The unusual move reflects Shells reliance on Nigeria, its largest source of oil and gas after the US. In 2007 Nigeria provided more than a 10th of Shells global production of about 3.3m barrels of oil equivalent per day.
Posts on ‘February 20th, 2009’
Royal Dutch Shell was forced to cede control of the Sakhalin II liquefied natural gas project in 2007 to the state-controlled Gazprom. Shell was stung by Russia’s action, but in an interview on the island this week, its Chief Executive Officer Jeroen van der Veer said the company was willing to discuss more projects with the Russian gas monopoly and possibly with other national firms. “If you look at our history, we have many partnerships with NOCs, not only Gazprom,” he said.
The statement, which is apparently a reaction to allegation by MOSOP linking the oil giant with sponsorship of crisis in the area, reads in part: SPDC Joint venture is not in any way involved or connected with the reported crisis in K-Dere or elsewhere in Ogoni land, and is not sponsoring any persons or group in any such conflict.
The metal gates outside Shell’s offices in the city are flanked by two sandbagged positions manned by guards with automatic weapons.
Sibir has had great success in developing its Salym oil fields in western Siberia, a 50-50 joint venture with Royal Dutch Shell, which came on stream at the end of 2005. Last month, the field celebrated record production, with Sibir’s share running at more than 80,000 barrels per day.
Royal Dutch Shell’s (RDSa.L) pension fund also slipped into deficit after its value fell 40 percent, pushing its solvency ratio to 85 percent.