By OGJ editors
HOUSTON, Mar. 23 -- Royal Dutch/Shell Group confirmed that the US Attorney's Office asked for the information that Shell has provided the US Securities and Exchange Commission regarding the January reduction in Shell's oil and natural gas proved reserves estimate.
"On Friday, Mar. 19, a representative of the US Attorney's Office in Manhattan contacted our outside counsel in the US and asked to be briefed on information we have previously provided to the SEC. We have agreed to meet and to do so," Shell said in a brief written statement issued Tuesday by its London media office.
Last week, Shell cut its oil and natural gas reserves for the second time this year and announced that its 2003 annual report would be delayed until late May. Shell also revealed that regulators in the Netherlands are looking into potential insider trading while US and UK regulators are questioning recent company actions.
In the latest reserves estimate revision, Shell announced the recategorization of another 250 million boe as of Dec. 31, 2002 (OGJ Online, Mar. 18, 2004). For 2003, Shell has reduced the volume of proved reserves it planned to book by 220 million boe, representing a 16% reduction in the 2003 reserves replacement ratio.
These revisions are in addition to the earlier downward revision of proved oil and gas reserves by 3.9 billion boe, or 20% (OGJ Online, Jan. 9. 2004). The initial revision involved 2002 figures. Shell also postponed its annual shareholders meeting to June from April but still intends to release first quarter results as scheduled on Apr. 29.
