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Mars B-Olympus, Shell’s newest tension leg production platform in the Gulf of Mexico, USA. (photo)

Our Upstream businesses explore for and extract crude oil and natural gas, often in joint arrangements with international and national oil and gas companies. This includes the extraction of bitumen from mined oil sands which we convert into synthetic crude oil. We liquefy natural gas by cooling it, and transport the liquefied natural gas (LNG) to customers across the world. We also convert natural gas to liquids (GTL) to provide high-quality fuels and other products, and we market and trade natural gas (including LNG) in support of our Upstream businesses.

In 2013, Shell Upstream

  • produced 3.2 million boe/d of oil and gas, which was flat compared with 2012 excluding the effect of sabotage and divestments;
  • sold 19.6 million tonnes of liquefied natural gas;
  • added 1.6 billion boe of proved reserves, compared with 1.2 billion boe of production;
  • made nine notable new discoveries and appraisals in exploration;
  • started production from Majnoon in Iraq, BC-10 Phase 2 in Brazil, the North Rankin Redevelopment in Australia, and Amal Steam in Oman, as well as other locations worldwide;
  • completed the AOSP debottlenecking project in Canada and started operations at Basrah Gas Company in Iraq;
  • took final investment decisions on six key projects: Carmon Creek in situ in Canada; Gbaran-Ubie Phase 2, Trans Niger Pipeline Loopline, and Erha North Phase 2 in Nigeria; BC-10 Phase 3 in Brazil; and Stones in the USA;
  • completed the acquisition of Repsol S.A.’s LNG portfolio outside of North America, including supply positions in Peru and in Trinidad and Tobago;
  • won a 35-year production-sharing contract (PSC) to develop the Libra discovery, a potential multibillion barrel oil field in the Santos basin, offshore Brazil;
  • acquired an additional 5% interest in the Masela block in Indonesia, which contains the Abadi gas field, taking our interest to 35%;
  • agreed to sell our non-core interest in Wheatstone LNG in Australia, and are reviewing our portfolios in Nigeria onshore and Upstream Americas tight gas and liquids-rich shale; and
  • since the end of the year, started production from the Mars B development in the Gulf of Mexico, USA, and from Petai in Malaysia.