Shell Announces Successful Bid For Giant Field In Deep Water Brazil

     Shell Announces Successful Bid For Giant Field In Deep Water Brazil

PR Newswire

HOUSTON, Oct. 21, 2013

HOUSTON, Oct. 21, 2013 /PRNewswire/ -- A consortium of companies, including
Royal Dutch Shell plc ("Shell"), Petrobras, Total, CNPC and CNOOC, won today a
35-year production sharing contract to develop the giant Libra pre-salt oil
discovery located in the Santos Basin, offshore Brazil. The Brazilian
regulator, Agencia Nacional do Petroleo (ANP), estimates Libra's recoverable
resources of between 8 to 12 billion barrels of oil.

"The Libra oil discovery in Brazil is one of the largest deep water oil
accumulations in the world. We look forward to applying Shell's global deep
water experience and technology, to support the profitable development of this
exciting opportunity," said Peter Voser, Chief Executive Officer, Royal Dutch

Shell holds 20% in the consortium, with Petrobras 40% as operator, Total 20%,
CNPC 10% and CNOOC 10%. The consortium will work together in an integrated
fashion to support Petrobras, the most experienced operator in the Brazilian
pre-salt, and will incorporate each company's deep water skills, people and
technology for the success of the venture.

The production sharing contract is expected to be signed in November 2013. As
part of the winning bid, Shell will pay its 20-percent share of the total
signing bonus of USD $1.4 billion [3.0 billion reais], and fulfill the
minimum work program no later than end 2017.

The ultra-deep water Libra accumulation is located in Santos Basin,
approximately 170 kilometers (105 miles) off the coast of Rio de Janeiro. The
block covers approximately 1,550 square kilometers in water depths of around
2,000 meters (6,500 feet). The reservoir depth is around 3,500 meters below
the sea floor (11,500 feet). The ANP estimates that total gross peak oil
production could reach 1.4 million barrels per day. Further appraisal is
required to firm up this estimate, the development concept and a first oil

Shell is one of the industry's pioneers in deep water oil and gas with some
330,000 boe/d of production, world-wide, from deep water in 2012. Our
commitment to technology and innovation continues to be at the core of our
strategy. As energy projects become more complex and more technically
demanding, we believe our engineering expertise will be a deciding factor in
the growth of our businesses.

Shell was the first International Oil Company to produce on a commercial scale
in Brazil and has more than 100 years of history within the country, with
circa 65,000 boe/d of operated production in 2012. Shell is currently
operating two Floating, Production, Storage and Offloading (FPSO) vessels in
Brazil's offshore – the Espirito Santo at Parque das Conchas and the
Fluminense at the Bijupira/Salema fields - and has recently announced projects
to expand production at both fields. Shell also operates and owns an 80%
interest in the BM-S-54 block, where the Gato do Mato discovery is being
appraised. Shell has also other interests in Brazil, particularly our
Lubricants business and our joint venture Raizen, the leading sugar cane
ethanol producer and fuels retailer.

Cautionary Note

The companies in which Royal Dutch Shell plc directly and indirectly owns
investments are separate entities. In this announcement "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 announcement refer to companies over which Royal Dutch Shell plc
either directly or indirectly has control. Companies over which Shell has
joint control are generally referred to "joint ventures" and companies over
which Shell has significant influence but neither control nor joint control
are referred to as "associates". In this announcement, joint ventures and
associates may also be referred to as "equity-accounted investments". The term
"Shell interest" is used for convenience to indicate the direct and/or
indirect (for example, through our 23% shareholding in Woodside Petroleum
Ltd.) ownership interest held by Shell in a venture, partnership or company,
after exclusion of all third-party interest.

This announcement 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 announcement, 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 announcement 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, 2012
(available These risk factors
also expressly qualify all forward looking statements contained in this
announcementand should be considered by the reader. Each forward-looking
statement speaks only as of the date of this announcement, October 21, 2013.
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 announcement.

We may have used certain terms, such as resources, in this announcement 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 You can also obtain these forms from the SEC
by calling 1-800-SEC-0330.

SOURCE Royal Dutch Shell plc

Contact: Media: Shell US Media Relations +1 713 241 4544, Shell International
Media Relations +44 (0) 20 7934 5550, Shell Brazil Media Relations +55 21 3984
7413, or Investor Relations: North America +1 713 241 1042, International + 31
(0) 70 377 4540
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