Lloyds List: Shell adds to investment in Gulf region: Projects are seen as long-term commitment to the region, writes Shirish Nadkarni in Dubai: “ROYAL Dutch/Shell is to invest $12bn in the Persian Gulf region over the next eight years in various oil and gas projects. This would be in addition to the $2.6bn it has already invested over the past five years.” (ShellNews.net) 15 March 05

ROYAL Dutch/Shell is to invest $12bn in the Persian Gulf region over the next eight years in various oil and gas projects. This would be in addition to the $2.6bn it has already invested over the past five years.

'This new investments underscore our company's long-term commitment to the region,' said Shell's regional chief executive officer Ron van der Berg. 'We stay committed to the development of long-term partnerships with Arab governments and their national oil companies in the Gulf.'

While the actual size of each investment was not identified, Mr van der Berg said the biggest of these would be in Qatar, where last month Shell signed an agreement for the development of Qatargas 4, a large-scale liquefied natural gas project.

In addition, Shell Chemicals signed a letter of intent for a world-scale ethane-based cracker and derivatives complex. It is also working on the development of the Pearl GTL project, which will produce 140,000 barrels per day of GTL products as well as associated condensate and liquefied petroleum gas.

Shell has also undertaken two feasibility studies on a reservoir and a gas master plan for the Iraqi oil ministry.

'We operate more oil and gas production facilities than any other private company; and we integrate our business from seismic surveys and drillings, through trading and refining, to the marketing of fuels, electricity and chemicals to over 20m customer per day,' said Michael Megarry, Shell's exploration and production vice-president for external affairs.

In Iran, the company is to commission two offshore fields – Soroosh and Norwooz – and to pursue other oil and gas opportunities in a joint venture with Iranian National Oil Company. Production from these two facilities is slated to touch 190,000 barrels per day within two months.

In Libya, Shell signed an agreement in March last year for the establishment of a long-term strategic partnership in the Libyan upstream oil and gas industry. Mr Megarry said the agreement could lead to the development of world-class integrated upstream and LNG export projects in that country.

In Saudi Arabia, where the company is already one of the largest foreign investors, with five major joint ventures, Shell is going ahead with a seismic survey programme in its vast 210,000 sq km concession in the Rub Al Khali fields in partnership with Saudi Aramco and Total.

Finally, in Egypt, where Shell has an ongoing partnership with the Badr El Din Petroleum Company, it has interests in several gas distribution businesses, and also has a network of 56 petrol retail sites across the country.