Shell plans integration of global energy trading
Here is a press release from Shell concerning global energy trading: The Royal Dutch/Shell Group of Companies (Shell) plans to focus on energy trading opportunities through a new business organization integrating Shell’s worldwide trading activities. This organization will comprise a global network of trading companies operating under the banner of ‘Shell Trading’.
Shell expects the new business to enhance the value of trading in each of the Group’s core businesses and create a vehicle for the development of new trading opportunities. It will possess an unsurpassed global portfolio in crude oil, refined products, natural gas, electrical power and chemicals.
"Over the past several years, Shell companies have established leading positions in several trading businesses which include crude oil, oil products and natural gas. We now see a significant opportunity to consolidate our current trading platforms in an integrated approach, enabling us to compete strongly in the evolving energy trading market.
We expect to grow value in this business by leveraging our scale, global reach, talent and financial strength - it is an exciting prospect," said Paul Skinner, Group Managing Director.
The business will be headed by Mike Warwick, currently President of Shell International Trading & Shipping Company and Executive Vice-President of Shell Global Businesses. Mr. Warwick led the formation of the Shell trading network in 1998, which globalize crude oil and products trading. Formation of this network of trading companies has transformed businesses formerly focused on regional supply and logistics into enterprises with global outlooks contributing significant and growing net income to Shell’s bottom line.
“Shell Trading will possess the skill base and international scope to capitalize on the extensive trading opportunities inherent in Shell’s asset and market positions around the world,” said Mr. Warwick.
Beginning on 1 January 2001, the Shell Trading organization will include Shell’s current trading platforms for crude and oil products worldwide; chemical feedstock’s in Europe and the U.S.; and natural gas and power in North America through Coral Energy and in Europe through Shell Energy. Shell’s worldwide crude and oil products shipping operations and the marketing business of Coral Energy also will be included.
Shell Trading companies will be situated in various locations, with key trading and marketing operations located in North America, Asia, the Middle East and Europe.
Source: Shell Oil Company