Royal Dutch Shell CEO Peter Voser said it will take a longer time than expected for the company to reap benefits from its shale gas projects due to poor short-term results.
Weak U.S. shale liquids production contributed to a $2.2 billion charge Shell revealed in August and was a key factor in its decision to abandon its goal to deliver 4 million barrels a day of production by 2017.
"We didn't get the results which we were expecting to get in the shorter term and we will therefore have to develop this a little bit more before we can take benefits from it," Voser told reporters on the sidelines of the World Energy Congress. "It was clearly not as successful as thought."
Vast reserves of shale oil and gas are likely to make the United States the largest oil and gas producer in the world this year, according to the U.S. Energy Information Administration, but the rush to cash in on the shale bonanza has cost some latecomers to the market dearly.
Voser was also sceptical about the success of shale development elsewhere.I believe the US EIA has already reported that the US is #1 in oil and natural gas (together), and I believe soon to be #1 in oil production, by itself, later this year. I forget the specifics. Hardly matters.
This speaks volumes about Harold Hamm being early in the Bakken. The National Review has a feature article on Harold Hamm, posted in the October 28, 2013, issue. A big "thank you" to a reader for sending me the link.
By the way, if I recall correctly, another reader pointed out that the company owned by Harold Hamm produces more oil on a daily basis than what the state of Oklahoma produces on a daily basis. Just saying.
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