This document summarizes an annual roundtable held by Royal Dutch Shell for socially responsible investors on May 11, 2016. The roundtable included presentations and panel sessions on Shell's strategies regarding new energies, oil and gas, scenarios for carbon dioxide management, and environmental and social issues. Key topics discussed included Shell's portfolio resilience under different energy transition scenarios, investments in low-carbon technologies, and ongoing engagement with stakeholders on sustainability reporting and shareholder resolutions.
Shell Socially responsible investors briefing in London - May 11, 2016
1. 1Copyright of Royal Dutch Shell plc May 11, 2016
ANNUAL ROUNDTABLE FOR
SOCIALLY RESPONSIBLE
INVESTORS
ROYAL DUTCH SHELL PLC
MAY 11, 2016
2. 2Copyright of Royal Dutch Shell plc May 11, 2016
BEN VAN BEURDEN
CHIEF EXECUTIVE OFFICER
ROYAL DUTCH SHELL PLC
3. 3Copyright of Royal Dutch Shell plc May 11, 2016
DEFINITIONS & CAUTIONARY NOTE
The New Lens Scenarios are part of an ongoing process used in shell for 40 years to challenge executives’ perspectives on the future business environment. We base them on plausible assumptions
and quantification, and they are designed to stretch management to consider even events that may be only remotely possible. Scenarios, therefore, are not intended to be predictions of likely future
events or outcomes and investors should not rely on them when making an investment decision with regard to Royal Dutch Shell plc securities.
Reserves: Our use of the term “reserves” in this presentation means SEC proved oil and gas reserves.
Resources: Our use of the term “resources” in this presentation includes quantities of oil and gas not yet classified as SEC proved oil and gas reserves. Resources are consistent with the Society of
Petroleum Engineers 2P and 2C definitions.
Organic: Our use of the term Organic includes SEC proved oil and gas reserves excluding changes resulting from acquisitions, divestments and year-average pricing impact.
Resources plays: our use of the term ‘resources plays’ refers to tight, shale and coal bed methane oil and gas acreage.
The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this presentation “Shell”, “Shell group” and “Royal Dutch Shell” are sometimes
used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to subsidiaries in general or
to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell
companies” as used in this presentation refer to companies over which Royal Dutch Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has
joint control are generally referred to as “joint ventures” and “joint operations” respectively. Entities over which Shell has significant influence but neither control nor joint control are referred to as
“associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in a venture, partnership or company, after exclusion of all third-
party interest.
This presentation contains forward-looking statements concerning the financial condition, results of operations and businesses of Royal Dutch Shell. All statements other than statements of historical
fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and
assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements.
Forward-looking statements include, among other things, statements concerning the potential exposure of Royal Dutch Shell to market risks and statements expressing management’s expectations,
beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as ‘‘anticipate’’, ‘‘believe’’, ‘‘could’’, ‘‘estimate’’,
‘‘expect’’, ‘‘goals’’, ‘‘intend’’, ‘‘may’’, ‘‘objectives’’, ‘‘outlook’’, ‘‘plan’’, ‘‘probably’’, ‘‘project’’, ‘‘risks’’, “schedule”, ‘‘seek’’, ‘‘should’’, ‘‘target’’, ‘‘will’’ and similar terms and phrases. There are a
number of factors that could affect the future operations of Royal Dutch Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this
presentation, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results;
(e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and
targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and
regulatory developments including regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the
risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs;
and (m) changes in trading conditions. All forward-looking statements contained in this presentation are expressly qualified in their entirety by the cautionary statements contained or referred to in
this section. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Royal Dutch Shell’s 20-F for the year ended
December 31, 2015 (available at www.shell.com/investor and www.sec.gov ). These risk factors also expressly qualify all forward looking statements contained in this presentation and should be
considered by the reader. Each forward-looking statement speaks only as of the date of this presentation, May 11, 2016. Neither Royal Dutch Shell plc nor any of its subsidiaries undertake any
obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those
stated, implied or inferred from the forward-looking statements contained in this presentation.
We may have used certain terms, such as resources, in this presentation that United States Securities and Exchange Commission (SEC) strictly prohibits us from including in our filings with the SEC.
U.S. Investors are urged to consider closely the disclosure in our Form 20-F, File No 1-32575, available on the SEC website www.sec.gov.
4. 4Copyright of Royal Dutch Shell plc May 11, 2016
BEN VAN BEURDEN
CHIEF EXECUTIVE OFFICER
ROYAL DUTCH SHELL PLC
5. 5Copyright of Royal Dutch Shell plc May 11, 2016
AGENDA
09:00 – 09:45 Ben van Beurden and Hans Wijers
09:45 – 10:15 Harry Brekelmans
10:15 – 11:00 Q+A
11:00 – 11:15 Coffee break
11:15 – 13:30 Panel sessions Q&A (40 min each, 5 minutes to rotate)
13:30 – 14:30 Lunch
6. 6Copyright of Royal Dutch Shell plc May 11, 2016
PANELS
Panel A: New Energies and low carbon technologies / Group HSSE:
Harry Brekelmans (Director Projects and Technology), and
Matthew Tipper (VP Alternative Energies).
Panel B: Conventional oil + gas:
Bart van de Leemput (EVP Upstream International Operated),
Osagie Okunbor (Managing Director SPDC), and
Rupert Thomas (VP Environment).
Panel C: Shell scenarios + CO2 management:
Jeremy Bentham (VP Global Business Environment), and
Angus Gillespie (VP CO2).
7. 7Copyright of Royal Dutch Shell plc May 11, 2016
ENVIRONMENTAL, SOCIAL AND GOVERNANCE
SRI programme
SRI annual roundtable
Ongoing engagement + roadshows
SRI themed site visits – Alaska and Oil
Sands + Quest in 2015
Governance programme
Remuneration committee roadshows
Chairman roadshows
AGM
www.shell.com/esg
9. 9Copyright of Royal Dutch Shell plc May 11, 2016
NIGERIA SPDC JOINT VENTURE
*SPDC JV = 30% Shell, 55% NNPC, 10% Total, 5% Agip; all data on 100% basis unless stated
SPDC JV* spills
Thousand tonnes
volume of operational spills number of operational spills >100kg (RHS)
volume of sabotage spills number of sabotage spills >100kg (RHS)
2015 Overview
Restructuring onshore footprint
2010 – 2015 divested 13 OMLs
Targeted investments: gas and pipelines
Widespread oil theft remains a challenge
7 fatalities, 20 kidnappings in 2015
Production
k boe/day
Concessions – SPDC Legal
Divested Concessions
Major Rivers/Sea
Final investment decisions
Legend
OML4
OML40
OML41
OML38
OML42 OML34
OML30
OML26
OML21
OML20
OML79
OML43
OML27
OML28
OML31
OML35
OML46
OML32
OML36
OML23
OML11
OML29
OML18
OML72
OML24
OML33
OML25
OML77 OML74
OML71
Forcados Yokri
Integrated
project
OML45
Southern Swamp
Associated Gas
Gbaran Ubie Phase 2
OML22 OML17
10. 10Copyright of Royal Dutch Shell plc May 11, 2016
GRONINGEN EARTHQUAKES – NETHERLANDS GAS
force: 0.1–1.0 3.5 and higher
2015 Key Milestones
Hazard and risk assessment submitted
Set up of independent organisation for damage
repairs and to make homes safer
Multi-year initiative from National Coordinator
Loppersum
2012-2015 Earthquakes
Government decisions
€1.2bn mitigation programme
2015/2016 production cap of 27 bcm
New production decision by October 2016
0 10 20km
www.namplatform.nl
11. 11Copyright of Royal Dutch Shell plc May 11, 2016
SHAREHOLDER RESOLUTIONS
2015 “Aiming For A”
Strategic resilience for 2035 and beyond
Supported By Board + shareholders
Builds on previous Shell disclosures
Report-out in full in 2016
2016 “Follow-this.org”
Shell will become a renewable energy company
Not considered by Board to be in best interests of
Company and shareholders
Resolution ignores timescale and impact for
profitability
Unwise to tie Shell to any single mandate
12. 12Copyright of Royal Dutch Shell plc May 11, 2016
2015 SHAREHOLDER RESOLUTION REPORT OUT
Resolution Information Request
Ongoing reporting
Annual report
and 20F
Sustainability
report
www.shell.com/
ghg CDP submission
Ongoing emissions management
Asset portfolio resilience to post-
2035 scenarios
Low-carbon R&D and investment
strategies
Strategic KPIs and executive
incentives
Public policy position
Increased disclosures built into 2015 Annual report and 20F and Sustainability Report
Additional Shell Energy Transitions and Portfolio Resilience report produced
13. 13Copyright of Royal Dutch Shell plc May 11, 2016
HANS WIJERS
SENIOR INDEPENDENT DIRECTOR
AND CHAIR OF THE CSRC
ROYAL DUTCH SHELL PLC
14. 14Copyright of Royal Dutch Shell plc May 11, 2016
CORPORATE AND SOCIAL RESPONSIBILITY COMMITTEE
Responsibilities:
Review policy and performance for Shell General Business Principles and Code of Conduct
Review management of HSSE and social impacts of projects and operations
Monitor emerging environmental and social issues
Input into the Shell Sustainability Report
CSRC MEMBERS
HANS WIJERS
Chair of CSRC
PATRICIA WOERTZSIR NIGEL SHEINWALD
15. 15Copyright of Royal Dutch Shell plc May 11, 2016
CSRC ACTIVITY
Brazil biofuels
GoM operations
Separate visits:
Moerdijk, Peterhead CCS
Groningen - NAM
Nigeria
2015 Activity 2016 Planned visits
Social and environmental considerations incorporated through all stages of major projects
Special topics 2016: Climate change and energy transition, Nigeria and seismic activity in Groningen
Gulf of Mexico Nigeria
16. 16Copyright of Royal Dutch Shell plc May 11, 2016
CSRC INPUT IN SUSTAINABILITY METRICS
*2006 Solomon EII methodology
Operational Spills
Volume in thousand tonnes
Energy intensity – refineries (indexed to 2002)*
Total recordable case frequency (TRCF) Simple + make sense externally
Drive improvement – stretching over time
Accommodate effects of growth and portfolio
changes
Injuries per million working hours
17. 17Copyright of Royal Dutch Shell plc May 11, 2016
WORKING WITH OTHERS
Leverage external expertise
Apply at a project level
Share best practice
Focus on policy outcomes for energy transition
Broad industry participation
Long-term environmental partnerships Energy transition Commission
18. 18Copyright of Royal Dutch Shell plc May 11, 2016
SOCIAL INVESTMENT
$122 mln voluntary social investment
$97 mln contractual social investment
Core themes:
Access to energy
Road safety
Employment within communities
Global Alliance for Clean Cookstoves partner
$12 mln financial support
Advisory, technical and business support
Shell foundation partnered Envirofit
1 million affordable clean cookstoves sold
Improving 5 million lives
Across 45 countries
2015 Social Investment campaigns Shell Foundation: Clean cookstoves
Social investment programme on road safety Clean cookstoves programme
19. 19Copyright of Royal Dutch Shell plc May 11, 2016
BEN VAN BEURDEN
CHIEF EXECUTIVE OFFICER
ROYAL DUTCH SHELL PLC
20. 20Copyright of Royal Dutch Shell plc May 11, 2016
SUBSTANTIAL + LONG-LASTING SHIFTS IN ENERGY LANDSCAPE
THE WORLD IN 2050
Population
9 billion people,
75% living in cities
(2 billion more than today)
Vehicles
2 billion vehicles
(~1.2 billion today)
Rising standards
Many millions of people will rise
out of energy poverty; with higher
living standards energy use rises
Energy demand
Could double from its level in
2000…but CO2 emissions must be
half today’s to avoid serious
climate change
Efficiency
Twice as efficient, using
half the energy to produce
each dollar of wealth
Renewables
3 times more energy
from renewable sources
21. 21Copyright of Royal Dutch Shell plc May 11, 2016
ENERGY TRANSITIONS ADVOCACY + STRATEGY
1: The New Lens Scenarios were based on 2011 IEA data, whereas the IEA World Energy
Outlook 2015 scenarios are based on 2014 IEA data
Explore alternative views of the future
Long-term trends in economics, energy supply
and demand, geopolitical shifts and social
change.
Shell scenarios since the 1970s
Energy transitions and portfolio resilience
GtCO2/year
Shell and IEA scenarios1
Oceans Mountains
IEA Current policies IEA New policies IEA 450 ppm
22. 22Copyright of Royal Dutch Shell plc May 11, 2016
TRANSITIONS IN THE GLOBAL ENERGY MIX
23. 23Copyright of Royal Dutch Shell plc May 11, 2016
GLOBAL ENERGY MIX
Source: IEA World Energy Outlook 2015
Primary
energy
supply
Energy supply – 80% oil, gas + coal
$55 trillion infrastructure invested
Oil 31%
Coal 29%
Gas 21%
Biomass 10%
Renewables 4%
Nuclear 5%
13.7
btoe
Energy
consumption
9.4
btoe
4.3
btoe
Losses +
transformation
24. 24Copyright of Royal Dutch Shell plc May 11, 2016
ENERGY INFRASTRUCTURE
Average Infrastructure Turnover In Years
26. 26Copyright of Royal Dutch Shell plc May 11, 2016
PORTFOLIO MANAGEMENT
Risk, performance
& uncertainty
RESILIENCE
Growth & returns
Opportunity scale
ATTRACTIVENESS
THEMES
RESULTS &
PAY-OUTPORTFOLIO
27. 27Copyright of Royal Dutch Shell plc May 11, 2016
Regular forecasting of emissions
Outlook on CO2 price
2016E
PORTFOLIO RESILIENCE: SHELL EMISSIONS OUTLOOK
Area shows Shell’s estimated annual direct and indirect CO2 emissions (equity basis).
2030E
High
Zero
CO2 price
28. 28Copyright of Royal Dutch Shell plc May 11, 2016
PORTFOLIO RESILIENCE: SHELL STRATEGIC THEMES
Demand shift
in existing
markets
New markets
for low carbon
products
Technology
innovation
Conv
Oil
Oil
Products
Oil Sands
Mining
Deep
Water
Shale
Oil
Shale
Gas
Integrated
Gas
ChemicalsConv.
Gas
New
Energies
29. 29Copyright of Royal Dutch Shell plc May 11, 2016
SHELL STRATEGY + ENERGY TRANSITIONS
Source: Shell analysis
Long-term energy supply mix
Million boe per day
Managing emissions
Gas in Shell’s energy mix
Increased emphasis on New Energies
Energy transitions underway
Gas
Biomass
Wind
Coal
Nuclear
Other renewables
Solar
Shell activities
Oil
+50%
+20%
30. 30Copyright of Royal Dutch Shell plc May 11, 2016
ONGOING EMISSIONS MANAGEMENT
Data on a 100% operated basis unless otherwise specified
* Indirect emissions were not recorded before 2009
2015 endorsed the World Bank’s Initiative to
Reduce Global Gas Flaring
"Zero Routine Flaring by 2030"
Emissions
Million tonnes CO2 equivalent
Energy intensity
GJ/tonne (energy required to produce a tonne of oil equivalent)
Upstream excl. Oil sands and GTL Refining Chemicals
index
Million tonnes hydrocarbon flared
Flaring performance
www.shell.com/ghg
31. 31Copyright of Royal Dutch Shell plc May 11, 2016
GROWING NATURAL GAS IN SHELL
Meets 30% of The Philippines’ energy needs
Shell share 45%
Started up Oct 2015
Sustained production until 2024
Queensland LNG
Example: deep water and LNG
Gas: around 50% of reserves and production
Growth in LNG portfolio 2016+
Cleanest fossil fuel
8.5 mtpa capacity
Shell share: train 1- 50%, train 2- 97.5% (Operated)
Train 1 startup Dec 2014
Malampaya phase 3
32. 32Copyright of Royal Dutch Shell plc May 11, 2016
NEW ENERGIES – INVESTMENT CONTEXT
FUTURE OPPORTUNITIES
Energy
Transition
Digital
platforms
Increasing
electrification
Greater
customer choice
Renewables
growth
Disruptive
business models
Mobility
transition
33. 33Copyright of Royal Dutch Shell plc May 11, 2016
SHELL: OPPORTUNITIES IN NEW ENERGIES
FUTURE OPPORTUNITIES
Material value + upside
Assessing options + technologies
Capped exposure
New Energies
Integrated
Energy
Solutions
New Fuels
Connected
Customer
Capital employed $1.75 bln : biofuels, wind, solar, hydrogen
$200 mln estimated 2016 spend
34. 34Copyright of Royal Dutch Shell plc May 11, 2016
SHELL: NEW FUELS
Leading Brazilian producer of sugar and ethanol
Shell branded fuels business
~900 MW bio-power generation
2015 earnings: $300 mln
Testing new markets + R&D potential
Transport opportunity
Germany Joint Venture: 400 stations by 2023
(2/3 Shell sites)
Biofuels – Raízen Joint Venture - Brazil Hydrogen
35. 35Copyright of Royal Dutch Shell plc May 11, 2016
SHELL: INTEGRATED ENERGY SOLUTIONS
c. 500MW capacity in USA + Netherlands
Venture capital support for technology
Assessing new opportunities
Solar steam for EOR operational in Oman
Expansion plans up to 1GW
Assessing further PV opportunities
Wind Solar
Mount Storm wind project, West Virginia, USA Glasspoint[Glasspoint]Glasspoint solar EOR, Oman
36. 36Copyright of Royal Dutch Shell plc May 11, 2016
Connected Energy
Capture value from power market disruption
Shell today:
No. 2 wholesale power marketer in USA
Participates in most organized power markets
Access to ~ 9,000 MW generating capacity
across USA
SHELL: CONNECTED CUSTOMER
Connected Mobility
Enabled by data and connectivity
Reducing inefficiencies in mobility
Branded fuels and lubricants
Shell MiGarage App SENA trading
37. 37Copyright of Royal Dutch Shell plc May 11, 2016
HARRY BREKELMANS
DIRECTOR PROJECTS AND
TECHNOLOGY
ROYAL DUTCH SHELL PLC
38. 38Copyright of Royal Dutch Shell plc May 11, 2016
ASSET INTEGRITY AND PROCESS SAFETY
PREVENTING AND MITIGATING MAJOR SAFETY INCIDENTS
Goal Zero: No Harm, No Leaks Assets are safe and we know it
TOP EVENT
THREATS
CONSEQUENCES
Leadership
behaviours
Effective
design and
application
of barriers
Standards and processes Motivated, competent
people
Continuous improvement
Control barriers Recovery measures
Plan
Do
Act
Check
1
3 4 5
2
39. 39Copyright of Royal Dutch Shell plc May 11, 2016
No harm to people
No leaks
12 Life saving rules
SHELL + BG HSSE INTEGRATION
Safety remains priority
Many similarities
Combination to follow Shell’s safety requirements by end 2016
Goal Zero
Incident and injury free workplace
One Team
10 Life savers
Zero Injuries
40. 40Copyright of Royal Dutch Shell plc May 11, 2016
CONTRACTOR SAFETY MANAGEMENT
Contractors are critical to achieve Goal Zero
> 240,000 contractors
Represent 75% of total exposure hours
Perform most high risk activities
Involvement in most incidents
Number of fatalities
Total recordable case frequency (TRCF)
Injuries per million working hours Contractor performance is improving
across the oil & gas industry
41. 41Copyright of Royal Dutch Shell plc May 11, 2016
CONTRACTOR SAFETY MANAGEMENT
EXAMPLE: CONSTRUCTION SITE SAFETY STANDARDISATION
Standardised approach
Make working easier and safer
Reduce HSE exposure
Deliver consistency across projects
Improve experience and learnings transfer
Safety poster produced in 12 languages
Toolbox talk kit
Arabic
Bahasa Malay
Bengali
Chinese
Dutch
English
French
Hindi
Norwegian
Portuguese
Spanish
Thai
42. 42Copyright of Royal Dutch Shell plc May 11, 2016
CONTRACTOR SAFETY MANAGEMENT
EXAMPLE: KOREAN SHIPYARD SAFETY STANDARDISATION
What:
Single standard safety approach
Used at all projects and assets
Continuous improvement of safety culture
Why:
Workers often short term tenure
Workers move frequently
Safety seen as barrier to productivity
Value:
Productivity increases
Reduced training cost + orientation time
Incident reductions
Construction of Prelude FLNG, Korea
Safety day presentation, construction of Prelude FLNG, Korea
43. 43Copyright of Royal Dutch Shell plc May 11, 2016
HSSE PERFORMANCE
Goal Zero on safety
Injuries – TRCF/million working hours
Spills - operational
Volume in thousand tonnes
Energy intensity – refineries
Energy Intensity Index (EEITM)
Process safety
Number of incidents
million working hours
Working hours (RHS)TRCF
Tier 1 incidents Tier 2 incidents
HSSE priority
Performance + transparency
44. 44Copyright of Royal Dutch Shell plc May 11, 2016
MANAGING EMISSIONS
Oil Sands upgrader
Quest start-up 2016
~1 mtpa CO2 sequestered
Bukom refinery Singapore
~68 MW cogeneration unit installed in 2015
Recovering waste heat to generate steam
Carbon Capture and Storage: Canada Cogeneration: Singapore
Examples
45. 45Copyright of Royal Dutch Shell plc May 11, 2016
LOW CARBON OPPORTUNITIES (2015)
EXPLORATION
LNG
MTPA = Million tonnes per annum
LNG (6.3 MTPA)
LNG (24.2 MTPA)
TECHNOLOGY CENTRE MONGSTAD
OTWAY BASIN PROJECT
QUEST
GORGON
ADSORPTION
TECHNOLOGY CCS
ALTERNATIVE
QATAR
CARBONATES
AND CARBON
STORAGE CENTRE
BANGALORE R&D
ADVANCED
BIOFUELS
WESTHOLLOW
RESEARCH CENTRE
ADVANCED BIOFUELS
RAÍZEN ADVANCED
BIOFUELS
RAÍZEN BIOFUELS
SOLAR
PHOTOVOLTAIC
(PV) CELLS
GLASSPOINT SOLAR
TECHNOLOGY
SHELL TECHNOLOGY
VENTURES
E-MOBILITY BATTERY
TECHNOLOGY
FUTURE ENERGY
TECHNOLOGIES
H2 NETWORK
EUROPE, USA
H2 NETWORK
GERMANY
H2 NETWORK
(5 SITES)
2-B ENERGY
TURBINE
TECHNOLOGY
OFFSHORE (50 MW net)
ONSHORE (450 MW net)
RESEARCH &
DEVELOPMENT
ENGINEERING
& DESIGN
FINAL INVESTMENT
DECISION
ON STREAM
INCREASING TECHNOLOGY MATURITY
LNG (6.5 MTPA)
PETERHEAD (1MTPA)
Commercial operation (volumes in Shell share)
Technology demonstration/research
Used in Shell operations
CANSOLV
TECHNOLOGY
Project cancelled
FID taken
Project progressed
46. 46Copyright of Royal Dutch Shell plc May 11, 2016
NEW ENERGIES R+D INVESTMENTS- BIOFUELS
Advanced ethanol mill
Bolt-on to the Costa Pinto mill
Adapted from Iogen energy
technology
2015 production
Woody biomass into fuels
Shell proprietary system
Licenses in Virent technology
Development program at
Shell’s Technology Centre in
Houston, USA
Converts waste into fuels
Demonstration plant to be built
at Shell’s Technology Centre in
Bangalore, India
Technology developed by Gas
Technology Institute + Shell
Raízen advanced biofuels Reversible acid pre-treatment &
ensiling energy crops
Integrated hydropyrolysis and
hydroconversion
47. 47Copyright of Royal Dutch Shell plc May 11, 2016
BEN VAN BEURDEN
CHIEF EXECUTIVE OFFICER
ROYAL DUTCH SHELL PLC
48. 48Copyright of Royal Dutch Shell plc May 11, 2016
QUESTIONS AND ANSWERS
ROYAL DUTCH SHELL PLC
MAY 11, 2016
49. 49Copyright of Royal Dutch Shell plc May 11, 2016
ADDITIONAL INFORMATION
ROYAL DUTCH SHELL PLC
MAY 11, 2016
50. 50Copyright of Royal Dutch Shell plc May 11, 2016
HUMAN RIGHTS
Objectives
Due diligence to avoid infringements of rights
Effective systems
Grievance mechanisms
INDUSTRY
COOPERATION
Human Rights Due Diligence
Human Rights & Impact
Assessment
Grievance Mechanisms
POLICY
COMMITMENT
Shell General
Business Principles
Shell Code of
Conduct
HSSE & SP Control
Framework
Supplier Principles
SHELL FOCUS AREAS
Contracting &
Procurement
Human Resources Security Social Performance
Governance: HSSE SP Exec & Human Rights Working Group
Partnerships: Danish Institute for Human Rights
51. 51Copyright of Royal Dutch Shell plc May 11, 2016
ALASKA EXPLORATION
2015
Burger J well completed; water-bearing
Operated exceptionally well
Exploration halted for “forseeable future”
Demobilised staff, rigs and support vehicles
2016
Ongoing demobilisation
Final removal of equipment
52. 52Copyright of Royal Dutch Shell plc May 11, 2016
BRENT FIELD DECOMMISSIONING
Brent Delta Topside plan submitted
Consultation + resubmission
Target date single lift: 2017
Full field decommissioning plan to follow
8 year stakeholder engagement
~ 180 bodies
Includes environmental groups and
NGOs
www.shell.co.uk/brentdecomm
53. 53Copyright of Royal Dutch Shell plc May 11, 2016
OIL SANDS UPDATE
Focus on emissions management
Aspire to have equivalent intensity to average
barrel refined in US
Progress over a number of years:
Integrated mine planning
Start up of Quest CCS – 1mtpa CO2
Turnarounds in 2015 well managed
Significant focus on cost
Head count – staff and contractors – reduction
Energy costs reduced
Canada AOSP emissions update Economic update
Cash operating costs $/bbl
Cash operating cost excl. energy Energy DD&A (clean)
54. 54Copyright of Royal Dutch Shell plc May 11, 2016
WATER MANAGEMENT
Water regulation evolving rapidly
Water management plans
water scarce areas
future water scarce areas
Centre of Excellence in Bangalore:
Integrated project delivery
Technical support
Water R&D
Dawson Creek water reclamation, Groundbirch
Shell fresh water withdrawn
Million cubic metres
55. 55Copyright of Royal Dutch Shell plc May 11, 2016
STRATEGIC KPIS AND EXECUTIVE INCENTIVES
5% weight
Personal Safety
5% weight
Process Safety
30% weight
CFFO
50% weight
Operational Excellence
10% weight
Safety
20% weight
Sustainable Development
10% weight
Sustainability
2% weight
Water use
4% weight
Oil Spill volumes
4% weight
Energy Intensity
2015 EXECUTIVE BONUS STRUCTURE
56. 56Copyright of Royal Dutch Shell plc May 11, 2016
NEW ENERGIES R+D INVESTMENTS – OTHER EXAMPLES
Internet of Energy
Software applications
Link with energy storage
Reduce cost and increase
reliability of flexible electricity
delivery
Develop high-performance
batteries
non-toxic
cost-effective
industrial scale
Balance energy production and
demand
Growing Energy Labs Inc (Geli) Kite Power Solutions Aquion Energy
Accessing high altitude wind
which is less intermittent
Aim to reduce the cost of
wind energy
57. 57Copyright of Royal Dutch Shell plc May 11, 2016
ANNUAL ROUNDTABLE FOR
SOCIALLY RESPONSIBLE
INVESTORS
ROYAL DUTCH SHELL PLC
MAY 11, 2016