Royal Dutch Shell Plc  .com Rotating Header Image



Tuesday, 1 February 2005

FINANCIAL TIMES: Libyan PM wooing US oil companies: “Several big international companies including ExxonMobil, BP, Royal Dutch/Shell and Total, which had been operating in Libya during the 18 years of US economic sanctions against the North African country, did not win any licences under the latest auction.” ( 1 Feb 05

Lloyds List: Shell joins Apache in Forties and Nelson: “SHELL and US oil firm Apache have signed up to jointly explore the offshore blocks between the Forties and Nelson platforms in the UK central North Sea.” ( 1 Feb 05

FINANCIAL TIMES: Market Insight: Liquefied Natural Gas ( 1 Feb 05

THE GUARDIAN (UK): ExxonMobil reports annual profits of $25bn: “Royal Dutch Shell is also expected to report record profits for 2004 this week, despite being hit by a reserves scandal.” ( 1 February 2005 At Shell, Everyone’s the Answer Man: The oil giant saves hundreds of millions by fielding technical questions on a global Web bulletin board.: “…Shell has managed to parlay its $1 million investment into cost savings of more than $200 million a year.” ( Posted 1 February 05

THE WALL STREET JOURNAL: Argentina, Venezuela To Talk Energy During Chavez Visit: “…talk has periodically surfaced that PdVSA has its eye on refining operations and some 900 service stations here run by Royal/Dutch Shell Group. Both companies have denied the buyout talk, which resurfaced this week” ( Posted 1 Feb 05

Wednesday, 2 February 2005

DAILY EXPRESS (UK): Drivers fume at Shell’s £25m profit every day: “Shell’s new chief executive, Jeroen van der Veer, is set to make millions from a new pay package deal.” ( Posted 2 Feb 05

FINANCIAL TIMES: Royal Dutch/Shell: “The mountain that Jeroen Van der Veer, chief executive of Royal Dutch/ Shell, still has to climb is underlined by a staff survey showing that less than half the company’s workforce believes it is well led.” ( 2 Feb 05

FINANCIAL TIMES: Shell staff unhappy with leaders: “Those that are in charge of change are themselves tied to the old culture.” A person close to the company said: “Without exception, every Shell person I have met recently has asked me if I am able to help them find something else. Others are leaving without even waiting to find another job.” ( 2 Feb 05

THE WALL STREET JOURNAL: CFTC Charges 15 With Manipulating Gas Mkt: “The U.S. Commodity Futures Trading Commission filed complaints Tuesday against 15 natural gas traders at seven companies, alleging widespread efforts to manipulate gas markets”: “In some cases, high-ranking trading officials at the companies, including Mirant Corp. and Royal Dutch/Shell Group unit Coral Energy, knew about or took part in the schemes” ( 2 Feb 05

THE WALL STREET JOURNAL: Big Oil May Drill New Paradigm: “…Royal Dutch/Shell Group, French giant Total SA and Norway’s Statoil ASA, along with Chinese and other international oil firms, are considering investing.” ( 2 Feb 05

THE WALL STREET JOURNAL: Venezuela Pres Confirms Talks To Buy Shell Argentina Ops: “”We have a common interest,” Chavez said of Venezuela’s “advanced” stage negotiations with Shell, noting that the latter wants to get out of Latin America while PdVSA wants to expand in the region.” ( 2 Feb 05

Forbes: Venezuela in Talks to Buy Shell Operations: “Venezuela’s state-run oil company is in talks to buy the Argentine operations of Royal Dutch/Shell, Venezuelan President Hugo Chavez said Tuesday” ( 2 Feb 05

Interactive Investor: Repsol YPF hires UBS to design bid for Shell’s LPG ops in Spain – report: “Shell is targeting the sale of the assets in the second quarter of 2005, the newspaper said, noting that BP PLC and Total SA are also expected to bid.” ( 2 Feb 05

THE LONDON TIMES: “The long-frosty relationship between China and Russia is warming as the pair demonstrate that they are not in thrall to the United States.”: “Perhaps they might one day turn their attentions to buying a British oil business. A London-listed Shell might appeal.” ( 2 Feb 05

The Guardian (UK): Ecosounding: “Among the companies getting mentions will be two who would like the following weighed in the balance: General Motors, which is providing 13 fuel cell powered vehicles for New York, and oil giant Shell, whose hydrogen arm will establish New York state’s first hydrogen service station in 2006. Let’s hope it is the shape of things to come and not greenwash.” ( 2 Feb 05

Thursday, 3 February 2005

More Shell shock: Shell cuts reserves by another 10%

FINANCIAL TIMES: Lex live: Royal Dutch/Shell: “…has now downgraded more reserves than it falsely booked.”: “After Thursday’s larger-than-expected downward reserve adjustment of 1.4bn boe, the total cumulative reserve downgrade stands at 5.87bn boe.”: “Shell’s performance does not compare favourably with recent results from US rivals, such as ExxonMobil. Its management does not even appear to enjoy the confidence of its own workforce.” ( 3 Feb 05

TimesOnline (UK): Shell’s tragic touch: “You can be sure of Shell. The company which made 20 per cent of its reserves disappear at a stroke, which made its chairman vanish and is about to turn two organisations into one, has weaved its spell again” ( 3 Feb 05

London Evening Standard: Shell’s £1m an hour profit: “Shell’s financial performance will remain overshadowed by the events of its “annus horribilis” when its reputation as one of the world’s most respected corporations was shattered.” ( 3 Feb 05

FINANCIAL TIMES: Shell cuts reserves by another 10%: “The Anglo-Dutch oil group also warned that it had only replaced between 15 and 25 per cent of the oil it pulled from the ground in 2004. Rivals such as BP and ExxonMobil have reserves replacement ratios of more than 100 per cent.”: “…the scale of the downward revision and its reserves replacement figure is further bad news for the company as it struggles to rebuild its reputation.” ( 3 Feb 0

BLOOMBERG: Shell’s 4th-Quarter Almost Triples on Oil, Gas Prices (Update2): “The company cut its reserves for the fifth time in 13 months. The shares fell as much as 1.5 percent in London.” ( 3 Feb 05

ITV NEWS: Shell reports record £9.3bn profit: “Oil producer Shell has revealed record annual profits for a UK company of $17.59 billion (£9.32 billion).”: “Chief executive Jeroen van der Veer said: “2004 was a year of extremes, with the reserves recategorisation on one hand and record net income and cash generation on the other.” ( 3 Feb 05

BBC NEWS: Shell pumps out record UK profit: “Shell has reported the largest ever annual profit by a UK company on the back of last year’s soaring oil price”: “However, the company also said it was restating its proved energy reserves for 2003 by 1.4bn barrels.” ( 3 Feb 05

Reuters: Shell cuts reserves as profit soars: “Oil giant Royal Dutch/Shell has reported another reserves cut as it announced bumper fourth quarter profits that beat consensus market forecasts.”: “Shell has been struggling to rebuild investor confidence after a reserves over-booking scandal last year that led to top management sackings and which raised serious concerns about the company’s ability to replace the oil it pumps with new finds” ( 3 Feb 05

FINANCIAL TIMES: From a handout to a hand up: “The reputations of both Shell and Citigroup are under fire – the former over its reserves scandal, the latter over its controversial bond trading. Many companies see social programmes as a way to improve their reputation, especially when trust has been battered by scandals.” ( 3 Feb 05

FINANCIAL TIMES: Unilever: no more pussyfooting please: Investors pin hopes on Anglo-Dutch reform: “Shell only embraced radical change after its reserving scandal.” ( 3 Feb 05

BLOOMBERG: Shell May Announce Fifth Reserve Cut, Rising Profit (Update1): “Chairman Jeroen van der Veer will unveil the results of a yearlong probe that already reduced oil reserves by 26 percent. The company said Oct. 28 it may have to eliminate another 900 million barrels, or 6.3 percent, from its books. Restatements led to the departure of three senior executives, more than a dozen shareholder lawsuits and U.S. and U.K. regulatory fines totaling $151.5 million.” ( Posted 3 Feb 05

Friday, 4 February 2005

Yahoo News!: Shell Denies Any Knowledge of Kickbacks: “The Royal Dutch/Shell Group denied Friday that it had any knowledge of kickbacks paid by a Geneva-based middleman it used to buy oil from Iraq (news – web sites) under the U.N. oil-for-food program” ( 4 Feb 05

Houston Business Journal: Royal Dutch/Shell suffers credit downgrade: “Standard & Poor’s Ratings Services said Friday it has lowered Royal Dutch/Shell’s corporate credit ratings to ‘AA’ from ‘AA+.’”: “S&P estimates that Shell’s proven reserves amounted to only some 12 billion barrels, or about 8.5 years of production, at the end of 2004, a level S&P said is “significantly below that of most oil companies globally.” ( 4 Feb 05

FINANCIAL TIMES: Shell in further reserve cut: “Royal Dutch/Shell has cut its proved oil and gas reserves by another 10 per cent and warned that it was still struggling to replace the oil and gas it extracted from the ground.”: “…several analysts were angry at the scale of the latest cuts. Neil McMahon at Sandford Bernstein said: “These results make for sorry reading and there is absolutely no sign of a recovery story under way for Shell.” ( 4 Feb 05

THE NEW YORK TIMES: Shell Makes Another Cut in Reserves; Profit Jumps: “The Royal Dutch/Shell Group reduced its proven oil and gas reserves by an additional 10 percent on Thursday, rattling investors yet again and increasing speculation that the company will ultimately have to buy a better-performing rival to compete with peers like Exxon Mobil and BP” ( 4 Feb 05

FINANCIAL TIMES: Shell needs something in reserve: “…the company is in difficulty – even though its downstream refining, marketing and chemicals businesses performed well last year”: “… analysts are scathing about the latest reserves cut and the culpability of the current management team, which has been in place for almost a year.” ( 4 Feb 05

The Guardian (UK): Record Shell profit spurs windfall tax calls: Consumer groups attack ‘obscene’ £9.4bn record ( 4 Feb 05

The Guardian (UK): Shell suffers fifth cut in reserves: Earnings record masks losing battle to replace resources: “Fadel Gheit, oil analyst with Oppenheimer & Co in New York, said he was “very disappointed” with the downgrade and poor reserve replacement. “I cannot remember in my 25 years of covering this sector any oil company failing to replace its reserves three years in a row like Shell has done. “It is also disturbing that Shell seems able to (continually) revise downwards its reserves figures as though it is nothing unusual.”: “”The real fact is that the underlying fundamentals [at Shell] are deteriorating,” said Mr Gheit.” ( 4 Feb 05

The Independent: OUT LOOK: Higher oil prices rescue beleaguered Shell: “Time for a crack-down. Slap on a windfall profit tax, regulate prices and throw the entire board in jail”: “Without the ever advancing oil price, Shell would be deep in crisis right now. As it is, things are bad enough when you take a look beneath the bonnet of record profitability.” ( 4 Feb 04

The Independent (UK): Shell slammed over record profit: “…investors also expressed concern after the Anglo-Dutch company had cut its estimate of proven reserves by another 1.4 billion barrels or 10 per cent – the fifth downgrade in the past 13 months”: “The Shell chairman, Jeroen van der Veer, refused to rule out yet another reserves downgrade until the company’s figures had been vetted by external consultants and approved by the US Securities and Exchange Commission. Nor would he comment on whether it would be a resignation matter if reserves were slashed further, saying only: “I believe in the concept of accountability.” ( 4 Feb 05

Reuters: Shell posts record profit: “Royal Dutch/Shell Group has revived concerns about its oil reserves by making another big reserves cut and reporting disappointing results in finding new oil supplies in 2004. The news overshadowed the biggest profit in UK corporate history and plans for higher dividends and share buy-backs” ( Posted 4 February 05

Lloyds List: Record Shell profits soured by new reserve cuts: “The Anglo-Dutch oil major said it would pay up to $10bn to shareholders in dividends and has relaunched a $3bn-$5bn share buy-back programme. But it has again restated booked hydrocarbon reserves for 2003 by 1.4bn barrels of oil equivalent, down to 12.95bn boe, after completing an internal audit.” ( 4 Feb 05

THE LONDON TIMES: Shell in £8bn payout amid reserves cut: “…yesterday admitted that it had found barely enough oil to replenish half the barrels that it pumped last year” ( 4 Feb 05


msnbc: Shell cuts oil reserves again: “The Royal Dutch/Shell Group of Cos. more than doubled its fourth-quarter net income on the back of soaring oil and gas prices, but the strong results were tempered by the company’s announcement Thursday that it is cutting oil reserves for the fifth time in just over a year.” ( Posted 4 Feb 05

THE WALL STREET JOURNAL: Shell Unveils Record 04 Pft But Cuts Reserves: “Royal Dutch/Shell Group Thursday reported the largest-ever U.K. corporate profit thanks to high oil prices, but also announced a new, sharp cut in its oil and gas reserves.” ( Posted 4 Feb 05

Saturday, 5 February 2005

FINANCIAL TIMES: Shell and BASF narrow down bidders: Shell has cut almost a third of its proved reserves. It received another blow to its corporate prestige yesterday after Standard & Poor’s downgraded its credit rating for the second time in a year. The agency cut the rating from AA+ to AA because of Shell’s continuing difficulty in replacing the oil and gas it extracts.” ( 5 Feb 05

The Guardian (UK): What they said about … Shell’s profits: “The oil company’s profits were “obscene” said Clinton Manning in the Daily Mirror. “It’s enough to make your blood boil…” ( 5 Feb 05

The Guardian (UK): Ex-chief linked to UN oil scandal: “Two of Mr Boutros-Ghali’s relatives – a brother-in-law and a cousin – have been connected to the scandal in which Mr Sevan is accused of trading influence for barrels of oil.”:  “The firm sold 6.4m barrels of Iraqi crude to Shell, which said in a statement yesterday that it had been unaware of Mr Sevan’s involvement in the deal.” ( 5 Feb 05

THE LONDON TIMES: Rosneft to get £479m Menatep bill: “Shell has suffered a second downgrade to its debt rating. Standard & Poor’s, the rating agency, which stripped the Anglo-Dutch company of its triple A credit status last April, yesterday pushed Shell a further step down the ladder from AA plus to AA. The agency cited Thursday’s further cut to reserves and Shell’s poor reserve replacement record.” ( 5 Feb 05

Daily Express (UK) Shell cuts reserves by further 1.4bn barrels: Brinded said “everything humanly possible” had been done to draw a line under the reserves scandal but warned of further possible revisions…” ( Posted 5 Feb 05

THE NEW YORK TIMES: Nigeria Oil Protest Turns Deadly ( Posted 5 Feb 05

Daily Express (UK): Most Shell staff critical of company’s top brass ( Posted 5 Feb 04

The Guardian (UK): Profit without honour: Shell has not had a good year. Yesterday it admitted it had overestimated its oil reserves by a cool 1.4bn barrels. This was the fifth time Shell had downgraded its reserves in a little over a year, the biggest scandal in the company’s history…” ( Posted 5 Feb 05

THE WALL STREET JOURNAL: Shell Denies Knowledge Of Alleged Oil-For-Food Kickbacks: “Shell bought about 6.4 million barrels of Iraqi crude oil from African Middle East Petroleum, or AMEP, which has told U.N. investigators that it paid an illegal surcharge to obtain contracts from Saddam Hussein’s regime.” ( Posted 5 Feb 05

Daily Telegraph (UK): Shell’s huge profit fuels calls for windfall tax: “Yesterday Shell increased its “lost” reserves again for what it hoped would be the fifth and final time” ( Posted 5 Feb 05

Daily Telegraph (UK): Proud of Shell: “Shell has had its problems, including a scandal over its reserves. But we should be proud of its profits.” ( Posted 5 Feb 05

Daily Telegraph (UK): Oil industry heavies are vital to the nation: “Shell and BP have a stock market value of more than £160 billion, make more than £15 billion of profits a year, and employ 26,000 people in Britain.” ( Posted 5 February 05

Daily Telegraph (UK): The Royal Dutch Shell boss: “Mr van der Veer proved to be a steady hand as he steered the company through four more revisions of its oil and gas reserves until Shell announced yesterday that it had overstated its oil and gas by a third.” ( Posted 5 Feb 05

Daily Telegraph (UK): Shell shock as reserves and new supplies dwindle:Shell yesterday shocked investors with a fifth downgrade of its “proven” oil and gas reserves in just over 12 months, and revealed that it had struggled to find more oil supplies to replace its output last year.” ( Posted 5 Feb 05

THE LONDON TIMES: An exercise in futility at Shell: “Asked whether training some 3,000 engineers in the niceties of SEC reporting had hindered Shell’s exploration efforts last year, Malcolm Brinded, head of exploration, demurred. However, at the same time his boss, the chairman Jeroen van der Veer, appeared to smile and nod.” ( Posted 5 Feb 05

LONDON TIMES: Shell in £8bn payout amid reserves cut: “The Anglo-Dutch group was forced to downgrade its oil reserves for a fifth time yesterday…” ( Posted 5 Feb 05

Sunday, 6 February 2005

SUNDAY TELEGRAPH (UK): Unity at last for Unilever as Burgmans becomes sole chairman: “Shell is to merge its UK and Dutch operating companies to create one company listed in the UK in the wake of a scandal involving overstatement of its reserves.” ( 6 Feb 05

THE INDEPENDENT ON SUNDAY (UK): Postcards from the edge: oil giants go where the fires rage: Amid all the carping about the profits of Shell et al, the real issue is finding new reserves: “Accompanying Shell’s record results was the latest instalment in its reserves debacle. Despite having cut its proven reserves figure by more than a fifth last year, it wiped another 1.4 billion barrels off the figure last week. The Anglo-Dutch company warned that it had only replaced between 15 and 25 per cent of the oil it pumped last year.” ( 6 Feb 05


The Observer (UK): A word in your Shell-like: “…van der Veer did not feel able to plough the profits back into his business, acutely under strain because of its fatally dwindling oil reserves.”: “…we learned last year that the company leadership had been systematically lying to itself, its shareholders and wider stakeholders about the size of its oil reserves.”: “for years Shell lied about its sustainability as a business while preaching principles that it was betraying.”: “Shell had knowingly overstated its reserves by a third, a monumental betrayal of trust that is Europe’s version of Enron.”  ( 6 Feb 05

(He is already a named defendent in reserves related class action law suits)

SUNDAY TELEGRAPH (UK): Unsure of Shell: “…I e-mailed an invitation to van der Veer to explain how the FT’s report and his statements to me could be reconciled. His failure to reply makes me fearful about whether the essential cultural revolution at Shell really is taking place.” ( 6 Feb 05

The Scotsman: Calls for windfall tax on oil companies miss the point: “A YEAR of scandal, sackings and investor unrest ended with the biggest profits ever made by a UK or European company. There is something peculiar about one following the other, but that is the story of Shell, a company that last year could not shake off negative headlines and last week confirmed it was gushing cash as well as oil.”: “The record profit and windfall debate overshadowed two other important announcements: the first was another cut in proven reserves, the fifth downgrade in a year; the second was the poor rate at which Shell is finding new oil to replace that which is currently being pumped out – far less than its rivals – resulting in the firm gradually getting smaller.” ( 6 Feb 05

The Observer (UK): Making a mountain out of Shell’s profits: “’Money isn’t lost or made. It’s simply transformed from one perception to another.’ Ah, that Gordon Gekko, he hit the nail on the head every time.”: “The slump in reserves – which has been forced on the company by its own over-optimistic assessment of the value of what it had in the ground – means it will have to spend more for years to come, just to stand still.” ( 6 Feb 05

The Sunday Times (UK): Nigeria looms as wild card in Shell recovery: “Despite the record profits, big trouble is bubbling up with the crude…” ( 6 Feb 05

The Sunday Herald (Scotland): BP bucks poor reserves trend despite demand: “The achievement is in stark contrast to Shell, which has reduced its reserve estimates by almost one-third to less than 13 billion barrels and has admitted that it has been replacing only 15% to 25% of the oil it is pumping from the ground. The reserves are seen as a key indicator to future profitability and show why BP still enjoys a premium stock market rating over Shell…” ( 6 Feb 05

The Sunday Times (UK): Shell pumps out £9.8bn profits: “ROYAL DUTCH/SHELL announced record pre-tax profits for a UK company of £9.8 billion but also cut its proven oil and gas reserves by a further 10%.” ( 6 Feb 05

The Sunday Times (UK): BP set to break record with £13.5bn profits: “…Shell last week announced that it had also enjoyed a record year in 2004, even though the company is still in turmoil over its lack of oil supplies.” ( 6 Feb 05

Monday, 7 February 2005

FINANCIAL TIMES: Rolls-Royce’s soaring shares under the spotlight: “While Shell warned that it only replaced between 15 and 25 per cent of the reserves it depleted last year, BP’s replacement ratio is expected to be more than 100 per cent.” ( 7 Feb 05

THE LONDON TIMES: Oil giants train their sights on Huntsman stock market debut: “Shell is in talks with several potential buyers for Basell, the oil company’s joint venture with BASF, the German chemical conglomerate. A business with a history of losses…” ( 7 Feb 05

BLOOMBERG: U.K.’s Brown Calls for Oil Producers to Reveal Reserves, Output: “…Shell reduced its estimate of 2003 reserves by 9.8 percent and said its holdings may not rise until next year. Because of the lost reserves, first disclosed in January 2004, Shell paid $151.5 million in U.S. and U.K. fines and dismissed three executives. The U.S. Justice Department is conducting a criminal probe.” ( Posted 7 Feb 05

Daily Telegraph (UK): Shell plays it safe over oil reserves: “Shell, the energy giant which is battling to restore its credibility after overstating its proven oil and gas reserves by a third, now has “the most conservative booking policy” of all its rivals, according to a leading industry analyst.”: “Last week Shell admitted that it had a reserve replacement rate of just 45pc to 55pc in 2004” ( 7 Feb 05

Daily Mirror (UK)): THE TAXMAN SHOULD MAKE FATCATS SHELL OUT: “There’s never a shortage of cash when one of the top brass is forced to admit a mistake or is caught with their fingers in the till. Shell’s chairman Sir Philip Watts was forced to quit last year, after it emerged that the firm had misled the City about the size of its oil reserves. He left with a £1million pay-off and £580,000-a-year pension.” ( 7 Feb 05 G7 calls for oil information: “Transparency and data is key to the smooth operation of markets,” G7 finance ministers said in a statement after two days of talks ended on Saturday.”: “Earlier this week, Shell reduced its estimate of 2003 reserves by 9.8 per cent and said its holdings may not rise until next year. Because of the lost reserves, first disclosed in January 2004, Shell paid US$151.5 million in US and British fines and dismissed three executives.” ( 7 Feb 05

D Business News (Austin Texas): Science program partners with Shell Oil: “The Texas Regional Collaboratives for Excellence in Science Teaching (TRC) at The University of Texas at Austin announced today that it has received a $1 million grant from Shell Oil Company” ( 7 Feb 05

MarketWatch: Shell, BASF narrow bidders to three ( Posted 7 Feb 05

Yahoo! News: Shell not selling Argentina and Chile units: “Royal Dutch/Shell Group has decided not to sell its Argentine or Chilean assets: “Juan Jose Aranguren, president of Shell Argentina, made the disclosure on Sunday less than a week after Venezuelan President Hugo Chavez said his state-owned oil firm PDVSA was in talks to buy Shell Argentina.” ( 7 Feb 05

Tuesday, 8 February 2005

Suicidal Shell…”It looks like the Royal Dutch/Shell Group is committing suicide in slow motion.”

THE GLOBE & MAIL (CANADA): Suicidal Shell’s best hopes lie in slow-growth oil sands: “It looks like the Royal Dutch/Shell Group is committing suicide in slow motion. It vastly overestimated how much oil it has in the ground. It pumps more oil than it finds.” ( 8 Feb 05

Citywire: Gifford sells BP for Shell: “F&C equity income fund manager Michael Gifford has sold out of oil giant BP in favour of Shell…” ( 8 Feb 05

The Independent (UK): What will the rest of the world do if Saudi oil runs out early?: “Aramco… claims to be more open about reserves than many investor-owned companies. This claim seems more justifiable after the sequence of restatements of reserves by Shell, the Anglo-Dutch oil major, prompting it to have all its field data audited by outsiders.”: “Last year Shell replaced only half the oil that it pumped – perhaps the lowest replacement ratio in its history.” ( 8 Feb 05

AFX Europe (Focus): Royal Dutch/Shell ‘Aa1’ long-term rating affirmed, outlook negative – Moody’s: “The move follows last week’s cut in the oil giant’s long-term rating to AA from AA+ by Standard & Poor’s on concerns over the company’s poor reserves replacement position.” ( 8 Feb 05

Wednesday, 9 February 2005 (Russia): Russian Govt Accuses Shell of $2.5 bln Damage to State Interests: “The Royal Dutch/Shell group’s spokesman confirmed having received a notification of the report, but declined further comments.” ( 9 Feb 05

THE WALL STREET JOURNAL: Shell: Cooperating In Full With Sakhalin-2 Russia Audit: “In a recent report, Russia’s State Audit Chamber, an oversight agency, said the country suffered $2.5 billion in damages from abiding by the terms of the production-sharing agreement for the oil and gas project located off Russia’s Pacific coast.” ( 9 Feb 05

THE LONDON TIMES: Moody’s threatens Shell with downgrade: “…after the oil giant last week axed its oil reserves by a further 10 per cent”: “The comments come four days after Standard & Poor’s cut Shell’s debt rating to AA from AA-plus, citing the oil company’s latest reserves downgrade.” ( Posted 9 Feb 05

THE LONDON TIMES: Oil-digging saviours’ balancing act: “ONCE again, BP and Shell have saved this nation from penury. Over the coming year the two ancient companies will pump tens of billions of dollars in cash into pension funds and the Treasury.” ( 9 Feb 05

Daily Telegraph UK: The best is yet to come, says BP: “In contrast to Shell, which admitted its reserve replacement ratio had dropped to 45pc to 55pc in the wake of the company’s “lost” oil and gas reserves last year, Lord Browne said BP had “more than replaced its output for the 12th year running”, with a replacement rate of 106pc for the group” ( 9 Feb 05

The Independent (UK): Outlook: Chinese burn for BP’s unstoppable oil gusher: “BP’s reserve replacement ratio last year was 106 per cent, which compares to just 40-45 per cent for Shell” ( 9 Feb 05

Daily Telegraph (UK): Thousands wait on quayside but supertanker glides in unchallenged: “…BP has been racing along, and although it failed to beat Shell’s record profit, its business looks in much better shape” ( 9 Feb 05

FINANCIAL TIMES: US rules on oil reserves produce shortfall for BP: “Under industry rules devised by the US Securities and Exchange Commission, BP replaced 89 per cent of the oil and gas it used last year. This was reduced to 78 per cent when stripping out partners such as TNK in Russia. Royal Dutch/Shell replaced 30-40 per cent of its proved reserves last year under SEC rules, before divestments.” ( 9 Feb 05

THE WALL STREET JOURNAL: Petronas, Shell Find Gas Offshore Peninsular Malaysia: “…a 50:50 joint venture between Royal Dutch/Shell Group (RD) and Malaysia’s state-owned Petronas (PET.YY), has struck natural gas offshore Peninsula Malaysia.” ( Posted 9 Feb 05

THE WALL STREET JOURNAL: Shell Buys Back 1M Shares At 484.89P ( Posted 9 Feb 05

Thursday, 10 February 2005

Daily Telegraph (UK): Plain talk: when leadership fuels discontent: “Perceptions are the realities you and I live with, and if we think that management is not fit to lead, we just won’t follow them. That is what appears to be occurring at Shell.”: “”Without exception, every Shell person I have met recently has asked me if I am able to help them find something else. Others are leaving without even waiting to find another job. The people who are leaving are those who have the skills and knowledge to get Shell out of its current hole. This is undoubtedly a very serious issue.” “No kidding.”: “Shell’s chief executive Jeroen van der Veer does seem to realise that the company has problems his senior team needs to address. But it is a bit perplexing that last year he said that both his and Malcolm Brinded’s… “heads were on the block” because of the mess that Shell was in. They are both still there and the internal mess has not gone away.” ( 10 Feb 05

Houston Chronicle: Shell won’t say if Russia is demanding $2.5 billion: “The Royal Dutch-Shell Group of Companies, the leader of a project developing Russia’s Sakhalin II oil and gas deposit, declined Wednesday to comment on a report that the venture may face demands to pay the Russian government $2.5 billion.” ( 10 Feb 05

Daily Telegraph (UK): Expro deals: “Expro, the oil and gas services group, has announced it has won two contracts from Shell to test oil wells in the North Sea, Norway, Ireland and the Netherlands.” ( 10 Feb 05)

BBC NEWS: Shell faces charges over deaths: “Sean McCue, from Fife, and Keith Moncrieff, from Tayside, were overcome by gas in a leg of the Brent Bravo platform in September 2003.”: “An indictment has now been served on Shell Expro, detailing three Health and Safety charges.” ( 9Posted 10 Feb 05

Friday, 11 February 2005

From May, all decisions will be taken by the company’s new board in The Hague, which has seven Dutch members and four Britons!

THE LONDON TIMES: Dual chairmanship goes as Unilever delays over merger: BOARDS SHOW DUTCH COURAGE: “Shell proposed the merger of its two joint venture units, Royal Dutch and the Shell Transport & Trading Company, in October last year, in the wake of its reserves scandal. From May, all decisions will be taken by the company’s new board in The Hague, which has seven Dutch members and four Britons.” ( 11 Feb 05

FINANCIAL TIMES: Unilever hopes to drive a big push for sales and clarity: “Its corporate shake-up was not nearly as far-reaching as Shell’s… because its problems – a first-ever profits warning last year and a long period of dismal growth – were not on the scale of Shell’s reserves debacle.” ( 11 Feb 05

Financial Times: Sure at Shell: “Michiel Brandjes was named yesterday as the first company secretary of Royal Dutch Shell, the unified group that is due to be created this year.” ( 11 Feb 05

The Guardian (UK): Unilever chief savages old guard: “Unilever – which, with Shell, was one of two big Anglo-Dutch groups to suffer an annus horribilis in 2004 ( 11 Feb 05

Lloyds List: Michiel keeps his Kool in hot seat at Shell Marine: “The announcement of Shell Marine’s new facilities in Mobile is a bonus for Michiel Kool, who has been in the chief executive role for one year.” ( 11 Feb 05

Lloyds List: Shell prepares for impact of green fuel regulations: “’The significance of this legislation and the impact on availability should not be underestimated,’ said Trine Wulff-Nilsen of Shell Marine Products.” ( 11 Feb 05

Lloyds List: Oil firms move to raise Gulf of Mexico share: “AS the Gulf of Mexico bunker market expands, oil companies such as Royal Dutch/Shell are using new facilities to raise their own market share and move closer to their customers’ requirements.” ( 11 Feb 05

THE NEW YORK TIMES: Shell Hasn’t Seen Russian Audit Report: “The Royal Dutch/Shell Group of Cos. said Thursday it had yet to receive a copy of a report prepared by Russia’s financial watchdog, which alleged that a consortium led by the oil giant had cost the state $2.5 billion in lost profits” ( Posted 11 Feb 05

La Société: Shell announces appointment of new Company Secretary: “The Royal Dutch/Shell Group of Companies today announced the appointment of Michiel Brandjes as Company Secretary of Royal Dutch Shell plc.” ( Posted 11 Feb 05

THE WALL STREET JOURNAL: Complexity Of LPG Deal Could Delay Divestment -Shell Exec: “Royal Dutch/Shell Group still wants to divest its liquefied petroleum gas business this year, but the complexity of the transaction could push the timing back until late 2005” ( Posted 11 Feb 05

Saturday, 12 February 2005

DAILY TELEGRAPH (UK): It will take another 30 years for the needle to sink to half empty, says Christopher Hope: “Last week Shell, which is already in hot water for managing to “lose” a third of its proven oil and gas last year, said it had only managed to find between 30pc and 40pc of the oil it had pumped in 2004.” ( 12 Feb 05 Dividends: BP and Shell in focus: “Shell shares yield 3.5%, about the market average, compared with BP’s 2.8%. The reserves fiasco at Shell probably accounts for the gap.” ( Posted 12 Feb 05

International Herald Tribune/The New York Times: Shell project is audited for back taxes in Moscow ( 12 Feb 05

THE WALL STREET JOURNAL: Shell Faces Court Case On North Sea Oil Rig Deaths In Mar: “Royal Dutch/Shell Group will face a preliminary hearing March 30 in a court case on the deaths of two workers at one of its U.K. North Sea platforms, a spokesman for the Aberdeen prosecutors’ office, said Friday.” ( Posted 12 Feb 05 Shell Solar Implements Robotics to Increase Productivity: “Shell is also a big player committed to renewable energy and is in fact, among the largest manufacturers and marketers of solar photovoltaic panels in the world” ( Posted 12 Feb 05

Sunday, 13 February 2005

THE SUNDAY TELEGRAPH (UK): Shell needs to be more radical to save itself: “…severe crisis for much of the past year”: “Shell’s reserve replacement ratio is a pitiful 45 per cent to 55 per cent”: “…to fix its operational woes the oil giant may need a new, more radical boss, one who is brave enough to slim down the business and rebuild Shell from the bottom up.” ( 13 Feb 05

The Observer (UK): Endangered whales put Shell pipeline at risk: “A $12 billion gas pipeline project in Russia’s Far East, crucial to the long-term finances of Royal Dutch Shell, is likely to be seriously jeopardised this week.” ( 13 Feb 05

THE SUNDAY TIMES: “STAND ASIDE Charles and Camilla for another royal wedding.”: “Mary Jo Jacobi, Royal Dutch/Shell’s fearsome public-relations boss, has tied the knot with Patrick Jephson, the former private secretary to Diana, Princess of Wales. Mary Jo clearly had no reserves about marrying Jephson, despite him having drawn fire in some quarters for books telling all about his time in the royal household. Maybe she can’t resist another PR challenge.” ( 13 Feb 05 (United Arab Emirates): Shell boost for ‘sporting excellence’of Dubai Desert Classic ( 13 Feb 05

ScotlandOnSunday: The record breakers: “Shell and BP together have added another £18bn to the UK’s profits total, which is entirely down to the booming oil prices.” ( 13 Feb 05

The SUNDAY TIMES: Merryn on Money: Oiling the wheels of the US: “…right now both Shell and BP look like very sound investments. They have a fabulous operating environment…” ( 13 Feb 05

Monday, 14 February 2005

Daily Telegraph (UK): Shell Sakhalin pipeline faces blow over threatened whales: “A $12billion (£6.7billion) gas pipeline project in the frozen waters of Russia’s Sakhalin Island, which is vital to one of Shell’s largest investments, could be dealt a serious blow this week.” ( 14 Feb 05

FINANCIAL TIMES: Unishell: “Why is it that these Anglo-Dutch giants, operating in very different businesses, have stumbled at just the same time?”: “…maybe the simultaneous upsets at Shell and Unilever are just coincidence. But the coincidence is still pretty remarkable.” ( 14 Feb 05

India Express: Mega petro bid:The 4 billion euro bid… would clearly be the largest one ever originating from Indian shores”: “The consortium aims to buy 100 per cent of the Dutch firm, whose current owners Royal Dutch/ Shell Group and German major BASF AG would be exiting the business to focus on their core operations.” ( 14 Feb 05

Bloomberg: India May Double Gas Imports by 2007, Shell, Petronet Say: “Liquefied natural gas producers including Royal Dutch/Shell Group and Exxon Mobil Corp. may double sales to India by 2007 as economic growth boosts demand for the fuel in Asia’s third-biggest energy market” ( 14 Feb 05

Tuesday, 15 February 2005 World Wildlife Fund:Shell Must Heed Scientific Findings: Whale Survival and Sakhalin Project in the Balance: “Shell, Mitsui, and Mitsubishi and those financial agencies considering funding the project must pay attention to these scientific findings, or the whales and people of Sakhalin will suffer irreversible consequences“. ( 15 Feb 05!: Press Release Source: Shell Oil Products US: Shell Doubles Gift Card Sales in 2004: Plans Expanded Program for 2005 ( Posted 15 Feb 05 Shell Rebuilds Itself: “How a crisis over oil reserves led the board to do what it should have done long ago—create an entirely new company.”: “The Shell board recognized that its top priority was restoring the company’s reputation.”: “Not everybody is happy with the… reforms. William S. Lerach—the California corporate scourge whose law firm brought a consolidated U.S. class-action suit on behalf of shareholders against Shell, its executives, and its directors for mismanagement and fraud—judges the reforms timid and inadequate.” ( 15 Feb 05

MENAFN, Middle East: Shell to set up research facility at Science Park: “Shell plans to spend up to $100m over a period of 10 years for its future facility at the Science and Technology Park which has been named Qatar Shell Research and Training Centre.” ( 15 Feb 05

Yahoo!: Shell and Motiva Employees and Retirees Raise More Than $5 Million for the United Way of the Texas Gulf Coast: Shell and Motiva United Way Giving Exceeds $7 Million Nationwide – Source Shell Press Release: ( 15 Feb 05

The WALL STREET JOURNAL: In Qatar, Oil Firms Make Huge Bet On Alternative Fuel: “Here in the Persian Gulf, hundreds of workers are piecing together a coiled labyrinth of pipes that they hope will turn natural gas into an ultraclean automotive fuel…”: “Some of the world’s biggest energy companies, including… Royal Dutch/Shell Group… have committed $20 billion to build GTL facilities in an industrial park here that’s twice the size of Manhattan” ( 15 Feb 05

THE WALL STREET JOURNAL: Venezuela, Brazil Sign Energy, Economic Accords: “… the Mariscal Sucre project is on hold while Venezuelan President Hugo Chávez negotiates with Mitsubishi and Shell over the natural-gas venture. Mr. Chávez insists that Venezuela have majority control of the project, among other things, and Shell executives were said to be unwilling to concede a number of points in the negotiations.” ( 15 Feb 05

THE WALL STREET JOURNAL: Nigerian Oil Conference To Focus On Deepwater Activities: “Most of the planned increase in production is expected to come from deepwater operations, where new fields are scheduled to commence production from this year. These include Bonga Field, operated by Shell Petroleum Development Company of Nigeria, a unit of Royal Dutch Shell” ( Posted 15 Feb 05

Wednesday, 16 February 2005

FINANCIAL TIMES: Sanctions threat to NPC bid for Basell: “NPC is one of the three bidders that have been shortlisted to buy the petrochemicals company from its joint owners Royal Dutch/ Shell and BASF.” ( 16 Feb 05

The Independent (UK); OUTLOOK: BG Group makes a meal out of great story: “On the stringent SEC measure, it is well ahead of Shell and BP on reserves replacement with a ratio comfortably above 100 per cent. Shell, given its own reserves disaster, can only look on in envy.” ( 16 Feb 05

Daily Telegraph (UK): Demand for gas pushes BG Group to £1.5bn: “BG’s reserve replacement ratio – a key measure of how fast a group is replacing existing output with new finds – was 149pc last year (based on constant prices) compared with 45pc to 55pc at best for Shell.” ( 16 Feb 05


AFX Europe (Focus): SKorea taps Shell’s Sakhalin II, Malaysia LNG, Yemen as long-term suppliers: “The commerce, industry and energy ministry said that it has picked the Shell-led Sakhalin Energy Investment Co, Yemen Liquefied Natural Gas (LNG) and Malaysia LNG as preferred suppliers for 20-year LNG contracts worth a combined 20 bln usd.” ( 16 Feb 05

BLOOMBERG: Shell, Total, Partners Win $20 Bln LNG Sales in Korea: “Royal Dutch/Shell Group, Total SA and partners will sell about $20 billion of liquefied natural gas to Korea Gas Corp., the world’s largest LNG importer, over 20 years after offering the fuel at about 40 percent below current prices.” ( 16 Feb 05

FINANCIAL TIMES: Benchmark reweighting: “Since the Anglo-Dutch oil major announced the merger of its two primary listings into one in the UK by July, fund managers have held on to shares in Shell Transport & Trading, reducing supply and narrowing the discount to its arch-rival.” ( 16 Feb 05 Shell Relocates Exploration Team to Nigeria: “Shell Petroleum Development Company of Nigeria has said it has moved its global exploration unit from Houston, USA to Nigeria.” ( Posted 16 Feb 05

FINANCIAL TIMES: McLibel pair vow to continue campaign: “Now we have the right to scrutinise rich and powerful multinational corporations.” ( Posted 16 Feb 05

Thursday, 17 February 2005

THE INDEPENDENT (UK): £6bn pipeline threatens endangered whale: “A massive oil and gas drilling project planned by Shell off the eastern coast of Russia could lead to the extinction of the Western Pacific grey whale, a report has warned. The study, commissioned by the oil company itself, recommended operations be halted in the oil and gas fields off the north-eastern coast of Sakhalin Island.”: “Shell insisted yesterday the project could go ahead…” ( 17 Feb 05

THE LONDON TIMES: Shell to build pipeline despite threat to whales: “SHELL has vowed to press on with the construction of a $12 billion gas facility off Russia’s Far East coast, in spite of fears that it could endanger the world’s 100 grey whales. An independent scientific panel yesterday called for the company to suspend construction on Sakhalin II, until completion of further studies.” ( 17 Feb 05

DAILY TELEGRAPH (UK): Shell signs £11bn Korean gas deal: “Shell, Total and their partners yesterday signed a $20billion (£11billion) deal to sell liquefied natural gas to South Korea over the next 20 years.”: “Meanwhile, Shell was criticised by environmental groups for its project on Sakhalin Island after an independent report suggested that its work could lead to the extinction of the western grey whale.” ( 17 Feb 05

FINANCIAL TIMES: Shell and Total win $20bn LNG contract: “The South Korean deal means Shell has now pre-sold 70 per cent of the gas from its $12bn Sakhalin 2 project in Russia’s far east, after signing similar contracts with Japan and its own US trading arm.”: “Separately, the World Conservation Union yesterday called on Shell to suspend the Sakhalin project because of the danger it posed to a breed of whale threatened by extinction.” ( 17 Feb 05

FINANCIAL TIMES: Conoco stocks ratio hits an industry high: “ConocoPhillips yesterday said its purchase of a stake in Russia’s Lukoil had lifted its key replacement ratio for oil and gas reserves to an industry-leading 206 per cent last year.”: “Only a handful of companies have so far reported reserve-replacement ratios of 100 per cent or more, adding as much oil and gas as they produced in the year. However, this largely reflects the impact of ongoing asset sales and a tougher regulatory climate in the wake of the reserves scandal at Royal Dutch/Shell.” ( 17 Feb 05

FINANCIAL TIMES: Woodside hits record profit despite fall in output: “As Australia’s last sizeable domestic oil company, Woodside made headlines in 2001 when it became the target of a proposed takeover by Royal Dutch/Shell. But the Australian government rejected the bid by the Anglo-Dutch oil major, which still holds 34 per cent of Woodside, on national interest grounds.” ( 17 Feb 05

AFX Europe (Focus): Japan refiner Showa Shell operating profit jumps in 2004 but net down 89 pct ( 17 Feb 05

Reuters: Shell Sakhalin Whale Risks Need More Study – Report: “An international consortium should consider suspending a huge energy project off Russia’s Sakhalin island pending fuller studies on saving a rare whale species, a key environmental panel said on Wednesday“: “For Shell, still struggling to rebuild investor confidence after admitting last year it had exaggerated its oil reserves, the project is key to increasing output and replacing reserves.” ( Posted 17 Feb 05

Friends of the Earth: Shell Warned on Dangers to Whales of Sakhalin Project: Independent report findings threaten international financing of Sakhalin II: “The groups have also criticized Shell for withholding information that the scientific panel needed to conduct a complete review of the Sakhalin project’s impacts on gray whales.”: “This is a glaring example of Shell’s concealment of public interest information about the negative environmental impacts of Sakhalin II…” ( 17 Feb 05

THE WALL STREET JOURNAL: Shell, PdVSA Study Joint Oil And Natural Gas Projects: “Shell plans to form a joint company with PdVSA to explore for oil at the Urdaneta North field in Lake Maracaibo, one of Venezuela’s largest oil-producing regions.” ( Posted 17 Feb 05

THE WALL STREET JOURNAL: EU Extends Review Of Repsol Buy Of Shell Portugal LPG Op: “The new deadline for the E.U. Commission to clear the deal or start an in-depth investigation is March 3” ( Posted 17 Feb 05

Friday, 18 February 2005

FINANCIAL TIMES: Total chief rules out a ‘transforming merger’: “Total was rumoured last year to be considering a takeover bid for Shell, its bigger Anglo-Dutch rival, which was hit by an accounting scandal.” ( 18 Feb 05

FINANCIAL TIMES: Lex live: Dual primary listings: “Two heads are said to be better than one, though Unilever and Royal Dutch/Shell have seemed intent on proving the opposite of late.” ( 18 Feb 05

Le Monde (France); Record profits for Total (Le prix du petrole a permis a Total de degager un profit de 9 milliards d’euros en 2004) “Mr Desmarest also said that, thanks to its exploration efforts, Total should be able to achieve more than 100 per cent replacement of its oil and gas reserves.” ( 18 Feb 05

Houston Chronicle: Shell awarded LNG permit: Terminal will be built off Louisiana: “The terminal, which would be the first for LNG operated by Shell, based in London and The Hague, in the United States, is expected to be operating by 2010 at a cost of $700 million, Shell spokesman Johan Zaayman said. It will have the capacity for as much as 1 billion cubic feet of gas a day.” ( 18 Feb 05

BLOOMBERG: Shell, Exxon Tap Oil Sands, Gas as Reserves Dwindle (Update1): “Shell Reserve Slump: Shell, based in London and The Hague, reported Feb. 3 that reserves fell in 2004 because it found enough oil to replace just 15 percent to 25 percent of what the company pumped.” ( 18 Feb 05 Contenders Pursue $240 Mil. Shell Media: “The Shell Group in London last week heard from five shops for its $240 million global media consolidation, sources said.” ( Posted 18 Feb 05

THE WALL STREET JOURNAL: US Officials OK Proposed LNG Terminal Off Louisiana Coast: “The Shell U.S. Gas and Power LLC Gulf Landing terminal would handle more than 1 billion cubic feet of gas a day, transferring it from supercooled tankers to pipelines running to Louisiana and Texas. Shell spokesman Johan Zaayman said the project will help the U.S. meet a critical energy need.”:“Scientists with the National Oceanic and Atmospheric Administration’s fisheries division said the intense temperature changes will kill millions of fish eggs and other organisms” ( Posted 18 Feb 05

THE WALL STREET JOURNAL: Venezuela’s Tar Oil Attracts Oil Majors Despite Tax Rows: “We’ve been in the country for 90 years, and we’ll be here for another 90 years,” said Sean Rooney, Shell’s new president for Venezuela. He said Venezuela’s heavy oil reserves are too large to ignore, provoking a steady stream of corporate interest.” ( Posted 18 Feb 05

Saturday, 19 February 2005

The Arizona Republic: Shell back at Valley pumps: “Shell Oil Co. is moving back to metro Phoenix and is putting up its familiar yellow king-scallop shell on 55 former Texaco stations, including many Circle K stores with branded pumps, and 11 ExxonMobil stations.” ( 19 Feb 05

The London Times: Exxon rises above GE to the market’s highest peak: EXXONMOBIL has seized the mantle of the world’s largest public company, in terms of stock market value, from General Electric.”: “The SEC’s recent decision to impose year-end pricing also affected the reserves of BP and Shell. The Anglo-Dutch firm was forced to admit that it had barely replaced half of its annual output with new reserves…” ( 19 Feb 05

The London Times: This week of hate is depressing for the idealists: “…we know about Shell’s mistakes in Nigeria and marketers of high-price sportswear that used unacceptable sweatshops in Asia”: “On Tuesday the European Court of Human Rights ruled that two “environmental and social campaigners”, who were sued successfully for spreading untrue libels against McDonald’s, had been wronged.” ( Posted 19 Feb 05 Shell and Venezuela’s State Oil Company Agree to Major Joint Venture: “Venezuela has the western hemisphere’s largest natural gas reserves and one of the world’s largest oil reserves. Also, it is the world’s fifth largest oil producer and one of top four oil suppliers to the U.S. Following a recent meeting with Venezuela’s Minister of Energy and Petroleum, Rafael Ramirez, Shell’s Executive Director, Linda Cook, said, “We wish to expand our activities in the country [Venezuela], including the realization of the Mariscal Sucre LNG and of other projects related to oil and gas.” ( Posted 19 Feb 05

Business Week: The Oil Patch Is Getting Slippery: Sure, Big Oil is raking in money. But new reserves are more elusive, and governments are bargaining harder: “In this environment it’s tough to play catch-up after poor exploration results. That’s what Shell is racing to do. The company is hiring 1,000 exploration and production personnel and focusing its $15 billion per year capital spending on boosting reserves. Those engineers will undoubtedly find more oil. Whether it will be enough to keep the party going is another question. ( Posted 19 Feb 05

Business Week: THE BARKER PORTFOLIO: Stocks By The Barrel: Sizing Up The Oil Patch: “Even net of troubled Royal Dutch/Shell was up 48%.”: “…as Royal Dutch/Shell’s series of downward restatements of reserves show, assets can dry up fast” ( Posted 19 Feb 05

THE WALL STREET JOURNAL: US Envoy: Indus More Bullish On Norway Oil, Gas Prospects: “Earlier this month, Shell said it had begun test drilling a gas find at its Onyx well, which industry experts said was a sure sign the company thinks it’s a commercial discovery.” ( Posted 19 Feb 05

THE INDEPENDENT (UK): Exxon chief calls for Kyoto reality check: “Unlike Shell and BP, Exxon opposes the Kyoto treaty – many saw its hand behind the decision taken by the Bush administration in 2001 to pull out of Kyoto.” ( Posted 19 Feb 05

Sunday, 20 February 2005

THE BUSINESS (EU): Oil giants demand reform of SEC rules on reserves: “Missing from the list of backers is Royal Dutch/Shell, whose disastrous downgrades last year led the industry to look at flaws in the SEC guidelines.” ( 20/21 Feb 05

The Observer (UK): Tough job of saving the world: “…Shell’s environmental report shows its emissions rose thanks to more flaring – and that its target cut, 5 per cent below 1990 levels… will be achieved only in 2010 – nine years later than BP’s.” ( 20 Feb 05

THE SUNDAY TELEGRAPH (UK): Shell urges support for chief’s pay rise: “Van der Veer, who took over as managing chairman last March in the wake of Shell’s shock admission that it had overstated its proven oil and gas reserves by 25 per cent, earned a basic salary of €1.12m (£772,000) in 2003”: “His total pay package came to just €1.13m after the company scrapped annual bonuses in the wake of the reserves scandal.” ( 20 Feb 05

Houston Chronicle: As oil prices stay up, tar sands gain cachet:  It’s not cheap to extract crude, but majors find cost is worth it: “Shell reserve slump: Shell, based in London and The Hague, reported Feb. 3 that reserves fell in 2004 because it found enough oil to replace just 15 percent to 25 percent of what the company pumped.” ( Posted 20 Feb 05

THE SUNDAY TELEGRAPH (UK): Business profile: Chapman turns up the gas: Frank Chapman… chief executive of BG Group, the UK’s third-biggest oil and gas operation”: “speculation is increasing that a giant such as Shell, where Chapman worked for 18 years, might buy its way out of trouble, even though BG’s price is at a record high” ( 20 Feb 05

THE SUNDAY TELEGRAPH (UK): Market miscellany: BG Group: “…Britain’s largest independent energy group…”: “BG revealed that it had replaced 126 per cent of the gas and oil reserves it pulled from the ground, a figure that comfortably beat those of larger rivals BP, with 89 per cent, and Royal Dutch/Shell, on a lowly 31-41 per cent” ( 20 Feb 05

Monday, 21 February 2005

THE LONDON TIMES: Morals can help to rebuild investor faith: “From Enron and WorldCom in the US to Europe’s Parmalat, trust in corporate management has been tested to breaking point. When we are no longer sure, even of the likes of Shell and other paragons of corporate virtue, what confidence can be left?” ( 21 Feb 05

FINANCIAL TIMES: ONGC to sign Russian pact: “Oil and Natural Gas Corporation, India’s largest energy exploration company, will today sign a wide-ranging pact with Gazprom, the Russian oil and gas producer, allowing the two groups to bid jointly for global energy assets.”:  “ONGC has a one-fifth stake in the first stage of Sakhalin, where the Rosneft, the Russian state-owned oil company, and Exxon-Mobile are lead developers. The second stage has gone to Shell, the Anglo-Dutch group.” ( 21 Feb 05

The Moscow Times: Tokyo Gas Signs Final Deal With Sakhalin-2: “Sakhalin Energy, a Royal Dutch/Shell Group venture, said it signed a final agreement to sell liquefied natural gas from its Sakhalin project off the Pacific coast to Tokyo Gas Co., Japan’s biggest natural gas distributor.”: “The Sakhalin-2 project, whose partners include Japan’s Mitsui & Co. and Mitsubishi Corp. and Royal Dutch/Shell, has reserves of some 150 million tons of oil and 500 billion cubic meters of gas” ( 21 Feb 05

Tuesday, 22 February 2005 BASF declines comment on reports of complications over sale of Shell jv Basell: “BASF AG declined to comment on earlier media reports that it is experiencing difficulties regarding the sale of its 50:50 joint venture with Royal Dutch/Shell Group, Basell.” ( Posted 22 Feb 05

Reuters: Nigerian troops raid militia in oil delta: “Tensions have been high in the fishing community since energy giant Royal Dutch/Shell started developing an oilfield at Obioku…” ( 22 Feb 05

Wednesday, 23 February 2005

FINANCIAL TIMES: BP succumbs to shareholders over incentives: “Investors said Royal/Dutch Shell, BP’s rival, would come under pressure to revise its next executive incentive scheme, which has also proposed awarding half the maximum permitted shares for median performance. Shell last week met leading City investors to discuss the introduction of new executive pay and incentive schemes.” ( 23 Feb 05

THE LONDON TIMES: Need to Know: “Sweden’s Market Court has more than doubled the fines issued to five oil companies, including Royal Dutch/Shell, to 112 million Swedish crowns (£8.5 million) for taking part in a 1999 price-fixing cartel.” ( 23 Feb 05

THE WALL STREET JOURNAL: Swedish Court Raises Fines For Five Gasoline Companies: “The Swedish Market Court Tuesday increased the fines against five oil and gas companies convicted of price fixing in Sweden in 2003”: “The court said Statoil ASA, Shell , OKQ8, Preem and Norsk Hydro ASA should pay a combined 112 million kronor ($1=SEK6.88716) for coordinating gas prices and discounts in 1999, more than doubling an original fine of SEK52 million set by the Stockholm District Court in 2003. The verdict is final and cannot be appealed. ( Posted 23 Feb 05

THE WALL STREET JOURNAL: Repsol Net Fell 38% in Quarter; Reserve Estimate Is Lowered: “Last year, Royal Dutch/Shell Group revealed that it had overstated its reserves by one-third, triggering an executive-suite shake-up, regulatory fines and investigations by U.S. and European authorities”: “…Shell have said recently that they failed to replace all the reserves that they depleted last year, as measured by the SEC’s accounting standards. Typically, oil companies try to at least replace 100% of the energy they produce” ( 23 Feb 05

THE WALL STREET JOURNAL: INTERVIEW: Shell Sees Progress In Landmark Saudi Gas Deal: “Royal Dutch/Shell (RD SC) will start drilling exploratory wells for natural gas in Saudi Arabia’s Empty Quarter within 12 to 18 months, part of a deal that could one day open the door for foreign companies to search for oil as well, a Shell executive said Tuesday” ( Posted 23 Feb 05

THE WALL STREET JOURNAL: US High Court Seeks Govt View Of Shell, Texaco Venture: “The U.S. Supreme Court Tuesday sought the federal government’s view on whether it should review an antitrust lawsuit over a 1998 joint refining agreement between Shell Oil Co. and Texaco Inc. The case stems from a challenge by gasoline station owners who contend the two companies illegally set the same wholesale gas prices for products made by the joint venture.” ( Posted 23 Feb 05

THE WALL STREET JOURNAL: Exxon’s Reserves Fell in ’04: “A disclosure by Royal Dutch/Shell Group last year that it had hugely overstated its energy reserves prompted investors and regulators to focus anew on the details of reserve accounting. In the wake of the Shell debacle, other companies have begun reporting their reserves according to the Dec. 31 guideline” ( Posted 23 Feb 05

FINANCIAL TIMES: Hot air about booming profits: “In the UK, profits at Shell, BP and Barclays prompted calls for a windfall tax on oil companies and banks.” ( 23 Feb 05

AFX Asia (Focus): Shell Malaysia Trading to invest 150 mln rgt in new outlets, upgrade – report ( 23 Feb 05

Business Times (Malaysia): Shell attributes contract success to Petronas ( 23 Feb 05

The Independent (UK): FSA split-cap inquiry most expensive ever: “Shell’s fine of pounds 17m last August, for overstating its oil reserves, remains the FSA’s largest ever.” ( 23 Feb 05

THE WALL STREET JOURNAL: Italy’s ERG, Shell Announce Italian LNG JV –Source  ( 23 Feb 05

THE WALL STREET JOURNAL: Shell: To Stay In Norwegian Sea For Norway’s 19th Round ( 23 Feb 05

THE WALL STREET JOURNAL: Villagers Say Nigeria Troops Killed Over 30 In Oil Region: “A Shell company spokesman had no comment on the violence, calling it an internal Nigerian matter.” ( 23 Feb 05

Thursday, 24 February 2005

DAILY MAIL (UK): Shell close to a gas megadeal with Qatar: “Reports from the Arabian Gulf say Shell will shortly agree with Qatar Petroleum to export £4bn of liquefied natural gas to the US. A deal would help Shell to replace some of its depleted oil and gas reserves. In London, someone paid £343m for 70m Shell shares at 490.63p – a deal that dominated the day’s trading. Shell would not comment.” ( 24 Feb 05

La Société: Shell appoints Graeme Sweeney CEO Shell Renewables and President Shell Hydrogen: “We have found a first class successor in Graeme.  He brings with him a wealth of experience and all the skills and knowledge necessary to continue to develop this important part of Shell’s new energy portfolio.” said Linda Cook, Executive Director Gas & Power and a Managing Director Royal Dutch Petroleum Company…” ( 24 Feb 05

FINANCIAL TIMES: Basell notes at risk of a downgrade: “Moody’s Investors Service, the credit rating agency, has placed… Basell America Finance Corporation and Basell Finance Company, a joint venture owned by Shell and BASF, on review for possible downgrade.”: “Shell and BASF put the company up for sale a year ago as part of Shell’s plan to shed between $12bn and $15bn in non-core assets over three years.” ( 24 Feb 05

THE INDEPENDENT (UK): Oil industry urges overhaul of SEC reserve rules: “The report, paid for by the world’s oil majors and produced by Cambridge Energy Research Associates (Cera), an independent and well-respected US consultancy, said the SEC’s system was outdated, unnecessarily conservative and unrealistic as a measure of future production.”: “The SEC’s rules, which date back nearly 30 years, have been at the centre of attention since Shell was forced to unbook a third of its proven reserves last year. It subsequently fired its chairman Sir Philip Watts and agreed to pay £83m in fines to the SEC and the UK’s Financial Services Authority for misleading investors.” ( 24 Feb 05

DAILY TELEGRAPH (UK): Oil majors back attack on SEC rules: “The SEC is under pressure to reform its strict treatment of companies’ oil and gas reserves. The issue has come under the spotlight since Shell admitted that, under the SEC’s “proven” definition, it had exaggerated its reserves by a third.” ( 24 Feb 05

THE LONDON TIMES: Trend watch – succession planning: We have a cunning plan to take over: “However, succession planning is never a done deal. Shell recently found that external forces can undermine the best-laid plans when its internal “people survey” found that less than half of its workforce felt that the company was well led, this after the company’s well-publicised oil reserves crisis.” ( 24 Feb 05

FINANCIAL TIMES: US stands alone on oil reserves rule: “Daniel Yergin, Cera’s chairman, says there is “a compelling case for modernising the [SEC] system” to improve transparency and win back investor confidence in a system dented by the huge downgrades at Royal Dutch/Shell and El Paso.” ( 24 Feb 05

New Zealand Herald: Shell puts loyalty to the test: “”Fly Buys helped Shell move from No 3 in the market to No 1…”: “There’s no question about its importance to Shell’s marketing strategy during the past eight years.” If some customers did become “brassed off” because of the change and bought elsewhere then that was the price to be paid for limiting the scheme.” ( 24 Feb 05

THE LONDON TIMES: Need to Know: “Royal Dutch/Shell, the oil giant, and ERG of Italy have agreed to build a €400 million (£280 million) liquefied natural gas (LNG) import terminal in Sicily, adding to a string of LNG projects that are being developed along Italy’s coast.” ( 24 Feb 05

THE GUARDIAN (UK): Activists voice dismay at BP’s pay plan for directors: “BP rival Shell is also talking to its major shareholders about the package for Jeroen van der Veer, the company’s first chief executive. He earned less than £800,000 last year – mainly due to no bonuses being paid in the aftermath of the oil reserves scandal – but the company wants to put him on an even footing with other FTSE 100 chief executives. ( 24 Feb 05

THE WALL STREET JOURNAL:Shell, Qatar Set To Unveil $8B LNG Contract Sun –Sources: “Royal Dutch/Shell (RD, SC) is set to unveil an $8 billion agreement with state-owned Qatar Petroleum Sunday to export liquefied natural gas to the U.S., people familiar with the situation said Wednesday. The contract will boost Qatar’s ambition to become the world’s largest natural gas producer by 2011 and strengthen the Anglo-Dutch oil major’s number one position as a private supplier.” ( Posted 24 Feb 05

FINANCIAL TIMES: SEC oil reserves yardstick ‘outmoded’: “Long-running industry discontent with SEC oversight has been magnified by the huge write-downs in reserves made last year at Royal Dutch/Shell and El Paso, the US gas group, which damaged investor confidence in what is viewed as a crucial valuation measure.” ( Posted 24 Feb 05

AFX Asia (Focus): Shell Malaysia Q4 net profit record high, thanks to strong refining margins ( Posted 24 Feb 05 Ijaw Oppose Shell’s Move to Transfer $1.5bn Lawsuit: “The Ijaw aborigines had through their political leaders and representatives, Chief Pere Ajuwa and Mr. Ingo Mac-Etteli instituted a $1.5 billion lawsuit against Shell Petroleum Development Company Limited in December 2000 as compensatory claims to the environmental degradation and multiple oil spillages arising from oil exploration” ( Posted 24 Feb 05

Friday, 25 February 2005

Pittsburgh Post Gazette: Big oil, SEC differ on calculation of petroleum reserves: “Big oil threw down the gauntlet in a battle with U.S. regulators over how to calculate a crucial measure of the industry’s long-term health: how much oil and natural gas it has in the ground. A report released Wednesday by an industry consultant — and bankrolled with help from most of the world’s major oil companies…”: “…in the wake of the Shell reserves scandal, several companies have begun reporting their reserves according to the Dec. 31 guideline _ and have had to lower their reserve-addition numbers as a result” ( 25 Feb 05

OIL & GAS JOURNAL: CERA: SEC reserves reporting system outdated ( 25 Feb 05


AP Worldstream: Indonesia protests Malaysia’s oil pacts in disputed waters: “Indonesia on Friday protested Malaysia’s move to award oil production sharing contracts to Royal Dutch/Shell Group of Cos. in two offshore blocks, which Indonesia claims are within its territory. The step is “a violation to Indonesia’s sovereignty,” the Ministry of Foreign Affairs said in statement.” ( 25 Feb 05

THE INDEPENDENT (UK): Business Analysis: Investors strike it rich on global profits boom: Corporate profits are soaring. Should firms invest the cash or return it to shareholders? “The market has already been treated to a new record for UK profits, set by Royal Dutch Shell, which this month announced a £9.8bn annual return…” ( 25 Feb 05

FINANCIAL TIMES: As Beijing and New Delhi enter foreign deals to bring them the oil and gas needed by their surging economies, regional politics is tending to the pragmatic though territorial claims show a sharper tone, writes Victor Mallet: “…in Angola, ONGC’s bid last year for a block auctioned by Shell that would have doubled the Indian bidder’s production in Africa was trumped by a late Chinese package pumped up with bilateral aid.” ( 25 Feb 05

THE NEW YORK TIMES: S.E.C. Urged to Update Rules for Reporting Oil Reserves: “The report was financed by a consortium of about 30 oil companies, law firms, petroleum auditors, investment groups and accounting firms.”: “Confidence in the industry was shaken last year when Royal Dutch/Shell Group cut its proven reserves, prompting an investigation by the S.E.C., the dismissal of three top company officials and an overhaul of Shell’s century-old structure. In the last year, Shell has lowered its proven reserves level by a third, or 5.8 billion barrels, from where they stood at the end of 2002. The most recent cut, earlier this month, came after Shell retrained 3,000 staff members to follow S.E.C. guidelines. The restatement will cut $700 million from Shell’s earnings from 2000 to 2004.” ( Posted 25 Feb 05

Saturday, 26 February 2005

THE WALL STREET JOURNAL: SEC Has More Questions After 1st Inquiry On Oil Reserves: “The Securities and Exchange Commission is seeking additional information from some companies about oil reserves following last year’s initial round of inquiries in the wake of the Royal Dutch/Shell scandal”: “Shell stunned capital markets in January 2004 when it announced it was slashing its reserves by 23% due to huge overbookings in Nigeria, Australia and elsewhere. A subsequent investigation showed executive correspondence about the need to “fool” the market and complaints of “lying about the extent of our reserves issue.”: “The current debate on oil reserves policy focuses in part on the oil industry’s confusion on whether certain assets qualify as reserves. Shell’s problems, Degenhardt said, did not fall into that category because documents showed that executives knew they were breaking the rules. “They knew they were violating the commission’s guidelines,” Degenhardt said. “That was not a case of them not knowing what the guidelines are.” ( Posted 26 Feb 05

NEW SCIENTIST: Oil plans threaten whales’ existence:Shell is the main shareholder of Sakhalin Energy Investment Company (SEIC), which plans to extend existing production facilities and extract 150 million tonnes of oil and 500 billion cubic metres of natural gas from the area”: “The day after the report’s publication the company signed a 24-year contract with Tokyo Gas to deliver more than 26 million tonnes of liquefied natural gas to Japan, starting in 2007” ( 26 Feb 05

Reuters: Rare Whales Will Not Stop Shell’s Sakhalin Gas: “Fears for the future of rare whales will not halt the Shell-led Sakhalin-2 gas project in Russia’s far east, Shell’s country manager said on Friday. John Barry told Reuters the $10 billion venture, one of Royal Dutch/Shell’s biggest, was on track to deliver its first cargo of Liquefied Natural Gas (LNG) in 2007 as planned. The consortium recognized environmentalists’ concerns and was considering measures such as re-routing pipelines to avoid damage to the gray whales’ habitat, he said in an interview. “The project is going ahead. I want to be unambiguous about that,” Barry said.” ( Posted 26 Feb 05

The Independent (UK): Shell plays down fears for whales: “FEARS FOR the future of rare whales will not halt the Shell-led Sakhalin- 2 gas project in Russia’s far east, Shell’s country manager insisted.” ( 26 Feb 05

Daily Times (Pakistan): Showa Shell to cut crude buying from Kuwait, UAE ( 26 Feb 05

THE NEW YORK TIMES: Statoil Plan Would Get More Oil in Field: “Statoil ASA on Friday presented a plan for squeezing more oil and natural gas out of the aging Statfjord development, the largest field in the North Sea.”: “Statoil, with a 44.3 percent interest in the field, operates Statfjord on behalf of partners that include ExxonMobil, with 21.36 percent; ConocoPhillips with 10.32 percent; and Norske Shell with 8.54 percent.” ( Posted 26 Feb 05

Sunday, 27 February 2005

The Scotsman: Shell Signs Deal to Build Gas Plant: “Oil giant Shell has signed a deal to build a liquefied natural gas (LNG) plant in Qatar that will help meet soaring worldwide demand for the fuel, it was announced today.” ( 27 Feb 05

THE SUNDAY TIMES (UK): HSBC prepares to make British history with profits above €14bn: “…HSBC will still regain the crown of Europe’s most profitable company, a position it lost this month after Shell, the Anglo-Dutch oil and gas giant, reported profits of £9.4 billion” ( 27 Feb 05

BLOOMBERG: Shell Will Build Qatar Gas Plant for World Markets (Update1): “Royal Dutch/Shell Group, Europe’s second-largest oil company, will build a multibillion dollar liquefied natural gas plant in Qatar to help meet surging global demand for the fuel, said a Qatari official” ( 27 Feb 05

Reuters: Qatar, Shell to sign $6 bln LNG deal on Sunday ( 27 Feb 05

The Scotsman: HSBC challenges Shell profit record: “HSBC will unveil record profits for a UK bank tomorrow, challenging Shell for the title of Britain’s most profitable company.” ( 27 Feb 05

Reuters: Indonesia protests at Malaysian deal with Shell: “Indonesia said on Sunday it had lodged a protest against a Malaysian oil production sharing contract with Anglo-Dutch giant Royal Dutch/Shell in an offshore area Jakarta claims as its territory”: “Indonesia believes that Malaysia has no right to give concessions in that area. Awarding a concession by Petronas to Shell is a violation of Indonesian territory,” ( 27 Feb 05

Monday, 28 February 2005

The Jakarta Post (Indonesia): Malaysia says Shell oil concession within its waters: “Malaysia on Monday rejected a protest from Indonesia for granting Shell an oil exploration concession in an area claimed by Jakarta, saying the bloc was within Malaysian territory” ( 28 Feb 05

THE WALL STREET JOURNAL: Malaysia Brushes Off Protest By Indonesia Over Oil Blocks: “Malaysia said Monday it had every right to award oil production contracts to Royal Dutch/Shell Group in two offshore blocks, dismissing protests and claims over the oil field by Indonesia.” ( 28 Feb 05

THE WALL STREET JOURNAL: Shell and Qatar To Join Forces On LNG Plant: “Shell… has struggled following an energy-accounting scandal last year that wiped out about a third of the company’s booked reserves.” ( 28 Feb 05

Daily Telegraph (UK: Shell signs up for world’s biggest gas field in Qatar: “The agreement will further strengthen the Anglo-Dutch energy giant’s influence in the global natural gas market, of which it controls 30pc.” ( 28 Feb 05

FINANCIAL TIMES: Shell signs $7bn gas supply deal with Qatar: “The project, called Qatargas-4, represents a significant boost to Shell as it tries to convince sceptical investors that it can secure new energy reserves to replace the oil and gas it has pumped. Shell was forced to slash its proved reserves five times last year, prompting a wide-ranging shakeup of the company.” ( 28 Feb 05

THE NEW YORK TIMES: Shell and ExxonMobil in Qatar Deals: “…the Royal Dutch/Shell Group signed a deal to spend as much as $7 billion to develop Qatar’s North Field, which is rich in gas. The deal is expected to yield about 7.8 million tons of liquefied natural gas a year for 25 years. North America and Europe will be the main customers when shipments start, which is expected in 2010 to 2012, Shell said.” ( 28 Feb 05

Daily Mail (UK): Shell seals £3bn Qatar gas deal: “OIL giant Shell went some way to replenishing its dwindling reserves as it signed a £3bn gas deal with the government of Qatar. The agreement will also help restore a little credibility lost after probably the worst year of upheaval in its 100-year history. The group slashed its reserves estimates five times in a scandal that eventually prompted the departure of three senior executives and sparked moves to merge Shell’s UK and Dutch parent companies.” ( 28 Feb 05

CBS MarketWatch: Shell, Qatar ink natural gas venture: The Royal Dutch/Shell Group said Sunday that it has entered into a joint-venture agreement with Qatar to develop a liquefied natural-gas plant.” ( Posted 28 Feb 05

Business Week: Outlook for oil not so gloomy, study of reserves shows: “Exxon Mobil replaced 83% of its proved reserves, BP 89%, Royal Dutch/Shell an embarrassing 35%…” ( 27/28 Feb 05

This website and sisters,,,, and, are owned by John Donovan. There is also a Wikipedia segment.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.