovery AWOKOU-1 on Awoun permit in Gabon Cairn Energy Powers into FTSE 100: “Cairn has seen its shares more than triple since January when it announced the first of 10 finds in India on an oil field purchased from Shell for £4 million in 2002. The company is now valued at more than £2 billion.”

The Independent: Cairn caps FTSE 100 entry with oil find: “Mr Gammell refused to comment on Shell’s decision to sell the exploration block to Cairn for a pittance,…”

AFX Europe (Focus): Royal Dutch/Shell sells 338 petrol stations in Spain, other Spanish ops

Thursday 9 September, 2004

Financial Times: Total chief quashes Shell speculation: “Thierry Desmarest, chief executive of Total, the French oil group, yesterday poured cold water on speculation he was interested in bidding for Anglo-Dutch rival Shell.”

Financial Post – Canada: Not interested in Shell bid, Total CEO says

THE WALL STREET JOURNAL: Total Chairman: Pricey Oil Rivals Not A Good Buy Bargain: “I won’t even mention Shell,” Desmarest said at a strategy briefing.: “Total was not at the origin of the merger (speculation),” he said.

Financial Times: Suez thanks lucky star: “Gérard Mestrallet could not have picked a better moment to buy Shell’s interests in two Belgian gas companies.”

Business Times (Malaysia): Shell shares rise on gas discovery news: “SHARES of Shell Refining Co (Federation of Malaya) Bhd rose briefly yesterday following reports that its joint venture with Petronas had made another gas discovery offshore Kelantan.”

Daily Mail, London, business briefs column: “SHELL agreed to sell 338 petrol stations to Canary Islands group Disa.”

The Times: Need to Know: Global Business Briefing: “Royal Dutch/Shell will sell 338 petrol stations in Spain” Shell Solar, GEOSOL and WestFonds open World’s largest solar park – Leipzig, Germany

THE WALL STREET JOURNAL: Portugal’s Galp Eyes Spain Expansion Despite Shell Blow: “Earlier Wednesday, Shell said it had sold its 338 gasoline stations and other assets in Spain to Disa Corporacion Petrolifera…”

The New York Times: Oil Explorers Searching Ever More Remote Areas: “Exxon Mobil, BP and Shell will have to find a total of 4.4 billion new barrels of oil each year just to replace their current production.”

Business Day (South Africa): Shell, US in liquefied natural gas talks: “A consortium led by oil giant Royal Dutch/Shell is in the final stages of negotiating the first-ever contract to sell Russian liquefied natural gas (LNG) to North America”

Friday 10 September, 2004

East Texas Review: Fired Shell CEO gets big severance: “Shell had been cooking its books Enron-style, claiming to own way more oil reserves than it actually has.”: “Thieves In High Places” Special report: King at Cairn: It’s the tale of David and Goliath, the fleet-footed, smart Cairn against the lumbering, floundering Shell…”: “…he has to say only one word to his critics who want him to play this more cautious, stay-at-home, game. The word is Shell.”

AFX Europe (Focus): Australia to sign energy agreement with Mexico – report: “…one of its Gorgon partners, Shell, have signed letters of intent covering 20-year contracts from Gorgon which could be used to supply the US west coast.”

The Independent: The $5m royal wedding: “…sponsored by local companies, including the oil and gas firms Brunei Shell…”:  “the royal family itself was hit by a major financial scandal surrounding the Sultan’s brother, Prince Jefri…”
(Shell’s contribution/gift/sweetener was reportedly $500,000!)

The Times: Need to Know: “A group led by Royal Dutch/Shell…”

Business Times (Malaysia): MOU to increase trade ties with Aussie state

Saturday 11 September, 2004

Financial Times: R Dutch/ Shell to give no update of review: “Six weeks ago, Shell, the world’s third largest energy group, revealed that its production was declining and that it was unable to find sufficient new sources of oil and natural gas to replace old fields.”

Financial Times: Lombard: The art of inflicting pain: “A lively debate on the subject has ensued since the Financial Services Authority, the City policeman, fined Royal Dutch/Shell a record £17m for market abuse”

The Scotsman: FSA chief hits right note on investor responsibility: “In the wake of a splurge of recent fines, particularly the record £17 million penalty on Shell for the oil giant’s reserves shortfall and cover-up, there have been those who have argued that it is the culpable directors who should bear the penalty, not the companies and investors.”

The Independent: btw: “The royal wedding in Brunei was quite a spectacle”: “The Asian wing of Royal Dutch Shell allegedly bunged in 500,000 Brunei dollars (about pounds 160,000)”

Daily Telegraph: Honest John’s Agony column extra: “fill up with Shell Optimax”

The Guardian: Russian island oil spill

Financial Times: Opec barely registers on Beaufort scale

The Telegraph (India): HPCL eyes stake in Shell LNG project: “Shell’s $700-million project, with a capacity of 2.5 million tonnes, will be commissioned by 2004.”

Sunday 12 September, 2004

The Business: Total feels no need to deal: “tipped to merge Royal Dutch/Shell out of its misery.”: “But since merger heat began to build around the company, Total’s executives have worked hard to dampen it.”

The Business: Buccaneer who struck black gold: “Two years ago, Cairn bought out Shell completely for £4m and kept drilling.”: “Cairn kept going where the mighty Shell gave up”: “Cairn has a market capitalisation of £2bn, compared with £6m when Gammell founded the company in 1980.” News Analysis: Can Shell survive reserves affair? Last week, the FSA imposed the largest fine in its history on Shell for market abuse over the oil reserves scandal. A Shell PR veteran traces the firm’s reputational demise.: “the reputation of Shell has been destroyed by hypocrisy, mendacity and deceit. Whether we will ever be able to be ‘sure of Shell’ again is very doubtful indeed.” 

The Independent Shell sale poised to set record: “Analysts say that Shell would use the proceeds to invest in its upstream operations, in particular to boost its flagging oil and gas reserves.”

The Observer: Environmentalist fury over oil spill at Shell pipeline site:  “Shell’s £6 billion Sakhalin oil pipeline has not even been built yet, but it has already caused a damaging oil slick that has enraged environmentalists and could force potential lenders to pull funds.”: “Refusal to support the project would be a severe embarrassment for Shell.”

The Observer: Opec’s new price shock: “BP is one of four oil and energy companies looking to sell off part of its chemicals operations – others include Royal Dutch/Shell, Total and BASF.”

Canberra Times – Australasia: Petrol deals push sales – Woolworths versus Coles: the battle of the supermarket giants: “Coles Myer acknowledged the strength of this strategy by forming an alliance with Shell to provide a similar offer in late 2003.”

TellShell: Should Shell sue The Independent newspaper for libel?

Times of Oman: Shell Oman cares for its customers

Monday 13 September, 2004

New York Times: Oil Up as Ivan Threatens Oil Patch: “Ivan, a rare category 5 hurricane, is expected to cross the western edge of Cuba on Monday and enter the Gulf of Mexico on Tuesday having veered west from its previous path toward Florida.: “The Gulf is home to about a quarter of U.S. oil and gas output. Shell closed 270,000 bpd and ChevronTexaco and Total said they had also shut some output.”

The Shell doubles up on advisers for class action: “The ambit of the claim against Shell is likely to be extended today (13 September) when Stanley Bernstein, senior partner of Bernstein Liebhard & Lifshitz, who is acting as the claimants’ lead counsel in the lawsuit, files an amended complaint against the oil company.”

Financial Times: KPMG chairman lobbies for limits to liability in lawsuits: “following a wave of business scandals: “Mr Rake declines to comment on KPMG’s audit of Hollinger International, the US publishing company allegedly looted by Conrad Black, its former chairman. But he defends KPMG’s audit of Royal Dutch/Shell, the energy company found overstating its oil and gas reserves.”: “…insists auditors cannot “take responsibility for everything”.

Financial Times: FSA fights shy of interventionism: “The FSA was criticised by some commentators for its decision to fine Shell £17m for misreporting reserves. This penalised shareholders who had already seen the value of their holdings suffer.”: “However, it does seem reasonable to deliver a message to shareholders that they have the responsibility to ensure senior [managers] manage their company well and they should share in the consequences of management not behaving well.”

The Guardian: Davis exit likely to cost Sainsbury’s £4m: “He joins the growing list of chief executives such as Sir Philip Watts of Shell who have left companies with large pay-offs in spite of poor performance, sparking shareholder protests.”

Moscow Times: Shell Under Fire After Sakhalin-2 Spill: “Environmental activists renewed criticism of Royal Dutch-Shell’s Sakhalin venture Friday…”

THE WASHINGTON TIMES: Oil, gas ease an old enmity: “Sakhalin II, led by Royal Dutch Shell and with 45 percent Japanese ownership, has broken ground for the world’s biggest liquefied natural gas plant at Prigorodnye, southern Sakhalin.”

Financial Times: Interview with Tony Trahar (CEO, Anglo American plc): “We have an English chairman, Mark Moody-Stuart”: “Financial Times: What lessons for Anglo American can be learned from the Royal Dutch/Shell issue?”: “Trahar: I think our board as a result of the Shell issues has taken a very detailed look at our policies valuing reserves.”

Financial Times: Call for Opec to let in oil majors to boost output: “Total, together with Royal Dutch/Shell, the Anglo/Dutch energy group, last year became the first western oil companies to sign a natural gas investment deal with Saudi Arabia.”

Financial Times: KPMG head predicts global partnership: “KPMG’s Dutch partnership certified the accounts of the Royal Dutch/Shell group, but lawyers seeking damages over its reserves scandal are preparing actions against the firm’s US partnership.”

AFX Europe (Focus): Shell to give no governance review at Sept strategy update – FT: “…at a meeting with about 10 UK institutional investors last week, van der Veer said that all decisions regarding future structural changes would be announced in November.” Moral, Ethics and Engineered Torture in the Corporate Environment: “It is courageous of Mr Briggs to openly state his professional assessment that the “Reputation of ***** has been destroyed by hypocrisy, mendacity and deceit”.

Tuesday 14 September, 2004

The New York Times: Oil Rises as Hurricane Heads Toward U.S.

Financial Times: Shell faces new dilemma in south Nigeria: “Almost 10 years after execution of the Ogoni author Ken Saro-Wiwa and eight fellow rights activists caused international outrage, Shell is involved in another deepening dispute in the Ogoni region.”: “Shell does want to do essential maintenance in the region on the trans-Niger pipeline, which carries 185,000 barrels a day of production. It has just stationed members of Nigeria’s paramilitary mobile police – whose public notoriety is such that they are nicknamed “kill and go” – to guard its facilities after it experienced problems with tampering.”

The Guardian: Shell’s pounds 17m will be used to reduce fees levied by regulator: “The reduction is almost entirely due to the penalty paid by Shell for “unprecedented misconduct” in misleading the markets over the reporting of its oil and gas reserves.”

Oil & Gas Journal: Total denies rumors of courtship with Shell, ConocoPhillips

AUSTRALIA PRESS: Shell Considers Queensland Power Exit

AFX Europe (Focus): Shell may undertake 1 bln usd Singapore petrochem project on its own – report


The Guardian: BP upbeat on Russian prospects: “The early promise of the venture has also put pressure on BP rival Shell, which was hit this year after it overstated its reserves.”

THE WALL STREET JOURNAL: Hurricane Ivan Drenches Western Cuba; Headed Toward US: “…oil prices shot up nearly $1.50 a barrel Monday as oil and natural gas producers evacuated rigs in the Gulf of Mexico. Shell Oil said it was evacuating 750 workers.”

The Guardian: Ivan intensifies terrible hurricane year for insurers: “Shell was shutting down productions in the gulf as a precaution yesterday and oil prices were rising on fears that damage could lead to sustained reduced production.”

Financial Times: Oil futures up on Hurricane Ivan fears: “Shell Oil, the US subsidiary of Royal Dutch/Shell, said it was shutting production of 272,000 barrels a day in the eastern Gulf.

Lloyds List: Sovcomflot in breakthrough Sakhalin II LNG contract: “Shell-led Sakhalin Energy Investment will time charter the 147,200 cu m vessel for 20 years.”

Wednesday 15 September, 2004

AFX Europe (Focus) Shell reserve inquiry widens as attention turns to executives – report: “Sources told The Times that the investigation was at the earliest of stages and that no arrests or indictments were foreseen at present.”

The Times: Shell inquiry widens as attention turns to executives: “THE US Attorney’s office in New York has demanded boxes of documents related to the alleged oil reserve fraud at Royal Dutch/Shell, signalling an escalation of a federal investigation into the scandal.”: “disgruntled American investors amended their lawsuit to include Sir Mark Moody Stuart…”: “The lawsuit also names PriceWaterhouseCoopers UK and KPMG”


The Oregonian: Freedom gap, credibility gap near-cousins: “Royal Dutch/Shell agreed three weeks ago to pay the SEC $120 million to settle an inquiry into the company’s vast overstatement of its oil and gas reserves. The fraud inflated profits. No admissions or denials of wrongdoing here, either, but the company nobly vowed not to violate securities laws in the future.”: “You’ve got to be awed by the corporate stealth operators. Even when they’re conspicuously guilty, most of them prove themselves rich enough or influential enough to buy their way out of cell time.”

Oil & Gas Journal: FACTS Inc.: Iran needs to move off high center on LNG exports: “With Shell putting Persian LNG as its top priority, we consider Persian LNG ahead of the pack,” said analysts.”

Oil & Gas Journal: Consultant: US pressure disrupts development of Iran’s South Azadegan field: “Royal Dutch/Shell Group declined an offer from the third partner, Inpex Corp., to join that consortium.”

Home of F1 News: Ferrari could lose Shell: “It’s also suggested that oil company ‘Total’ CEO Thierry Desmarest may be looking to buy the ‘Royal Dutch/Shell’ Group.”

Financial Times: Straight-talker ready to take risks: “It was a move so daring that five years later Mr Desmarest was seen – until last week when he ruled it out – as one of the only men capable of considering a bid for Royal/Dutch Shell, Total’s far bigger, yet distressed, rival.”

The Australian: Power stations to change hands: “Shell’s corporate spokesman Simon Buerk said the company had not announced any intention to sell down its stake. However in a strong hint to possible movements, he said Shell had an active divestment program under way.”

Financial Post (Canada): Ivan shuts down oil production: Crude prices jump as 13,000 workers abandon drilling rigs in Gulf of Mexico: “Motiva Enterprises LLC, a joint venture between Royal Dutch/ Shell Group and Saudi Refining Inc., began shutting its oil refinery in Norco, La., which can process 225,000 barrels of crude oil a day. Motiva is reducing production at Convent, La., which also has a 225,000 barrel a day capacity.”

AP Worldstream: OPEC weighs output increase amid Hurricane Ivan, insurgents’ attack in Iraq: “Shell began pulling workers off its platforms Sunday. BP and others followed suit Monday”

Business Times (Malaysia): Retail sector may see extra RM400m in festive sales: “Such changes, it said, should attract the right investments in upstream exploration to reverse the trend of Malaysia’s dwindling oil reserves. The recent deep-water discoveries by Shell and Murphy Oil have not been a catalyst for such incentives.”

THE WALL STREET JOURNAL: OPEC Mulls Output Hike As Traders Wait For Ivan’s Impact: “Shell began pulling workers off its platforms on Sunday. BP and others followed suit on Monday.”

AFX Europe (Focus) Shell reserve inquiry widens as attention turns to executives – report: “Sources told The Times that the investigation was at the earliest of stages and that no arrests or indictments were foreseen at present.”

The Times: Shell inquiry widens as attention turns to executives: “THE US Attorney’s office in New York has demanded boxes of documents related to the alleged oil reserve fraud at Royal Dutch/Shell, signalling an escalation of a federal investigation into the scandal.”: “disgruntled American investors amended their lawsuit to include Sir Mark Moody Stuart…”: “The lawsuit also names PriceWaterhouseCoopers UK and KPMG”

The Guardian: Crude prices rise as Ivan halts production in Gulf of Mexico:  “There was encouraging demand for new exploration acreage in the UK North Sea. Energy minister Mike O’Brien offered 97 offshore licences to 58 companies. Among those that have been awarded new scope for work in the North Sea are BG, Shell and Total.”

The Scotsman: Hurricane Ivan fuels oil rise: “Shell said that it had shut 270,000 barrels per day of oil production in the eastern Gulf and would evacuate workers from the central Gulf”

Lloyds List: Battening down the hatches: “Shell Oil has closed 270,000 barrels per day of oil output from its tension-leg platforms”

Lloyds List: North Sea licences awarded: “European oil majors BP, Eni, Shell and Total, plus US oil companies Amerada Hess, ChevronTexaco, Apache and Kerr-McGee have gained licences in the round.” EU Commission approves Repsol’s acquisition of Shell Portugal assets

THE WALL STREET JOURNAL: John Wood Group Reappointed By Shell UK

Thursday 16 September, 2004

Financial Times: Former Shell chief challenges regulator’s censure: “The FSA violated my statutory rights to review and rebut the allegations contained in their recently published Final Notice against Shell, because I was both identified and prejudiced by the publication,” Watts said in a statement.” Former Shell Chairman Appeals Censure: “The Financial Services Authority’s final notice, issued on Aug. 24, said Shell had made false or misleading announcements in relation to its hydrocarbon reserves and reserves replacement ratios between 1998 and 2003, and had made those announcements despite indications and warnings that they were false.”

London Evening Standard: Shamed Shell chief hits back: “The move is a bolt from the blue from Shell’s former chairman, ousted in disgrace in March over the scandal that has led to the worst year in the group’s history.” Shell offers ‘no comment’ on power stations’ future

San Jose Mercury News: Problems mount for sale of Bakersfield refinery, sources say: “We’ll explore our options if we believe Shell is not acting in good faith.”: “Lockyer and the Federal Trade Commission have already launched investigations into whether a shutdown would violate antitrust laws.” Globacom, Shell Partner to Curb Unemployment: “Economic and social experts have described unemployment and poverty as the main reasons for the restiveness in the Niger Delta.”

THE WALL STREET JOURNAL: Oil Cos Agree To Code Easing North Sea Pipeline Access: “Oil companies in the North Sea, including heavyweights BP PLC (BP) and Royal Dutch/Shell Group (RD, SC) have agreed with the U.K. government to adhere to a new code of conduct aimed at easing access to undersea pipelines.”

Friday 17 September, 2004 Illinois sues Shell Pipeline Co.: “The Illinois attorney general’s office is suing the subsidiary of Shell Oil Company”: “A spokesman for Shell Pipeline Company says officials did not know that the 200 tons of soil they dumped at a landfill was contaminated with benzene — a chemical that has been linked to cancer”

BBC NEWS: Dozen killed in Lagos fuel blast: “Nigeria is one of the world’s major oil producers but most of the population lives in poverty.”


London Evening Standard: Vision needed to revitalise Shell: “It is just six months since possibly the biggest post-Enron scandal erupted at Shell with the stunning admission that a group regarded as one of the most reliable in the world had lied about the health of its business.”

London Evening Standard: Shell ‘to create single board’: “ONE OF the most outspoken shareholder activists in Shell believes the creation of a single board under chief executive Jeroen van der Veer is now a ‘fait accompli’.”

CNNMoney: Shell may present recovery plan: “Royal Dutch/Shell Group is expected to try to put the damaging scandal of its overstated oil reserves behind it when it gives its annual strategy presentation next week.”

THE WALL STREET JOURNAL: Shell’s Ousted Ex-Boss Breaks Cover, Slams FSA: “Both of Shell ‘s parent companies – Royal Dutch Petroleum Co., of The Hague, and London-based Shell Transport & Trading Co. – as well as Watts, Van de Vijver and other individuals face purported class action law suits in the U.S. from aggrieved shareholders. Watts and other involved individuals still also face probes from the SEC and the U.S. Justice Department.”

Financial Times: Sir Philip drops a fightback bombshell: “Topping the roster of misdemeanours was the assertion that Shell had “announced false or misleading proved reserves and reserves replacement ratios to the market throughout the period 1998 to 2003 inclusive”.

New York Times: Ousted Shell Chairman Assails Regulators: “Sir Philip continues to face investigations by British and American regulators and is a defendant in some of the dozen investor lawsuits filed against Shell since its restatement of reserves.”

The Scotsman: Ex-Shell Chairman Challenges Watchdog over Oil Reserves Scandal: “The FSA found Shell guilty of market abuse and the Anglo-Dutch company last month agreed to pay £17 million to the FSA. (

International Herald Tribune: Shell’s ex-chairman makes counterattack:  “The overstatement of Shell’s reserves by 20 percent, first disclosed in January, has led to more than a dozen shareholder lawsuits, the loss of the company’s top-tier credit rating and the departure of three senior executives, including Watts. His defense may slow Shell’s efforts to move forward, one analyst said.”

Bloomberg: Shell Decides Against Update on Governance Next Week (Update1)

Financial Times: Lombard: Sir Philip comes out fighting: “Much more than personal reputation looks at stake here. The FSA has not closed its inquiry into Shell, and Sir Philip’s lawyers indicated on Thursday there was an ongoing investigation in relation to him.”

The Independent: Ex-Shell chief Watts demands public tribunal to clear his name

The Independent: Outlook: Sir Phil Watts: “…if I were Sir Phil, I’d lie low and save my redundancy cheque for the welter of class actions that are already being heaped upon him. He’s on a hiding to nothing defending himself against the FSA, for even if he does show abuse of process, he won’t escape blame for this shameful episode. If Sir Phil’s not to blame, who on earth is?”

The Times: Ousted Shell chief takes FSA to court: “The FSA accused Shell of “unprecedented misconduct” resulting in market abuse and breach of listing rules.”

Daily Telegraph: The week in which a watchdog came under a heavy Shelling: “Sir Philip Watts is hardly going to enjoy being linked with Robert Maxwell but he probably owes the fat fraudster rather more than he realises.”

Daily Telegraph: Watts attacks FSA over ‘flawed’ Shell inquiry: “Sacked boss says watchdog violated his rights in ruling on reserves scandal”

The StarOnline (Malaysia): Shell to invest RM50mil on 50 autoserv outlets nationwide Shell Awarded Eight Blocks in 22nd Offshore Licensing Round

Indo-Asian News Service: India – Angola may foil Shell’s bid to sell shares to India

Saturday 18 September, 2004

The Guardian: You can’t be sure of Shell, says the City: With an investor charm offensive this week and a terrible year behind them, executives must be nostalgic for the group’s imperial past:  “Shell will this week make a desperate attempt to draw a line under the oil reserves scandal…”


Financial Times: Test of power for market watchdog: Sir Philip Watts, ousted chairman of Royal Dutch/Shell, has complained that the FSA “identified and prejudiced him” in its action against the company.

Irish Independent: Shell keen to put scandal behind it

AP Worldstream: Shell finds no damage at 5 U.S. Gulf oil gas platforms

The Times: Inside info: Shell: Erum Loan, the Shell recruitment manager for the UK, Ireland and Southern Europe, tells us what is needed if you want to get a graduate career with the oil giant away from the oilrigs and forecourts

The Times: BUSINESS WEEK: Times Online’s guide to the week’s business stories:  “We can be pretty sure of Shell delivering a strategy briefing. But what, after such a torrid 2004 for the oil giant, might it contain?” Shell Awarded Eight Blocks in 22nd Offshore Licensing Round

Indo-Asian News Service: India – Angola may foil Shell’s bid to sell shares to India

Sunday 19 September, 2004

THE MAIL ON SUNDAY: Day of destiny draws near at troubled Shell: “Shares in Shell fell as low as 348p in the wake of the scandal, and while it has since regained its pre-crisis level, it is still lagging far behind rival BP…”

The Observer: Our red badge of failure: “Did the great Shell really falsify its oil reserves over many years, with top people conniving at, instead of jumping on, the deceit?”: “Yes, they did.”

Scotland On Sunday: Eyes on Shell again as new boss tries to fight back: “…Cairn Energy – the Edinburgh firm which looks set to rake in bucketloads of cash from Indian assets it bought for a song from Shell – officially begins trading on the FTSE100 tomorrow.”

Sunday Herald: Different approaches to dealing with shame: “Now, most people confronted with the evidence displayed in an e-mail trail between senior people in the company discussing reserves going back more than two years would have opted for keeping their headdown. Not Sir Philip.”: “Mind you, with the number of other investigations still being conducted into the Shell reserves affair, it was unlikely that Sir Philip was going to be free of “my learned friends” any time soon.”

The Business: Judgment day for new Shell boss as he faces the City: “Hopes that the group would seal a gas deal in Libya by the time of the meeting appear to have been dashed. Shell’s lead negotiator in Libya last week told The Business that agreement had yet to be reached.”

The Observer: When Shell freezes over: “The Anglo-Dutch group will tighten up its sloppy board structure, which arguably contributed to the reserves scandal. Power will be concentrated in one board, rather than three, and the group will have a single chief executive. But big deal. That’s what most sensible companies do already.”

The Observer: Shell ‘to scrap dual board structure’: “Shell chief executive Jeroen van der Veer has accepted that the beleaguered Anglo-Dutch oil company must overhaul its complicated structure and introduce a single board, according to a key investor.”

Independent On Sunday: Shell weighs multi-billion share buyback to win over investors: “Shell, the tarnished oil giant…”

Sunday Telegraph: City Diary: Hedge Hopper: “Martyn Hopper of Herbert Smith is the legal beagle sinking his teeth into the Financial Services Authority for being beastly to Sir Philip Watts, the ousted former chairman of Shell.”

The Business: Opec paying price for ban on oil majors: “Qatar, eager to catch up in the Middle East, has given Exxon Mobil, Total and Royal Dutch/Shell stakes in the North Field and used them to build liquefied natural gas schemes.” What Matters Most: Shell Oil’s CSR Crisis in the North Sea:  “Shell’s actions — and Greenpeace’s reactions — had created a full-scale international incident.”: “What Greenpeace had helped Shell to realize what that its reputation was a far more valuable and perishable commodity than the Brent Spar itself”

THE WALL STREET JOURNAL: Shell Has A Chance To Impress With Strategy Update: “management will Wednesday try to convince the market that the humbled Anglo-Dutch oil giant is on the road to recovery after years of weak performance and a headline-grabbing reserves scandal.”

Monday 20 September, 2004

THE NEW YORK TIMES: YUKOS Woes Drive Oil Above $46 a Barrel: “Shell Oil (SHEL.L) (RD.AS) said Monday it saw no significant impact from Hurricane Ivan on its oil and gas production facilities in the Gulf of Mexico, and expects full, or near full, recovery in output this week.”

Daily Mail: Shell launches charm offensive: “Shell shares at 417 1/2p have recouped their losses on the reserve shock. That should help in fighting US legal claims, but it is largely due to the soaring price of crude.”

Daily Telegraph: Shell asks publisher how to manage its Anglo-Dutch split: “Executives at crisis-hit oil and gas giant Shell have approached Reed Elsevier for tips on how to copy its management structure”

Financial Times: NLNG still faces challenges: “Investors in the $12bn project – the Nigerian government and oil companies Royal Dutch/Shell, Total and Eni – are hoping the optimism surrounding the project will survive challenges presented by Nigeria and the world gas market.”

Financial Times: FSA chief pledges to ‘make an example’ of groups breaching rules: “He indicated that the record £17m fine imposed on Royal Dutch/Shell for overstating its oil reserves set a new benchmark for the level of fines that would be levied on leading companies that failed to discharge their responsibilities to investors.”

The Scotsman: Comment:  “Walter van de Vijver, head of exploration at Shell, got £2.5m and his boss Sir Philip Watts £1.1m. These hand-outs are a disgrace. They undermine popular capitalism. They throw goodwill down the drain.”: “Little wonder small investors are turning away in droves from the stock market.”

Financial Times: “While Royal Dutch/Shell has been grappling with its corporate structure in the wake of the scandal over its overbooking of reserves, attention has been drawn away from the parlous state of its oil exploration business.”


The Times: Need to Know: “Royal Dutch/Shell, the oil giant, is on Wednesday expected to unveil its annual strategy after a year of shock downgrades of its oil and gas reserves.”

THE WALL STREET JOURNAL/BARRON’S ONLINE: Scapegoat?: “Sir Philip Watts, Royal Dutch/Shell’s ousted chairman, defended his role in the oil conglomerate’s energy-reserves scandal.”

THE WALL STREET JOURNAL: Australia’s Coles Myer Set To Unwrap Bumper FY04 Profit: “It now has some 600 Coles Express outlets via its alliance with Shell (RD), which analysts recognize has helped lure shoppers from competitors.”

THE WALL STREET JOURNAL/ DOW JONES NEWSWIRES: Air Liquide In 15-Yr Deal To Supply Energy To Shell Unit

Tuesday 21 September, 2004

PRNewswire: 130,000 New Shell Credit Card Applications During Second Quarter Promotion

London Evening Standard: ‘Plumber’ seeks legal aid for appeal: “The setback comes only a week after former Shell chairman Sir Philip Watts said that he was taking the FSA to the tribunal for the way it allegedly pointed the blame at him when it fined Shell £17m for market abuse relating to oil reserves overstatements.”

The Pasadena Citizen: Shell Deer Park refinery set to implement environmental mandates: “Officials at Shell DP had no comment on the pending county lawsuit.”

The Herald: Cairn’s net asset value soared 275%, claims fund manager: “…Cairn is considered a possible takeover target for the bigger multinationals such as BP, Exxon or Shell who need to continue growing their reserves either through new discoveries or buying up smaller players.”

IFAOnline: Oil’s well for now, renewables can wait a while, says managers: “Capable management contrasts with stories of, for example, Shell ‘losing’ billions of barrels of proven reserves…”

Financial Times: Mudlark: Shell risks cracks at Plaisterers’ Hall

The Guardian: Market forces: “Shell, meanwhile, added 5p to 422.5p as dealers bet that the company would announce radical changes at tomorrow’s strategy update.”


THE WALL STREET JOURNAL/DOW JONES NEWSWIRES: Russian Supply Constraints Push Crude Futures Higher: “Monday Royal Dutch/Shell Group unit Shell Oil said it had restored full oil and natural gas production at a number of its offshore Mexico fields and was ramping up output at others.”

Wednesday 22 September, 2004

Reuters: Shell makes oil find off Malaysia: “We are delighted to announce this highly significant discovery, our second offshore Sabah oil discovery within a year,” Shell Malaysia Chairman Jon Chadwick said in the statement on Wednesday.

London Evening Standard: Shell’s battle plan fails to win City: “But the overhaul promised by the Dutchman left the City distinctly unimpressed after he failed to commit to increasing share buybacks and admitted that it may be 2009 before oil and gas output grows.”

London Evening Standard: FSA bites back over ex-Shell boss

YahooNews/PRNewswire: Shell Hosts Strategy Review: Regaining Upstream Strength, Delivering Downstream Profits: $45 billion in capital expenditure 2004-2006 anticipated: Focus on more Upstream gas and oil: Extend LNG leadership position: $10-12 billion in divestments planned 2004-2006: “Disclaimer statement”: “subject to risk factors…”: including potential litigation and regulatory effects arising from recategorisation of reserves…”

Bloomberg: Shell Says It Will Sell More Assets, Increase Capital Spending: “The company settled investigations with the SEC and the U.K.’s Financial Services Authority in July. Probes by the U.S. Justice Department, the Dutch securities regulator and the Euronext stock exchange are continuing.”

The Times: FSA chief’s warning on upsurge in legal challenges: “CALLUM McCARTHY, chairman of the Financial Services Authority, hit out last night at the soaring number of lawsuits against the City regulator in what appeared to be a veiled swipe at Sir Philip Watts, the former chairman of Shell.”

The Times: Strategy to emerge from Shell: “The oil company’s annual strategy presentation, to be held today in London, is viewed as a crucial test for Shell’s senior directors. Analysts are looking for evidence that Shell can fill the gap left by the removal from its proven reserves of 4.4 billion barrels of oil and gas.”

The Times: European Briefing; Western oil firms face risk of being stung by Russians: “Oil companies don’t mind difficult governments so long as they let them run the oil business. In Russia, it is clear that no such deal is on offer and it would be foolish for BP or Shell to believe that Russia is the answer to their oil reserve problems.”

Financial Times: FSA chairman warns against embracing ‘litigious society’: “…Sir Philip Watts, the ousted chairman of Royal Dutch/Shell, said he planned to challenge the FSA’s findings on the company’s oil reserves.”

Financial Times: Tough choices for oil companies in the quest to head off a global capacity crunch: How technology can squeeze more crude out: “Oil companies have found it difficult to locate new oil reserves. Shell this year became the industry’s most dramatic example, having to cut its proved reserves estimate by more than 20 per cent after struggling to find oil and providing the US Securities and Exchange Commission with false data from 1994 to 2002.”

Financial Times: Nigerian gas venture to get $1.28bn loan: “…international banks and credit agencies lent $1.06bn to a Royal Dutch/ Shell-backed Nigerian liquefied natural gas project intended to become one of the largest in the world.”

Financial Times: Gazprom looks to the world stage: “Separately, Gazprom is trying to muscle its way into the Sakhalin-2 project where Shell holds a 55 per cent interest.”

The Guardian: Appeals slow FSA disciplinary process: “The latest high-profile application to the tribunal was made last week by Sir Philip Watts, former chairman of Shell…”

Bloomberg: Shell Chairman May Accelerate Asset Sales, Buyback (Update1): “Royal Dutch/Shell Group Chairman Jeroen van der Veer, saddled with lawsuits and government probes related to Shell’s oil and gas reserves…”: Probes by the U.S. Justice Department, the Dutch securities regulator and the Euronext stock exchange are continuing.”

Daily Mail: City watchdog flexes its muscles: “McCarthy heralded Shell’s record £17m fine, saying it was four times greater than any previous penalty. He said he wanted to change the behaviour of firms and individuals, suggesting that fines could continue to grow.”

AFX UK (Focus): Shell to spend 4 bln usd to boost Canada’s Athabasca bitumen output UPDATE

Thursday 23 September, 2004

THE WALL STREET JOURNAL: Shell Pegs Budget For Exploration To Higher:  “Mr. van der Veer declined to discuss details of an internal review of the company’s corporate structure. Shell is studying whether to change its dual-board structure, which critics have blamed for obscuring accountability in Shell’s reserves scandal. The company expects to unveil options in November.”

The New York Times: MARKET PLACE: A Strategy for Shell? “…it has paid $150 million in fines after investigations by United States and British regulators. It still faces about a dozen lawsuits and may suffer more negative publicity as one of the executives, Sir Philip Watts, the former chairman, mounts his defense.”

Daily Telegraph: City diary: On omission to explain: “…Xpose Awards – “celebrating the confusion between rhetoric and reality”. BAE Systems, Shell and British American Tobacco fight it out for the “best omission” award”

Daily Telegraph: We’ll be running to stand still until 2009, says Shell: “…Mr Van der Veer was dismissive of suggestions it might merge with French giant Total. He said: “The fact that [that story] can get legs shows that our reputation is not where we want it to be.”: “Shell was embarrassed about selling a field in North India to oil minnow Cairn Energy for a few million dollars which later yielded hundreds of millions of barrels of oil, he said.”

Daily Telegraph: City comment: For a company that has so long considered itself top of the heap in the oil game, the humiliation inside can only be guessed at. Even Jeroen van der Veer, Shell’s top executive, had to admit the business was in crisis…”: “Shell’s slide show was ghastly. Meaningless management-speak phrases such as “fix and reset the business” and “growth in markets of choice” might have been designed to reassure, but instead showed that Shell’s problems extend beyond its reserves issue.”

Daily Telegraph: FSA denies Watts’ complaint: “The Financial Services Authority yesterday said it was “confident” of seeing off a claim from Sir Philip Watts that his rights had been “violated” after the FSA fined Shell £17m over the reserves scandal.”

The Scotsman: Wall Street rattled by Fed as Shell fails to please City: More questions than answers: “Most investors believe the overstatement of reserves fiasco shows Shell was seriously flawed under the current management structure, and want a single unified board instead.”

The Scotsman: Shell fails to impress City with growth plan: “SHELL yesterday said it would plough $45 billion (£25bn) into the business between 2004 and 2006 to drive organic growth in the wake of the oil reserves overstatement fiasco that prompted big regulatory fines and damaged the group’s City credibility.”

KESQNewsChannel3: Companies show interest in Shell’s Bakersfield refinery

The Guardian: Shell’s revival plan falls flat in the City: Oil group to invest $45bn with no guarantee that production will increase: “A crucial strategy briefing to reignite City confidence in Shell fell flat yesterday with investors “underwhelmed” by forecasts of flat production growth and no major commitment to share buybacks.”

Financial Times: Slick display glosses over difficulties: “While most observers agreed that its presentation was slick and thoughtfully put together, the lack of underlying substance was also apparent to some.”: “To shift attention away from the reserves debacle, Mr Brinded pointed out that Shell’s underlying resources were still some 60bn barrels of oil, the same as before the reserves readjustment. However, one analyst said Mr Brinded’s highlighting of the 60bn barrel figure was misleading…”

Financial Times: Shell spending plans dash buy-back hopes: “Royal Dutch/Shell again disappointed the markets… …it dashed hopes for a share buy-back, announcing that it would spend $45bn (€37bn) over the next three years as it seeks to repair the damage caused by its reserves scandal.”

The Times: Troubled Shell puts faith in high oil price for recovery: “The focus on growth drew scorn from analysts, who said Shell should focus on generating cash. “It was a fairly inept performance,” one said.”

The New York Times: Shell’s New Strategy: Spend, Sell Assets: “Years of under-investment and scatter-gun exploration of smaller-than-needed prospects has left Shell failing to find more oil and gas than it pumps out of the ground each year.”

Financial Times: Shell Plan Disappoints Investors: “Scandal-hit oil giant Royal Dutch/Shell will invest $45 billion over three years to boost reserves and production but its shares fell on disappointment it did not extend a stock buyback program.”: “Shell’s reserves cut caused the ousting of its previous top directors, led to $150 million in regulatory fines and cost the group its “AAA” top-grade credit rating.”: “Shell is such a long turnaround story that BP looks a less risky bet,’” said Cavendish Asset Management fund manager Paul Mumford.”

Financial Times: Lex: “Royal Dutch/Shell is trying to regain its reputation.”: “Thanks to high oil prices Shell’s share price has more than regained the ground lost in this year’s reserves scandal. But, while a rising tide lifts all boats, there is little in Shell’s strategy to significantly narrow the gap with rival BP”

The Guardian: Shell unveils $15bn recovery plan: “The reserves scandal forced Shell’s chairman, Philip Watts, to resign, along with Walter van de Vijver, its oil and gas chief and its chief financial officer, Judy Boynton. The company was fined by the financial services authority in the UK and the securities and exchange commission (SEC) in the US.”

Friday 24 September, 2004

Voice of America: Shell Oil Evacuates Employees from Niger Delta in Nigeria

Reuters: Shell evacuates staff from Nigerian conflict: “Multinational oil giant Royal Dutch/Shell has evacuated non-essential staff from two oil production plants in Nigeria where troops are fighting a major offensive against rebel militia, a spokesman said.” Shell & Repsol Sign 4 Billion Dollar Natural Gas Deal With Iran

AlertNet.Org: Shell evacuates staff from Nigerian delta conflict: “Anglo-Dutch oil giant Royal Dutch/Shell has evacuated non-essential staff from two flow stations in the Niger delta, where Nigerian government forces have been attacking rebel militia, a company spokesman said on Friday.”

The Guardian: Democratic Dutchman with a charisma bypass:  “One of his endearing traits is to ask his exploration director Malcolm Brinded, a more natural performer it must be said, to tell him if he gets things wrong: “Malcolm, check me if I drop the ball,” van der Veer said at one stage.”: “An outsider would be better suited for that post, especially as van der Veer’s name comes up, along with other Shell directors, in class actions in the US. It must be hard to focus on the way forward with the cloud of the past hanging over you…”

London Evening Standard: Eerie echo for new Shell boss: “Whether van der Veer turns out to be the leader Shell needs is not yet clear.”: “another faceless unknown emerged from the depths of a huge oil company to explain why the business was on its knees, why the board had decided to fire the chairman and what he, as the new man in charge, planned to do to put things right.”

The Times: COMMENT: Well, well, well: “Shell has made six “significant finds” since the start of last year and they might have been involved in more had it not, famously, sold for a pittance its stake in the fruitful Mangala field in India to Cairn.”: “…Shell’s great lucky break was that its annus horribilis has coincided with the strongest oil market for more than 20 years.

The Times: Pumping jargon but not profits: “…there is even a new mantra, Enterprise First, with which to goad the staff into “top-quartile performance”.”

The Times: Need to Know: “Royal Dutch/Shell and Repsol, the oil and gas giants, have reached a project framework agreement with the Iranian Government…”

THE WALL STREET JOURNAL/DOW JONES NEWSWIRES: UPDATE:Tax Bill Approval Means Boost For Wind Energy Cos: “The tax credit should also push forward projects sponsored by companies like Shell Wind Energy, which is owned by Royal Dutch/Shell Group”

The Independent: Michael Harrison’s Outlook: Shell supertanker steers into deeper waters: “brotherly love has been notable for its complete absence inside the South Bank politburo, where the motto has been stab someone in the back before you are made to walk the plank yourself.”: “The truth is that Shell will not begin to emerge from the black cloud which enveloped it in January until it has fundamentally changed the way the business is run and governed.”

Financial Times: Total tiptoes to Russia: “Quite simply, Total was envisaging a bid for its larger but troubled oil rival Shell. Last week, Mr Desmarest poured cold water on the idea, stating he was not interested in big acquisitions.”: “To qualify for membership of the club of super oil majors, an American dimension is even more necessary than a Russian one. There is an easy way to achieve this: merging with a debilitated Shell before it recovers or is taken over by another rival.”

Financial Times: Shell to spend $45bn over three years: “Royal Dutch/Shell intends to spend $45bn over the next three years as it looks to repair the damage caused by its oil reserves scandal.”: “They needed to show whether they had the right people in charge to fix things. I think they have failed dismally here.”

The Guardian: Shell failed to bounce back from Wednesday’s drubbing. It slipped 11.25p to 406.75p after Deutsche Bank, which has been one of its biggest fans, re moved the stock from its buy list Thursday Papers: Shell under pressure – tips and comment: Shell comes in for a hammering in the press today after yesterday’s disappointing statement.

Business Times (Malaysia): Shell’s service efficiency scheme to boost jobs: “The official was asked to comment on a news report posted on the’s website recently which said that Shell is cutting 600 to 800 IT jobs in the US and relocating them offshore, mainly to India and Malaysia.”

Financial Times: Observer: Shell-shocked: The chairman of the Anglo-Dutch oil giant told yesterday’s strategy meeting that things had got so bad that even those French upstarts at Total had been rumoured to be considering a bid.

Financial Times: Letters: Market in need of a ‘most probable’ reserve estimate: By Eric Knight

AFX Europe (Focus): Repsol, Shell sign 4 bln usd gas contract with Iran govt – report

Lloyds List: Shell pledges $45bn to rebuild reserves and reputation:  “The strategic review is designed to restore investor confidence after Shell’s shock disclosure in January that it had wrongly accounted for a fifth of its oil reserves.”

New Straits Times (Malaysia): Major oil discovery off Sabah ..LD: KUALA LUMPUR, Wed. – Shell Malaysia announced today that a Shell-Petronas Carigali-Conoco Phillips joint venture has made another important oil discovery in waters offshore Sabah. The discovery was made by the Malikai-1

Business Times (Malaysia): Oil stocks rally on joint venture discovery off Sabah: “SELECTED oil-related counters closed higher yesterday on heavy volume following news of a major oil discovery off Sabah by a Shell-Petronas Carigali- Conoco Phillips joint venture, dealers said.”

The Times: Oil’s not well for Shell directors: “The debacle over the reserves lifted the lid on an organisation that appears to have knowingly deceived investors.”: “It was when Sir Mark Moody-Stuart was in charge in 1998 that a paper was produced under the title: Creating Value through Entrepreneurial Management of Hydrocarbon Resource Values. Inflating the reserve figures certainly did that.”

The Age (Australia): Shell spends big to recoup ‘lost’ oil: “Managing director of exploration and production Malcolm Brinded admitted that Shell’s reserve replacement rate would only be 100 per cent over the next five years – less if the “lost” barrels were excluded.”

Daily Express: Shell pumps in £25bn to restore reputation

Daily Express: Training is the key to avoiding new fiasco: “SHELL has so far trained more than 2,000 staff to ensure the way they book future oil reserves will meet regulations laid down by the US watchdog, the Securities and Exchange Commission.”

Daily Mail: Shell clams up on reforms: “SHELL’S attempt to put the reserves scandal behind it by blitzing investors with some big spending numbers did not inspire market confidence. The company faces a huge credibility gap over its past exploration failures, so there is not much optimism…”

Daily Mail: Long game strategy set to test the market’s patience

THE WALL STREET JOURNAL/DOW JONES NEWSWIRES: Shell Pakistan Urges Govt To Increase Retail Oil Prices

Saturday 25 September, 2004

Chicago Tribune: Hurricane disruptions spur oil loans to Shell, Placid

The Scotsman: Shell clears Nigeria bases

The Independent: Private Investor: ‘The company has had a rotten recent history, but the new management team now seems determined to restore investors’ faith in Shell by going “back to basics”.’

Daily Telegraph: City briefs: Shell buyback

Daily Telegraph: City Diary: Shell shocked: “Is BP, Exxon or, er, Shell a “model company setting standards and behaviour and operating practices for a global company”? …which of them “demonstrates honesty, integrity and strong ethical thinking in the conduct of the business”? By this point I can contain myself no more. Shell hardly needs such a silly and expensive exercise to know the answers.”

THE WALL STREET JOURNAL/DOW JONES NEWSWIRES: Crude-Oil Prices Climb To New Settlement High: “…oil loans made to refineries from the U.S. emergency petroleum reserve…”: “Companies such as Shell Transport & Trading Co. sought the loans after Hurricane Ivan disrupted oil imports and production. Shell spokesman Mark Singer confirmed Friday the company had negotiated a crude loan, but wouldn’t disclose the terms.”

San Mateo Daily Journal: Government agrees with Shell, Placid Refining for oil from reserve: WASHINGTON — An agreement has been reached to lend 1.7 million barrels of oil from the government’s Strategic Petroleum Reserve…”

The Times: Price of oil remains burning issue

The Times: That was the week: “Shell, the beleaguered oil group, reveals that it is pinning its hopes on long-term high oil prices…”: “…fails to impress the City, with shares falling 14p to 418p on the day.”

THE WALL STREET JOURNAL/DOW JONES NEWSWIRES: Shell : 2 S Nigeria Oil Facilities Evacuated Over Clashes: “The Niger Delta People’s Volunteer Force claims to be fighting for self-determination for an estimated 8 million ethnic Ijaws, the largest tribe in the impoverished oil region where locals accuse joint ventures run by the government and oil companies of cheating them out of wealth produced in their land.”

BBC News: Shell pulls staff from oil region: “The human rights organisation, Amnesty International… …said that 500 civilians may have been killed and thousands of others displaced in the ongoing security crackdown. Shell evacuates platforms: “Clashes between troops and militia fighters forced oil giant Royal Dutch/Shell to evacuate two oil facilities in Nigeria’s southern oil region, the company said on Friday.”

AFX Europe (Focus): Shell evacuates 200 workers from Nigeria oil region; says output not affected

MSNBC: Hopes pump up for Shell refinery (Bakersfield): “Shell is not including its pipelines in the sale, which could limit buyer interest and may violate the company’s agreement with the attorney general to make a good-faith effort to find a buyer.”

The Independent: Sainsbury and Tesco undercut by Shell: “THE SUPERMARKETS’ reputation as the cheapest petrol retailers was undermined yesterday by research showing Tesco and Sainsbury have both been undercut by Shell.”


Sunday 26 September, 2004

THE NEW YORK TIMES: Nigerian Rebels to Widen Conflict, Target Agip: Companies fear a repeat of last year’s uprising by members of the Ijaw tribe, which forced them temporarily to shut 40 percent of the country’s 2.5 million barrel per day output.: “We have decided to declare Operation Locust Feast which will cover the whole Niger delta. It is going to be an all-out war against the Nigerian state.”

THE BUSINESS: BP’s Azerbaijan venture to pump up pipeline capacity: “David Woodward, president of Azerbaijan operations for BP, which is managing the project, told The Business the company was close to agreement with Eni, Royal Dutch/Shell, Exxon Mobil, and France’s Total to ship oil from the giant Kashagan oil development in Kazakhstan…

Bloomberg: Shell May Build Chemical Plant in Qatar, Energy Minister Says: “The Anglo-Dutch company is counting on Qatar to help recover proven reserves, which it said in January had been overstated for years.” Nigerian rebels target Agip: “Despite fighting in the area, Shell said there has been no disruption to its production and exports. Shell accounts for roughly half of Nigeria’s daily exports of 2.5 million barrels. Companies fear a repeat of last year’s uprising by members of the Ijaw tribe, which forced them to temporarily shut 40% of the 2.5 million barrel daily output.”

Sunday Telegraph: Market miscellany: It’s too early to buy Shell: “Over the past year Shell has made a habit of delivering nasty surprises, notably its disastrous admission in January that it had overbooked its proven oil and gas reserves by 25 per cent. Last week the oil giant’s long-awaited strategy presentation for once contained no surprises – but it didn’t impress either.”

Sunday Telegraph: Shell agrees to cull surplus non-execs: “Executives of Royal Dutch/Shell, the Anglo-Dutch oil giant, have agreed to make a huge cull of its non-executive directors…”: “Meanwhile Judy Boynton, the discredited former finance director, is understood to be likely to agree her severance package in the next two weeks.”: “Her position was seen as untenable after the reserves debacle.”: “It is understood that her package will be close to her contractual terms, which guarantee a payoff worth at least $1m.”

Sunday Telegraph: Rebels fight government to control Nigerian oil: “on Thursday, the oil giant Shell evacuated more than 250 non-essential members of staff from two facilities in the Niger Delta.”

The New York Times: Oil Prices Rise Again As Production Lags: “…one factor that may have contributed to Friday’s rise in prices was violence in Nigeria that forced Royal Dutch/Shell Group, which accounts for roughly half the country’s daily exports of 2.5 million barrels, to evacuate two oil facilities.”

Sarawak News: 399 Ex-Employees Of Shell Win Suit For Refund Estimated At RM100 Million: “The Miri High Court has ordered Sarawak Shell Bhd (SSB), Sabah Shell Petroleum Co Ltd (SSPC), the Trustees of Shell Sarawak and Sabah Retirement Fund (SSSRBF) and Shell Sarawak and Sabah Provident Fund (SSSPF), to pay nearly RM100 million to 399 former employees” (Sabah Shell Petroleum Co Ltd is a UK company)

Monday 27 September, 2004

USA TODAY: Oil nears $50 as storms, global tension drive prices: “In Nigeria, rebels seeking political reforms in the impoverished oil-producing Niger delta scored a success with the closure by Royal Dutch/Shell of a small 30,000 barrels a day. Shell evacuated some staff as a security precaution as government troops battle militia, threatening deliveries from the country that pumps 2.5 million barrels daily.”

Bloomberg: Oil Jumps to Record, Nearing $50, on Threat to Nigerian Supply: “Royal Dutch/Shell Group’s venture in Nigeria evacuated 235 employees from the Niger River delta Friday amid clashes between government troops and armed militants.”

The Times: Wind farmers go for world record: “PROMOTERS of the world’s largest offshore wind energy project, to be built off the coasts of Kent and Essex, have begun canvassing community groups to ease objections to the £1 billion development.”: “E.ON is a one-third partner in the project, along with Shell and Core, a private-equity consortium.”

The Times: Financial regulator doubles total fines: “The recent fines record was dominated by the £17 million penalty meted out in August to Shell for repeatedly misleading shareholders over its oil and gas reserves.”

Rte: Shell buy expands DCC UK business: “DCC’s energy division is to acquire the business and assets of Shell Direct UK for a total of €23m. Shell Direct supplies heating oils and transport fuels to domestic and commercial customers in Britain.”

Bloomberg: Crude Oil Rises on Slower-Than-Expected Recovery of U.S. Output: “Production losses caused by Hurricane Ivan prompted the U.S. government to agree to loan oil from the Strategic Petroleum Reserve, an emergency stockpile, to refiners. Shell Trading Co. U.S., a unit of Royal Dutch/Shell Group, will receive 1.4 million barrels of oil…”

HK Stock Exchange: Release from Shell Elec Mfg (Hldgs) On Delay Of Circular: “The Company has applied to the Stock Exchange for a further extension of the deadline for despatch of the circular in relation to a loan of HK$160 million advanced by the Group to Pacific Top”

Daily Express (UK): SHELL’S ANNUS HORRIBILIS: Jan 9, 2004: Reserves downgraded; shares slump: Mar 7: Chairman Sir Philip Watts ousted: Apr 19: E-mails about ‘lying’ revealed: Apr 24: FSA launches probe: Jun 6: Shell forced to speed up structural reform: Jul 29: Fined £84m by US and UK watchdogs: Sep 22: New investment strategy

BP/SHELL MERGER? THE BUSINESS: BP seeks go-ahead for European oil mergers: “…has Royal Dutch/Shell in its sights. Its rival’s share price has been reeling from the recent writedown of oil assets and threatened legal action.”: “A combined BP and Shell would dwarf ExxonMobil with $340bn of assets against $180bn. New York brokerage Oppenheimer, says a BP/Shell merger would lead to $10bn of synergies within five years and that it could sell a further $10bn of assets to beat regulatory hurdles and provide cash for a share buyback. Oppenheimer argues that only a new management team would lift shares. “BP is an ideal merger partner for Shell and shareholders of both companies should urge such a. combination,” said John Cusick, oil analyst at Oppenheimer. “If they wanted to merge, they could find a way around competition hurdles.”

Financial Times: Lawsuits hit non-US companies: “The companies involved include Royal Dutch/Shell, Nortel Networks, Nokia, Adecco and Parmalat.”

Tuesday 28 September, 2004 Nigerian Oil Wells Marked Part of $15b Shell Investment: “Several top brass including chairman Philip Watts were ousted in the wake of Shell’s restatement of reserves. It later emerged that several senior executives had been aware of problems long before they were made public. The oil giant was fined a total of 150 million dollars by US and British regulators last month.”

Bloomberg: Shell Shuts Some Nigerian Oil Output as Tension Rises (Update1): “Violence in the Niger River delta, where Nigeria’s oil is produced, kills about 1,000 people a year, according to a confidential report funded by Shell.”

THE NEW YORK TIMES/REUTERS: Oil Charges Over $50 on Nigeria Threat: “Oil prices raced to new record highs above $50 on Tuesday as rebel threats against Nigerian oil facilities threatened to inflict further strain on global supplies.”: “Shell has already cut 30,000 to 40,000 bpd due to security curbs.: “U.S. crude stocks have fallen for the last eight weeks and are running at a 13 million barrel deficit compared with a year ago, at a time when they should be building ahead of winter.”

THE NEW YORK TIMES: Oil Nears $50 as Gulf Storms Curtail Output: “A spokesman for Royal Dutch/Shell, Andy Corrigan, said in London that Shell had evacuated 235 nonessential workers from the Port Harcourt region of Nigeria on Friday because of a “tense security situation.”

London Evening Standard: Shell could quit Niger Delta: “…“the latest outbreak of violence in Nigeria is simply the beginning of a civil war that could force Shell into a huge shake-up of its activities in the oil-rich country.”: “Shell’s links with Nigeria reached a low point nine years ago when Greenpeace said the giant had blood on its hands after the government executed activist Ken Saro-Wiwa.”

The Times: Nigeria violence pushes oil price to new record: “Shell said it had removed some 200 non-essential workers from an area close to Soku, where the oil company has a hub facility that collects gas from oil wells across the region for delivery to Nigeria LNG, one of the world’s biggest gas liquefaction plants, located on Bonny Island.”

THE WALL STREET JOURNAL: Low Oil Inventories in U.S. Signal High Prices May Stay a While: “Royal Dutch/Shell Group, the largest operator in Nigeria, has withdrawn nonessential personnel from Nigeria’s southern petroleum regions. Nigeria produces about 2.4 million barrels a day of highly desirable, light, low-sulfur oil.”

London Evening Standard: Oil price soars over $50 a barrel: “The rebel group accused Royal Dutch Shell, Nigeria’s largest oil producer, and Italy’s Agip of ‘collaboration with the Nigerian state in acts of genocide against our people’.”: ‘We now think that crude oil could reach $61,’ warned investment bank Morgan Stanley.

MSNBC: How high will oil prices go? With supplies squeezed, demand continues to grow

MSNBC: Nigerian rebels: ‘All-out war’ to start Friday: The rebel group’s leader, Mujahid Dokubo-Asari, accused Royal Dutch Shell, Nigeria’s largest oil producer… …of “collaboration with the Nigerian state in acts of genocide against our people.”

Financial Times: Shell unit purchase fuels DCC expansion: “DCC, the Irish sales and marketing group, has agreed to buy Shell Direct UK for €20.1m (£13.7m).”

BBC Monitoring Service: Japanese energy mission visits oil and gas facilities in Russia’s Far East: “The British and Dutch company Royal Dutch Shell and Japan’s Mitsiu and Mitsubishi trading and investment corporations are participants in the Sakhalin-2 project.”

Financial Times: Global equity markets move into broad retreat: “The market faces the prospect of years without sufficient flexibility or insulation from shocks during a period of extreme geopolitical stress,” Paul Horsnell of Barclays Capital told Reuters.”

The Guardian: Nigerian fighting pushes oil price to record high: “”Once again the security situation in Nigeria is proving to be a real concern,” said Simon Wardell, oil analyst at World Markets Research Centre in London.”

Daily Mail: Crude puts skids under Footsie: “RECORD oil prices cast a dark shadow over friendless stockmarkets.”: “Shell edged up 1 1/2p to 408 3/4p, despite losing up to 40,000 barrels per day of oil output in Nigeria.”

Financial Times: Technology: Wanted: toolkit for global job ads: “Shell, the multinational oil giant, had a multilateral problem.”

Financial Times: Crude hits new highs on Nigerian fears: “Crude oil hit $50 a barrel in after-hours trading in New York on Monday evening…”: “Royal Dutch/Shell Group said it had shut up to 40,000 barrels per day of oil production for security reasons. Shell last week evacuated 235 staff from two oilfields as government troops launched raids on nearby communities to track down militants.”

Norway Post: Oil & Gas: Record price for crude: “The price for light crude on Monday came close to US$ 50 a barrel. The reason is unrest in the oil-producing nations Nigeria and Saudi Arabia, according to analysts.”

The Scotsman: Days of cheap oil over as prices reach record levels: “An industry source said that Shell has lost up to 40,000 barrels of daily oil production as violence swept across Nigeria’s Delta region.”

Daily Telegraph: Nigerian violence pushes world oil prices to record: “Violent clashes between soldiers and militants in Nigeria pushed the oil price to record highs yesterday as Shell airlifted out its workers.”: “Supertanker charges have risen by close to 80pc in the past two weeks, allowing owners to get four times what they need to break even.”

Wednesday 29 September, 2004

THE NEW YORK TIMES/REUTERS: Nigerian Oil Delta Rebel Says Meeting Obasanjo: “A recent consultant report for Shell estimated that about 1,000 people die every year because of communal and political unrest in the delta, where the majority live in abject poverty despite the oil wealth under their soil”: “…his ideas are reminiscent of rebels such as… Ken Saro-Wiwa, who was hanged by the late military dictator Sani Abacha in 1995.

THE NEW YORK TIMES/REUTERS: Nigerian Oil Delta Rebel Says Meeting Obasanjo: “A recent consultant report for Shell estimated that about 1,000 people die every year because of communal and political unrest in the delta, where the majority live in abject poverty despite the oil wealth under their soil”: “…his ideas are reminiscent of rebels such as… Ken Saro-Wiwa, who was hanged by the late military dictator Sani Abacha in 1995.

THE WALL STREET JOURNAL/DOW JONES NEWSWIRES: Russian PM To Talk To Shell About Shtokmanov – Interfax


The Independent: Petrol prices set to rise as crude holds at $50 a barrel: “Crude oil prices have surged following hurricane damage to Gulf of Mexico supplies, uncertainty over the Russian oil giant Yukos, violence near Shell’s Nigerian sites and tensions in the Middle East. Some analysts say crude prices could reach $60 before coming down.”

Daily Telegraph: Oil gushes through $50 level for the first time: “Meanwhile, Shell staunchly refused to shut down production in Nigeria, despite threats from militants of an “all-time war” from Friday. Shell has evacuated 235 workers and has temporarily lost about 30,000-40,000 barrels of oil a day from the region.”

Financial Times: Violence in Nigeria forces Shell to cut output

Financial Times: Fifty dollar oil: “…the world will have to get used to a future in which new oil no longer comes from stable areas such as Alaska and the North Sea but increasingly from risky and unstable parts of the planet.”

Financial Times: Good news boosts energy and mining sectors: “but Shell fell 0.3 per cent to 407½p as investors switched into BP”

AFX Europe (Focus): Unocal, Royal Dutch/Shell cancel East China Sea project

Bloomberg: CNOOC to Develop Gas Field Without Unocal, Shell (Update1)

AP Worldstream: Nigerian militia threatens “full-scale” armed struggle in oil region: “Donald Boham, a spokesman for Royal Dutch/Shell’s subsidiary, Shell Petroleum Development Company of Nigeria Ltd., said “we’re not really worried about the threats. But we have to watch the situation as it develops.”

The Washington Post: Oil Continues Upward March: “Royal Dutch/Shell Group of Cos… withdrew nonessential personnel from the Niger Delta, said Simon Buerk, a London-based spokesman for the company. Citing policy, Buerk would not say whether production in the country was reduced as a result of the personnel withdrawal.”

The Guardian: Some Total for sale:  BP and Shell… may come under pressure this morning as the City digests a huge share placing in French oil group Total.”

Thursday 30 September, 2004

THE NEW YORK TIMES: Nigerian Oil Delta Peace Talks to Resume After Truce: “Nigeria’s top producer, Royal Dutch Shell Group, said it evacuated more than 200 workers from two oilfields located near fighting, and closed one flow station pumping 28,000 barrels per day.”

Financial Times: Shell, Unocal pull out of Chinese venture: “Royal Dutch/Shell, the Anglo-Dutch oil group, and Unocal of the US have withdrawn from a gas exploration and development scheme in the East China Sea, the second time in two months western energy companies have walked away from a Chinese-led project.”

THE WALL STREET JOURNAL: ConocoPhillips to Buy Stake in Lukoil: “Meanwhile, the rush for a foot in the Russian door continued on other fronts yesterday as top executives at Royal Dutch/Shell Group met with Russian Prime Minister Mikhail Fradkov during his visit to The Hague.”

The Times: Nigerian troops prepare for oil war after rebels threaten attacks: “On Tuesday, Royal Dutch Shell, which produces half of Nigeria’s daily output, said that it had had to shut down one of its flow stations. It said that the decision had cost it 28,000 barrels a day of production.”

Times OnLine: Oil prices to ’cause global recession’: “The Niger Delta People’s Volunteer Force, accusing Shell and Agip, the oil giants, of “collaboration with the Nigerian state in acts of genocide against our people”, advised the withdrawal of foreign citizens from the area.”

Times Online: ANALYSIS: World economy held to ransom: What hope is there for global growth when political and economic developments have left power over the oil markets in the hands a few insurgents?

The Independent: Nigeria’s oil rebels fuel fears of global shortage: “…the oil world is in crisis. And Nigeria is no exception.”: “A Shell official, who asked not to be named, said essential supplies were being airlifted to staff still in the area.”: “The battle for oil has commenced in Nigeria. Many other countries are looking on nervously.”

Kyodo News Service: Japan will continue exploring for natural gas resources despite Wednesday’s announcement by oil majors that they would pull out of a Chinese-led natural gas project in the East China Sea, the industry minister said Thursday. Shell and Unocal said their decision to withdraw was a result of a one-year period of appraisal. They did not say whether their decision was related to the row between the two Asian neighbors.

The Times: Need to Know: “Royal Dutch/Shell said it was considering developing a gas field in the Barents Sea…”

New Straits Times (Malaysia): The question of overlapping claims on two new oil and gas blocks offshore east Sabah does not arise, as the areas are solely within Malaysia’s jurisdiction, Foreign Ministry parliamentary secretary Datuk Zainal Abidin Osman said today.: “On Sept 22, Shell and its joint venture partners PCSB and ConocoPhillips made significant discoveries at Malikai-1 in the Block G exploration well in Sabah.”

Yahoo/Dow Jones Newswires: NZ Watchdog Says May Revoke Pohokura Gas Marketing Deal-2: “Commission Chair Paula Rebstock said that Shell Exploration New Zealand and OMV New Zealand have informed the commission in April this year that the parties have decided to market gas from the field separately.”

The Moscow Times: Shell Mulls Joining Shtokman Project: “Royal Dutch/Shell is considering developing a gas field in the Barents Sea in a joint liquefied natural gas project with Gazprom, Shell said Wednesday.”

Bloomberg: Shell Receives Permits to Start $600 Mln Gas Plant in Mexico

THE WALL STREET JOURNAL/DOW JONES NEWSWIRES: FTC Clears Magellan’s $492.4M Purchase Of Shell Assets: “In June, Shell Oil Products agreed to sell its pipeline and storage assets in Texas, Oklahoma, Kansas and Colorado to Magellan for $492.4 million.”

Lloyds List: Spiralling oil prices pumped up by marketplace ‘fear factor’: Nigerian unrest, Iraqi insurgency, Russian export problems and the effects of adverse weather conditions could lead to winter oil shortages, writes Martyn Wingrove

AFX Europe (Focus): Royal Dutch/Shell quits selling ‘green’ electricity, moves customers to Eneco

Kyodo News Service: The Tokyo Local Labor Relations Commission on Wednesday ordered Showa Shell Sekiyu K.K. and one of its affiliates to pay wages due to 64 employees and give promotions to 59 of them, ruling that they were discriminated against because of their labor union

AFX Europe (Focus): Royal Dutch/Shell dismisses report to sell Argentina assets to Venezuelan PDVSA

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