• The Shell Petroleum Development Company of Nigeria Ltd joint venture (Shell interest 30%) started production at Gbaran-Ubie Phase 2 in the Niger Delta region.
  • In Australia, the Shell-operated QGC venture started up the Charlie project, which comprises around 340 wells, a field compression station and pipelines and facilities.
  • The Prelude floating facility that will produce and process liquefied natural gas at sea was safely anchored in Australia after a journey from a shipyard in South Korea.

Gas is one of the few energy sources that can be used across all sectors of the global economy. It is used to generate electricity, provide heat for essential industrial processes and homes, as well as fuel for heavy-duty road transport, shipping and rail. Gas emits between 45% and 55% lower GHG emissions than coal when used to generate electricity, according to IEA data. Gas can also act as a partner for intermittent renewable energy, such as solar and wind, to maintain a steady supply of electricity, because gas-fired plants can start and stop relatively quickly.

Activities in 2017

Trinidad and Tobago

In August 2017, Shell acquired Chevron’s subsidiary in Trinidad and Tobago, including its 50% interest in the Shell-operated East Coast Marine Area Blocks 6, 5a and E. This enables Shell to supply gas to the domestic market, as well as internationally through Atlantic LNG, which produces LNG using gas extracted from fields in and around the country. Atlantic LNG is one of the largest facilities of its kind in the world, with a production capacity of 14.8 metric tonnes of LNG a year.


In August 2017, the Shell Petroleum Development Company of Nigeria joint venture started production at Gbaran-Ubie Phase 2 (Shell interest 30%) in the Niger Delta region. Gas from this project will help to improve supply to the domestic economy and export market.


As a result of the BG acquisition in 2016, Shell has a majority interest in the QGC project in Queensland, Australia, which produces natural gas from coal seams and liquefies it as LNG through two processing units, called LNG trains. The Shell-operated project supplies natural gas to the domestic market and LNG to international customers and can produce up to 8.5 million tonnes of LNG a year.

In August 2017, QGC started up the Charlie project. This involved drilling around 340 wells, a 240Tj/day capacity field compression station and associated pipelines and facilities which feed into existing gas processing and water infrastructure at Woleebee Creek, South West Queensland. Construction created about 1,600 jobs and continues to support around 100 jobs. The Charlie project ensures QGC can continue to supply natural gas and provide jobs in Queensland.

Prelude FLNG

In July 2017, the Prelude floating liquefied natural gas facility (Shell interest 67.5%) arrived safely in Australia – after leaving a shipyard in South Korea in June – ready for the commissioning phase of the project. Once operating, Prelude will extract and process gas at sea.

FLNG removes the need for pipelines to shore, dredging and onshore works, significantly limiting the disturbance to the surrounding environment and in the right conditions, reducing development costs.

LNG as a fuel for transport

  • In April 2017, Shell signed an agreement with Russian Sovcomflot to supply LNG to four of its crude oil tankers. The tankers, which operate in the Baltic Sea and Northern Europe, will be the first in the world powered by LNG.
  • In August 2017, the firm finalised a long-term agreement to charter an LNG bunker barge with the capacity to carry 3,000 cubic metres of LNG fuel. In the same month, it took delivery of the Cardissa, an LNG bunker vessel with a capacity to hold around 6,500 cubic metres of LNG fuel. Both will deliver fuel from the Gate terminal in Rotterdam to locations in Europe.
  • In December 2017, RedStar, a joint venture between Shell and Shaanxi Yanchang Group Company, opened an LNG retail site in Shaan’Xi, north-west China. China is the largest market for LNG as a fuel, with more than 200,000 heavy-duty trucks and buses using it.

Further details may be found herebelow: