Europe
Denmark
We have a non-operating interest in a producing concession in Denmark (Shell interest 36.8%), which was granted in 1962 and expires in 2042. The Danish government is one of our partners with a 20% interest.
Ireland
We are the operator of the Corrib gas project (Shell interest 45%), which has been in production since 2015.
Italy
We have a 39.23% interest in the Val d’Agri producing concession, operated by ENI. Over the course of about four months in 2016, operational issues with the waste-water classification resulted in production being shut in. During 2016, the Val d’Agri Phase 2 project was reshaped and an alternative phased approach defined to improve capital efficiency, resolve critical sustainable development elements and lower non-technical risks.
We also have a 25% interest in the Tempa Rossa concession, operated by Total. The Tempa Rossa field is under development and first oil is expected in 2018.
Netherlands
Shell and ExxonMobil are 50:50 shareholders in Nederlandse Aardolie Maatschappij B.V. (NAM). An important part of NAM’s gas production comes from the onshore Groningen gas field, in which EBN, a Dutch government entity, has a 40% interest and NAM a 60% interest.
In September 2016, the Minister of Economic Affairs approved a production limit of 24 billion cubic metres (bcm) per year from the Groningen field until October 1, 2021, in order to reduce the impact of earthquakes on the neighbouring communities. At the request of Parliament, the Minister will review annually whether new circumstances have arisen that call for a further reduction of the production. Since 2013, a variety of measures have been taken by NAM, the Minister and the government, including an in-depth study and measuring programme (both sub-surface and above surface) and issuance of specific building regulations. A national coordinator has been appointed by the government to coordinate public oversight and a dedicated damage claim handling company has been set up, with improvements to damage claim handling kept under review.
NAM also has a 60% interest in the Schoonebeek oil field, which resumed operations in September 2016 following the resolution of pipeline integrity issues, and operates a significant number of other onshore gas fields and offshore gas fields in the North Sea.
Norway
As a result of the BG acquisition, we are the operator in the producing Gaupe (Shell interest 60%) and Knarr fields (Shell interest 45%).
Overall, we are a partner in 42 production licences on the Norwegian continental shelf, including seven new licences awarded in January 2017. We are the operator in 19 of these, of which four are producing: the Draugen oil field (Shell interest 44.6%), the Gaupe and Knarr fields, and the Ormen Lange gas field (Shell interest 17.8%). We have interests in the producing fields Troll, Gjøa, Kvitebjørn and Valemon, where we are not the operator.
UK
The Jasmine development, in the UK North Sea, comprises a wellhead platform with a bridge-linked accommodation block. It is tied back via a pipeline and new riser platform to the existing Judy production facilities.
We operate a significant number of our interests on the UK continental shelf on behalf of a 50:50 joint arrangement with ExxonMobil. Most of our UK oil and gas production comes from the North Sea. In the Atlantic Margin area, we have various interests where we are not the operator, principally in the West of Shetland area (Clair, Shell interest 28%; and Schiehallion, operated by BP, Shell interest approximately 55%).
Production from the Schiehallion and Loyal fields was suspended in 2013 to accomodate field redevelopment. A replacement FPSO was installed in 2016 and production from these fields is expected to resume in 2017.
As a result of the BG acquisition, we obtained non-operating interests in the Buzzard field (Shell interest 21.7%, operated by Nexen Petroleum), located in the Outer Moray Firth, central North Sea; in the J-Block and Jade area (Shell interests ranging from 30.5% to 35%, operated by ConocoPhillips); interests ranging from 20% to 49% in the Beryl area fields operated by Apache; and other operated and non-Shell operated interests in offshore blocks, with Shell interests ranging from 14.1% to 100%.
In 2016, we sold our 7.59% interest in the Maclure oil and gas field in the North Sea, and sold the Anasuria FPSO (including the Guillemot A, Cook and Teal fields), also in the North Sea.
In January 2017, we agreed to sell our interests in the UK North Sea assets Buzzard, Beryl, Bressay, Elgin-Franklin, J-Block, the Greater Armada cluster, Everest, Lomond and Erskine, as well as a 10% interest in Schiehallion. Completion is subject to partner and regulatory approvals.
Rest of Europe
We also have interests in Albania, Bulgaria, Cyprus, Germany and Greenland.
