Dispute stops cargoes at Shell’s huge floating LNG plant
Angela Macdonald-Smith: Senior resources writer
Updated Jun 28, 2022 – 10.36pm, first published at 9.22pm
Shell’s monster floating LNG project off the north-west coast has cancelled cargoes until at least mid-July amid an escalating industrial dispute, tightening the supply of gas in the already-stretched global market.
Trade unions represented through the Offshore Alliance say Shell has threatened union negotiators with its intention to shut down the facility amid the deteriorating situation.
Australian Workers’ Union national secretary Daniel Walton described the threat as “insane” given the national gas crisis, and said the energy major was trying to bully the nation into agreeing to its “hardline” demands.
However the energy multinational insists it is union bans that are behind the likely shutdown, restricting its ability to operate the complex facility and offload cargoes. Prelude supplies LNG to the export market, not to Australian energy users.
A Shell spokeswoman said the group has notified customers that it is cancelling cargoes until at least the middle of next month due to the impact of the industrial action.
The dispute centres around a new collective agreement under negotiation between Shell and the unions, for workers that industry sources say are paid an average of $250,000-$280,000, and in some cases more through bonuses, allowances and overtime.read more
Shell is running its $23 billion Prelude floating LNG plant with critical positions filled by crew who are not fully qualified, and more than 200 safety alarms out of action, ahead of industrial action due to start on Friday.
Gas exports recommenced from the world’s largest floating vessel just two months ago after it was shut down for four months following a complete power failure in December that the offshore safety regulator said could have led to a “catastrophic failure”.read more
Jun 2nd, 2022
by John Donovan.
Comments are off for this post
ENERGY VOICE
Shell sends ‘thug’ to stop industrial strike action on Prelude FLNG, says labour union
Production at Shell’s (LON:SHEL) Prelude floating liquefied natural gas (LNG) facility offshore Western Australia may soon be affected by industrial strike action after the Offshore Alliance issued the supermajor with a notice of protected industrial action starting 10 June.
Production at Shell’s (LON:SHEL) Prelude floating liquefied natural gas (LNG) facility offshore Western Australia may soon be affected by industrial strike action after the Offshore Alliance issued the supermajor with a notice of protected industrial action starting 10 June.
In response to the formal notice served by lawyers representing the Offshore Alliance, a labor union, as well as the Electrical Trades Union (ETU), issued on 30 May, Shell has “now resorted to industrial thuggery in a desperate effort to try and stop protected industrial action on Prelude,” the Offshore Alliance claimed in a post on Facebook today.
“One of the Shell leads, who has been parachuted onto Prelude, is throwing his weight around like he’s some sort of big king dick…this self-styled hero tough guy has been doing his best to intimidate some of the younger female tech’s by demanding they tell him whether they are in the Union and whether they intend to take Protected Industrial Action,” claimed the Offshore Alliance.
“Shell’s senior management need to pull this idiot into line as the Offshore Alliance will bang both him and Shell into the Federal Court for breach of Freedom of Association provisions if he doesn’t pull his head in. Pull off your management thugs, Shell,” added the union.read more
May 30th, 2022
by John Donovan.
Comments are off for this post
Shell to develop Crux project in Western Australia
May 30, 2022
Shell Australia Pty Ltd (Shell Australia) and its joint venture partner, SGH Energy, have taken a final investment decision to approve the development of the Crux natural gas field, off the coast of Western Australia. Crux will provide further supplies of natural gas to the existing Prelude floating liquefied natural gas (FLNG) facility.
“This project forms an important part of Shell’s integrated gas portfolio,” said Wael Sawan, Integrated Gas, Renewables and Energy Solutions Director at Shell. “Natural gas from Crux will play a key role in helping Asian customers move from coal to gas as a cleaner-burning fuel. The project will help us to meet the increasing demand for LNG as the energy market transitions to a lower carbon future.
“The project will also boost our customers’ security of supply, which is becoming an ever more significant consideration for global consumers.”
“Developing the Crux project reinforces our commitment to Australia, including boosting the regional economy, creating jobs and providing training opportunities,” said Shell Australia Chair Tony Nunan. “The use of Prelude’s existing infrastructure enables significantly reduced development costs, making Crux competitive and commercially attractive.”
The Crux field is in Commonwealth marine waters in the northern Browse Basin, 620 kilometres north-east of Broome. The development will consist of a platform operated remotely from Prelude,. Five wells will be drilled initially, and an export pipeline will connect the platform to Prelude, which is around 160 kilometres to the south-west of Crux.read more
Shell and Seven Group have sanctioned the $US2.5 billion ($3.5 billion) Crux gas field off Western Australia’s Kimberley coast to supply the world’s largest vessel – Shell’s Prelude floating LNG plant – on the same day unions gave notice of industrial action.
The announcement comes one week into the prime ministership of Anthony Albanese, who said he wants to be remembered for action on climate and is under pressure from the Greens to stop all new fossil fuel projects.
Wood Mackenzie analyst Michael Song said without Crux, before 2030 the 488 metre-long Prelude would not have sufficient gas to operate at full capacity.
Prelude was meant to be the world’s first floating LNG plant and a prototype for Shell to deploy globally to develop gas in remote areas that would otherwise be stranded.
Shell initially planned to tap the nearby Concerto field after the initial Prelude reservoir was drained, but later analysis showed Concerto would be less productive than expected, forcing Shell to source gas from Crux, 160 kilometres away.
Construction of Crux will start this year with the first gas from an unmanned platform with five wells expected to flow in 2027.
The disappointing Concerto reservoir is another setback for a project that has fallen well short of most metrics that determine a successful project.read more
NEW YORK, May 7 (Reuters) – Activist investor Daniel Loeb, who wants Royal Dutch Shell Plc to break apart, applauded the energy giant’s decision to move its headquarters even as he sticks to views that a different corporate structure would make it more successful.
Loeb, who said in October that his hedge fund Third Point LLC had taken a $750 million stake in the company, told his own investors on Friday that he has added to his Shell stake and has held discussions with management, board members and other shareholders.read more
The Prelude project has been beset by cost and time blowouts, as well as technical problems
A lobbyist and former engineer says safety issues are the biggest concern
There are claims Prelude may never pay royalties for the gas it processes off Australia’s north-west coast
When Dutch-Anglo oil giant Shell decided to build a massive floating gas factory known as Prelude in 2011, it was billed as the dawn of a new era for the industry.
Australia was midway through a once-in-a-lifetime $300 billion splurge that would make the country the world’s biggest producer of super-chilled, shipped gas.
Floating gas plants were supposed to be the logical evolution, vacuuming up gas wherever they went and making fortunes for shareholders and taxpayers.read more
Ukraine’s government has urged the UK to ensure “not a single drop of Russian oil enters the country”, as it pushed for a “total and immediate” boycott on Russian fossil fuels.
Oleg Ustenko, economic adviser to President Volodymyr Zelenskyy, said it was “no time for half measures”. It comes amid concerns Britain may adopt a definition of Russian oil that allows some Kremlin supplies into the country, even under the impending embargo.read more
Dmytro Kuleba, Ukraine’s foreign minister, criticised the company on Twitter, demanding that multinational companies “cut all business ties with Russia.”read more
Apr 22nd, 2022
by John Donovan.
Comments are off for this post
The Telegraph
Shell accused of using ‘accounting trick’ to keep buying Russian oil
Tom Rees: Fri, April 22, 2022,
The Ukrainian government has accused Shell of using an “accounting trick” to allow the oil giant to keep buying Russian crude despite promising to cut ties with the Kremlin.
A letter sent by Kyiv to Shell boss Ben van Beurden said it was “deplorable” that companies are continuing to “bankroll Putin’s war machine” amid concerns Russian oil is still being bought through backdoor routes.
The FTSE 100 oil major committed to stop purchasing Russian crude in the spot market and said it is legally obliged to accept oil deliveries from contracts sealed before the invasion of Ukraine. However, it defines refined oil products, such as diesel, as not being of Russian origin if less than 50pc of the blend is from the country.read more
Apr 22nd, 2022
by John Donovan.
Comments are off for this post
Three Chinese energy firms are in talks to buy Shell’s stake in a huge Russian natural gas export project, a report says
Grace Dean
Chinese firms are in talks to buy Shell’s stake in a Russian natural gas export project, sources told Bloomberg.
CNOOC, CNPC, and Sinopec are in joint discussions, the sources said.
Shell and other Western energy companies are withdrawing from the Russian oil and natural gas sector.
Three Chinese state-run energy companies are in talks to buy Shell’s 27.5% stake in a huge Russian natural gas export project, Bloomberg reported, citing people with knowledge of the matter.read more
Apr 11th, 2022
by John Donovan.
Comments are off for this post
ArgusMedia.com
Shell restarts shipments from Australia’s Prelude FLNG
Published date: 11 April 2022
Shipments from Shell’s 3.6mn t/yr Prelude floating LNG (FLNG) facility in the Browse basin offshore Western Australia resumed on 10 April, with the first cargo departing at 21:50 Australian Western Standard Time (13:50 GMT).
“LNG cargoes have resumed from Shell’s Prelude FLNG facility,” Shell said.
Shell operates Prelude with a 67.5pc stake. Japanese upstream firm Inpex has a 17.5pc stake in the facility, while South Korean state-owned importer Kogas and Taiwanese state-controlled CPC own 10pc and 5pc, respectively.
MELBOURNE, April 11 (Reuters) – Shell Plc (SHEL.L) said on Monday it has resumed shipping liquefied natural gas (LNG) from its Prelude floating LNG facility off northwest Australia after a four-month shutdown due to a major power failure.
A cargo completed loading and left the site on Sunday night, a Shell spokesperson said, declining to disclose the destination.
“Our focus at Prelude remains on the long-term and delivering safe, sustained and reliable performance into the future,” Shell said in a statement.read more
Apr 7th, 2022
by John Donovan.
Comments are off for this post
The New York Times
Shell says it expects to lose up to $5 billion for pulling out of Russia.
In an update to investors, the oil company projected a huge financial hit from its exposure to Russia.
By Marie Solis and Jason Karaian: April 7, 2022, 8:09 a.m. ET
The British oil giant Shell said on Thursday that its decision to pull out of its projects in Russia will slash its quarterly profit by $4 billion to $5 billion.
The estimate, detailed in an update to Shell shareholders, is among the largest publicly announced financial hits by any of the hundreds of companies that have curtailed their operations in Russia or withdrawn entirely since its invasion of Ukraine.read more
Listen and read proof in audio and transcript form of Shell CEO Ben van Beurden’s cover-up tactics in the OPL 245 Nigerian corruption scandal. The instruction given by him in the covertly recorded call to CFO Simon Henry was at odds with Shell’s claimed core business principles. Cover-up and obstruction, instead of transparency and integrity, says Shell critic John Donovan
JOHN DONOVAN TV DOCUMENTARY INTERVIEW
SHELL EXECUTIVES AT THE CENTER OF A SCHEME TO STEAL $1.3 BILLION FROM NIGERIA’S PEOPLE
SHELL ADMITS DEALING WITH NIGERIAN MONEY LAUNDERER – BBC NEWS
SHELL, ENI AND NIGERIAN OFFICIALS IN OPL 245 CORRUPTION SCANDAL
INVESTIGATION OF OPL 245 NIGERIAN OIL CORRUPTION SCANDAL
DUTCH EARTHQUAKES CAUSED BY SHELL/EXXON
SHELL KILLS FOR OIL IN NIGERIA
ESTHER KIOBEL SUES SHELL FOR COMPLICITY IN HUSBANDS MURDER
ESTHER KIOBEL: EVIL OIL GIANT SHELL COLLUDED IN THE EXECUTION OF MY INNOCENT HUSBAND
SHELL LIED ABOUT CLEANING UP OIL IN NIGER DELTA
SHELL SPIES INFILTRATED NIGERIAN GOVERNMENT
LEGO DROPS SHELL OVER GREENPEACE OIL SPILL VIDEO
SHELL ARCTIC DRILLING ACCIDENTS
SHELL KNEW ABOUT CLIMATE CHANGE DECADES AGO
ABANDONED BY SHELL: KEITH MACDONALD & FAMILY, VICTIMS OF RADIOACTIVE CONTAMINATION AT WORK
ROYAL DUTCH SHELL FOUNDER SIR HENRI DETERDING, NAZI FINANCIER
JOHN DONOVAN PROMOTIONAL GAMES FOR SHELL AND OTHER CLIENTS
EBOOK TITLE: “SIR HENRI DETERDING AND THE NAZI HISTORY OF ROYAL DUTCH SHELL” – AVAILABLE ON AMAZON EBOOK TITLE: “JOHN DONOVAN, SHELL’S NIGHTMARE: MY EPIC FEUD WITH THE UNSCRUPULOUS OIL GIANT ROYAL DUTCH SHELL” – AVAILABLE ON AMAZON. EBOOK TITLE: “TOXIC FACTS ABOUT SHELL REMOVED FROM WIKIPEDIA: HOW SHELL BECAME THE MOST HATED BRAND IN THE WORLD” – AVAILABLE ON AMAZON.
Enter your ad code in the Widget Admin to display your ads here
DISCLAIMER
This is not a Shell website. That fact should be abundantly plain from the overall content of this home page and our sister Shell focussed websites, including shellnazihistory.com. Click on the Disclaimer link at top of this page for more information. You Can Be Sure Shell does not endorse or approve of this website. There are no subscription charges nor do we solicit or accept donations. It is an entirely free to use website drawing attention to the negative side of Shell while also publishing positive news about the company. The Shell logo image with the white text used on this website, as per the above example, is in the public domain because its copyright has expired and its author is anonymous. It can be found here on WIKIMEDIA COMMONS. Our shellenergy.website republishes Shell Energy customer complaints posted on Trustpilot where there is an ample supply. Use this link for Shell’s own website.
OVER 500 EXTERNAL PUBLICATIONS CITING OUR SHELL WEBSITES
See our link list of over 500 articles by the FT, Wall Street Journal, Reuters, Bloomberg, Forbes, Dow Jones Newswires, New York Times, CNBC etc, plus UK House of Commons Select Committee Hansard records, information on U.S. Securities & Exchange Commission websiteetc. all containing references to our Shell focussed websites, or our website founders Alfred and John Donovan. Includes TV documentary features in English and German, newspaper and magazine articles, radio interviews, newsletters etc. Plus academic papers, Stratfor intelligence reports and UK, U.S. and Australian state/parliamentary publications, also citing our Shell websites. Click on this link to see the entire list, all in date order with a link to an index of over 100 books also containing references to our non-profit websites and/or our activities.
John Donovan, the website owner