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Bloomberg: Big Oil Has $12 Billion Bond Splurge as Oil Slump Saps Cash

By Francois De Beaupuy: 2 April 2020, 09:24 BST

Royal Dutch Shell Plc, Total SA and Equinor ASA are selling $12 billion of bonds as the combined effect of the slump in oil prices and the collapse in demand threaten to sap cash flows for months.

Big Oil, already under pressure from shareholders before the coronavirus crisis to improve returns, has moved swiftly to defer projects, cut spending and halt share buybacks. They are seeking to protect dividends as the economic slump and a price war led by Saudi Arabia undermines profits. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: Big Oil’s Big Crisis: Saving Sacred Dividends From Collapse

Laura Hurst and Kevin Crowley: Bloomberg: March 18, 2020 (Bloomberg) — To understand the crisis engulfing the world’s largest oil companies, just look at their dividend yields. Exxon Mobil Corp., for decades considered one of the bluest of blue-chip stocks, is paying investors 10%. For Royal Dutch Shell Plc, the Anglo-Dutch giant that hasn’t cut payments to shareholders since the Second World War, its 12-month dividend is equivalent to 14% of its current share price. BP Plc offers a yield of 12.4%, and France’s Total SA 11%. Yields at those levels typically suggest one thing: a significant risk that shareholders may not get the money they’ve been promised.

No Big Oil executive would ever accept that’s true — at least for now. Even as management teams confront both the catastrophic demand destruction wrought by the spread of coronavirus and an oil-price war between Saudi Arabia and Russia, they’re determined to keep paying.

“Nobody wants to be the CEO who cuts the dividend,” said Noah Barrett, a Denver-based energy analyst at Janus Henderson Group Plc, which manages about $375 billion. “They understand that any company that cuts, its shareholders will flow into competitors and be very, very hesitant to ever come back.” read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

The Washington Post: The Oil Crisis Is Even Worse News for Shell and BP

March 10, 2020 at 10:43 a.m. GMT

The collapse in crude prices has brought into relief the correlation between oil majors’ financial leverage and the valuation of their shares. It’s a relationship that looks like particularly bad news for the bigger European firms.

Investors’ knee-jerk reaction to the downward lurch in the oil price was, naturally, more severe toward the companies that were more indebted. So shares in BP Plc, Royal Dutch Shell Plc, Equinor ASA and Eni SpA suffered more than Total SA and the two big U.S. majors, Exxon Mobil Corp. and Chevron Corp., when European markets closed on Monday. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: U.S. Says It Has Thwarted $6 Billion Russia-Germany Gas Pipeline

Bloomberg News: Patrick Donahue and Matthew Miller: February 15, 2020

(Bloomberg) — President Donald Trump’s top energy official said he’s confident that Russia won’t be able to complete the Nord Stream 2 gas pipeline in the Baltic Sea — and signaled that the U.S. will press forward with its opposition to the project.

Asked about Russian efforts to circumvent U.S. sanctions on the pipeline by completing it on its own, U.S. Energy Secretary Dan Brouillette said “they can’t” — and dismissed claims that project owner Gazprom PJSC will face only a short delay. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: BP’s bold goal: Eliminate or offset its carbon emissions

BLOOMBERG: FEB. 12, 2020 2:50 PM

BP’s new boss set out the boldest climate goal of any major oil company, pledging Wednesday to eliminate almost all of the carbon emissions from BP operations and the fuel it sells to customers.

Bernard Looney, who has been the company’s chief executive for just a week, set an ambitious agenda for what’s becoming an existential challenge for the oil industry. While peers such as Royal Dutch Shell, Total and Equinor have responded to investor pressure by adopting targets for emissions curbs, none has promised to zero out all emissions from the fossil fuels they pump from the ground. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: All eyes on Exxon and Chevron after BP pledges to go carbon neutral

KEVIN CROWLEY: FEB. 12, 2020: 2:31 PM

BP’s pledge to zero out all its carbon emissions by 2050 deepens the divide between major European and American oil producers on climate change, increasing the pressure for Exxon Mobil Corp. and Chevron Corp. to do more.

The U.S. giants have committed only to reducing greenhouse gases from their own operations. On Wednesday, BP followed Royal Dutch Shell and Equinor in pledging to offset the carbon emissions from the fuels they sell. Known as Scope 3, the emissions from cars, homes and factories are responsible for 90% of fossil fuel pollution. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

EnergyVoice.com: With Big Oil’s future in doubt, new BP boss gets ready to set out vision

As BP Plc’s new chief delivers his vision to transform the company on Wednesday, investors and activists want to know just how much appetite he has to take on the existential crisis facing the oil industry.

12 February 2020

Bernard Looney’s big challenge will be to navigate BP through an energy transition with the world falling out of love with oil, and louder demands from investors to pivot toward clean energy. When climate protesters forced the company to shut its London headquarters last week, the 49-year-old Irishman promised them he would address their concerns.

BP is already taking some modest steps to address climate change, including investment in renewables and selling some of its most carbon-intensive assets. But it remains an oil major through and through, still very much the company that tapped the first fields in Iran early in the last century and drilled wildcat wells on the Alaskan frontier more than 60 years ago. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: Witness in Shell-Eni Trial Fails to Back Nigerian Bribe Charges

By Alberto Brambilla and Laura Hurst: 29 January 2020, 11:31 GMT

*Isaac Eke gave no evidence to support corruption allegations

*Companies are on trial in Milan over 2011 Nigeria oil deal

A key witness failed to corroborate corruption allegations at the heart of the trial of Eni SpA and Royal Dutch Shell Plc over a Nigerian oil deal, potentially bolstering the companies’ defense in one of the industry’s biggest graft cases.

Testimony from Isaac Eke, a high-ranking retired Nigerian police officer, at a court in Milan offered no evidence to back up claims from former Eni manager Vincenzo Armanna that the proceeds from the 2011 transaction were distributed as cash bribes. The failure of what could have been a key prosecution witness helps Shell and Eni, whose Chief Executive Officer Claudio Descalzi is among the accused. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: The Big Dirty Secret of the World’s Biggest Companies

By Chris Bryant | Bloomberg Jan. 29, 2020 at 8:36 a.m. GMT

Lots of companies talk a good game about cutting planet-heating greenhouse emissions but their disclosures and targets have tended to focus on the emissions over which they have direct control and which are easiest to measure. That’s fine in an industry such as cement, where the bulk of carbon pollution occurs during the production process. From an environmental perspective these direct, or “Scope 1,” emissions are the main problem caused by these particular companies.

But the approach falls down in companies working in oil, mining, carmaking, finance, and even fashion, because oftentimes most of their carbon footprint is contained in the products they sell or help finance — not their own operations. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Shell Oil Company accused of breach of fiduciary duties involving $10.5 billion in assets

Extracts from a legal complaint filed 24 Jan 2020 in the US courts

Shell Oil Company accused of breach of fiduciary duties in respect of Shell Provident Fund 401(k) Plan with $10.5 billion in assets and 36,898 participants. It is one of the largest defined contribution plans in the United States. Plans of such great size are commonly referred to as “jumbo plans” or “mega plans”.

3. The marketplace for retirement plan services is established and competitive. Multi-billion-dollar-defined contribution plans, like the Plan, have tremendous bargaining power to obtain high-quality, low-cost administrative, managed account, and investment management services. But instead of using the Plan’s bargaining power to benefit participants and beneficiaries, Shell Defendants allowed unreasonable expenses to be charged to participants for administration of the Plan and managed account services, failed to even monitor numerous funds in the Plan at all, and retained poorly performing investments that similarly situated fiduciaries removed from their plans. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: Oil Traders Made Billions in 2019 as Conflict Shook the Market

(Bloomberg) — The world’s largest energy traders enjoyed one of their best ever years in 2019 as pipeline outages, dramatic changes in ship fuel regulations and Middle East conflicts shook up the global oil market.

The bonanza extended beyond the independent traders like Vitol Group and Trafigura Group Ltd. to the in-house units of oil giants Royal Dutch Shell Plc, Total SA and BP Plc, which made billions of dollars in profits.

“By all accounts, 2019 was among the best years ever for the energy trading industry,” said Marco Dunand, the chief executive of Mercuria Energy Group Ltd., one of the five largest independent oil traders. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: From Texas to Tokyo, Global LNG Poised for Terrible Year

Stephen Stapczynski, Anna Shiryaevskaya and Naureen S. Malik. Bloomberg

(Bloomberg) — Liquefied natural gas prices are poised to test record lows this year thanks to an onslaught of supply and warmer temperatures, throwing up risks and opportunities for the producers, buyers and traders behind the world’s fastest-growing fossil fuel.

The startup of new export projects from Australia to the U.S. has flooded the market, while brimming stockpiles in Europe and an expected slowdown in Chinese demand have dumped cold water on consumption prospects. LNG for spot delivery to North Asia is on track to hit an all-time low this summer, while gas prices in Europe and the U.S. are trading at the weakest seasonal levels since 1999. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: Oil CEOs at Davos debate tougher CO2 cuts as pressure mounts

The bosses of some of the world’s biggest oil companies discussed adopting much more ambitious carbon targets at a closed-door meeting in Davos, a sign of how much pressure they’re under from activists and investors to address climate change.

The meeting, part of a World Economic Forum dominated by climate issues, included a debate on widening the industry’s target to include reductions in emissions from the fuels they sell, not just the greenhouse gases produced by their own operations, people familiar with the matter said on Wednesday. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: BlackRock joins $41 trillion investor climate campaign

Last year, BP agreed to report in detail on how its investments are compatible with the Paris climate agreement after shareholders supported a resolution proposed by the activist group. It has also extracted pledges from Royal Dutch Shell and commodities giant Glencore. “This announcement from BlackRock will lead to some uncomfortable shuffling in the board rooms of Big Oil…

BlackRock added its considerable heft to a group of investors that’s pressing the world biggest emitters of greenhouse gases to change their ways.

The addition of the world’s largest fund manager is a significant milestone for Climate Action 100+, bringing total assets under management by its members to more than $41 trillion. The group already has some notable victories in its campaign of engagement with corporate giants that account for more than two-thirds of global industrial emissions.

Last year, BP agreed to report in detail on how its investments are compatible with the Paris climate agreement after shareholders supported a resolution proposed by the activist group. It has also extracted pledges from Royal Dutch Shell and commodities giant Glencore. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Why the World Worries About Russia/Shell/USA Nord Stream 2 Showdown

By Anna Shiryaevskaya and Dina Khrennikova | Bloomberg Dec. 24, 2019 at 7:06 a.m. GMT

A new natural gas pipeline into Europe from Russia is shaking up geopolitics. Nord Stream 2, as it’s called, worries leaders in Eastern Europe, has put German Chancellor Angela Merkel on the hot seat and most recently has become the target of U.S. sanctions. The punitive measures approved by U.S. President Donald Trump have stymied construction just as the final sections of pipe were about to be laid.

1. What is Nord Stream 2?

It’s a planned 1,230-kilometer (764-mile) undersea pipeline that will carry natural gas from Russian fields to the European network at Germany’s Baltic coast. It will double the capacity of an existing undersea route — the original Nord Stream — that opened in 2011. Russia’s Gazprom PJSC owns the project, with Royal Dutch Shell Plc and four other investors including Germany’s Uniper SE and Wintershall AG providing half of the 9.5 billion-euro ($10.7 billion) cost. Denmark removed one of the project’s last hurdles in October when it approved construction of the link through its waters. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.

Bloomberg: Shell Wins Ruling Blocking Nigerian Spill Case Enforcement

Shell Wins Ruling Blocking Nigerian Spill Case Enforcement

By Eddie Spence: 5 December 2019, 12:33 GMT 

Nigerian court award for 1969 oil spill won’t apply in the U.K.

Appeal will be brought by affected Niger Delta community

Royal Dutch Shell Plc units won a U.K. ruling preventing London courts from enforcing a $516 million Nigerian judgment for damages caused by an oil spill half a century ago.

Judge Jason Coppel on Thursday overturned an attempt to carry over a 2010 ruling by a Nigerian court to the U.K., saying that those proceedings were unfair because Shell was denied an opportunity to present a defense.

Shell’s Nigerian units have been beset by lawsuits, many of them in U.K. courts, for their part in oil spills on the Niger Delta. The oil conglomerate has often sought to transfer the cases to Nigeria, with one even going to the U.K. Supreme Court to decide its jurisdiction. read more

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellenergy.website, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net and shell2004.com are all owned by John Donovan. There is also a Wikipedia article.
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