Shell Share Discussion Threads

[the grumpy old men] 28/11/2017 08:13

ONLY NEED OPEC TO COME UP GOOD AND OFF UP WE GO

[the grumpy old men] 28/11/2017 08:04

THOUGHT THAT TAP HAD BEEN TURNED OFF

[oilretire] 28/11/2017 07:58

Back to a DRIP then....

[the grumpy old men] 28/11/2017 07:50

Royal Dutch Shell Shell updates company strategy and financial outlook
28/11/2017 7:00am
UK Regulatory (RNS & others)


TIDMRDSA TIDMRDSB

Management Day 2017: Shell updates company strategy and financial outlook, and
outlines net carbon footprint ambition.

* Scrip dividend programme to be cancelled with effect from the fourth
quarter 2017 dividend.
* Annual organic free cash flow outlook increased to $25 to $30 billion by
2020, at $60 per barrel (real terms 2016)

* Company sets ambition to reduce the net carbon footprint of its energy
products in step with society's drive to align with the Paris Agreement
goals

LONDON, November 28, 2017 - Royal Dutch Shell plc (Shell) Chief Executive
Officer, Ben van Beurden, today updated investors on the company's strategy,
setting out plans to grow returns and free cash flow, and outlining its
ambition to reduce the net carbon footprint of its energy products.

"Our next steps as we re-shape Shell into a world-class investment aim to
ensure that our company can continue to thrive, not just in the short and
medium term but for many decades to come," said van Beurden. "These steps build
on the foundations of Shell's strong operational and financial performance, and
my confidence in our strategy and our ability to deliver on the promises we
make."

Van Beurden highlighted three updates from his presentation: "We have increased
our outlook for organic free cash flow, which has been consistently strong over
the past five quarters. We have also made significant progress with our
divestment programme, allowing us to reduce net debt in that time. Meanwhile,
we intend to cancel our scrip dividend programme with effect from the fourth
quarter 2017."

The company also announced a net carbon footprint ambition covering not just
emissions from its own operations but also those produced when using Shell
products. "Shell aims to cut the net carbon footprint of its energy products -
expressed in grams of CO2 per megajoule consumed - by around half by 2050. As
an interim step, by 2035, we aim to reduce it by around 20%," said van Beurden.
"We will do this in step with society's drive to align with the Paris goals,
and we will do it by reducing the net carbon footprint of the full range of
Shell emissions, from our operations and from the consumption of our products."

Van Beurden concluded: "Taken together, these next steps, and the strategy and
portfolio strength that underpin them, will deepen Shell's financial resilience
and competitiveness, help to ensure our long-term business relevance and keep
us firmly on the path to becoming and remaining a world-class investment."

Financial outlook

Shell has made the following updates to the company's financial outlook:

* The outlook for annual organic free cash flow has increased to $25 to $30
billion by 2020 at a Brent crude oil price of $60 per barrel (real terms
2016). This is $5 billion more than the outlook Shell provided during its
capital markets day in June 2016.

* Debt reduction remains a priority. Gearing stood at 25.4% at the end of Q3
2017 and additional divestment proceeds of more than $5 billion since then
mean that 20% gearing is in sight.
* The delivery of new projects continues, and the company remains on track to
deliver 1 million barrels of oil equivalent per day, and $10 billion of
cash flow from operations from new projects by 2018 (at $60 per barrel,
real terms 2016). We expect to deliver an incremental $5 billion cash flow
from operations by 2020.
* The $30 billion divestment programme between 2016 and 2018 is almost
delivered, with deals worth $23 billion completed (headline), $2 billion
announced, and $5 billion in advanced progress. Once this programme is
completed the company expects to continue divestments at an average rate of
more than $5 billion until at least 2020.
* The company's commitment to capital discipline remains. Annual capital
investment will continue to be between $25 and $30 billion, and at current
oil prices capital investment will be managed towards the bottom end of
that range, or lower if needed.
* Annual underlying operational expenditure will remain below $38 billion
until 2020, with efficiency gains expected to deliver further reductions,
building on the more than 20% reduction in operational expenditure since
2014.

The company expects to continue to grow organic free cash flow throughout the
2020s at a more moderate rate. Increased distributions to shareholders in the
form of share buybacks in line with the plans confirmed below is expected to
support a stronger growth in its metrics per share.

Increasing distributions to shareholders

The company is confident it can cancel its scrip dividend programme while
investing at sufficient levels to maintain value accretive growth in the
portfolio. The strength of its balance sheet, coupled with stronger cash flow
and a relentless focus on capital efficiency, discipline and flexibility, have
given the company the confidence to cancel the scrip dividend programme with
effect from the fourth quarter 2017 dividend. Separately, as per intentions
stated in December 2015 at the time of the combination with BG, the company is
confirming the plans for share buybacks of at least $25 billion in the period
2017-2020, subject to progress with debt reduction and recovery in oil prices.


Strategy updates

Against the backdrop of ongoing volatility in the energy sector, Shell today
presented the following updates to investors:

* In Integrated Gas, the resilience and good financial performance of the
business continue to be underpinned by its position as a leader in both the
global liquefied natural gas (LNG) and gas-to-liquids value chains, as well
as by the underlying strength Shell sees in natural gas and LNG markets. To
sustain its strength and competitive advantage in LNG through the 2020s,
the company will continue to assess opportunities for selective growth -
cost competitiveness will be a key decision criterion.
* Upstream has implemented a successful and continuing operational excellence
programme, delivering more production and lower costs. A focus on capital
efficiency and portfolio optimisation has led to a more resilient and
competitive performance. Management is confident in the growth, increasing
returns and sustainability of the company's upstream portfolio into the
next decade.
* Downstream continues to deliver strong financial performance, due to highly
integrated refining, trading and marketing operations, and premium
products, in addition to competitive growth in the Chemicals business.
Strong brand and customer reach are key differentiators that Shell will
leverage further to increase the size of this growing and high return
business.
* The development of new energies as a future growth platform will accelerate
and the company will increase the capital allocated to this business to $1
to $2 billion per year until 2020. Shell will continue to target
opportunities in new fuels and power, two businesses adjacent to its
Downstream and gas businesses that play to Shell's existing strengths in
brand and value-chain integration.

Shell groups its seven strategic themes into three categories - cash engines,
growth priorities and emerging opportunities.

Integrated Gas, conventional oil and gas, and Oil Products are currently cash
engines; deep water and Chemicals are growth priorities; shales and new
energies are emerging opportunities. Illustrating the dynamic nature of the
company's portfolio, the intention is for deep water to have become a cash
engine by 2020, and shales to have become a growth priority by 2020.

Reducing net carbon footprint

Shell further positioned itself for the future today by unveiling its ambition
to cut the net carbon footprint of its energy products by around half by 2050.
As an interim step, by 2035 it will aim for a reduction of 20%.

The company will measure its progress by disclosing the net carbon footprint
not just from its operations and energy use, as it does now, but also from the
use of its energy products, expressed in grams of CO2 per megajoule consumed
and taking account of any emissions offset. This measure will be tracked over
time, with reviews every five years to ensure Shell is progressing in line with
societal progress towards the carbon footprint reduction required to meet the
Paris goals.

"Tackling climate change is a cross-generational, global and multi-faceted
effort," van Beurden said. "This is a challenge for the whole planet, for all
of society, for customers, for governments and indeed for businesses. It will
mean meeting increasing energy demand with an ever-lower carbon footprint. And
it is critical that our ambition covers the full energy lifecycle from
production to consumption. We are committed to play our part."

Royal Dutch Shell plc

The Hague, November 28, 2017

[the grumpy old men] 28/11/2017 07:28

DIVI

Pounds sterling and euro equivalents announcement date December 7, 2017
Payment date December 20, 2017

[the grumpy old men] 28/11/2017 07:13

New UK oil exploration maps released

Nov 27, 2017 Jonny Bairstow Coal, Gas & Oil 0
Image: Shutterstock

New government-funded oil and gas exploration data has been made available for viewing.

The Oil and Gas Authority (OGA) released the results of the £20 million seismic programme to promote exploration activity in underexplored areas of the UK Continental Shelf (UKCS).

The information published contains nearly 19,000km of new mapping, new gravity and magnetic surveys, approximately 23,000km of reprocessed legacy seismic data and a rejuvenated set of digital well data.

The new surveys took place along the East Shetland Platform and South West Britain areas, with reprocessed datasets stretching along the English Channel and up the western areas of the UK as far as the Hebrides.

Jo Bagguley, OGA Principal Regional Geologist, said: “The seismic acquisition programme is a vital part of the OGA’s plan to help revitalise exploration with up to £40 million already spent to provide modern coverage of nearly all underexplored regions of the UKCS.

“This new data will provide valuable insight to companies identifying new plays and prospects ahead of the 31st Offshore Licensing Round in 2018.”

[the grumpy old men] 27/11/2017 22:53

Fjgooner
27 Nov '17 - 22:28 - 1622 of 1624 1 0
Today is a big data day for the sector IMHO.

It is the first day that the Q4 average Brent price has exceeded $60 - specifically $60.02 when I checked just now.


Is there really a substantial correlation with the various oil and gas prices and
shells profitability other than going up must be good

I certainly would like to see natural gas prices rise substantially but at this juncture am disappointed especially as oil has little problem in that domaine

i guess its down to product quality,supply and demand,it being also somewhat of a byproduct

I had gotten the impression that shell had vacated the north sea brent arena and would start instead to earn decommissioning payments

As they are into trading and hedging strongly perhaps they have already locked into
prices at a lower level

i feel that all the old measures used historially are now defunct and should no longer be used to judge
potential success of the company for the medium to long term. Although shortterm seems to be entirely a different ball game.

Having said that one does expect Shell to produce a much improved excellent 4 th quarter

Looking forward to 1st feb 2018

[the grumpy old men] 27/11/2017 22:43

Amy Myers Jaffe (energy scholar) 8 mins ago

Expert Voices
What the Saudi shake-up means for oil prices

Saudi Crown Prince Mohammed bin Salman. Photo: Saudi Press Agency via AP

Crown Prince Mohammed bin Salman's decision to shake up Saudi Arabia's longstanding patronage system and root out "corruption" introduces further uncertainties after a decade of black swan events in global oil. Just when companies were adjusting to the idea that oil prices might be lower for longer, the prospect of Saudi Arabia behaving in less than predictable ways is unnerving pundits and oil market participants alike.

Saudi Arabia has generally played the role of conservative power across the Middle East, with longstanding alliances and consistent geopolitical responses. When the kingdom declared — in the midst of U.S. efforts to negotiate a deal on nuclear weapons with Iran — that it would now pursue its own interests more vigorously, few would have foreseen the kingdom taking on a two-front war and replenishing its treasury with the restitution to the state of billions of dollars in assets amassed by Saudi princes and executives whose business-as-usual practices were highly unpopular with average Saudis.

What's next: Odds are that oil prices will now wind up higher than otherwise expected. Riyadh can ill afford an oil price collapse, forcing it to endorse policies inside the Organization of Petroleum Exporting Countries (OPEC) and beyond that keep the price of oil lofty. Another contingency is the prospect of expanded conflict in the Mideast from a more muscular Saudi stance, which could move oil markets back onto a pins-and-needles footing.

[the grumpy old men] 27/11/2017 22:38

Conclusion

Shell and Suncor Energy have capitalized fully on the oil price crash by acquiring their rivals and meaningfully growing their operations. Their financial health remains in a decent shape and both are generating strong levels of cash flows, enough to cover their capital expenditure as well as dividends. Their future outlook is also looking great since both are well positioned to post earnings and cash flow growth, driven by improvement in oil prices and production growth.

Their stocks have also performed well this year. The oil and gas production stocks, as measured by SPDR S&P Oil & Gas E&P ETF (XOP), have tumbled 14.7% this year, but Shell and Suncor Energy have posted gains of 12% and 8% respectively. Moving forward, their shares will likely continue moving higher on the back of earnings and cash flow growth. Yield hunters may find Shell more attractive due to its 6% dividend yield which is more than twice as large as Suncor Energy’s 2.9%; although if I had to choose between the two, I would go with Suncor Energy. The Canadian company comes with a lower-yield, but it has a better production growth profile and may post superior earnings growth. I think its shares may end up outperforming Shell in the future which could make up for the lower yield.

[fjgooner] 27/11/2017 22:28

Today is a big data day for the sector IMHO.

It is the first day that the Q4 average Brent price has exceeded $60 - specifically $60.02 when I checked just now.

You can keep a track of this using:



-- and setting the date range from Oct 1st to the current day.

So unless OPEC self-destructs on Friday, Shell must be on for a magnificent Q4 to be reported on February 1st.

Enjoy.

FJ
:)

[the grumpy old men] 27/11/2017 21:11

Shell goes green in Europe with 80 new electric vehicle charging stations
Oil companies accept that electric vehicles aren't leaving
By Greg Synek on Nov 27, 2017, 3:38 PM

Electric vehicles are quickly becoming more widely accepted as a practical means of transportation but the lack of infrastructure to support them is still a roadblock to widespread adoption. Royal Dutch Shell is buying in to support electric vehicles by building 80 new charging stations across Europe by 2019.

Shell has made an agreement with Ford, Volkswagen, BMW and Daimler. These major automotive companies have formed a jointly-owned venture named IONITY that operates a fast-charging network. With the help of Shell, fast charging for electric vehicles will be coming to 10 countries in Europe. Belgium, France, Great Britain, the Netherlands, Austria, Poland, Slovakia, Slovenia, the Czech Republic and Hungary are among the recipients of new infrastructure.

Using the Combined Charging System (CCS) European standard, up to 350kW can be delivered. This leaves plenty of room for future growth since the current electric vehicles available for purchase cannot charge at even half this rate. For reference, Tesla Supercharging stations are limited to 120kW maximum per car or 145kW split between two adjacent cars.

Each recharging station built will have an average of six plug-in points. IONITY's goal is to place charging stations roughly 120 kilometers apart. It may not be convenient for everyone but offering relatively easy access to fast-charging stations will make it nearly as easy to travel in an electric vehicle as it is today in a car using a combustion engine.

By 2025, Shell is estimating that electric vehicles could account for as many as 10 percent of all vehicles on the road, reducing the demand for oil by as much as 800,000 barrels daily.

[waldron] 27/11/2017 19:28

SP STILL PERSISTENLY CENTRED AROUND THE EPICENTRE OF 2375p

COUNTING DOWN



3 DAYS TO GO THEN ERUPTIONS OR A RAPID DECENT IF ANY DISAPPOINTMENTS


28 DAYS TO PRESENT TIME

[waldron] 27/11/2017 19:11

CHUCKLE

HOGGY

You sound like a Bitter man seeing all through a half empty glass

i bet youve seen a lot of changes to London especially the Panorama

REMEMBER WELL THE OLD SHELL AND LCC BUILDINGS ON OPPOSING SIDES OF THE THAMES

i love LONDON PUBS and have fond memories of all



LETS ENJOY THE COMING AND NO DOUBT EXCITING OIL NEWSED WEEK

[2hoggy] 27/11/2017 18:30

In those areas with pub reduction,the reason is most of the people don't drink do they?

Say no more..

[la forge] 27/11/2017 18:20

OPPS POSTED THE BEER STORY ON WRONG THREAD

NO DOUBT INSUFFICIENT CUSTOMERS IN SOME BUT ITS ALL LONDON WE SO SPEAK EH HOGGY

PERHAPS ITS A PLOY TO HELP FRIENDS AND SUPPORTERS

EVEN A LOST LEADER

BEER PRODUCERS BIG USERS OF WATER

WHO MIGHT NOT LIKE FRACKING TO RISK THE WATER QUALITY


THEY MAY BACK KEEP LONDON OUTER LAYING SPACES GREEN

SAVE THE KENTISH HOPS

OR AS THE LONDON PUB IT MUCH LIKE AN INSTITUTION,A MEETING PLACE AND ONCE ON EVERY CORNER AND DOES NOT ONLY SELL BEER BUT COFFEE AND SANDWICHES HE MIGHT
WELL BE DOING IT FOR THE LONDON HE LOVES

[la forge] 27/11/2017 17:02

Shell begins oil exploration tests in Brazil

Nov 27, 2017 Jonny Bairstow Coal, Gas & Oil 0
Image: JuliusKielaitis/Shutterstock

Shell has begun oil production tests in Brazil’s Libra field.

The energy giant has started operations on its Pioneiro de Libra FPSO (Floating, Production, Storage and Offloading Unit), located in the Santos Basin.

The vessel is the first FPSO dedicated to extended well tests featuring gas reinjection capabilities.

Located approximately 180 kilometres off the coast, the rig can process up to 50,000 barrels of oil and four million cubic meters of gas each day.

The well test is planned to evaluate the subsurface behaviour of the oil reservoir over the course of a year.

Andy Brown, Upstream Director for Shell, said: “It’s a positive step to begin this early production test at Libra, as the dynamic data will be valuable to optimise the consortium’s future development plans and maximise the value we can create from this prolific field.”

Shell has a 20% stake in the consortium developing the Libra area, where it works alongside partners including Petrobras and Total.

New government-funded oil and gas exploration data for the UK Continental Shelf (UKCS) has been made available for viewing.

[la forge] 27/11/2017 16:56

Sadiq Khan

Sadiq Khan
Khan vows to protect London’s pubs

New measures to halt the number of pubs closing their doors across the capital have been set out by the Mayor in his draft London Plan.

London has lost an average of 81 of its pubs a year since 2001 - and the Mayor of London is vowing to protect them.

The draft London Plan will push local authorities to recognise the heritage, economic, social and cultural value of pubs and ensure they are protected for local communities.

It will also ask boroughs to back proposals for new pubs to be built in appropriate locations, to stimulate town centre regeneration.

Khan will introduce the Agent of Change principle in his draft London Plan. This means that developers building new residential properties near pubs will be responsible for ensuring they are adequately soundproofed and designed to reduce sound from nearby pubs, clubs and live music venues, instead of the crippling cost falling on the pubs and clubs.

Boroughs will have to refuse proposals from developers that have not clearly demonstrated how they will manage this noise impact.

The Mayor will also lay down plans urging boroughs to resist applications to redevelop areas directly connected to public houses – such as beer gardens, function rooms or landlord accommodation – so that they retain their appeal to local people and visitors and remain viable businesses.

Khan’s plans to protect London’s pubs follow shocking figures released earlier this year - which showed 1,220 pubs have been lost in the capital since 20012. In 2001, there were 4,835 pubs in London. By 2016, the total had fallen by 25% to 3,615 – an average loss of 81 pubs per year.

Two London boroughs reported a loss of more than half of their pubs – Barking and Dagenham (a loss of 56%) and Newham (52%). Other badly-affected boroughs include Croydon (45%), Waltham Forest (44%), Hounslow (42%) and Lewisham (41%).

The decline of the number of pubs in the capital suggest they are coming under increasing threat over a range of issues, including development, rises in rents and business rates and conflicts with residents.

The Mayor’s draft London Plan gives unprecedented directions to safeguard London’s locals and allow boroughs to refuse and resist developments that threaten further closures.

Khan said: “Pubs across the capital are often at the heart of our communities or of historic value and should be protected by local authorities in order to protect the capital’s unique character.

“From historic watering holes to new pop-up breweries, nothing defines the diverse and historic character of the capital better than the Great British Pub.

“That’s why I’ve set out measures in my draft London Plan to protect pubs against redevelopment, ensure they can co-exist peacefully with nearby residential properties and ensure that councils across the capital recognise their importance to the city’s cultural fabric.”

A recent survey of international visitors to London revealed 54% visited a pub during their stay in the capital, underlining their great cultural importance to the city and their deep connection with English culture.

As well as being intrinsic to London’s culture, public houses are also a vital to the capital’s young workforce, providing the first taste of work for many young people, generating one in six of all news jobs among 18-24 year olds.

Earlier this year, Khan committed to working together with the Campaign for Real Ale (CAMRA) to undertake an annual audit of public houses in the capital, so that the number of pubs in the capital can be tracked more closely, and efforts can be made to stem the flow of closures in the city.

He appointed London’s first-ever Night Czar, Amy Lamé, to champion the capital’s night-time economy and to take action to protect pubs, night clubs, grassroots music venues and LGBT+ spaces in the city.

Earlier this month, Lamé published guidance for councils on how they can use the current London Plan to safeguard pubs and other night-time venues.

Lamé said: “I fell in love with London’s pub culture when I moved to the capital over 20 years ago. Having campaigned for years to save the Royal Vauxhall Tavern, I understand the pivotal role pubs play in community life and how passionately Londoners feel about their local.

“I’m delighted that the Mayor has unveiled these important policies in his draft London Plan today. This, alongside his commitment to an annual audit of public houses in the capital, will be invaluable in our fight to protect pubs across the city.”

Chair of CAMRA’s North London branch, John Cryne, said: “CAMRA fully welcomes the Mayor’s initiative and we are pleased to get to a stage where pubs are valued in such an important planning policy. I just hope that local London boroughs take note and act accordingly to preserve what is left of London’s valuable public houses.”

[the white house] 27/11/2017 13:42

First time in 29 months for Brent to have sat above $60 for a whole month