This article is an English translation of a revealing article by Dutch journalist Sam Gerrits published on the website FOLLOW THE MONEY. It is about the sleazy repercussions of the earthquakes blighting NAM’s operation of the Groningen Gas Field. NAM (The Dutch Petroleum Company) is a Shell/Exxon joint venture company.

This story starts in 1959, almost sixty years ago. Jan de Quay of the Catholic People’s Party (KVP) ruled the country. The first DAF cars came from the factory in Eindhoven, the first Barbie dolls from the molds of Mattel in California. Alaska and Hawaii joined as 49th and 50th with America. And in Slochteren gas was found in the beetroot fieldof farmer Boon. That soon turned out to be the largest gas field in Europe.

Thanks to it’s large population density, the Netherlands was the perfect place to build a natural gas network. The Texan Exxon engineer Douglass Murray Stewart calculated for the then Minister of Economic Affairs Jan de Pous that the state, by selling gas directly to households, and not power plants, could earn three times as much. The state would receive the lion’s share of the profits; Stewart’s plan was heard. read more

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The NAM, for example, had the reputation of being an exemplary company that neatly arranged its affairs for its citizens. That picture is different now. Allegations that the risks of gas extraction from small fields are not so, are no longer believed.

Printed below is an English translation of an article published today by the Dutch Financial Times, Financieele Dagblad. NAM is the Shell/Exxon Joint Venture company responsible for the earthquake blighted Groningen Gas Field and consequential potential bill for untold billions to deal with damaged residences.

Gas is now a dirty word outside of Groningen

Bas Knoop

The earthquake trauma of the Groningers now also causes unrest among citizens living near smaller gas fields. From Steenwijkerland to Waalwijk: more and more places are brewing resistance. Together with local authorities, citizens make gas extraction the subject of a political and legal battle with The Hague. read more

By Vanand Meliksetian – Sep 04, 2018, 3:00 PM CDT

Royal Dutch Shell has invested significantly in LNG with its takeover of British Gas in 2016. The acquisition of BG for more than $50 billion provided the Dutch company with a head start during a period when prices were low. Shell’s capacity in the LNG industry is nearly double compared to its nearest competitor. The company’s value currently is $53 billion less than Exxon’s, the largest oil and gas company in the world. Before the deal, the difference was more than $150 billion. FULL ARTICLE read more

Aristofanis Papadatos: 25 August 2018

Summary

Below is an English translation of a Dutch article published by the NRC last night. It suggests that Shell and Exxon are getting away with very good terms in regards to the financial fallout from the Groningen earthquake damage debacle. Basically Shell and Exxon are cleverer than the negotiators of the Dutch government. The article author Menno Tamminga makes the comparison ‘how would Putin have handled this’? With referral to Putin blackmail tactics used against Shell in the Sakhalin2 debacle. read more

By Tim Daiss – Jul 08, 2018, 10:00 AM CDT

Several oil majors, including Royal Dutch Shell and BP, are boosting their share of natural gas output. A Bloomberg report said these two oil companies, by increasing gas production, are trimming the lead between them and ExxonMobil, the world’s largest publicly traded oil company. ExxonMobil has a current market cap of $348 bn, while Shell has market cap of $317 bn, and BP at $156 bn.

BP expects by 2020 to produce about 60 percent gas and 40 percent oil, a reversal from 2014 when it was the opposite – a pivot that many other oil companies will likely follow. ExxonMobil for its part currently produces about 55 percent oil and 45 percent gas and remains the largest natural gas producer in the US. Shell’s acquisition of UK-based BG Group for $50 bn in 2016 boosted the share of natural gas to 50 percent of its global fossil fuels output and made it the world’s largest natural gas trader. read more

By Ben Sharples: Bloomberg News: 7 July 2018

Oil investors may regret urging companies to cough up cash now instead of investing in growth for later as the dearth of exploration is setting the stage for an unprecedented crude price spike, according to Sanford C. Bernstein.

Companies have been compelled to focus on boosting returns and shareholder distributions at the expense of capital expenditures aimed at finding new supplies, analysts including Neil Beveridge wrote in a note on Friday. read more

Printed below is an English translation of an article published today by the Dutch Financial Times, Financieele Dagblad. NAM is the Shell/Exxon Joint Venture company responsible for the earthquake blighted Groningen Gas Field and consequential potential bill for untold billions to deal with damaged residences.

Three quarters of Groningen victims accept NAM offer

Louis Hoeks • Economics & Politics

Of all 6199 Groningers with outstanding reports about earthquake damage to their homes, almost 74%, 4562 people, accepted the offer from the Nederlandse Aardolie Maatschappij (NAM) for compensation. In almost 10% of cases, the proposal was rejected and almost 17% have not yet responded. This is apparent from a letter that Dutch Minister Eric Wiebes of Economic Affairs and Climate sent to the House of Representatives on Thursday.

These are claims for compensation that were submitted before 1 April 2017 and therefore do not fall under the damage protocol presented on 31 January of this year. “We are unhappy that some people have rejected NAM’s offer,” said Wiebes Thursday in a parliamentary debate. The minister spoke with NAM, together with Commissioner of the King René Paas. read more

Shell CEO says ‘foolhardy’ to set carbon reduction targets

Ron Bousso: JULY 5, 2018

LONDON (Reuters) – Royal Dutch Shell’s boss said it would be “foolhardy” for the oil and gas producer to set hard targets to reduce carbon emissions as it risked exposing the energy giant to legal challenges.

The energy industry has struggled in recent years to find a clear path to secure its role as the world shifts from fossil fuels in order to meet the 2015 Paris climate agreement goals.

Shell Chief Executive Officer Ben van Beurden last year set out ambitions last year to halve its carbon emissions by 2050, far exceeding rivals. But the Dutch CEO resisted calls by activists and some investors to set binding targets. read more

By Vanand Meliksetian – Jul 03, 2018, 3:00 PM CDT

The Netherlands has been the source of cheap energy for northwest Europe for the past decades. The discovery of the Groningen gas field, the 9th largest in the world, provided a reliable source of energy in a period when the oil market was rocked by embargos due to the Yom Kippur War in 1973. The future of the Dutch gas sector, however, looks bleak due to two important developments in 2018: a political decision to reduce production with a timeline to stop entirely until 2030 and a new climate agreement. The Netherlands is preparing to make major changes regarding the role of gas in people’s lives. read more

Printed below is an English translation of an article published today by the Dutch Financial Times, Financieele Dagblad. NAM is the Shell/Exxon Joint Venture company responsible for the earthquake blighted Groningen Gas Field and consequential potential bill for untold billions to deal with damaged residences.

Nijboer wants reaction from cabinet to NAM guarantees

Carel Grol • Entrepreneurship

Member of Parliament Henk Nijboer (PvdA) wants a response from the government to the message in the FD that Shell and ExxonMobil offer limited security with the NAM agreement. Lawyer and professor Steef Bartman of Leiden University wrote in an opinion piece in this newspaper on Monday, in which he wondered whether NAM can fulfill its obligation to damage and strengthen at any time.

A week ago Minister Eric Wiebes of Economic Affairs concluded a deal with Shell and ExxonMobil. The oil companies said they stood surety for ‘Groningen’. However, a number of provisions leave room for Shell and ExxonMobil to renegotiate in the future the guarantees issued and the financial distribution of gas revenues. read more

Jun. 27, 2018 2:57 PM ET|By: Carl Surran, SA News Editor

U.S. court dismisses climate change lawsuits against oil companies

Reuters Staff: JUNE 26, 2018

(Reuters) – A federal court in California dismissed climate change lawsuits by the cities of San Francisco and Oakland against five oil companies, saying the complaints required foreign and domestic policy decisions that were outside its purview. San Francisco and Oakland sued Chevron Corp, Exxon Mobil Corp, ConocoPhillips, Royal Dutch Shell Plc, and BP Plc last year seeking an abatement fund to help the cities address flooding they said was a result of climate change. Judge William Alsup of the U.S. District Court for the Northern District of California said in the ruling that the dangers raised by the complainants were real and worldwide, and both parties accepted the science behind global warming. FULL ARTICLE read more

Printed below is an English translation of an article published today by the Dutch Financial Times, Financieele Dagblad. NAM is the Shell/Exxon Joint Venture company responsible for the earthquake blighted Groningen Gas Field and consequential potential bill for untold billions to deal with damaged residences.

Shell and Exxon pay much less to Groningen funds

Ulko Jonker, Carel Grol • Economics & Politics

The State pays almost 90% of the € 1 billion fund for Groningen and the oil companies Shell and ExxonMobil only pay € 135 million on balance. This is confirmed by the Ministry of Finance, after questions from the FD. At the presentation of the deal between the State on the one hand and Shell and Exxon on the other, about the end of the gas production in Groningen, the impression was still created that each accounted for half.

On Monday, the agreement was signed between the Ministry of Economic Affairs and Shell and ExxonMobil, each with a 50% stake in NAM. They will refrain from claims against the State, and would deposit € 500 million into a fund for Groningen. That was the result of ‘tough negotiations’, as Rolf de Jong, CEO of ExxonMobil Benelux put it. read more

Groningen Earthquake Damage: ‘Due to the declining gas extraction and the increased costs of damage and reinforcement, the current so-called payment scheme is no longer tenable’

Printed below is an English translation of an article published today by the Dutch Financial Times, Financieele Dagblad. NAM is the Shell/Exxon Joint Venture company responsible for the earthquake blighted Groningen Gas Field and consequential potential bill for untold billions in damages to effected residences.

Shell and ExxonMobil waive gas claims against State

From our editor • Economics & Politics

Shell and ExxonMobil, each with an interest of 50% in NAM, will waive a claim against the State for the gas that remains in the ground after the extraction has ended. Furthermore, the two oil companies offer guarantees that NAM can and will always pay for earthquake damage and the reinforcement of buildings.

This is evident from the agreement in broad lines that Minister Eric Wiebes of Economic Affairs and Climate has concluded Monday with Shell and ExxonMobil about gas extraction from the Groningen field. It is expected that around 450 billion cubic meters of gas will remain in the ground after the extraction. At the current gas price, this represents a value of around € 70 billion. read more