Shell says it’ll stay in Canada while other oil majors flee

Royal Dutch Shell is reassuring investors, workers, and anyone else who will listen that it’s the international oil major. Consortium announces oil and gas production start at P-68 FPSO located at BM-S-11-A concession in Berbigão, Sururu. Royal Dutch Shell plc announces the commencement of trading in the next tranche of its share buyback programme. Shell’s future in the country is largely as a natural gas producer and exporter focused on the $30 billion LNG Canada project. Company introduces the publication of a quarterly update, starting with the third quarter 2019. Company has completed the acquisition of Shell Saudi Arabia Limited’s 50% interest in the SASREF joint venture.

The company is also committed to its local chemicals and retail businesses. New, deep-water production has come online from the Brazilian pre-salt Santos Basin. The company has entered into an irrevocable, non-discretionary arrangement. It will additionally publish the quarterly consensus collected for cash flow from operations (CFFO). Shell Canada head Michael Crothers said in an interview. Company has taken the final investment decision for the PowerNap deep-water project in the US Gulf of Mexico. Company announces the commencement of trading in the next tranche of its share buyback programme. A number of large multinational energy companies have either left or reduced their presence in the country in recent years.

Shell Canada’s headquarters in Calgary says “We see enormous opportunity here because of the resource base we have”.

This is a further step in Shell’s ongoing journey to enhance disclosures and increase transparency. Royal Dutch Shell plc announced it has reached an agreement for the sale of Shell’s Martinez Refinery. Strong demand for cleaner-burning fuel in Asia continued to drive rapid growth in liquefied natural gas (LNG) use in 2018. It including Norway’s Equinor ASA, France’s Total SA and ConocoPhillips. Shell Brasil Petróleo Ltda and its consortium partners today announced the start of oil and natural gas production. Apache Corp. and Marathon Oil Corp., as well as pipeline giant Kinder Morgan Inc., have gotten in on the act. The FPSO can process up to 150,000 barrels of oil and 6 million cubic meters of natural gas daily.

The aggregate maximum consideration for the purchase of A ordinary shares and/or B ordinary shares under the next tranche is $2.75 billion. This is an update to the third quarter 2019 outlook provided in the second quarter results announcement on August 1, 2019. The completion follows receipt of all necessary regulatory consents. The company has entered into an irrevocable, non-discretionary arrangement. The divestment aligns with Shell’s strategy to reshape refining efforts towards a smaller, smarter refining portfolio. Global LNG supply is set to rise by 35 million tonnes in 2019. Even Encana Corp., a Canadian company born out of the nation’s 19th-century railway boom.

The impacts presented here may vary from the actual results and are subject to finalisation of the third quarter 2019 results. PowerNap is a subsea tie-back to the Shell-operated Olympus production hub. The U.S. and dropping the link to its home country from its name. The acquisition supports Saudi Aramco’s plan to increase the complexity and capacity of its refineries, as part of its long-term downstream growth strategy. The project is expected to start production in late 2021 and produce up to 35,000 barrels of oil equivalent per day. The broker is to enable the purchase of A ordinary shares and/or B ordinary shares for a period up to and including October 28, 2019.

Shell stoked some concern that it would be among the pack leaving when it sold most of its stake in the Athabasca Oil Sands Project to Canadian Natural Resources Ltd. The company’s intention remains to buy back at least $25 billion of its shares subject to further progress with debt reduction. For Shell, the sale is part of an ongoing effort integrating its refining portfolio with Shell Trading hubs and chemicals operations. Shell has a leading deep-water portfolio with an exciting development funnel and strong exploration acreage in the US. The company went a long way toward allaying those fears when LNG Canada announced. The aggregate maximum consideration for the purchase of A ordinary shares and/or B ordinary shares under the next tranche is $2.75 billion.

It would build a massive export facility on British Columbia’s Pacific Coast that’s slated to operate for decades to come. The company’s intention is to buy back at least $25 billion of its shares by the end of 2020. deal is another step in our transformation to high-grade and optimise our portfolio to drive resilient returns. Shell has been in Canada for more than 100 years, evolving from a broad-based, integrated oil company. it is located in the south-central Mississippi Canyon area approximately 240 kilometres. On July 29, 2019 the company completed the previous tranche of its share buyback programme. At one point even mining coal into an oil-sands focused producer and now into a focus on gas.

The full title is president and country chair of Shell Canada. The maximum number of ordinary shares which may be purchased by the company under the next tranche of its share buyback programme. Presented earnings impacts relate to earnings on a current cost of supplies basis. Aside from the liquefied natural gas project of which it owns 40% and the Groundbirch gas production complex in British Columbia that will partly supply it. The Shell-operated (71.5%) Olympus production hub is co-owned by BP Exploration. The shares bought back under the next tranche will be the a ordinary shares traded in the EUR denomination. The transaction is subject to closing conditions and regulatory approvals and is expected to close in 2019.

Shell has some light oil production, the Scotford refinery, two chemicals plants and a carbon capture facility in Alberta. The broker will make its trading decisions in relation to the company’s securities independently of the company. The transaction covers the sale of Shell’s Martinez Refinery and adjacent truck rack and terminal in California. The company sought to sell the Sarnia refinery and a chemicals plant this year as it focuses on LNG Canada. A rebound in new long-term LNG contracting in 2018 could revive investment in liquefaction projects. Company pledged to keep operating the units if it didn’t get a good offer. The production is expected to be between 930 and 960 thousand barrels of oil equivalent per day.

“We need to be able to ensure that we have access to that supply”, Crothers said.

Shell’s B shares were down 1.3% to 2,295 pence at 4:34 p.m. in London. The Saudi Arabian Oil Company and Shell Saudi Arabia Limited announced that Saudi Aramco was to acquire Shell’s 50% share. PowerNap production will be transported to market on the Mars pipeline. The next tranche will be carried out on the London Stock Exchange and/or on BATS and/or on Chi-X and will be effected within certain pre-set parameters. Shell also still owns a 10% stake in the Athabasca oil sands, which it sees as a core asset because it provides feedstock for the Scotford complex. It will be conducted in accordance with the company’s general authority to repurchase shares.

Shell has no plans to sell that stake. The new production at P-68 adds to Shell’s already prolific deep-water portfolio in Brazil. Shell continues to be a leading operator in the US Gulf of Mexico. The company has about 3,600 workers in the country and is hiring for LNG Canada. The purpose of the next tranche is to reduce the issued share capital of the company to offset the number of shares issued under the Scrip Dividend Programme. Martinez is a high-conversion refinery capable of capturing heavy/sour differentials. It based on current demand projections, Shell still expects supplies to tighten in the mid-2020s. Other parts of the business are always facing cost pressures, keeping headcount in check.

Another growth area is Shell’s retail business, which is building 50 new stations a year in the country. Shell and PBF will enter into crude supply and product offtake agreements to supply branded businesses. Ongoing efforts to improve urban air quality saw China’s imports of LNG surge by 16 million tonnes in 2018. Saudi Aramco is a global integrated energy and chemicals company. The continued surge in Chinese LNG imports has helped improve air quality in some of its biggest cities over the last few years. Brazil is home to some of the best deep-water opportunities in the world. The experimenting with new services like electric-vehicle charging stations and hydrogen refueling stations for fuel-cell vehicles.

Facebook Comments