Published on : Sep 06, 2017
While the world waits for renewable energy to become commercially viable for the global masses, fossil fuel continue to serve the heaviest chunk of energy demands across the world, and the dominance is expected to sustain for quite some time to come. Shell, Europe’s leading energy-company, notices the dependency on fossil fuel and recognizes the environmental concerns too. As a result, the company is going forward and investing in LNG projects to boost global gas demands and aspires to feed the market it has nurtured via liquefied natural gas export plants.
Acquisitions Aiding Shell to Expand its Geographical Presence
In the past decade, Shell has built potential LNG projects across the world in order to offer cheapest fuel for heavy transport such as shipping. Amid global shift towards lowering the carbon emissions, Shell has emerged as natural gas giant in the past few years. This has been a reflection of its aggressive strategies. For instance, the company acquired BG Group Plc last year for a deal worth US$52 billion. This move helped Shell to add gas deposits to Australia from Kazakhstan.
Also in March 2016, the company sold its Canadian oil sands acreage for US$7.25 billion. Buyer? Canadian Natural Resources Ltd. This helped Shell to shed out 1.7 billion barrels of crude reserves, although the company’s most recent annual report states that gas reserves were touching a potent mark of 6.26 billion barrels of oil and other liquids and 6.99 billion barrels gas reserves, at the end of 2016.