Hardy Takes Over as Vitol CEO
Ian Taylor, who helped build Vitol into the world's biggest oil trader, will step down as chief executive and continue as chairman, the company said on Friday, naming a long-time ally and insider, Russell Hardy, as the new group CEO. Taylor said two years ago he was battling cancer although he continued to travel the world, chasing deals from Africa to the United States and Australia while also working as chairman of the board of trustees for London's Royal Opera House. Hardy, who started his career at BP and traded fuel oil, was long seen as one of two front-runners to succeed Taylor alongside another Vitol veteran Chris Bake. Vitol said in a statement that Hardy joined the firm in 1993 and held a number of trading and management roles in Singapore and London.
Frontier Driller Christened
The semisubmersible rig, Frontier Driller was christened with its new name at Signal International’s East Bank shipyard on Saturday November 1, in Pascagoula, MS. Mrs. Debbi Schnoor ceremoniously broke a bottle of champagne on the rig’s structure to highlight the event. The ceremony was attended by representatives from Frontier Drilling and Shell Oil Company. Shell has contracted the rig for exploration in the Gulf of Mexico. The event concluded a major upgrade of the giant rig. Signal had performed extensive modifications to the drilling unit since it first arrived in Pascagoula in February 2006. The Signal yard had renewed every electrical and mechanical system…
Shell to Get Permission to Drill in the Arctic
The US government is expected this week to give the go-ahead to a controversial plan by Shell Oil Company, one of the largest oil companies in the world to restart drilling for oil in the Arctic. The UPI reports that the decision rests on the U.S. Department of Interior Secretary Sally Jewell, who is expected to announce the decision on Wednesday. The green light from Sally Jewell, the interior secretary, will spark protests from environmentalists who have campaigned against proposed exploration by Shell.
Shell Announce Pause in Alaska Drilling Program
Royal Dutch Shell plc will pause its exploration drilling activity for 2013 in Alaska’s Beaufort and Chukchi Seas. Shell inform that the time out this season will be used to prepare equipment and plans for a resumption of activity at a later stage. “We’ve made progress in Alaska, but this is a long-term program that we are pursuing in a safe and measured way,” said Shell Oil Company President, Marvin Odum. Alaska holds important energy resources. At the same time, securing access to those resources requires special expertise, technology and an in depth understanding of the environmental and societal sensitivities unique to the region. Shell is one of the leaders in an industry move into offshore Arctic exploration.
Export of US LNG: Company to be Formed
Shell US Gas & Power & Kinder Morgen subsidiary Southern Liquefaction Company to exploit LNG export opportunities. The two companies have announced their intent to form a limited liability company to develop a natural gas liquefaction plant in two phases at Southern LNG's existing Elba Island LNG Terminal, near Savannah, Ga. Subject to various corporate and regulatory approvals, Shell and Kinder Morgan affiliates have agreed to modify EPB’s Elba Express Pipeline and Elba Island LNG Terminal to physically transport natural gas to the terminal and to load the liquefied natural gas (LNG) onto ships for export. “Kinder Morgan is delighted to be working with Shell at Elba Island on this project…
Wayward Rig 'Kulluk' Safely Arrives Kiliuda Bay
The 'Kulluk', towed by the 'AHTS Aiviq' has arrived in the safe harbor for assessment of any damage caused by its recent grounding. The Kulluk was refloated from its Ocean Bay position, off Sitkalidak Island, late Jan. 6, and will remain connected to its support vessels while it undergoes assessment in Kiliuda Bay, located about 30 miles north of Ocean Bay. The final location for assessment within the Bay will be determined by environmental conditions, including weather. The Coast…
US States Slow Trump Offshore Oil Drilling Expansion Plan
The Trump administration's plan to broadly expand drilling in U.S. offshore waters is moving slowly due to opposition from coastal states and indifference from oil companies that have turned their focus to other opportunities. The administration hopes encouraging U.S. energy development outside of shale oilfields will further its goal of "energy dominance." But existing Obama administration lease rules remain in place through 2022 unless the new rules gain approval. The Department of the Interior this year proposed opening vast new acreage in the U.S. outer continental shelf to drilling.
Construction Begins on Fourth Tanker in Philly
Dock. series, also currently under construction. As part of the ceremony, coins were placed under the keel block recreating a long-standing tradition whereby shipbuilders hide special coins in the keel section of a ship as a permanent symbol of good fortune and safe travels. Anton Roaldset, Vice President of Procurement, represented Aker American Shipping in the ceremony, with Andrew Hake and Greg Marchese of Overseas Shipholding Group's (OSG) site office at the yard participating on OSG's behalf. of liquid product. Company. to OSG. agreements in place between OSG and Shell, BP and Tesoro.
Wärtsilä, Shell Sign Deal to Promote LNG as a Marine Fuel
Wärtsilä and Shell Oil Company have signed a Joint Co-operation Agreement aimed at promoting and accelerating the use of liquefied natural gas (LNG) as a marine fuel. The agreement was signed in August 2011 and will run for several years. Supplies of low cost, low emissions LNG fuel will be made available to Wärtsilä natural gas powered vessel operators, and other customers by Shell. The Joint Cooperation Agreement will focus first on supplies from the US Gulf Coast, and then later expand their efforts to cover a broader geographical range. Gas fuelled marine engines are seen as being a logical means for ship owners and operators to comply with increasingly stringent environmental legislation.
Oil Majors to Invest $1B in GOM Oil Containment System
Today four oil majors – Chevron, ConocoPhillips, ExxonMobil and Shell – announced a plan to build and deploy a rapid response system that will be available to capture and contain oil in the event of a potential future underwater well blowout in the deepwater Gulf of Mexico. Significantly, the companies have already committed $1 billion to fund the initial costs of the system, and the four will form a non-profit organization, the Marine Well Containment Company, to operate and maintain this system. Other companies will be invited and encouraged to participate in this organization.
US Senator Introduces Bill to Stop Arctic Drilling
A piece of legislation aiming to stop offshore Arctic drilling was introduced last week by Oregon Senator Jeff Merkley. The legislation, entitled Stop Arctic Ocean Drilling Act of 2015, would prevent new or renewed leases for the exploration, development or production of oil, natural gas or any other mineral in the Arctic planning area. "A spill in the Arctic would be an environmental catastrophe of extraordinary proportions – and such a spill is inevitable if drilling proceeds," Merkley said.
Shell & Hyundai Open S. Korea Base Oil Plant
A joint venture company formed by Shell and Hyundai Oilbank, has inaugurated a new base oil manufacturing plant in Daesan, South Korea. The plant has the capacity to produce approximately 13,000 barrels per day or 650 kilotonnes of API Group II base oils per year. (Base oils are the key component of finished lubricants, making up on average of 60-80% of the end product). Mark Gainsborough, Executive Vice President for Shell Lubricants, said: “As the demand for higher quality lubricants is on the rise in Asia…
Shell Approves New Gulf of Mexico Project
Royal Dutch Shell has given the go-ahead to develop its Kaikias deepwater field in the Gulf of Mexico, the first such project the oil and gas company has approved in 18 months. Oil companies around the world are emerging from one of the longest downturns in recent decades amid warnings that the drop in investment in recent years may lead to a supply deficit by the end of the decade. Shell said the Kaikias oil and gas project, located some 210 kilometres (130 miles) from the Louisiana coast, will start production in 2019 and generate profits with oil prices lower than $40 a barrel after the company slashed its costs by around 50 percent due to simplified design plans. Oil prices were around $56 a barrel on Tuesday.
Shell's Arctic Return Faces Hurdle at Seattle Port
Royal Dutch Shell's quest to return to Arctic drilling for the first time in three years could face delays after Seattle ruled that the city's port must apply for a permit for the company to use it as a hub for drilling rigs. Seattle Mayor Ed Murray, a Democrat who has fought against new projects by coal and oil companies, applauded the requirement by the city's planning department. "This is an opportunity for the port and all of us to make a bold statement about how oil companies contribute to climate change, oil spills and other environmental disasters - and reject this short-term lease," Seattle's Mayor Ed Murray said on his website. The Puget Sound region has a decades-long history as a hub for equipment used in energy drilling in Alaska.
Seattle Fears Arctic drilling, Shell Moves Rigs
Shell Oil Co is poised to restart oil drilling in the Arctic in the near future once it receives the go-ahead from the U.S. government, which could happen soon. The decision to allow the oil company access has been controversial among environmentalists groups as well as local communities that could be affected by the drilling. Seattle city leaders are fighting to keep Arctic oil drilling equipment out of the Puget Sound as the Shell works on a deal to store the equipment with the Port of Seattle near the mouth of the Duwamish River.
Shell Green Lights GoM Field After Cost Cuts
Royal Dutch Shell has given the green light for the development of its largest platform in the Gulf of Mexico after making steep cost cuts which made the deep water project economical despite low oil prices. The decision to pour billions of dollars into the Appomattox project comes as companies have scrapped around $200 billion of mega-projects in the wake of the sharp decline in oil prices over the past year. Shell has operated in the Gulf of Mexico for over 60 years. The region contributes about 17 percent of total U.S. crude oil production according to the Energy Information Administration and was the location in 2010 of the worst offshore oil spill in U.S. history, involving BP's Deepwater Horizon well.
First LNG Export Cargo Departs Cove Point LNG
The Gemmata liquefied natural gas tanker left Dominion Energy Inc's Cove Point LNG export facility in Maryland early Friday, likely carrying the first export cargo from the facility that was expected to enter service in March, according to Reuters shipping data and energy traders. Officials at Dominion were not immediately available for comment. When the Gemmata docked at Cove Point earlier this week, analysts said it would likely be the first vessel to pick up fuel from the facility since the tanker came from Spain - a non-LNG exporting country - with less than a full cargo.
Shell, BP 2005’s Leading Oil Tanker Hirers
Royal Dutch Shell plc and BP plc, Europe’s largest energy companies, were the leading hirers of oil tankers last year as crude prices rose to records. Shell hired 762 crude oil tankers for single voyages in 2005, accounting for 7.5 percent of the global total, according to figures compiled by New York-based shipbroker Poten & Partners. BP rose from fifth in 2004 to second, with a share of 4.9 percent. Exxon Mobil Corp, the world’s top energy company, came third in the survey. Oil producers and traders hire tankers to ship oil from producing regions to refineries around the world. Shell and BP lease ships from owners including Front line Ltd and Teekay Shipping Co, the world’s largest oil tanker companies.
Environmentalists: Walrus Population at Risk in Arctic
Green groups urged the U.S. Department of Interior on Tuesday to revoke the agency's conditional approval of Royal Dutch Shell's 2015 Arctic oil exploration plan, saying it runs counter to established protections for walruses. A 2013 rule implemented by the Fish and Wildlife Service, a bureau of the Interior Department, prevents energy companies from exploring for oil simultaneously at wells in the Chukchi Sea off Alaska that are within 15 miles (24 km) of each other. The rule is meant to protect walrus populations that are sensitive to the noise and disruption of drilling in their habitat. But Shell's exploration plan for the Chukchi…
Seattle Gums Up Shell's Arctic Ambitions
Royal Dutch Shell's quest to return to Arctic drilling for the first time in three years could face delays after Seattle ruled that the city's port must apply for a permit before hosting rigs. Seattle Mayor Ed Murray, a Democrat who has fought against new projects by coal and oil companies, threw a serious barrier in front of the waterfront when he announced the port doesn't have the right permit to allow Shell's vessels to dock at Terminal 5. He applauded the requirement by the city's planning department.
Shell to sell $3B in North Sea Assets
Royal Dutch Shell is nearing the sale of a large part of its North Sea oil and gas assets to private equity-backed Chrysaor for $3 billion, banking sources said, marking a milestone in its drive to reduce debt after buying BG Group. Chrysaor, a North Sea-focused oil company backed by private equity fund EIG Partners, will acquire from Shell a mix of older fields, new developments and infrastructure in a move analysts say could breathe new life into one of the world's oldest offshore basins where production has been in a steady decline since the late 1990s. The anticipated deal in what is a relatively high-cost region has been seen by the industry as a litmus test for the sector's appetite for buying and selling oil and gas fields…
Royal Dutch/Shell Workers Held Hostage In Nigeria
It was reported that militant youths in Nigeria's Niger Delta are holding 12 Royal Dutch/Shell workers hostage, to press for compensation for an oil spill in their area. Shell officials in Lagos said they were not aware of the kidnapping, which the youths said was to forced the oil company pay $1.5 million compensation for a 1989 oil spillage. Sources said the oil workers, mainly Nigerians, were seized by youths from Arhavwarien community in Ugheli South Local Council in southern Delta State, on their way to effect repairs of a leaking pipeline in a neighboring village. Residents demanding a greater share of Niger Delta region's oil wealth frequently sabotage or kidnap oil workers to try to win payments from oil firms.
Shell Signals US Arctic Return, Greenpeace Unwelcoming
According to Greenpeace, Shell's CFO Simon Henry said that the company is putting the building blocks in place to drill in Alaskan Arctic as early as next year. "Shell's Arctic bravado is a desperate attempt to reassure its investors, but the facts tell a different story. Brushing off the loss of hundreds of millions of dollars and casually scrapping a drilling platform are not the actions of a company in control of its operations. "In 2012 Shell proved that it is completely unfit to drill in the remote Arctic, a place of unrivaled beauty where any spill would be an environmental disaster.