Here is but one . I ran across as I read as much as I can on the energy industry, particularly RUSSIA's drive to control natural gas and oil.
Wherever their dirty fingers get, within DAYS there is something political going on - case in point - Myanmar, Burma.
Virginia
Shell replacing oil reserves |
|
| Agence France Presse |
| LONDON: Oil giant Royal Dutch Shell said on Monday that it was replacing proved oil and gas reserves faster than they were being depleted despite the sale of a part of a major asset in Russia.
Chief executive Jeroen van der Veer said as oil reached another record high price: "This is an unprecedented phase of activity for Shell in a new energy landscape."
In an annual report, the company said net capital investment would amount to 26-27 billion dollars (16.4-17.0 billion euros) this year.
The size of reserves is a central factor in the valuation of an oil company.
In turn, global prospects for their replacement is central to assessments of the future price of oil and therefore the incentives for oil groups to invest in new projects.
Shell said that last year its overall replacement rate was well above 100 percent of the depletion rate and that its net proved reserves of oil and gas amounted to 11.9 billion barrels of oil equivalent, the standard measure.
This was despite the sale of same assets, and most notably of half of the interest of 55 percent in the Sakhalin-2 gas project in Russia, estimated to cost 20 billion dollars.
Excluding the effect of such disposals and of acquisitions, it increased reserves last year by 1.5 billion barrels of oil equivalent, set against production of 1.2 billion barrels, yielding a replacement ratio of 124 percent.
The extra reserves came from projects in Qatar, Norway, Australia and the United States, a Shell spokesman said. If production from oil sands were included, the replacement ratio would rise to 127 percent.
The spokesman declined to comment on the effect of the disruption to Shell's Nigerian oil projects to the estimate of overall reserves.
Some analysts had expected Shell to write off some of its reserve assets in Nigeria because of security and operating problems which has resulted in a suspension of some output.
Shell said its estimate of its resources had risen to 66 billion barrels of oil equivalent and it put the exploitation life of these resources at 55 years owing to the improved performance of exploration activities. |
No comments:
Post a Comment