Royal Dutch Shell plc (LSE: Ã, RDSA, RDSB), commonly known as Shell , is a Dutch-Dutch multinational oil and gas company headquartered in the Netherlands and incorporated in United Kingdom. It is one of six "supermajors" of oil and gas and the sixth largest company in the world measured by revenues in 2016 (and the largest in Europe). Shell first entered the Fortune Global 500 2013 list of the world's largest companies; in that year, his income was equal to 84% of the Netherlands $ 556 billion GDP.
Shell is vertically integrated and active in every area of ​​the oil and gas industry, including exploration and production, refining, transportation, distribution and marketing, petrochemicals, power generation and trade. It also has renewable energy activities, including biofuels, wind and hydrogen. Shell operates in more than 70 countries, producing about 3.7 million barrels of oil equivalent per day and has 44,000 service stations worldwide. On December 31, 2014, Shell had a proven reserve total of 13.7 billion barrels (2.18 ÃÆ' - 10 9 Ã, m 3 ) oil equivalent. Shell Oil Company, its main subsidiary in the United States, is one of its biggest businesses. Shell holds 50% of RaÃÆ'zen, a joint venture with Cosan, which is Brazil's largest energy company based on revenue and major producers of ethanol.
Shell was formed in 1907 through the incorporation of the Dutch Royal Dutch Oil Company and the "Shell" Transport and Trade Company of the United Kingdom. Until unification in 2005 the company operated as a double listed company, in which British and Dutch companies maintained their legal existence but operated as a one-unit partnership for business purposes. Shell first entered the chemical industry in 1929. In 1970 Shell acquired the Billiton mining company, which was later sold in 1994 and is now part of BHP Billiton. In the last few decades gas exploration and production has become an increasingly important part of Shell's business. Shell acquired BG Group in 2016, making it the largest liquefied natural gas (LNG) producer in the world.
Shell has a main listing on the London Stock Exchange and is a constituent of the FTSE 100 Index. It has a market capitalization of Ã, Â £ 185Ã, billion at the close of trading on December 30, 2016, by far the largest of any listed company on the London Stock Exchange and among the highest of any company in the world. It has a secondary listing on Euronext Amsterdam and the New York Stock Exchange. In January 2013, Shell's largest shareholder was Capital Research Global Investors with 9.85% above BlackRock in second place with 6.89%. The Shell logo, known as "pecten", is one of the most recognizable commercial symbols in the world.
Video Royal Dutch Shell
History
Origins
Royal Dutch Shell Group was formed in April 1907 through the merger of two competing companies: Royal Dutch Petroleum Company (Netherlands: Koninklijke Nederlandse Petroleum Maatschappij ) from the Netherlands and Shell Transport and Trading Company Limited of United Kingdom. This is a move largely driven by the need to compete globally with Standard Oil. The Royal Dutch Petroleum Company is a Dutch company founded in 1890 to develop an oil field in Pangkalan Brandan, North Sumatra, and was initially led by August Kessler, Hugo Loudon, and Henri Deterding. The "Shell" Transportation and Trade Company (quotation mark is part of the official name) is a British company, founded in 1897 by Marcus Samuel, Viscount Bearsted, and his brother Samuel Samuel. Their father had owned an antique company in Houndsditch, London, which expanded in 1833 to import and sell seashells, after which the "Shell" company took its name.
For various reasons, the new firm operates as a company that has two lists, in which merged companies maintain their legal existence, but operate as a one-unit partnership for business purposes. The terms of the merger gave 60 per cent of the ownership of the new group to the Dutch arms and 40 per cent to Britain.
The national patriotic sensitivity will not permit the merger or the total takeover of either of the two companies. The Dutch company, Koninklijke Nederlandsche Petroleum Maatschappij in The Hague, is responsible for production and manufacture. The British Anglo-Saxon Petroleum Company based in London, to direct the transportation and storage of products.
20th century
During the First World War, Shell was the premier fuel supplier for the British Expeditionary Force. It is also the only aviation fuel supplier and supplies 80 percent of TNT's British Army. It also offers all its voyages to the British Admiralty.
The German invasion of Romania in 1916 caused 17% of production worldwide to be destroyed.
In 1919, Shell took over the Mexican Hawking Company and in 1921 formed Shell-Mex Limited which markets products under the "Shell" and "Eagle" brands in the UK. In 1929, Shell Chemicals was founded. In the late 1920s, Shell was the world's leading oil company, generating 11 percent of the world's crude supplies and owning 10 percent tanker tonnage.
Shell Mex House was completed in 1931, and is the headquarters for Shell's worldwide marketing activities. In 1932, partly in response to the difficult economic conditions of the time, Shell-Mex merged its marketing operations in Britain with British Petroleum to create Shell-Mex and BP, a company traded until the brands were separated in 1975. Royal Dutch Company ranked 79th among US companies in the contract value of World War II military production.
The 1930s saw Mexican Shell assets seized by local authorities. After the Dutch invasion by Germany in 1940, the headquarters of the Dutch companies were moved to Curacao. In 1945 Denmark's headquarters in Copenhagen, at that time used by the Gestapo, was bombed by the Royal Air Force Mosquito in Operation Carthage.
Around 1952, Shell was the first company to buy and use computers in the Netherlands. The computer, Ferranti Mark 1 *, is installed and used in the Shell laboratory in Amsterdam. In 1970 Shell acquired the Billiton mining company, which was later sold in 1994 and is now part of BHP Billiton.
21st century
In November 2004, after a period of turmoil caused by a revelation that Shell had exaggerated its oil reserves, it was announced that the Shell Group would move into a single capital structure, creating a new parent company to be named Royal Dutch Shell plc, with a central listing on the London Stock Exchange , a secondary listing on the Amsterdam Stock Exchange, the headquarters and tax residence in The Hague, the Netherlands, and its registered office in London. This union was completed on July 20, 2005 and the original owners canceled their company from their respective exchanges. On July 20, 2005, Shell Transport & amp; Trading Company plc was removed from LSE, where, Royal Dutch Petroleum Company from NYSE on November 18, 2005. Company shares were issued with a 60/40 profit for Royal Dutch shareholders in accordance with the original ownership of the Shell Group.
During the 2009 Iraq oil service contract award, a consortium led by Shell (45%) and those including Petronas (30%) were awarded a production contract for the "Majnoon field" in southern Iraq, containing about 12.6 billion barrels (2.00 < span> ÃÆ' - 10 9 Ã, m 3 ) from the oil. The "West Qurna 1 field" production contract is awarded to a consortium led by ExxonMobil (60%) and includes Shell (15%).
In February 2010, Shell and Cosan formed a 50:50 joint venture, RaÃÆ'zen, which consists of all Brazilian ethanol, energy generation, fuel distribution and sugar activity, as well as all of Shell's fuel retail and aviation distribution business from Brazil. In March 2010, Shell announced the sale of several of its assets, including the petroleum gas petroleum business (LPG), to meet the planned capital expenditure cost of $ 28bn. Shell invited buyers to submit an indicative offer, scheduled for March 22, with plans to raise $ 2-3bn from sales. In June 2010, Royal Dutch Shell agreed to acquire all East Resources businesses with a cash consideration of $ 4.7 billion. The transaction includes a tight gas field in East Resources.
During 2013, the company started sales of US shale gas assets and canceled a US $ 20 billion gas project to be built in the state of Louisiana. New CEO Ben van Beurden was appointed in January 2014, before the announcement that the overall performance of the company in 2013 was 38 percent lower than 2012 - Shell's share value fell 3 percent as a result. Following the sale of its majority assets in Australia in February 2014, the company plans to sell assets worth more than US $ 15 billion in the period leading up to 2015, with deals announced in Australia, Brazil and Italy.
Royal Dutch Shell announced on April 8, 2015 they have agreed to purchase BG Group for £ 47 billion (US $ 70 billion), subject to shareholder and regulatory approval. The acquisition was completed in February 2016, resulting in Shell surpassing Chevron Corporation and becoming the second largest non-state oil company in the world.
On June 7, 2016, Royal Dutch Shell announced that it would build an ethane cracker factory near Pittsburgh, Pennsylvania after spending several years doing environmental cleaning at the proposed plant site.
In January 2017, Royal Dutch Shell agreed to sell North Sea assets worth  £ 2.46bn to Chrysaor oil exploration company. In 2017, Shell sold its oil-sands assets to Canadian Natural Resources by redeeming an 8.8% stake in the company. In May 2017, it was reported that Shell plans to sell its stake in Canadian Natural Resources completely out of the oil sands business.
Environmental recordings
The presence of companies like Shell in Niger-Delta has caused extreme environmental problems in the Niger Delta. Many of the pipelines in Niger-Delta owned by Shell are old and rusty. Shell has acknowledged its responsibility to maintain a new pipeline but also refused to be responsible for environmental causes. This has led to mass protests from the population of Niger-Delta, Amnesty International, and Friends of the Earth Netherlands against Shell. It has also led to an action plan to boycott Shell by environmental groups, and human rights groups. In January 2013, a Dutch court rejected four of the five allegations filed against the company over oil pollution in the Niger Delta but found a subsidiary guilty of a single case of pollution, ordering compensation to be paid to a Nigerian farmer.
On January 15, 1999, outside of Argentina's Magdalena, Buenos Aires, the Shell Estrella Pampeana tanker collided with a German freighter, emptying its contents into the lake, polluting the environment, drinking water, plants and animals. More than a decade after the spill, a referendum held in Magdalena determined the receipt of a $ 9.5 million compensation payment from Shell. Shell refused to take responsibility for the spill, but an Argentine court ruled in 2002 that the company was responsible.
Shell joins the Global Climate Coalition from businesses that challenge greenhouse gas emissions regulations. In 1989, Shell redesigned the North Sea natural gas platform worth US $ 3 billion in the North Sea, raising the height of one to two meters, to accommodate the anticipated sea level rise due to global warming. In 2013, Royal Dutch Shell PLC reported CO2 emissions of 81 million metric tons.
Shell is known to process oil from the Amazon region of South America, a major concern for environmentalists trying to protect the region. In the United States, the Martinez refinery (CA) and Puget Sound Refinery (WA) transport Amazon oil. By 2015, 14% of Martinez's gross refineries, at 19,570 barrels per day, are from Amazon.
Climate change
By 2017, a public information film that has not been seen for years has reappeared and shows that Shell has understood global warming 26 years earlier but has not acted accordingly since, critics say.
Maps Royal Dutch Shell
Company affairs
Management
On August 4, 2005, the board of directors announced the appointment of Jorma Ollila, chairman and CEO of Nokia at the time, to replace Aad Jacobs as non-executive chairman of the company on June 1, 2006. Ollila is the first Shell chairman not Dutch or British. Other non-executive directors include Maarten van den Bergh, Wim Kok, Nina Henderson, Lord Kerr, Adelbert van Roxe, and Christine Morin-Postel.
Since January 3, 2014, Ben van Beurden is Shell's CEO. Its predecessor is Peter Voser who became CEO of Shell on July 1, 2009.
After a career in the company, at locations such as Australia and Africa, Ann Pickard was appointed executive vice president of the Arctic at Royal Dutch Shell, a role published in an interview with McKinsey & Company in June 2014.
Name and logo
Shell's name is related to Shell Transport and Trade Company. In 1833, the founding father, Marcus Samuel Sr., established an import business to sell shells to London collectors. While collecting shell specimens in the Caspian Sea region in 1892, the younger Samuel realized there was potential for exporting lamp oil from the region and commissioned the world's first built oil tanker, Murex (Latin for the shell species slugs), to enter this market; in 1907 the company had a fleet. Although for decades the company has a refinery at Shell Haven on the Thames River, there is no evidence that this has given a name.
The Shell logo is one of the most recognizable commercial symbols in the world. This logo is known as the "pecten" after the sea shell Pecten maximus (the giant shell), where the design is based. The yellow and red colors used are considered to be related to the colors of the Spanish flag, as Shell builds an early service station in California, formerly a Spanish colony. The current logo revision was designed by Raymond Loewy in 1971.
Slash was removed from the name "Royal Dutch/Shell" in 2005, in conjunction with measures to unite two legally separated companies (Royal Dutch and Shell) to a legal entity that exists today.
Evolution logo
Operation
Business groupings
Shell is currently organized into four major business groups:
- Hulu - managing upstream business. He sought and found crude oil and natural gas and operated the upstream and central infrastructure needed to deliver oil and gas to the market. Its activities are organized primarily in geographical units, although there are some activities that are managed throughout the business or provided through a support unit.
- Integrated Gas and New Energy - managing liquefied natural gas, converting gas into liquids and low-carbon opportunities.
- Downstream - manages Shell's manufacturing, distribution and marketing activities for petroleum products and chemicals. Manufacturing and supply include refineries, supply and delivery of crude oil.
- Projects and technologies Ã, - manage the delivery of Shell's major projects, providing technical services and technological capabilities covering upstream and downstream activities. It is also responsible for providing functional leadership in Shell in the areas of health, safety and environment, as well as contracts and procurement.
Oil and gas activities
Shell's main business is vertically integrated oil company management. The development of technical and commercial expertise at all stages of this vertical integration, from initial searches for oil (exploration) through harvest (production), transportation, purification and ultimately trade and marketing determines the core competencies in which the company is founded. Similar competencies are needed for natural gas, which has become one of the most important businesses in which Shell is involved, and which contributes significantly to the company's earnings. While vertically integrated business models provide significant economies of scale and barriers to entry, every business is now trying to become an independent unit without subsidies from other parts of the company.
Traditionally, Shell is a highly decentralized business worldwide (mainly downstream) with companies in more than 100 countries, each operating with a high degree of independence. Hulu tends to be much more centralized with many technical and financial directives coming from headquarters in The Hague. The upstream oil sector is also known as the "exploration and production" sector.
Downstream operations, which now also include the chemicals business, account for one-third of Shell's worldwide profits and are known for its global network of more than 40,000 gasoline and various oil refineries. Downstream businesses, which in some countries also include oil refineries, generally include gas station retail stations, manufacturers and marketing of lubricants, sales of industrial fuels and lubricants as well as a number of other product/market sectors such as LPG and asphalt. The practice at Shell is that these businesses are essentially local and that they are best managed by local "operating companies" - often with middle and senior management reinforced by expatriates.
Sponsor
Shell has a long history of motorsport sponsorship, especially Scuderia Ferrari (1951-1964, 1966-1973 and 1996-present), BRM (1962-1966 and 1968-1972), Scuderia Toro Rosso (2007-2013 and 2016), McLaren (1967- 1968 and 1984-1994), Lotus (1968-1971), Penske Team (2011-present), Hyundai Motorsport (since 2005), AF Corse, Risi Competizione, BMW Motorsport (2015-now with Pennzoil) and Dick Johnson Racing (1987 -2004). It will again be the title sponsor for the latter (now renamed the DJR Team Penske) in 2017.
Africa
Shell began to drill for oil in Africa during the 1950s. Shell started production in Nigeria in 1958. Shell operates in the upstream oil sector in Algeria, Cameroon, Egypt, Gabon where the giant Rabi-Kounga oil fields, Ghana, Libya, Morocco, Nigeria, South Africa and Tunisia; and in the downstream sector in 16 other countries.
In Nigeria, Shell told US diplomats that they have deployed staff in all key government ministries.
In April 2010, Shell announced its intention to divest from downstream businesses from all African countries except South Africa and Egypt to Vitol and "Helios". In some countries such as Tunisia, protests and strikes erupted. Shell denied the rumors about the sale. But Shell continues to upstream/extract crude oil in the oil-rich Niger Delta as well as downstream/commercial activities in South Africa. In June 2013, the company announced a strategic review of its operations in Nigeria, hinting that the assets can be divested. In August 2014, the company revealed it was in the process of completing its sale of interest in four Nigerian oil fields.
Asia
Hong Kong
Shell has been active in Hong Kong for a century, providing Retail services, LPG, Commercial Fuels, Lubricants, Bitumen, Aviation, Marine and Chemicals as well as products. Shell also sponsored the first Hong Kong-inspired aircraft, Inspiration ', to travel around the world.
Malaysia
Shell discovered the first oil well in Malaysia in 1910, in Miri, Sarawak. Today oil well is a state monument known as Grand Old Lady. In 1914, following the discovery, Shell built Malaysia's first oil mill and installed underwater pipes in Miri.
Philippines
Royal Dutch Shell operates in the Philippines under its subsidiary, Pilipinas Shell Petroleum Corporation . Its headquarters are in Makati City and have facilities at the Pandacan oil depots and other important locations.
In January 2010, the Customs Bureau claimed an unpaid tax of 7.34 billion pesos on Shell to import catalytic gasoline (CCG) and lightly cracked catalytic gasoline (LCCG) stating that Such imports are bound for tariff charges.
In August 2016, Shell Pilipinas submitted an application to sell a primary and secondary share worth US $ 629 million to the public investment (registration statement) with the SEC. This is the beginning to apply for an IPO listing with the Philippines Stock Exchange. On November 3, 2016, Petroleum Company Shell Pilipinas was officially listed on the Philippine Stock Exchange with ticker symbol SHLPH after they held an Initial Public Offering on 19 to 25 October of the same year.
Singapore
Shell has a strong presence in Singapore, indeed Singapore is a major center for Shell's petrochemical operations in the Asia Pacific region. Shell Eastern Petroleum Limited (SEPL) has a refinery located on the island of Bukom Island in Singapore. They also operate as Shell Chemicals Seraya on Jurong Island.
Europe
ireland
Shell first started trading in Ireland in 1902. Shell E & amp; P Ireland (SEPIL) (formerly Enterprise Energy Ireland) is a subsidiary of Irish Royal Dutch Shell exploration and production. Its headquarters are on Leeson Street in Dublin. It was acquired in May 2002. Its main project is the Corrib gas project, a large offshore gas field, which Shell has experienced controversy and protests associated with onshore pipes and license requirements.
In 2005 Shell dumped all of its retail and commercial fuel business in Ireland to Topaz Energy Group. These include depots, company owned gas stations and supply station agreements across the island of Ireland. Retail outlets were re-branded as Topaz in 2008/9.
Nordic Countries
On August 27, 2007, Royal Dutch Shell and Reitan Group, the owner of the 7-Eleven brand in Scandinavia, announced an agreement to reclaim some 269 service stations throughout Norway, Sweden, Finland and Denmark, which must be subject to regulatory approval under the law. different competition laws in each country. In April 2010 Shell announced that the company is in the process of finding potential buyers for all its operations in Finland and conducting similar market research on Swedish operations. In October 2010 Shell's gas stations and heavy fuel supply networks in Finland and Sweden, along with refineries located in Gothenburg, Sweden were sold to St1, a Finnish energy company, more precisely to its parent company, Keele Oy.
United Kingdom
In the North Sea sector Shell employs about 4,500 staff in Scotland as well as 1,000 additional service contractors: but in August 2014 announced it was laying off 250 of them, mainly in Aberdeen.
North America
Through much of Shell's early history, Shell Oil Company's business in the United States is essentially independent. The stock is traded on the NYSE, and the group headquarters has little direct involvement in running the operation. However, in 1984, Royal Dutch Shell made an offer to buy Shell Oil Company shares that were not owned (about 30%) and, despite being opposed by some minority shareholders who caused the court case, Shell completed the purchase for the sum. $ 5.7 billion.
Australia
On May 20, 2011, Royal Dutch Shell's final investment decision for the world's first floating liquefied natural gas (FLNG) facility was completed after the discovery of remote offshore Prelude land - located off the northwest coast of Australia and estimated to contain about 3 trillion cubic feet of gas reserves equivalent nature - in 2007. FLNG technology is based on liquefied natural gas (LNG) development pioneered in the mid-20th century and facilitates the exploitation of untouched natural gas reserves located in remote areas, often too small to extract in other ways.
The floating vessel that will be used for the Prelude field, known as Prelude FLNG, is promoted as the longest floating structure in the world and will take the equivalent of 110,000 barrels of oil per day in natural gas - at a 200 km (125 miles) off the coast of Western Australia - and cool it into liquefied natural gas for transportation and sales in Asia. Prelude is expected to start producing LNG by 2017 - analysts estimate total construction costs more than US $ 12 billion .
Following the decision of the Royal Dutch Shell fuel company to close its plant in Geelong, Australia in April 2013, the third consecutive annual loss was recorded for Shell's oil refinery and marketing assets of Australia. It was revealed in June 2013, writedown worth A $ 203 million, and was preceded by A $ 638m writedown in 2012 and writedown A $ 407m in 2011, following the closing of Clyde's plant in Sydney, Australia.
In February 2014, Shell sold an Australian oil refinery and gas station worth US $ 2.6 billion (US $ 2.9 billion) to Vitol, a Geneva-based company. Vitol stated that Geelong refinery will remain open, as the company plans to expand further into the Australian market. At the time of sale, Royal Dutch Shell is expected to continue investing in the Australian market, with projects involving Chevron Corp., Woodside Petroleum and Prelude.
Shell sold 9.5% of its 23.1% stake in Woodside Petroleum in June 2014 and suggested that it has reached an agreement for Woodside to buy back its 9.5% stake at a later stage. Shell became a major shareholder in Woodside after a 2001 takeover attempt was blocked by federal Finance Minister Peter Costello and the company has been open about its intention to sell its stake in Woodside as part of its target to release assets. At a public body meeting, held on August 1, 2014, 72 percent of shareholders voted to approve a repurchase, less than 75 percent of the votes required for approval. A statement from Shell reads: "Royal Dutch Shell acknowledges the result of a negative vote by shareholders of Woodside Petroleum Limited on selective repurchase proposals that Shell is reviewing its options regarding the remaining 13.6 percent ownership."
Alternate energy
In early 2000, Shell moved to alternative energy and there is now an embryonic "Renewable" business that has invested in solar, wind, hydrogen and forestry. The forestry business runs on nuclear, coal, metal and power generation roads and was disposed of in 2003. In 2006 Shell paid for SolarWorld to take over the entire solar power business and in 2008, the company withdrew from the London Array which has become a wind farm the largest beach in the world.
Shell is also involved in large-scale hydrogen projects. HydrogenForecast.com explains Shell's approach so far consists of "small steps", but with a message that underlies "extreme optimism".
Shell holds 50% of RaÃÆ'zen, a joint venture with Brazilian producer of sugarcane Cosan which is Brazil's largest energy company based on earnings and major producers of ethanol.
In December 2016, Shell won an auction for 700 MW Borssele III & amp; An offshore wind farm IV at a price of 5.45 c/kWh, beating out 6 other consortiums.
In November 2017, Shell CEO Ben van Beurden announced Shell's plan to halve carbon emissions by 2050, and 20 percent by 2035. In this case, Shell promises to spend $ 2 billion annually on renewable energy sources. Shell began developing a wind energy segment in 2001, the company now operates six wind farms in the United States and is part of a plan to build two offshore wind farms in the Netherlands.
Current project
Arctic
After the purchase of offshore leases in 2005, Shell embarked on an Arctic drilling program worth US $ 4.5 billion in 2006, after the company purchased the "Kulluk" oil rig and leased the Noble Discoverer drillship. At the beginning, the project was led by Pete Slaiby, a Shell executive who previously worked in the North Sea. However, after the purchase of a second offshore lease in 2008, Shell has just started drilling work in 2012, due to rig improvements, permit delays from relevant authorities and lawsuits. Plans for drilling in the Arctic led to protests from environmental groups, notably Greenpeace; Furthermore, energy analysts, as well as related industries, also expressed skepticism because of the perception that drilling in the region was "too dangerous due to harsh conditions and remote locations".
Further problems hampered the Arctic project after the start of drilling in 2012, as Shell is dealing with a series of problems involving air clearance, Coast Guard certification from ships and severe damage to essential oil spill equipment. In addition, difficult weather conditions resulted in drilling delays during mid-2012 and a terrible situation exacerbated by the "Kulluk" incident at the end of the year. Royal Dutch Shell has invested nearly US $ 5 billion at this stage of the project.
When the Kulluk oil rig is being withdrawn to Washington state in America to be served in preparation for the 2013 drilling season, winter storms on December 27, 2012 cause crew members, as well as rescue services, lose control of the situation. On January 1, 2013, Kulluk landed on the coast of Sitkalidak Island, near the eastern end of Kodiak Island. After the accident, Fortune magazine contacted Larry McKinney, executive director at the Harte Research Institute for the Gulf of Mexico Study at Texas A & amp; M, and he explained that "The two-month delay in the Arctic is not a two-month delay... A two-month delay could erase the entire drilling season."
It is unclear whether Shell will resume drilling in mid-2013, following the "Kulluk" incident and, in February 2013, the company declares it will "stop" its closely watched drilling project from the Alaskan coast in 2013, and will instead prepare for future exploration. In January 2014, the company announced an extension of its suspension drilling program in the Arctic, with chief executive van Beurden explaining that the project is "under review" due to market and internal issues.
A June 2014 interview with Pickard shows that, after forensic analysis of the problems encountered in 2012, Royal Dutch Shell will continue the project and Pickard stated that he feels the future of corporate activity in the Arctic region as a long-term "marathon". Pickard stated that forensic "look back" reveals "no on/off button" and further explained:
In other words, do not spend money unless you are sure you will have a legal environment to move forward. Do not spend money unless you are sure you will have permission. No, I can not tell you that I will have that permission until June, but we need to plan as we will have it in June. And perhaps the biggest lesson is ensuring that we can smooth the switch on/off wherever we can and control our own destiny.
Based on interviews with Pickard, Shell approached this project as an investment that will reap energy resources with a life span of about 30 years.
Controversy
Brent Spar Platform
In the 1990s, protesters criticized the company's environmental record, particularly the possibility of pollution caused by the proposed Brent Spar platform exhaust into the North Sea. Despite support from the British government, Shell reversed its decision under public pressure but maintained that drowning the platform would be better off environmentally. Shell then issued a firm commitment to sustainable development, supported by executive speeches that reinforce this commitment.
2004 excessive on oil reserves
In 2004, Shell exaggerated its oil reserves, resulting in a loss of confidence in the group, a £ 17 million fine by the Financial Services Authority and the departure of chairman Philip Watts. The lawsuit resulted in payments of $ 450 million for non-US shareholders in 2007.
Company communications
Shell's ads on its renewable energy business have been described as greenwash by environmental lobbies, leading to criticism from the British Advertising Standards Authority which ruled that Shell has mislead the public in an advertisement when it claims that a $ 10 billion oil sands project in Alberta, Canada is " sustainable energy ".
Health and safety
A number of incidents over the years led to criticism of Shell's health and safety records, including recurrent warnings by the UK Health and Safety Executive about the ugly state of the company's North Sea platform.
Human rights
In early 1996, several human rights groups brought the cases to make Shell responsible for alleged human rights abuses in Nigeria, including summary executions, crimes against humanity, torture, inhuman treatment and arrest and arbitrary detention. In particular, Shell is accused of collaborating in the execution of Ken Saro-Wiwa and eight other leaders of the Ogoni tribe in southern Nigeria, who were hanged in 1995 by Nigeria's military rulers. The lawsuit was filed against Royal Dutch Shell and Brian Anderson, the head of his Nigerian operations. In 2009, Shell agreed to pay $ 15.5 million in legal settlement. Shell has not accepted any responsibility for allegations against it.
In 2009, Shell was the subject of Amnesty International's report on the deterioration of human rights as a consequence of Shell's activities in the Niger Delta. In particular, Amnesty criticized the continuation of gas combustion and Shell's slow response to the oil spill. In 1998, in his first public report on environmental and community issues in Nigeria, Shell promised "to end the gas-burning practice in ten years, while pledging to establish a youth training scheme in Ogoniland".
In 2010, a leaked cable revealed that Shell claims to have staffed into all of Nigeria's major government ministries and knows "everything done within the ministry", according to Shell's top executive in Nigeria. The same executive also boasted that the Nigerian government had forgotten about Shell's infiltration. Documents released in 2009 (but not used in court cases) reveal that Shell regularly makes payments to the Nigerian military to prevent protests.
Arctic Project
According to a Marine Bureau of Energy Management report by 2015, the likelihood of a major spill in Arctic drilling in the oceans is 75% before the end of the century.
Kodiak
In 2010 Greenpeace activists painted "No Arctic Drilling" with BP oil spills on the sides of ships in the Gulf of Mexico on their way to explore Arctic oil for Shell. During the protest, Greenpeace's Phil Radford called for "President Obama [to] ban all offshore oil drilling and called for an end to oil usage in our cars by 2030."
On March 16, 2012, 52 Greenpeace activists from five different countries boarded Fennica and Nordica , a multipurpose ice-breaker hired to support the Shell drilling rig near Alaska. Around the same time period, a reporter for Fortune magazine spoke with Edward Itta, the leader of Inupiat Eskimo and former North Slope Borough mayor, who declared that he was in conflict about Shell's plans in the Arctic, because he was deeply concerned that the spill oil can destroy the hunting and fishing culture of Inupiat Eskimo, but its territory also receives huge tax revenues from oil and gas production; In addition, a further income from energy activity is considered essential for the future of living standards in the Itta community.
In July 2012, Greenpeace activists closed 53 Shell gas stations in Edinburgh and London in a protest against the company's plans to drill for oil in the Arctic. Greenpeace's "Save the Arctic" campaign aims to prevent oil drilling and industrial fishing in the Arctic by declaring uninhabited areas around the Arctic as a global shelter.
A review was announced after the Kulluk oil rig foundered near Kodiak Island in December 2012.
In response, Shell filed a lawsuit to get an order from a possible protest, and Benjamin Jealous of the NAACP and Radford argued that the legal action was "trampling on the rights of Americans." According to Greenpeace, Shell filed a request to Google to record a video of Greenpeace protests that took place in Formula One (F1) Belgian-sponsored Belgian Grand Prix on August 25, 2013, in which the "SaveTheArctic.org" banner appeared at the winners podium ceremony. In the video, banners ride automatically - activists control their appearance by using four car radio antennas - revealing the website URL, alongside an image made up of half the polar bear head and half of the Shell logo.
Royal Dutch Shell then announced a "pause" on the project timeline in early 2013 and, in September 2015, the company announced an extension of the suspension of drilling programs in the Arctic.
Polar Pioneer
The June 2014 interview with the executive vice president of the new company from Arctic shows that Royal Dutch Shell will continue its activities in the region.
In Seattle the protests began in May 2015 in response to news that Port of Seattle made an agreement with Shell to install a rig at Port 5 Terminal during the oil exploration season in Alaska waters. The arrival of the new Shell Arctic drilling ship, Polar Pioneer (IMO number: Ã,8754140), a semi-submersible offshore drilling rig, was greeted by a large number of environmental protestors paddling kayaking at Elliott Bay.
On May 6, 2015 it was reported that during Polar Pioneer Coast Guard checks, some anti-pollution equipment failed, resulting in fines and delays in operations. The oil executive from Total and Eni interviewed by the New York Times said it was skeptical about Shell's new ambitions for offshore drilling in the Arctic, and cited the economic and environmental hurdles. ConocoPhillips and Statoil halted Arctic drilling earlier, following Shell's failed attempts in 2012.
Oil spill
- Shell is responsible for about 21,000 gallons of spilled oil near Tracy, California in May 2016 due to cracked pipes.
- Shell is responsible for the 88,200-gallon oil spill in the Gulf of Mexico in May 2016.
- Two breaks in Shell Oil pipeline Co. in Altamont, Calif. - one in September 2015 and one in May 2016 - had questioned whether the Marshal Fire Office, assigned to oversee the pipeline, did an adequate job.
Paradise Papers
On November 5, 2017, Paradise Papers, a set of secret electronic documents relating to foreign investment, revealed that Argentine Energy Minister Juan José Aranguren was revealed to have run offshore companies' Shell Western Supply and Trading Limited 'and' Sol Antilles y Guianas Limited ', the two subsidiaries of Shell. One of them is the main bidder for the purchase of diesel oil by the current government through the state-owned CAMMESA (CompaÃÆ' Â ± ÃÆ'A Administradora del Mercado Mayorista ElÃÆ'Â © ctrico).
Nigerian corruption scandal
Royal Dutch Shell and Italian Eni will be tried in Italy for alleged corruption in the purchase of offshore fields in Nigeria in 2011 known as OPL 245. Shell and Eni are reportedly paying $ 1.3bn in bribes. According to Barnaby Pace of the Global Witness campaign group, "This experiment should serve as a warning to the oil industry, and some of the most senior executives in the world's two largest companies can be sentenced to jail for a deal that has been beaten under their supervision."
In March 2018, Royal Dutch Shell filed a lawsuit against Peter Robinson, a former vice president for sub-Saharan Africa. Shell said the two cases were unrelated.
See also
Note
References
Bibliography
External links
- Official website
- Royal Dutch Shell companies are grouped in OpenCorporates
- Works by Shell Union Oil Corporation at Project Gutenberg
- Works by or about Royal Dutch Shell in the Internet Archive
- Works by Royal Dutch Shell on LibriVox (public domain audiobook)
- Documents and clippings on Royal Dutch Shell at the 20th Century Press Archives of the German National Library of Economics (ZBW).
Source of the article : Wikipedia
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