Shell

IEEFA Research

IEEFA U.S.: Skyrocketing plastics prices a major concern for public health, economy

IEEFA U.S.: Skyrocketing plastics prices a major concern for public health, economy

An ‘essential industry’ to the U.S. economy runs in the dark

October 18, 2021 (IEEFA) — Despite its growing importance to the U.S. economy, the nation’s plastics industry remains a heavily concentrated sector taking advantage of an opaque, unregulated price-setting mechanism to bolster profits for major oil and gas companies, as well as plastic producers. The sector, which has increased prices throughout the year, was deemed […]

IEEFA U.S.: LNG newcomer Tellurian asks investors to gamble on Driftwood project

IEEFA U.S.: LNG newcomer Tellurian asks investors to gamble on Driftwood project

Tellurian’s history, finances and new LNG deals raise questions about profitability

August 31, 2021 (IEEFA) — At first glance, Tellurian Inc.’s proposed Driftwood liquefied natural gas (LNG) project looks like a cause for optimism for the U.S. LNG market after a dismal 2020 saw demand and prices plummet while the COVID-19 pandemic raged. However, a closer look at Tellurian’s history, finances and structure of its newly […]

IEEFA U.S.: ExxonMobil touts Permian Basin success but achieves mixed results

IEEFA U.S.: ExxonMobil touts Permian Basin success but achieves mixed results

Data suggests that ExxonMobil is underperforming in the Permian Basin

June 9, 2021 (IEEFA) – ExxonMobil’s claims that its Permian Basin oil and gas reserves are world-class will need the immediate attention of the new board, according to a new analysis by the Institute for Energy Economics and Financial Analysis (IEEFA). In recent investor presentations, ExxonMobil has highlighted the superior performance of its oil wells […]

IEEFA: Oil supermajors made $20.5 billion in 2020 but spent $49.9 billion to please investors

IEEFA: Oil supermajors made $20.5 billion in 2020 but spent $49.9 billion to please investors

Five largest private-sector oil supermajors have dropped more than a half-trillion on shareholders over last decade

March 4, 2021 (IEEFA) —The world’s five largest private-sector oil and gas companies collectively spent $29.4 billion more on shareholder payouts than they generated from operations, according to a new report by the Institute of Energy Economics and Financial Analysis (IEEFA). The five supermajors—ExxonMobil, Chevron BP, Total and Shell—generated $20.5 billion in free cash flow, […]

IEEFA U.S.: Frackers cut capex to $5.8 billion during third quarter, lowest level in a decade

IEEFA U.S.: Frackers cut capex to $5.8 billion during third quarter, lowest level in a decade

Free cash flow surges as capital reductions may mark beginning of end for shale boom

December 8, 2020 (IEEFA) —Facing low prices and weak demand, a cross-section of 33 shale-focused oil and gas producers cut their capital expenditures (capex) to their lowest level in more than a decade, according to an analysis released today by the Institute for Energy Economics and Financial Analysis. Thirty-two of the 33 companies cut capex […]

IEEFA U.S.:  Appalachian frackers report $504M in negative free cash flow despite capex slashing

IEEFA U.S.: Appalachian frackers report $504M in negative free cash flow despite capex slashing

Tide of red ink shows little sign of ebbing any time soon for shale-focused regional gas producers

December 3, 2020 (IEEFA)—Even after cutting their capital expenditures (capex) by more than one-third from the previous year, nine shale-focused gas producers in Appalachia spent a half-billion dollars more during the third quarter on drilling and building projects than they earned from selling oil and gas. Capex investments during the third quarter were the lowest […]

IEEFA update: Australia’s gas-led recovery is flogging a dead horse

With LNG worse for the climate than coal, Australia must adjust to our export markets shrinking

With polluting emissions from LNG 13% higher than gas, and Australia’s primary export destinations targeting net zero emissions and therefore less dirty LNG, Australia’s gas-led recovery is looking increasingly like the Australian government is ‘flogging a dead horse’. Australia’s core export markets for LNG, coal and iron ore – Japan, South Korea and China – […]

November 3, 2020 Read More →
IEEFA update: ExxonMobil’s financials indicate slide under CEO Darren Woods’s leadership

IEEFA update: ExxonMobil’s financials indicate slide under CEO Darren Woods’s leadership

Profits, cash and shareholder return slip compared with rivals using company’s own performance metrics

October 28, 2020 (IEEFA) — A close look at ExxonMobil’s financial performance metrics compared with its peers reveals significant slippage during Chairman & CEO Darren Woods’s tenure (2017-2019) even before the coronavirus pandemic, according to a briefing note released today by the Institute for Energy Economics and Financial Analysis (IEEFA). IEEFA analysts found that the […]

IEEFA U.S.: Plummeting oil and gas prices leave New Mexico’s budget short by hundreds of millions of dollars

IEEFA U.S.: Plummeting oil and gas prices leave New Mexico’s budget short by hundreds of millions of dollars

Industry problems hit before the pandemic, were made worse by it and will persist even after the economy improves

October 20, 2020 (IEEFA) — After years of benefitting from record oil and gas revenues, global markets are signaling the beginning of the end of New Mexico’s financial reliance on fossil fuels. Leases, royalty payments and taxes from the oil and gas industry have directly accounted for as much as 30 percent of the state’s […]

IEEFA: Canadian assessment of LNG ‘rising tide’ would drown balance sheets in red ink

IEEFA: Canadian assessment of LNG ‘rising tide’ would drown balance sheets in red ink

Hope springs eternal for Chinese demand but reality suggests bleak forecast for new projects

October 19, 2020 (IEEFA)— The Conference Board of Canada, an Ottawa-based research organization, has doubled down on a bad hand, according to an analysis by the Institute for Energy Economics and Financial Analysis. The Conference Board’s report, A Rising Tide: The Economic Impact of B.C.’s Liquified Natural Gas Industry, claims an expansion of the British […]

More News and Commentary

IEEFA U.S.: Skyrocketing plastics prices a major concern for public health, economy
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IEEFA U.S.: Skyrocketing plastics prices a major concern for public health, economy

An ‘essential industry’ to the U.S. economy runs in the dark

October 18, 2021 (IEEFA) — Despite its growing importance to the U.S. economy, the nation’s plastics industry remains a heavily concentrated sector taking advantage of an opaque, unregulated price-setting mechanism to bolster profits for major oil and gas companies, as well as plastic producers. The sector, which has increased prices throughout the year, was deemed […]

Shell signs deal with UK solar developers for 800 megawatts

ReNews.biz: Shell has signed deals with two UK solar developers to support development of utility-scale solar projects exceeding 800MW. Shell has signed a framework agreement with the renewable energy developer Island Green Power to develop solar projects with co-located battery storage potential, with an initial collaboration on over 700MW total generating capacity. Shell has also […]

October 5, 2021 Read More →

Shell plans $570 million renewables investment in Brazil through 2025

PV Tech: Oil and gas major Shell has launched the Shell Energy brand in Brazil and has committed to investing R$3 billion (US$570 million) in renewables in the country by the end of 2025.   With Shell’s division focused on decarbonisation and renewables, Shell Energy will provide clean electricity from solar and wind power plants as […]

September 22, 2021 Read More →

Shell sells Permian interests to ConocoPhillips for $9.5 billion

Texas Tribune: Energy giant Royal Dutch Shell sold its oil and gas business in the Permian Basin, the country’s largest oilfield, to ConocoPhillips for $9.5 billion cash on Monday. The deal is a major move for Shell, which produces more than 175,000 barrels of oil per day in the Permian Basin, as it faces pressure […]

September 21, 2021 Read More →

Chevron prepares to head off challenges at investor presentation

Bloomberg: Chevron Corp. has inked eight deals in little more than two weeks to invest in hydrogen, green jet fuel and renewable natural gas. Amid rising shareholder pressure on climate issues, Chevron is pro-actively forging climate-friendly joint ventures with an array of startups as well as corporate giants that include Caterpillar, and Alphabet’s Google. The […]

September 13, 2021 Read More →

Stranded assets pose $135 billion threat to European power by 2040

Bloomberg ($): European power companies could be burdened with debt and face credit rating downgrades if they fail to take action to reach climate neutrality by the middle of the century, a new study says. The European Union plans to reach net zero emissions by 2050 as part of efforts to curb global temperature rises […]

September 9, 2021 Read More →

Chevron plans more ambitious climate approach to thwart hedge funds

Wall Street Journal ($): Chevron Corp. CVX +0.03% is preparing to defend itself against a potential challenge from activist investors like the one that roiled Exxon Mobil Corp. XOM -0.38% earlier this year, according to people familiar with the matter. In recent weeks, Chevron executives met with representatives of Engine No. 1, the investment firm […]

September 3, 2021 Read More →

Australia considers legislation to allow offshore wind farms

Renew Economy: Australia may soon be host to a new source of renewable energy after long awaited legislation that will enable offshore wind projects to be built in commonwealth waters was finally tabled in parliament on Thursday by federal energy minister Angus Taylor. Offshore wind has stunned many in the industry for its ability to […]

September 2, 2021 Read More →
IEEFA U.S.: LNG newcomer Tellurian asks investors to gamble on Driftwood project
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IEEFA U.S.: LNG newcomer Tellurian asks investors to gamble on Driftwood project

Tellurian’s history, finances and new LNG deals raise questions about profitability

August 31, 2021 (IEEFA) — At first glance, Tellurian Inc.’s proposed Driftwood liquefied natural gas (LNG) project looks like a cause for optimism for the U.S. LNG market after a dismal 2020 saw demand and prices plummet while the COVID-19 pandemic raged. However, a closer look at Tellurian’s history, finances and structure of its newly […]

Major oil companies flaring Permian gas without required permits

Reuters: Oil producers such as Exxon Mobil (XOM.N) and Royal Dutch Shell (RDSa.L) are burning off gas in the largest oil field in the United States without required Texas state permits, the environmental group Earthworks said in a report on Thursday. Energy producers flare gas, an unwanted by-product of oil extraction, when they cannot transport […]

August 20, 2021 Read More →