Shell PLC (SHEL)

[richfool]

The Dutch Gov are "unpleasantly surprised" about Shell's proposed move:

AMSTERDAM (Reuters) - The Dutch government said on Monday it was "unpleasantly surprised" by news that Royal Dutch Shell PLC is planning to move its headquarters to London from The Hague.

"The Cabinet regrets to the utmost that Shell wants to move its head office to the United Kingdom," Economic Affairs and Climate Minister Stef Blok said.

"We are in a dialogue with the management of Shell over the consequences of this plan for jobs, crucial investment decisions and sustainability."

Shell announced earlier it intends the move to simplify its corporate structure and make it easier to distribute profit to shareholders.

The move also comes months after a Dutch court ordered Shell to accelerate its plans to cut greenhouse gas emissions, a decision Shell is appealing.

It follows years of questions in the Netherlands over Shell's unusual tax structure and dual class share system, which has been in place since 2005.

While the Netherlands withholds a 15% tax on dividends for Dutch-domiciled companies, Britain does not have such a tax.

Under Shell's dual class share system, holders of the "A" shares receive normal dividends and are subject to the tax.

However payments for "B" shares are distributed through a "Dividend Access Mechanism" that essentially sees them streamed through a trust registered on the Channel Island Jersey, avoiding the Dutch withholding tax.

Though the arrangement was approved by Dutch tax authorities in a confidential deal, its legality under European Union law was doubted by some tax experts.

https://uk.finance.yahoo.com/news/dutch ... 42198.html

[Dod101]

The Dutch Gov are "unpleasantly surprised" about Shell's proposed move:

AMSTERDAM (Reuters) - The Dutch government said on Monday it was "unpleasantly surprised" by news that Royal Dutch Shell PLC is planning to move its headquarters to London from The Hague.

"The Cabinet regrets to the utmost that Shell wants to move its head office to the United Kingdom," Economic Affairs and Climate Minister Stef Blok said.

"We are in a dialogue with the management of Shell over the consequences of this plan for jobs, crucial investment decisions and sustainability."

Shell announced earlier it intends the move to simplify its corporate structure and make it easier to distribute profit to shareholders.

The move also comes months after a Dutch court ordered Shell to accelerate its plans to cut greenhouse gas emissions, a decision Shell is appealing.

It follows years of questions in the Netherlands over Shell's unusual tax structure and dual class share system, which has been in place since 2005.

While the Netherlands withholds a 15% tax on dividends for Dutch-domiciled companies, Britain does not have such a tax.

Under Shell's dual class share system, holders of the "A" shares receive normal dividends and are subject to the tax.

However payments for "B" shares are distributed through a "Dividend Access Mechanism" that essentially sees them streamed through a trust registered on the Channel Island Jersey, avoiding the Dutch withholding tax.

Though the arrangement was approved by Dutch tax authorities in a confidential deal, its legality under European Union law was doubted by some tax experts.

https://uk.finance.yahoo.com/news/dutch ... 42198.html

Thanks. Assuming that the Yahoo report is substantially accurate that would suggest that Shell did not advise, never mind consult, the Dutch Government about its plans. That is presumably to reflect Shell's displeasure at the order to Shell to reduce its emissions. So the Dutch loss is the UK's gain.

Dod

[richfool]

Thanks. Assuming that the Yahoo report is substantially accurate that would suggest that Shell did not advise, never mind consult, the Dutch Government about its plans. That is presumably to reflect Shell's displeasure at the order to Shell to reduce its emissions. So the Dutch loss is the UK's gain.

Dod

Yes, it could well be that an order from the Dutch Court telling Shell to reduce its emissions has resulted in an increase in the Dutch Government's emissions!

[Gengulphus]

The name had already been Anglicised by calling the old company 'Royal Dutch Shell' rather than 'Koninklijke Nederlandse Shell'. (Note that you do not pronounce the second i in 'Koninklijke' - the end of this word sounds more like 'luck' in English.)

The Anglicisation was actually from "Koninklijke Nederlandse Petroleum Maatschappij", which was the name of the Dutch company in the original 'dual listed company' structure, while the UK company was "The 'Shell' Transport & Trading Company". That was before the unification in 2005; afterwards it went straight to "Royal Dutch Shell", with no partial Anglicisations on the way.

And I'm afraid it's not the case that the second i in 'Koninklijke' isn't pronounced - it's instead a matter of 'ij' normally representing what one might call a 'shifting vowel sound' (linguists call such things 'diphthongs'), that starts as one vowel sound and shifts to another during pronunciation - roughly speaking, it starts like 'e' in 'bet' and shifts to 'ee' in 'beet'. It's a bit like some 'ow's in English, which in 'cow', 'how' or 'now' roughly speaking start like 'a' in 'bat' and shift to 'oo' in 'boot'. (Though English adds some extra complications, such as the 'ow's in 'bow' or 'row' having two different pronunciations depending on the intended meaning of the word!)

However, Dutch isn't totally devoid of such extra complications (despite the myth the Dutch tend to believe that unlike English, their language's pronunciation is straightforwardly determined by how it's spelt - it does a lot better than English in that respect, but it doesn't achieve perfection), and one of them is relevant here: in the suffix '-lijk' or '-lijke', it is pronounced as the rather indeterminate, unstressed vowel sound linguists call a 'schwa' - as the 'e' in 'the' normally is in English (though not when the word is being stressed - as in "Ladies and gentlemen, it now gives me great pleasure to introduce ...[dramatic pause]... *the* one-and-only Red Hot Chilli Peppers"). And the final 'e' of 'koninklijke' is pronounced the same way - final 'e's in English generally modify the pronunciation of a final 'e' but are not themselves pronounced (e.g. 'mat' vs 'mate'), but in Dutch they are generally pronounced.

Edit: there's lots more about the Dutch 'ij' in https://en.wikipedia.org/wiki/IJ_(digraph) for anyone who wants to know more...

Gengulphus

[ADrunkenMarcus]

it's not the case that the second i in 'Koninklijke' isn't pronounced - it's instead a matter of 'ij' normally representing what one might call a 'shifting vowel sound' (linguists call such things 'diphthongs')

I'll have to tell my Dutch lady friend that she is being lazy with her pronunciation.

Best wishes


Mark.

[Gengulphus]

it's not the case that the second i in 'Koninklijke' isn't pronounced - it's instead a matter of 'ij' normally representing what one might call a 'shifting vowel sound' (linguists call such things 'diphthongs')

I'll have to tell my Dutch lady friend that she is being lazy with her pronunciation.

Just so that you're aware, I lived full-time in Amsterdam from mid 1967 to late 1971, attending Dutch schools and being taught exclusively in Dutch (apart from secondary school lessons in foreign languages, which were of course in Dutch and the foreign language). For the first year, I was also getting extra tuition in Dutch from a Dutch national (I vividly remember her drumming the difference between the pronunciations of 'ei' (or 'ij') and 'ee' into me - and I suspect sometimes despairing because to my ear at the time, they were identical long 'a' sounds...). I was fluent in Dutch for all but about that first year (though I cannot claim still to be so - I haven't had a significant conversation in Dutch for decades and the lack of practice shows, especially in not being able to bring the word I want to mind, or the idiomatic way to say something). So I do know what I'm talking about!

And just to be clear, I said nothing whatsoever about her pronunciation - but instead something about your statement that the second i in 'Koninklijke' isn't pronounced. If that were the case, 'Koninkljke' would be sensibly pronounceable in Dutch - and it isn't (if you want to try pronouncing the sequence of letters 'kljk', 'k' and 'l' are pronounced more or less as they are in English, and 'j' outside of the 'ij' diphthong is pronounced as the consonantal 'y', i.e. as in 'yell', not 'try' or 'early').

Gengulphus

[ADrunkenMarcus]

I think you misunderstood.

I wasn’t doubting you. I merely observed how she said it. Mind you, she often pronounces English words in an odd way too.

Best wishes

Mark

[idpickering]

Shell announces commencement of shareholder distributions from Permian business sale proceeds.

Royal Dutch Shell plc (the ‘company’) announces the commencement of up to $1.5 billion of share buybacks today, being the first tranche of the $7 billion shareholder distributions from the sale of the company’s Permian business in the United States. The form and timing for distributing the remaining $5.5 billion (together with any unpurchased amount of the $1.5 billion of shares under this tranche) will be announced in early 2022. These distributions are in addition to our shareholder distributions in the range of 20-30% of cash flow from operations.

https://www.investegate.co.uk/royal-dut ... 0000H1599/

[idpickering]

Doubt cast on oil sector as Shell ditches Cambo plan

Britain’s oil and gas industry was facing added uncertainty after Shell pulled out of a controversial new oilfield off the Shetland Islands.

The company was partnering the private equity-backed explorer Siccar Point to develop the Cambo oilfield.

But it said in a statement that it has “concluded the economic case for investment in this project is not strong enough at this time, as well as having the potential for delays.”

Siccar Point said separately: “Shell has taken the decision to not progress its investment at this stage,” while its chief executive Jonathan Roger said: “Cambo remains critical to the UK’s energy security and economy”, suggesting it might seek a new partner.

Mr Roger added: “Whilst we are disappointed at Shell’s change of position … we will continue to engage with the UK Government and wider stakeholders on the future development of Cambo.”

https://dailybusinessgroup.co.uk/2021/1 ... ambo-plan/

[Dod101]

Interesting decision by Shell. Influenced by the Dutch Government case against them? Shell do not need any more controversy at this time and this is probably a rather marginal field anyway. Be interesting to see how this plays out.

Dod

[BullDog]

Interesting decision by Shell. Influenced by the Dutch Government case against them? Shell do not need any more controversy at this time and this is probably a rather marginal field anyway. Be interesting to see how this plays out.

Dod

So, according to the press this morning that's about 1000 UK jobs and investment that will be exported. And 170 million barrels of oil/gas will be imported. It's sheer unadulterated madness to think that scrapping Cambo is in anyway going to be of global benefit environmentally. I would far rather produce the oil and gas the UK economy needs right here responsibly, than produce it in Russia or the gulf states and import it.

[Dod101]

Interesting decision by Shell. Influenced by the Dutch Government case against them? Shell do not need any more controversy at this time and this is probably a rather marginal field anyway. Be interesting to see how this plays out.

Dod

So, according to the press this morning that's about 1000 UK jobs and investment that will be exported. And 170 million barrels of oil/gas will be imported. It's sheer unadulterated madness to think that scrapping Cambo is in anyway going to be of global benefit environmentally. I would far rather produce the oil and gas the UK economy needs right here responsibly, than produce it in Russia or the gulf states and import it.

I agree although the Shell pull out does no necessarily mean that Cambo will be scrapped but it does seem to be an indication of the way the wind is blowing, at least as far as Shell is concerned. Must not get political as this is the Company News Board but as I said it would seem very likely that Shell's decision has been influenced by the Dutch court case, possible aided and abetted by the Scottish Government, or at least by its First Minister.

Dod

[Nimrod103]

Interesting decision by Shell. Influenced by the Dutch Government case against them? Shell do not need any more controversy at this time and this is probably a rather marginal field anyway. Be interesting to see how this plays out.

Dod

So, according to the press this morning that's about 1000 UK jobs and investment that will be exported. And 170 million barrels of oil/gas will be imported. It's sheer unadulterated madness to think that scrapping Cambo is in anyway going to be of global benefit environmentally. I would far rather produce the oil and gas the UK economy needs right here responsibly, than produce it in Russia or the gulf states and import it.

I agree although the Shell pull out does no necessarily mean that Cambo will be scrapped but it does seem to be an indication of the way the wind is blowing, at least as far as Shell is concerned. Must not get political as this is the Company News Board but as I said it would seem very likely that Shell's decision has been influenced by the Dutch court case, possible aided and abetted by the Scottish Government, or at least by its First Minister.

Dod

Personally, I doubt it has much to do with the Dutch courts, but is due to the potential for delay to what is a marginal project. Without support (and even active opposition) from the Scottish Govt, the operator would be wide open to pressure from environmentalists trying their damnedest to stall the project.
From today's Telegraph:
Shell's fears of delays are likely to be interpreted as based on the political climate, which risks seeing Cambo bound up in regulatory delays, legal challenges or protests.

[BullDog]

So, according to the press this morning that's about 1000 UK jobs and investment that will be exported. And 170 million barrels of oil/gas will be imported. It's sheer unadulterated madness to think that scrapping Cambo is in anyway going to be of global benefit environmentally. I would far rather produce the oil and gas the UK economy needs right here responsibly, than produce it in Russia or the gulf states and import it.

I agree although the Shell pull out does no necessarily mean that Cambo will be scrapped but it does seem to be an indication of the way the wind is blowing, at least as far as Shell is concerned. Must not get political as this is the Company News Board but as I said it would seem very likely that Shell's decision has been influenced by the Dutch court case, possible aided and abetted by the Scottish Government, or at least by its First Minister.

Dod

Personally, I doubt it has much to do with the Dutch courts, but is due to the potential for delay to what is a marginal project. Without support (and even active opposition) from the Scottish Govt, the operator would be wide open to pressure from environmentalists trying their damnedest to stall the project.
From today's Telegraph:
Shell's fears of delays are likely to be interpreted as based on the political climate, which risks seeing Cambo bound up in regulatory delays, legal challenges or protests.

Absolutely. The influence of the green lobby is huge. Even the fact that domestic hydrocarbon production is (IMHO) hugely preferable to imports from an environmental, economic and energy security perspective will carry zero weight.

[Dod101]

So, according to the press this morning that's about 1000 UK jobs and investment that will be exported. And 170 million barrels of oil/gas will be imported. It's sheer unadulterated madness to think that scrapping Cambo is in anyway going to be of global benefit environmentally. I would far rather produce the oil and gas the UK economy needs right here responsibly, than produce it in Russia or the gulf states and import it.

I agree although the Shell pull out does no necessarily mean that Cambo will be scrapped but it does seem to be an indication of the way the wind is blowing, at least as far as Shell is concerned. Must not get political as this is the Company News Board but as I said it would seem very likely that Shell's decision has been influenced by the Dutch court case, possible aided and abetted by the Scottish Government, or at least by its First Minister.

Dod

Personally, I doubt it has much to do with the Dutch courts, but is due to the potential for delay to what is a marginal project. Without support (and even active opposition) from the Scottish Govt, the operator would be wide open to pressure from environmentalists trying their damnedest to stall the project.
From today's Telegraph:
Shell's fears of delays are likely to be interpreted as based on the political climate, which risks seeing Cambo bound up in regulatory delays, legal challenges or protests.

I am sure you are right but of course the Scottish Government cannot stop it although their Green Party friends can certainly frustrate it. As I said, the way the wind is blowing. I know nothing of the technicalities of the site except that I gather it is ij very deep water. But we will need the oil!

Dod

[Nimrod103]

I agree although the Shell pull out does no necessarily mean that Cambo will be scrapped but it does seem to be an indication of the way the wind is blowing, at least as far as Shell is concerned. Must not get political as this is the Company News Board but as I said it would seem very likely that Shell's decision has been influenced by the Dutch court case, possible aided and abetted by the Scottish Government, or at least by its First Minister.

Dod

Personally, I doubt it has much to do with the Dutch courts, but is due to the potential for delay to what is a marginal project. Without support (and even active opposition) from the Scottish Govt, the operator would be wide open to pressure from environmentalists trying their damnedest to stall the project.
From today's Telegraph:
Shell's fears of delays are likely to be interpreted as based on the political climate, which risks seeing Cambo bound up in regulatory delays, legal challenges or protests.

I am sure you are right but of course the Scottish Government cannot stop it although their Green Party friends can certainly frustrate it. As I said, the way the wind is blowing. I know nothing of the technicalities of the site except that I gather it is ij very deep water. But we will need the oil!

Dod

The other interesting angle though this is really for LoST. Marginal field means marginal tax take, so Boris is probably quite relaxed about it not going ahead. But it will make the SNP/Green coalition rather unpopular in parts of Scotland.

[Dod101]

Personally, I doubt it has much to do with the Dutch courts, but is due to the potential for delay to what is a marginal project. Without support (and even active opposition) from the Scottish Govt, the operator would be wide open to pressure from environmentalists trying their damnedest to stall the project.
From today's Telegraph:
Shell's fears of delays are likely to be interpreted as based on the political climate, which risks seeing Cambo bound up in regulatory delays, legal challenges or protests.

I am sure you are right but of course the Scottish Government cannot stop it although their Green Party friends can certainly frustrate it. As I said, the way the wind is blowing. I know nothing of the technicalities of the site except that I gather it is ij very deep water. But we will need the oil!

Dod

The other interesting angle though this is really for LoST. Marginal field means marginal tax take, so Boris is probably quite relaxed about it not going ahead. But it will make the SNP/Green coalition rather unpopular in parts of Scotland.

It will make the coalition very unpopular in Aberdeen City and the surrounding area and we are already seeing a certain amount of disagreement within the SNP with Fergus Ewing not mincing his words, quite apart from which it undermines the SNP economic case. 'It's Scotland's oil!' was the war cry at the independence referendum.

Dod

[idpickering]

Royal Dutch Shell Plc Third Quarter 2021 Euro and GBP Equivalent Dividend Payments

The Board of Royal Dutch Shell plc (“RDS”) today announced the pounds sterling and euro equivalent dividend payments in respect of the third quarter 2021 interim dividend, which was announced on October 28, 2021 at US$0.24 per A ordinary share (“A Share”) and B ordinary share (“B Share”).

Dividends on A Shares will be paid, by default, in euros at the rate of €0.2121per A Share. Holders of A Shares who have validly submitted US dollars or pounds sterling currency elections by November 26, 2021 will be entitled to a dividend of US$0.24 or 18.06p per A Share, respectively.

Dividends on B Shares will be paid, by default, in pounds sterling at the rate of 18.06p per B Share. Holders of B Shares who have validly submitted US dollars or euros currency elections by November 26, 2021 will be entitled to a dividend of US$0.24 or €0.2121per B Share, respectively.

Euro and pounds sterling dividends payable in cash have been converted from US dollars based on an average of market exchange rates over the three dealing days from 1 December to 3 December 2021.

This dividend will be payable on December 20, 2021 to those members whose names were on the Register of Members on November 12, 2021.

https://www.investegate.co.uk/royal-dut ... 0646H2198/

[idpickering]

Shell Faces Fresh South African Court Test Over Seismic Program

Royal Dutch Shell Plc faces a fresh legal challenge to its planed seismic survey off South Africa’s eastern coastline with local communities seeking to halt the program.

https://www.bloomberg.com/news/articles ... ic-program

[idpickering]

Result of General Meeting

Shell’s Chair, Sir Andrew Mackenzie, said: “This resounding support from shareholders to amend Shell’s Articles of Association will enable a simplification of the company’s share structure and an increase in the speed and flexibility of capital and portfolio actions. The Board believes that the simplification will strengthen Shell’s competitiveness and accelerate both shareholder distributions and delivery of its strategy to become a net-zero emissions energy business by 2050, in step with society.

A final Board decision will be taken following completion of the consultation with the relevant Shell staff councils. The Board intends to proceed with the simplification as soon as reasonably practicable provided that it remains, in the Board’s view, in the best interests of the company and shareholders as a whole. In making its final decision, the Board will take into account all relevant factors.”

Full item here;

https://www.investegate.co.uk/royal-dut ... 1719H3186/