Shell's 2nd Quarter Income Drops

Royal Dutch Shell PLC announced a 57 percent drop in its second-quarter net income after the attacks on Nigerian operations and a drastic reduction on the worth of its shale oil fields in North America. The oil company also neglected its long-term objectives to boost production to 3.7 million barrels daily by next year and 4 million per day by 2018. Shell
Photo by Municipal Archives of Trondheim/flickr Production of oil and gas counterparts cut down by 1.3 percent from the previous year to 3.06 million barrels per day. Chief Executive Officer Peter Voser maintains that the company's real long-term goal is consistent on income growth and it will achieve long-term economic targets. Total earnings in the quarter were $1.74 billion, compared to the $4.08 billion income during the same period in 2012, relatively due to a $2.2 billion damage charge on its shale oil assets in North America. Its shares declined by 3.9 percent to €24.595 early on in Amsterdam. Shell, the major overseas oil producer in Nigeria, has recently experienced many attacks on its pipelines in the country's eastern delta area. The ongoing closures amount $250 million in the second quarter. The company said thieves were responsible for the damages; however, environmental groups have condemned Shell for operating wells in a region where there is less supervision. Source: Miami Herald