Ben van Beurden and Jorma Ollila agree OSSL meeting to achieve ‘a happy conclusion’
By John Donovan
Printed below is a transcript of a self-explanatory exchange at the Shell AGM this morning involving Desmond Kane representing whistleblower company OSSL and Jorma Ollila (Chairman) and Ben van Beurden (CEO) representing Royal Dutch Shell Plc.
Note that Ben van Beurden repeatedly stresses that there is no evidence to support the allegations OSSL is “fond of making.”
What he does not say is that the alleged events never happened.
And what about the evidence of the OSSL invoice to Shell? Is Shell saying that the OSSL invoice is a fake? If so, Shell should call in the police. It would be their duty to do so.
ROYAL DUTCH SHELL AGM 20 MAY 2014 (11.15 UK TIME APPROX)
Unofficial Transcript of exchange between Desmond Kane speaking for OSSL and Jorma Ollila and Ben van Beurden speaking for Shell.
Mr Kane introduced himself and said that although he is Scottish there should be no need for a translator (comment prompted some laughter)
Kane:
5 years ago this week I was summoned with my colleague who is also in the room to a meeting with the CEO of Shell E&P Ireland at Leeson Street in Dublin. The gentleman informed us that there was grave concern with some of the instructions that were being given to our company by Shell to carry out work for certain people in that area. He said it was a Shell problem and Shell would sort it out. Could we give him two weeks… that was 250 weeks ago… The problem has not been resolved. I addressed this meeting last year and Mr Voser sent a special envoy to meet with me in Dublin… A Scottish gentleman who listened intently to all we had to say… shook his head in shame at what he learned… said that more proof would be preferable… We informed that we can only give him proof by getting in a car and going visiting what we were stating had happened… He said that would be not necessary because it would only bring alarm to the police force involved and the local people involved and that he would make his report based on what he had heard. In the xxxxx meeting he took no notes… he wrote to me a fortnight later and said goodbye we don’t know what you are talking about…
Can we have a meeting with someone who can put this situation right or at very least give us a fair hearing to clear up this matter…
Thank you
Jorma Ollila
Thank you for your question and I think we have Ben to respond to this very very detailed situation was has already been in last years meeting in a similar way
Kane
Thank you
Ben van Beurden
Thank you very much I am indeed aware of this particular dialogue and I am also aware of another comment that Mr Voser made in that same meeting by the way. I think the matter that you are referring to has been investigated time and time again… had been the subject of an independent investigation inside our company and indeed there is no evidence, no proof… nothing whatsoever to substantiate the allegations that have been made out there.. I am perfectly happy to again have a discussion with you outside but you understand what it is that you can bring to this… but if there is no evidence… no evidence whatsoever, I am not entirely sure what it is we need to do. I know we have been in a commercial dispute for a long time and that commercial dispute has been settled… I suggest we leave that to one side but if there needs to be a further dialogue wherever that dialogue needs to be I think we will have that but I would also ask you to come forward with evidence of the allegations you are so fond of making
Kane
There is ample evidence in if we put the effort in with you with someone who is willing to listen they will see the evidence and will understand more fully what happened
Jorma Ollila
Understood, okay, I think we have taken your message we’ll look into it… I’ll have a discussion with Ben
Kane
If I can get confirmation of the date of a meeting
Jorma Ollila
I will have a discussion with Ben on how we can proceed here
Kane
Thank you very much
Jorma Ollila
In a way that brings this to a happy conclusion so we will not have the same discussion for a third time next year
Kane
Thank you
TRANSCRIPT ENDS
Shell’s Nigeria Investments At Risk From
Corruption Scandal, Investors Warned
Extracts from an article by Global Witness published on 19 May 2014 by allAfrica.com
Royal Dutch Shell’s involvement in a deal which saw $1.1bn diverted into the hands of a former Nigerian oil minister could see the company lose a valuable oil block, says Global Witness. The deal for oil block OPL 245 off the coast of West Africa is being investigated by authorities in the UK, Italy and Nigeria. Shell and Eni have denied paying money to Malabu. Indeed they paid the money to the Nigerian government. However court evidence has revealed that Shell knew that the payment was going to Malabu and had negotiated directly with Etete over “iced champagne”. Etete had awarded the oil block to his own company when he was oil minister under corrupt Nigerian dictator Sani Abacha. In effect, he gave himself one of the most valuable oil blocks in Nigeria and, with this deal was now cashing in.
Extract from a ComputerWeekly.com article by Caroline Baldwin published 20 May 2014
Shell is reshaping its business to think technology first as it uses the internet of everything (IoE) to change its business processes. The company is leading the way in technology by being the first in the oil and gas industry to try out new technology through the IoE. “Innovation is in our DNA,” said Alan Matula, executive vice-president and chief information officer at Royal Dutch Shell PLC. “We do things we’re very proud of and a first in the industry.”
Shell boss says refining assets still key despite weak profits
Extracts from a Reuters article published 20 May 2014
LONDON (Reuters) – Royal Dutch Shell will hold on to its refining business despite shedding many underperforming downstream assets, its chief executive said on Tuesday. The global refining sector has suffered over the past year from weak profit margins due to rising capacity and increasing competition and Shell’s downstream business has been a drag on its 2013 and first quarter 2014 results.
Royal Dutch Shell a possible takeover target: Citigroup
Extracts from a Financial Posted article by David Pett published 20 May 2014 under the headline: HP, Shell and Rio Tinto head up possible takeover targets: Citigroup
Royal Dutch Shell PLC and Rio Tinto PLC are all potential takeover targets as M&A activity worldwide continues to heat up, says Citigroup Global Markets. Expecting more deals to come, they came up with a list of potential targets by analyzing company metrics such as shareholder concentration, leverage and free cash flow yield and pre-tax earnings.
Liquefied Natural Gas Could Come to the Rescue for Royal Dutch Shell
Extract from a Motley Fool article by Bob Ciura published 19 May 2014 under the headline: How Liquefied Natural Gas Could Come to the Rescue for Royal Dutch Shell and BP
Royal Dutch Shell’s core net profits fell by 23% last year, prompting the company to undergo what management delicately termed “hard choices” in its portfolio. Basically, the company is resorting to cutting capital expenditures in light of disappointing upstream projects and sharply narrower refining margins. To that end, Shell plans to reduce capital expenditures by $9 billion in 2014 from $46 billion in 2013 to an estimated $37 billion this year. That represents a severe 20% drop. This is a concern since Shell’s production is already going in the wrong direction. Oil majors across the board are suspending new projects or cancelling them altogether, which could put them in dire straits later on. Fortunately, LNG represents one major area that both Shell and BP continue to invest in, and the potential is clearly compelling.
