royal dutch shell plc...royal dutch shell plc financial and operational information 2001–2005...
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Royal Dutch Shell plcFinancial and Operational Information 2001–2005
PUBLICATION REQUESTS
Royal Dutch Shell plcc/o BanksideTel: +44 (0)1635 232700e-mail: [email protected]
PUBLICATIONS
Annual Report and Form 20-Ffor the year ended December 31, 2005A comprehensive overview of the Group.
Available at www.shell.com/annualreport
Annual Review and Summary FinancialStatements 2005A summarised overview of the Group and the operational and financial performance of the business.
Available at www.shell.com/annualreport
The above documents are available inboth English and Dutch from the addresslisted on the left.
De bovenstaande documenten zijn zowel in het Engels als in het Nederlandsverkrijgbaar bij het links vermelde adres.
Shell General Business PrinciplesFundamental principles that govern how each Shell company conducts its affairs.
Available at www.shell.com/sgbp
The Shell Sustainability Report 2005Report on progress in contributing to sustainable development.
Available at www.shell.com/envandsociety
Financial and Operational Information 2001 – 2005Five years’ financial and operationalinformation about the Group, including maps of exploration and production activities.
Available at www.shell.com/faoi
More information about the Group is available at www.shell.com
Royal Dutch Shell plc
Financial and Operational Inform
ation 2001– 2005
AR6788_Shell_FAOI_Cover_spine 25/5/06 4:09 pm Page 1
2005 Results:Revenue $306.7 billionIncome for the period $26.3 billion Cash flow from operating activities $30.1 billion
Earnings per share – IFRS $
04 2.74
05 3.79
Total assets less total liabilities – IFRS $ million
04 91,383
05 97,924
Dividends paid to shareholders – IFRS $ million
04 7,391
05 10,556
About this bookletThe Financial and Operational Information booklet contains forward-looking statements concerning thefinancial condition, results of operations and businesses of Royal Dutch Shell. All statements other thanstatements 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 currentexpectations and assumptions and involve known and unknown risks and uncertainties that couldcause actual results, performance or events to differ materially from those expressed or implied inthese statements. Forward-looking statements include, among other things, statements concerning thepotential exposure of Royal Dutch Shell to market risks and statements expressing management’sexpectations, beliefs, estimates, forecasts, projections and assumptions. These forward-lookingstatements are identified by their use of terms and phrases such as ‘‘anticipate’’, ‘‘believe’’, ‘‘could’’,‘‘estimate’’, ‘‘expect’’, ‘‘intend’’, ‘‘may’’, ‘‘plan’’, ‘‘objectives’’, ‘‘outlook’’, ‘‘probably’’, ‘‘project’’,‘‘will’’, ‘‘seek’’, ‘‘target’’, ‘‘risks’’, ‘‘goals’’, ‘‘should’’ and similar terms and phrases. There are anumber of factors that could affect the future operations of Royal Dutch Shell and could cause thoseresults to differ materially from those expressed in the forward-looking statements included in thisbooklet, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes indemand for the Group’s products; (c) currency fluctuations; (d) drilling and production results; (e)reserve estimates; (f) loss of market and industry competition; (g) environmental and physical risks; (h)risks associated with the identification of suitable potential acquisition properties and targets, andsuccessful negotiation and completion of such transactions; (i) the risk of doing business in developingcountries and countries subject to international sanctions; (j) legislative, fiscal and regulatorydevelopments including potential litigation and regulatory effects arising from recategorisation ofreserves; (k) economic and financial market conditions in various countries and regions; (l) political
risks, project delay or advancement, approvals and cost estimates; and (m) changes in tradingconditions. All forward-looking statements contained in this booklet are expressly qualified in theirentirety by the cautionary statements contained or referred to in this section. Readers should not placeundue reliance on forward-looking statements. Each forward-looking statement speaks only as of thedate of this booklet. Neither Royal Dutch Shell nor any of its subsidiaries undertake any obligation topublicly update or revise any forward-looking statement as a result of new information, future events orother information. In light of these risks, results could differ materially from those stated, implied orinferred from the forward-looking statements contained in this booklet.
Please refer to the Annual Report on Form 20-F for the year ended December 31, 2005 for adescription of certain important factors, risks and uncertainties that may affect the businesses of theShell Group.
This booklet has not been subject to audit.
Cautionary Note to US InvestorsThe United States Securities and Exchange Commission (SEC) permits oil and gas companies, in theirfilings with the SEC, to disclose only proved reserves that a company has demonstrated by actualproduction or conclusive formation tests to be economically and legally producible under existingeconomic and operating conditions. Investors are urged to consider closely the disclosure in our AnnualReport on Form 20-F for the year ended December 31, 2005, File No 1-32575 and disclosure in ourForms 6-K file No 1-32575, available on the SEC’s website www.sec.gov. You can also obtain theseforms from the SEC by calling 1-800-SEC-0330.
Earnings per share – US GAAP $
02 1.41
03 1.81
01 1.45
Net assets before minority interest – US GAAP$ million
02
03
01
69,763
81,666
66,288
Dividends paid to shareholders – US GAAP$ million
02 5,522
03 6,352
01 5,188
Throughout this booklet, a billion = 1,000 million.
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OUR STRATEGY OF MORE UPSTREAM AND PROFITABLE DOWNSTREAM AIMS TOREINFORCE OUR POSITION AS A LEADER IN THE INDUSTRY, WHICH AIMS TOPROVIDE INVESTORS WITH A COMPETIT IVE AND SUSTAINED TOTAL SHAREHOLDERRETURN.
THE OBJECTIVES OF THE SHELL GROUP ARE TO ENGAGE EFFICIENTLY, RESPONSIBLYAND PROFITABLY IN OIL, OIL PRODUCTS, GAS, CHEMICALS AND OTHER SELECTEDBUSINESSES. THE COMPANY PARTICIPATES IN THE SEARCH FOR AND DEVELOPMENTOF OTHER SOURCES OF ENERGY TO MEET EVOLVING CUSTOMER NEEDS AND THEWORLD’S GROWING DEMAND FOR ENERGY.
WE BELIEVE THAT OIL AND GAS WILL BE INTEGRAL TO THE GLOBAL ENERGYNEEDS FOR ECONOMIC DEVELOPMENT FOR MANY DECADES TO COME. OURROLE IS TO ENSURE THAT WE EXTRACT AND DELIVER THESE PROFITABLY, USINGENVIRONMENTALLY AND SOCIALLY RESPONSIBLE MEANS.
THIS BOOKLET SUPPLEMENTS THE ROYAL DUTCH SHELL PLC ANNUAL REPORT AND FORM 20-F FOR THE YEAR ENDEDDECEMBER 31, 2005, WHICH CONTAIN FINANCIAL STATEMENTS AND INFORMATION ON THE SHELL GROUP, INCLUDINGDETAILS OF THE ACCOUNTING POLICIES EMPLOYED. REFERENCE TO THIS ANNUAL REPORT WILL ASSIST THE UNDERSTANDINGOF THE INFORMATION IN THIS BOOKLET.
01 Nature of Group Financial Statements and operational data
02 Royal Dutch Shell shares03 Royal Dutch Shell dividends04 Financial Statements04 Consolidated Statement of Income and
earnings per share06 Consolidated Balance Sheet08 Consolidated Statement of Cash Flows10 Earnings by industry segment, Quarterly
earnings by industry segment12 Financial ratios, dollar exchange rates13 Capital investment14 Fixed assets
15 Depreciation, depletion and amortisation
16 Capital employed, Taxation17 Employee data18 Exploration & Production46 Gas & Power49 Oil Products50 Refining52 Oil sales53 Shipping54 Chemicals57 Other industry segments, Research58 Financial calendar
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In 2005, as a result of the Unification Transaction, Royal Dutch Shellbecame the single 100% parent company of Royal Dutch PetroleumCompany (“Royal Dutch”) and of Shell Transport and Trading CompanyLimited (previously known as The “Shell” Transport and Trading Company,p.l.c.) (“Shell Transport”) the two former public parent companies of theGroup.
The Unification Transaction did not result in the formation of a new reportingentity. Immediately after the Unification Transaction each former Royal Dutchand Shell Transport shareholder who participated in the UnificationTransaction held the same economic interest in Royal Dutch Shell as theshareholder held in the Group immediately prior to implementation of theUnification Transaction. Accordingly, the Unification Transaction has beenaccounted for using the carry-over basis of the historical costs of the assetsand liabilities of Royal Dutch, Shell Transport and the other companiescomprising the Group.
In this booklet “Group” is defined as Royal Dutch Shell together with all of itsconsolidated subsidiaries. The expression “Shell”, “Group”, “Shell Group”and “Royal Dutch Shell” are sometimes used for convenience wherereferences are made to the Group or Group companies in general.Likewise, the words “we”, “us” and “our” are also used to refer to Groupcompanies in general or to those who work for them. These expressions arealso used where no useful purpose is served by identifying the particularcompany or companies. The expression “Group companies” as used in thisbooklet refers to companies in which Royal Dutch Shell either directly orindirectly has control, by having either a majority of the voting rights or theright to exercise a controlling influence. The companies in which the Grouphas significant influence but not control are referred to as “associatedcompanies” or “associates” and companies in which the Group has jointcontrol are referred to as “jointly controlled entities”. In this booklet,associates and jointly controlled entities are also referred to as “equityaccounted investments”.
Except as otherwise specified, the figures shown in the tables in this bookletrepresent those in respect of Group companies only, without deduction of minority interests. However, where figures are given specifically for oilproduction (net of royalties in kind), natural gas production available for sale, and both the refinery processing intake and total oil product salesvolumes, the term “Group share” is used for convenience to indicate not only the volumes to which Group companies are entitled (without deduction in respect of minority interests in Group companies) but also the portion of the volumes of associated companies and jointly controlled entities towhich Group companies are entitled or which is proportionate to the Groupinterest in those companies.
Financial StatementsThe Consolidated Financial Statements include the accounts of Royal DutchShell and of those companies in which it, either directly or indirectly, hascontrol either through a majority of the voting rights or the right to exercise acontrolling influence or to obtain the majority of the benefits and be exposedto the majority of the risks. Investments in companies over which Shell Groupcompanies have significant influence but not control are classified asassociated companies and are accounted for on the equity basis. Interests injointly controlled entities are also recognised on the equity basis. Interests injointly controlled assets are recognised by including the Shell Group shareof assets, liabilities, income and expenses on a line-by-line basis.
The Consolidated Financial Statements have been prepared using the carry-over basis to account for the Unification and on the basis that the resultingstructure was in place throughout the periods presented.
The 2005 and 2004 Financial Statements contained in this booklet havebeen prepared in accordance with applicable laws in England and Walesand with International Financial Reporting Standards (“IFRS”) as adopted bythe European Union. As applied to Royal Dutch Shell, there are no materialdifferences with IFRS as issued by the International Accounting StandardsBoard. The 2003, 2002 and 2001 Financial Statements contained in thisbooklet have been prepared in accordance with US Generally AcceptedAccounting Principles (US GAAP), applied by the Group prior to its transitiondate to IFRS.
The key accounting and presentation differences between IFRS and USGAAP for the Shell Group relate to retirement benefits, discontinuedoperations, incorporated joint ventures, Group share of profit of equityaccounted investments, cumulative currency translation differences, share-based compensation, major inspection costs, unquoted equity securities,impairments and reversal of impairments.
Tables and disclosure that provide data over a five-year period show 2005and 2004 on an IFRS basis and 2003, 2002 and 2001 on a US GAAPbasis.
Except as otherwise noted, the figures shown in this booklet are inUS dollars. As used herein all references to “dollars” or “$” are to theUS currency.
Segment reportingInternal segment reporting is on a global basis. For the main segments an analysis of certain data is provided in this booklet between the USA and the world outside the USA.
Operational dataThe operational data represent the totals reported by the Group companies,reflecting their dealings with third parties and with equity accountedinvestments. Certain data also include the Group share of equity accountedinvestments and this is indicated on the pages concerned.
Currency translationAssets and liabilities of non-US dollar Group companies are translated to US dollars at year-end rates of exchange, whilst their statements of incomeand cash flows are translated at quarterly average rates. Translationdifferences arising on consolidation are taken directly to a currencytranslation differences account within equity. Upon divestment or liquidationof an entity, cumulative currency translation differences related to that entityare taken to income.
MapsThe maps on pages 20 to 30 are intended only to give an impression ofthe magnitude of the Group’s Exploration & Production activities in certainparts of the world. They must not be considered authoritative, particularly inrespect of delimitation of national, concession or other boundaries, nor inrespect of the representation of pipeline routes and landfalls, field sizes orpositions. The maps mainly describe the situation as at December 31, 2005.
1
NATURE OF GROUP FINANCIAL STATEMENTS AND OPERATIONAL DATA
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2 Royal Dutch Shell plc
Royal Dutch Shell listing information
Class A Shares Class B Shares
Ticker Symbol London RDSA RDSB
Ticker Symbol Amsterdam RDSA RDSB
Ticker Symbol – New York (ADR*) RDS.A RDS.B
ISIN Code GB00B03MLX29 GB00B03MM408
CUSIP G7690A100 G7690A118
SEDOL Number – London B03MLX2 B03MM40
SEDOL Number – Euronext B09CBL4 B09CBN6
Weighted on FTSE as at 30/9/05 5.453% 3.911%
Weighted on AEX as at 30/9/05 16.155% not included
* One ADR is equal to two underlying shares
Share pricesRDSA and Royal Dutch ordinary shares – Amsterdam
a
€
RDSA Royal Dutch ordinary shares
2005b 2005b 2004 2003 2002 2001(Jul 20 to (Jan 1 toDec 31) Sep 30)
High 27.67 28.38 22.02 22.29 31.60 36.74Low 24.12 20.92 18.30 16.68 19.61 21.86Year end 25.78 25.80 21.18 20.90 20.98 28.45
RDSA – London
Pence
2005 2004 2003 2002 2001(July 20 to
December 31)
High 1,894 – – – –Low 1,633 – – – –Year end 1,771 – – – –
Class A ADRs and Royal Dutch New York Shares – New Yorkc
$
Class A ADRs Royal Dutch New York Shares
2005d 2005d 2004 2003 2002 2001(Jul 20 to (Jan 1 toDec 31) Oct 3)
High 68.08 67.45 57.79 52.70 57.30 64.15Low 57.79 55.37 45.79 36.69 38.60 39.75Year end 61.49 62.80 57.38 52.39 44.02 49.02
RDSB – Amsterdam
€
2005 2004 2003 2002 2001(July 20 to
December 31)
High 28.90 – – – –Low 25.41 – – – –Year end 27.08 – – – –
RDSB and Shell Transport Ordinary Shares – Londone
Pence
RDSB Shell Transport Ordinary Shares
2005d 2005d 2004 2003 2002 2001(Jul 20 to (Jan 1 toDec 31) Jul 19)
High 1,968 1,991 1,570 1,531 1,888 2,255Low 1,717 1,528 1,205 1,154 1,256 1,403Year end 1,858 1,838 1,545 1,446 1,423 1,643
Class B ADRs and Shell Transport ADRs – New Yorkf
$
Class B ADRs Shell Transport ADRs
2005f 2005f 2004 2003 2002 2001(Jul 20 to (Jan 1 toDec 31) Jul 19)
High 70.94 69.86 59.98 52.42 54.91 62.24Low 60.69 57.75 45.38 37.45 39.47 44.92Year end 64.53 64.56 59.63 52.24 45.15 48.09
Shares outstanding
Weighted averageAt year end number of shares
excluding shares excluding sharesAt year end held by the Group held by the Group
A shares2005 3,935,625,000 3,817,240,213 3,965,748,4812004 4,148,800,000 4,039,611,920 4,046,424,2522003 4,167,000,000 4,066,439,836 4,073,375,5102002 4,198,570,000 4,120,339,614 4,115,315,4742001 4,253,295,600 4,199,947,066 4,191,462,522
B shares2005 2,759,360,000 2,707,858,347 2,708,431,2862004 2,765,552,027 2,712,563,580 2,724,034,6712003 2,777,792,416 2,735,191,315 2,737,938,6652002 2,777,792,416 2,745,748,422 2,760,872,7392001 2,801,102,311 2,777,853,725 2,803,961,113
Total shares2005 6,694,985,000 6,525,098,560 6,674,179,7672004 6,914,352,027 6,752,175,500 6,770,458,9232003 6,944,792,416 6,801,631,151 6,811,314,1752002 6,976,362,416 6,866,088,036 6,876,188,2132001 7,054,397,911 6,977,800,791 6,995,423,635
a Pursuant to the terms of the Unification Transaction, holders of Royal Dutch ordinary shares receivedtwo Royal Dutch Shell plc Class A ordinary shares for each Royal Dutch ordinary share. To assistcomparison, the historical prices of the Royal Dutch ordinary shares have been divided by 2 toreflect such exchange ratio.
b Royal Dutch ordinary shares continued to trade on Euronext Amsterdam following the completionof the Unification Transaction until such shares were delisted on September 30, 2005.
c Pursuant to the terms of the Unification Transaction, holders of Royal Dutch New York Sharesreceived one Royal Dutch Shell plc Class A ADR for each Royal Dutch New York Shares. EachRoyal Dutch Shell plc Class A ADR represents two Royal Dutch Shell plc Class A ordinary shares.
d The New York Stock Exchange halted trading in the Royal Dutch New York Shares on October 3,2005, following delisting in Amsterdam, and resumed trading in the Royal Dutch New York Shareson October 31, 2005, following the joint public announcement by Royal Dutch Shell and RoyalDutch of the definitive terms of the Restructuring, in which all outstanding Royal Dutch shares wereexchanged for €52.21 (or the equivalent in loan notes). The above table excludes trading inRoyal Dutch New York Shares for the period from October 3 through their delisting onNovember 21, 2005.
e Pursuant to the terms of the Unification Transaction, holders of Shell Transport Ordinary Shares(including Shell Transport Ordinary Shares to which holders of Shell Transport bearer warrantswere entitled) received 0.287333066 Royal Dutch Shell plc Class B ordinary shares for eachShell Transport Ordinary Share. To assist comparison, the historical prices of the Shell TransportOrdinary Shares have been divided by 0.287333066 to reflect such exchange ratio.
f Pursuant to the terms of the Unification Transaction, holders of Shell Transport ADRs received0.861999198 Royal Dutch Shell plc Class B ADRs for each Shell Transport ADR. To assistcomparison, the historical prices of the Shell Transport ADRs have been divided by 0.861999198to reflect such exchange ratio. Each Royal Dutch Shell plc Class B ADR represents two Royal DutchShell plc Class B ordinary shares.
ROYAL DUTCH SHELL SHARES
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DividendsIn setting the level of dividends, the Royal Dutch Shell Board intends to payquarterly dividends and provide per share increases in dividends at least inline with European inflation over time.
Royal Dutch Shell has two classes of shares – Class A ordinary shares andClass B ordinary shares. The Class A ordinary shares and Class B ordinaryshares have identical rights except in relation to the dividend source. TheCompany will declare its dividends in euro. Dividends declared on Class Aordinary shares will be paid in euro, although holders of Class A ordinaryshares will be able to elect to receive dividends in sterling. Dividendsdeclared on Class B ordinary shares will be paid in sterling, although holdersof Class B ordinary shares will be able to elect to receive payment in euro.Holders of ADRs will receive payment in dollars. Eligible shareholders mustmake currency elections the day before the declaration date.
DividendsClass A shares €
2005 2004 2003 2002 2001
Q1 0.23* – – – –Q2 0.23 – – – –Q3 0.23 – – – –Q4 0.23 – – – –Interim – 0.38* 0.37* 0.36* 0.35*Final/second interim – 0.52* 0.51* 0.50* 0.48*
Total 0.92 0.90 0.88 0.86 0.83
Amount paid during the year 1.21 0.89 0.87 0.84 0.81
* Historical data for Royal Dutch shares converted to Royal Dutch Shell equivalents.
Class B shares pence
2005 2004 2003 2002 2001
Q1 15.84* – – – –Q2 15.89 – – – –Q3 15.64 – – – –Q4 15.64 – – – –Interim – 21.75* 21.23* 20.71* 20.36*Final/second interim – 37.24* 33.58* 32.37* 31.15*
Total 63.01 58.99 54.81 53.08 51.51
Amount paid during the year 84.61 55.33 53.60 51.86 51.33
* Historical data for Shell Transport shares converted to Royal Dutch Shell equivalents.
Class A ADRs $
2005 2004 2003 2002 2001
Q1 0.59* – – – –Q2 0.55 – – – –Q3 0.56 – – – –Q4 0.56 – – – –Interim – 0.90* 0.85* 0.70* 0.61*Final/second interim – 1.33* 1.21* 1.10* 0.88*
Total 2.26 2.23 2.06 1.80 1.49
Amount paid during the year 3.03 2.11 1.95 1.58 1.41
* Historical data for Royal Dutch New York Shares converted to Royal Dutch Shell equivalents.
Class B ADRs $
2005 2004 2003 2002 2001
Q1 0.57* – – – –Q2 0.55 – – – –Q3 0.56 – – – –Q4 0.56 – – – –Interim – 0.78* 0.67* 0.64* 0.59*Final/second interim – 1.43* 1.21* 1.04* 0.90*
Total 2.24 2.21 1.88 1.68 1.49
Amount paid during the year 3.11 1.99 1.71 1.54 1.47
* Historical data for Shell Transport ADRs converted to Royal Dutch Shell equivalents.
3
ROYAL DUTCH SHELL DIVIDENDS
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4 Royal Dutch Shell plc
Consolidated Statement of IncomeIFRS
$ million
2005 2004
RevenueExploration & Production 23,970 18,400Gas & Power 13,766 9,625Oil Products 237,210 210,424Chemicals 31,018 26,877Other industry segments and Corporate 767 1,060
Revenuea 306,731 266,386Cost of sales 252,622 223,259
Gross profit 54,109 43,127Selling, distribution and administrative expenses 15,482 15,098Exploration 1,286 1,809Share of profit of equity accounted investments 7,123 5,015Interest and other income 1,171 1,483Interest expense 1,068 1,059
Income before taxation 44,567 31,659Taxation 17,999 12,168
Income from continuing operations 26,568 19,491Income/(loss) from discontinued operations (307) (234)
Income for the period 26,261 19,257
Income attributable to minority interest 950 717
Income attributable to shareholders of Royal Dutch Shell plc 25,311 18,540
Research and development expenditure included in cost of sales 588 553
Depreciation, depletion and amortisation are included within the following expense headings as follows:Cost of sales 10,384 10,569Selling, distribution and administrative expenses 1,472 1,593Exploration 125 683
11,981 12,845a Revenue is stated after deducting sales taxes, excise duties and similar levies of $72,277 million in 2005 and $72,370 million in 2004.
Earnings per shareIFRS
$ million
2005 2004
Basic earnings per €0.07 ordinary sharea b 3.79 2.74Continuing operations 3.84 2.77Discontinued operations (0.05) (0.03)
Diluted earnings per €0.07 ordinary sharea b 3.78 2.74Continuing operations 3.83 2.77Discontinued operations (0.05) (0.03)
a Earnings per Royal Dutch Shell Class A ordinary and Class B ordinary shares are identical. The historical earnings per share following the Unification have been accounted for on a carry-over basis using theaggregate weighted average outstanding shares of the constituent businesses adjusted to the equivalent shares of Royal Dutch Shell for all periods presented.
b The basic earnings per share amounts shown relate to income attributable to shareholders of Royal Dutch Shell. The 2005 calculation uses a weighted-average number of shares of 6,674,179,767 (2004:6,770,458,950. The basic earnings per share number has been restated to exclude shares held by Share-Ownership Trusts for share-based compensation plans. For the purpose of the calculation, sharesrepurchased under the buyback programme are deemed to have been cancelled on purchase date. The diluted earnings per share are based on the same income figures. For this calculation, the followingweighted-average number of shares are used. 2005: 6,694,427,705; 2004: 6,776,396,429. The difference between the basic and diluted number of shares relates to share-based compensation plansas mentioned above.
F INANCIAL STATEMENTS
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 4
Consolidated Statement of IncomeUS GAAP
$ million
2003 2002 2001
RevenueExploration & Production 12,224 11,640 11,808Gas & Power 7,377 4,254 5,947Oil Products 159,075 132,681 90,862Chemicals 18,843 14,125 13,260Other industry segments and Corporate 843 753 576
Revenuea 198,362 163,453 122,453Cost of sales 165,147 135,658 96,091
Gross profit 33,215 27,795 26,362Selling, distribution and administrative expenses 13,296 11,215 8,846Exploration 1,475 1,052 843Research and development 584 472 387
Operating profit of Shell Group companies 17,860 15,056 16,286Share of operating profit of associated companies 3,446 2,792 2,615
Operating profit 21,306 17,848 18,901Interest and other income 1,996 782 1,096Interest expense 1,324 1,291 1,023Currency exchange gains/(losses) (231) (25) (31)
Income before taxation 21,747 17,314 18,943Taxation 9,352 7,655 8,299
Income after taxation 12,395 9,659 10,644Income applicable to minority interests 353 175 360
Income from continuing operations 12,042 9,484 10,284Income from discontinued operations, net of tax 25 187 37Cumulative effect of a change in accounting principle, net of tax 255 – –
Income attributable to shareholders of Royal Dutch Shell plc 12,322 9,671 10,321
Depreciation, depletion and amortisation are included within the following expense headings as follows:Cost of sales 9,863 7,469 5,165Selling, distribution and administrative expenses 1,409 1,157 1,060Exploration 411 80 42Research and development 28 33 28
11,711 8,739 6,295
a Revenue is stated after deducting sales taxes, excise duties and similar levies of $65,527 million in 2003, $54,834 million in 2002 and $40,908 million in 2001.
Earnings per shareUS GAAP
$ million
2003 2002 2001
Basic earnings per €0.07 ordinary sharea b 1.81 1.41 1.45Continuing operations 1.77 1.38 1.45Discontinued operations – 0.03 –Cumulative effect of a change in accounting principle, net of tax 0.04 – –
Diluted earnings per €0.07 ordinary sharea b 1.81 1.41 1.45Continuing operations 1.77 1.38 1.45Discontinued operations – 0.03 –Cumulative effect of a change in accounting principle, net of tax 0.04 – –
a Earnings per Royal Dutch Shell Class A ordinary and Class B ordinary shares are identical. The historical earnings per share following the Unification have been accounted for on a carry-over basis using theaggregate weighted average outstanding shares of the constituent businesses adjusted to the equivalent shares of Royal Dutch Shell for all periods presented.
b The basic earnings per share amounts shown relate to income attributable to shareholders of Royal Dutch Shell. The 2003 calculation uses a weighted-average number of shares of 6,811,314,175;(2002: 6,876,188,213; 2001: 7,100,044,876). The basic earnings per share number has been restated to exclude shares held by Share-Ownership Trusts for share-based compensation plans. For thepurpose of the calculation, shares repurchased under the buyback programme are deemed to have been cancelled on purchase date. The diluted earnings per share are based on the same income figures.For this calculation, the following weighted-average number of shares are used. 2003: 6,813,444,740; 2002: 6,878,412,716; 2001: 7,105,915,746. The difference between the basic and dilutednumber of shares relates to share-based compensation plans as mentioned above.
Financial Statements 5
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 5
Consolidated Balance SheetIFRS
$ million
2005 2004
AssetsNon-current assets
Intangible assets 4,350 4,528Property, plant and equipment 87,558 87,918
Exploration & Production 51,275 50,889Gas & Power 7,256 6,251Oil Products 22,263 23,622Chemicals 5,945 6,348Other industry segments and Corporate 819 808
Investments:equity accounted investments 16,905 19,190financial assets 3,672 2,700
Deferred tax 2,562 2,789Prepaid pension costs 2,486 2,479Other 4,091 5,793
121,624 125,397
Current assetsInventories 19,776 15,375Accounts receivable 66,386 37,473Cash and cash equivalents 11,730 9,201
97,892 62,049
Total assets 219,516 187,446
LiabilitiesNon-current liabilities
Debt 7,578 8,858Deferred tax 10,763 12,930Retirement benefit obligations 5,807 6,795Other provisions 7,385 6,828Other 5,095 5,800
36,628 41,211
Current liabilitiesDebt 5,338 5,734Accounts payable and accrued liabilities 69,013 37,909Taxes payable 8,782 9,058Retirement benefit obligations 282 339Other provisions 1,549 1,812
84,964 54,852
Total liabilities 121,592 96,063
EquityOrdinary share capital 571 584Preference share capital – 20Treasury shares (3,809) (4,187)Other reserves 3,584 8,865Retained earnings 90,578 80,788
Equity attributable to shareholders of Royal Dutch Shell plc 90,924 86,070Minority interest 7,000 5,313
Total equity 97,924 91,383
Total liabilities and equity 219,516 187,446
Capital employeda 110,840 105,975
a Capital employed is Group total assets minus total liabilities before deduction of minority interests, plus short-term and long-term debt.
F INANCIAL STATEMENTS
6 Royal Dutch Shell plc
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 6
Consolidated Balance SheetUS GAAP
$ million
2003 2002 2001
Fixed assetsIntangible assets 4,735 4,696 939Property, plant and equipment 87,088 78,363 50,721
Exploration & Production 49,273 46,257 29,546Gas & Power 5,949 2,079 1,596Oil Products 24,773 23,763 14,129Chemicals 6,177 5,299 4,718Other industry segments and Corporate 916 965 732
Investments:equity accounted investments 19,371 17,945 18,331securities 2,317 1,719 1,914other 1,086 1,420 1,108
Total fixed assets 114,597 104,143 73,013
Other long-term assets 11,349 7,333 7,716
Current assetsInventories 12,690 11,338 6,580Accounts receivable 29,013 28,797 17,487Cash and cash equivalents 2,117 1,709 7,254
Total current assets 43,820 41,844 31,321
Current liabilities: amounts due within one yearShort-term debt 10,569 12,265 3,988Accounts payable and accrued liabilities 32,383 32,221 18,909Taxes payable 5,927 4,985 4,494
Total current liabilities 48,879 49,471 27,391
Net current assets/(liabilities) (5,059) (7,627) 3,930
Total assets less current liabilities 120,887 103,849 84,659
Long-term liabilities:Long-term debt 9,100 6,817 1,832Other 6,054 6,174 4,515
15,154 12,991 6,347
ProvisionsDeferred taxation 15,185 12,551 7,078Pensions and similar obligations 4,927 5,016 2,331Decommissioning and restoration costs 3,955 3,528 2,615
24,067 21,095 12,024
Group net assets before minority interest 81,666 69,763 66,288Minority interest (3,415) (3,568) (3,466)
Net assets 78,251 66,195 62,822
Shareholders’ equityEquity share capital 587 590 596Preference shares 20 20 20Additional paid in capital 5,372 5,375 5,385Treasury shares (3,428) (2,797) (1,933)Other comprehensive income (78) (6,971) (8,404)Retained earnings 75,778 69,978 67,178
78,251 66,195 62,822
Capital employeda 101,335 88,845 72,108
Financial Statements 7
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 7
Consolidated Statement of Cash Flowsa
IFRS
$ million
2005 2004
Cash flow from operating activities:Income for the period 26,261 19,257Adjustment for:
Current taxation 19,435 13,081Interest (income)/expense 632 803Depreciation, depletion and amortisation 11,981 12,845(Profit)/loss on sale of assets (1,313) (3,087)Decrease/(increase) in net working capital (5,664) (4,062)Share of profit of equity accounted investments (7,123) (5,015)Dividends received from equity accounted investments 6,709 4,190Deferred taxation and other provisions (1,515) (1,007)Other (47) 292
Cash flow from operating activities (pre-tax) 49,356 37,297Taxation paid (19,243) (10,760)
Cash flow from operating activities 30,113 26,537
Cash flow from investing activities:Capital expenditure (15,904) (13,566)Investments in equity accounted investments (705) (1,058)Proceeds from sale of assets 2,310 5,142Proceeds from sale of equity accounted investments 4,313 1,316Proceeds from sale of/Additions to financial assets 362 1,739Interest received 863 463
Cash flow from investing activities (8,761) (5,964)
Cash flow from financing activities:Net increase/(decrease) in debt with maturity period within three months (956) 8Other debt:
New borrowings 2,057 2,044Repayments (2,656) (6,380)
Interest paid (1,124) (962)Change in minority interest 1,143 812Net issue/(repurchase) of shares (4,988) (698)Dividends paid to:
Shareholders of Royal Dutch Shell plc (10,556) (7,391)Minority interest (293) (264)
Payments to former Royal Dutch shareholders (1,651) –Treasury shares: net sales/(purchases) and dividends received 451 (761)
Cash flow from financing activities (18,573) (13,592)
Currency translation differences relating to cash and cash equivalents (250) 113
Increase/(decrease) in cash and cash equivalents 2,529 7,094Cash and cash equivalents at January 1 9,201 2,107
Cash and cash equivalents at December 31 11,730 9,201
a This statement reflects cash flows arising from the activities of Group companies as measured in their own currencies, translated into dollars at quarterly average rates of exchange. Accordingly, cash flows recorded exclude both the currency translation differences which arise as a result of translating the assets and liabilities of non-dollar Group companies to dollars at year-end rates of exchange (except forthose arising on cash and cash equivalents) and non-cash investing and financing activities.
F INANCIAL STATEMENTS
8 Royal Dutch Shell plc
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 8
Consolidated Statement of Cash FlowsUS GAAP
$ million
2003 2002 2001
Cash flow provided by operating activitiesIncome attributable to shareholders of Royal Dutch Shell plc 12,322 9,671 10,321Adjustments to reconcile net income to cash flow provided by operating activities
Depreciation, depletion and amortisation 11,711 8,739 6,295Profit on sale of assets (2,141) (367) (133)Movements in: – – –
inventories (236) (2,079) 1,375accounts receivable 1,834 (5,830) 8,518accounts payable and accrued liabilities (212) 6,989 (7,785)taxes payable (223) (744) (1,457)
Associated companies, dividends more/(less) than net income 511 117 666Deferred taxation and other provisions (621) 423 (207)Long-term liabilities and other (1,328) (1,326) (983)Income applicable to minority interests 366 175 326
Cash flow provided by operating activities 21,983 15,768 16,936
Cash flow used in investing activitiesCapital expenditure (including capitalised leases) (12,252) (12,102) (9,598)Acquisitions (Enterprise Oil, Pennzoil-Quaker State and additional shares in Equilon) – (8,925) –Proceeds from sale of assets 2,286 1,099 1,265New investments in associated companies (983) (1,289) (1,074)Disposals of investments in associated companies 708 501 507Proceeds from sale and other movements in investments 1,988 84 (180)
Cash flow used in investing activities (8,253) (20,632) (9,080)
Cash flow used in financing activitesLong-term debt (including short-term part)
New borrowings 572 5,267 180Repayments (2,740) (5,610) (1,115)
(2,168) (343) (935)Net increase/(decrease) in short-term debt (2,501) 7,075 (794)Change in minority interests (1,363) 421 (206)Repurchase of share capital, including expenses – (1,393) (4,001)Dividends paid to Royal Dutch and Shell Transport shareholders (6,532) (5,522) (5,188)Dividends paid to minority interests (300) (228) (221)
Cash flow used in financing activities (12,864) 10 (11,345)
Net investment in treasury stock and dividends received (633) (864) (773)Currency translation differences relating to cash and cash equivalents 175 173 (290)
Increase/(decrease) in cash and cash equivalents 408 (5,545) (4,552)Cash and cash equivalents at January 1 1,709 7,254 11,806
Cash and cash equivalents at December 31 2,117 1,709 7,254
Financial Statements 9
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 9
Earnings by industry segmentIFRS
$ million $ million
2005 2004
World Worldoutside outside
USA USA Total USA USA Total
Exploration & Production 10,541 3,697 14,238 6,511 3,312 9,823Gas & Power 1,526 47 1,573 2,011 (196) 1,815Oil Products 7,726 2,256 9,982 5,677 1,920 7,597Chemicals 1,239 59 1,298 1,222 125 1,347Other industry segments (202) (145)
Total operating segments 26,889 20,437Corporate (321) (946)Minority interest
Income from continuing operations 26,568 19,491Income from discontinued operations, net of tax (307) (234)Cumulative effect of a change in accounting principle, net of tax – –
Income for the period 26,261 19,257
Minority interest 950 717
Income attributable to shareholders of Royal Dutch Shell plc 25,311 18,540
Quarterly earnings by industry segmentIFRS
$ million $ million
Quarters 2005 Quarters 20041st 2nd 3rd 4th Year 1st 2nd 3rd 4th Year
Exploration & ProductionWorld outside USA 2,010 1,644 4,051 2,836 10,541 1,955 1,168 1,556 1,832 6,511USA 945 1,101 926 725 3,697 752 687 787 1,086 3,312
Gas & PowerWorld outside USA 518 74 469 465 1,526 444 375 345 847 2,011USA (42) (63) 87 65 47 78 (41) 9 (242) (196)
Oil ProductsWorld outside USA 2,306 2,034 2,377 1,009 7,726 1,192 1,319 1,953 1,213 5,677USA 745 630 1,063 (182) 2,256 381 475 605 459 1,920
ChemicalsWorld outside USA 494 221 384 140 1,239 210 289 409 349 1,257USA 169 38 30 (178) 59 (9) 64 140 (70) 125
Other industry segments (8) (8) (76) (110) (202) (16) (8) (39) (82) (145)
Total operating segments 7,137 5,671 9,311 4,770 26,889 4,987 4,328 5,765 5,386 20,437Corporate
Interest income/(expense) (70) (74) 71 51 (22) (174) (196) (143) (223) (707)Currency exchange gains/(losses) (40) (6) 126 (145) (65) (7) (2) 35 42 68Other – including taxation (7) (130) (24) (73) (234) 20 (103) (59) (165) (307)Minority interest
Income from continuing operations 7,020 5,461 9,484 4,603 26,568 4,826 4,028 5,597 5,040 19,491Income from discontinued operations, net of tax (214) – (93) – (307) 20 22 23 (299) (234)Cumulative effect of a change in accounting principle, net of tax – – – – – – – – – –
Income for the period 6,806 5,461 9,391 4,603 26,261 4,846 4,050 5,620 4,741 19,257
Income attributable to minority interest 131 225 359 235 950 145 153 249 170 717
Income attributable to shareholders of Royal Dutch Shell plc 6,675 5,236 9,032 4,368 25,311 4,701 3,897 5,371 4,571 18,540
F INANCIAL STATEMENTS
10 Royal Dutch Shell plc
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 10
US GAAP
$ million $ million $ million
2003 2002 2001
World World Worldoutside outside outside
USA USA Total USA USA Total USA USA Total
5,814 2,776 8,590 4,763 1,878 6,641 5,691 2,191 7,8822,149 121 2,270 837 (90) 747 948 251 1,1992,448 373 2,821 2,198 287 2,485 2,078 (159) 1,919
314 (523) (209) 633 (68) 565 488 (361) 127(267) (110) (287)
13,205 10,328 10,840(810) (669) (196)(353) (175) (360)
12,042 9,484 10,28425 187 37
255 – –
12,322 9,671 10,321
US GAAP
$ million $ million $ million
Quarters 2003 Quarters 2002 Quarters 2001 1st 2nd 3rd 4th Year 1st 2nd 3rd 4th Year 1st 2nd 3rd 4th Year
1,979 1,288 1,244 1,303 5,814 1,168 1,221 1,146 1,228 4,763 1,878 1,470 1,341 1,002 5,691735 649 754 638 2,776 364 502 526 486 1,878 902 633 425 231 2,191
1,472 356 90 231 2,149 256 108 211 262 837 297 304 179 168 94825 90 (26) 32 121 (8) 14 (23) (73) (90) 53 79 112 7 251
1,056 254 730 408 2,448 577 450 686 485 2,198 770 839 495 (26) 2,078227 25 (32) 153 373 173 30 88 (4) 287 (1) 219 54 (431) (159)
196 166 75 (123) 314 95 145 189 204 633 276 81 64 67 488(142) (105) (45) (231) (523) (18) 35 (35) (50) (68) (109) 30 (73) (209) (361)
(40) (27) (160) (40) (267) (41) (89) 42 (22) (110) (54) (60) (71) (102) (287)
5,508 2,696 2,630 2,371 13,205 2,566 2,416 2,830 2,516 10,328 4,012 3,595 2,526 707 10,840
(252) (171) (148) (223) (794) (107) (111) (260) (276) (754) (26) (51) (72) (54) (203)(10) (19) (31) (100) (160) (7) 32 (16) 83 92 13 14 (19) 19 27
9 95 53 (13) 144 (41) (48) 81 1 (7) (57) 58 34 (55) (20)(86) (64) (117) (81) (353) (8) (13) (77) (77) (175) (127) (128) (75) (30) (360)
5,169 2,537 2,387 1,949 12,042 2,403 2,276 2,558 2,247 9,484 3,815 3,488 2,394 587 10,28472 38 34 (119) 25 51 52 51 33 187 (39) 22 28 26 37
255 – – – 255 – – – – – – – – – –
5,496 2,575 2,421 1,830 12,322 2,454 2,328 2,609 2,280 9,671 3,776 3,510 2,422 613 10,321
Financial Statements 11
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 11
Financial ratios
IFRS US GAAP
2005 2004 2003 2002 2001
Return on average capital employedIncome attributable to shareholders of Royal Dutch Shell plc plus interest expense, less tax and minorityinterest (both calculated at the average rate for the Group), as % of the Group share of average capital employed 25.6 20.1 14.4 13.6 15.6
Return on salesIncome attributable to shareholders of Royal Dutch Shell plc plus minority interests as % of revenue plus salestaxes, excise duties and similar levies 7.0 5.8 4.8 4.5 6.5
Return on equityIncome attributable to shareholders of Royal Dutch Shell plc as % of average net assets (i.e. equity attributable to shareholders of Royal Dutch Shell plc and minority interest) 26.7 22.0 16.3 14.2 15.4
Current ratioCurrent assets: current liabilities 1.2 1.1 0.9 0.8 1.1
Long-term debt ratioLong-term debt as % of capital employed less short-term debt 7.2 8.8 10.0 8.9 2.7
Total debt ratioLong-term debt plus short-term debt as % of capital employed 11.7 13.8 19.4 21.5 8.1
GearingTotal debt plus off-balance sheet commitments less net cash, as % of capital employed plus off-balance sheetcommitments less net cash (net cash represents total cash balances less operational cash requirements) 12.0 15.4 27.5 32.7 6.2
Dollar exchange ratesQuarters 2005 Quarters 2004 2003 2002 2001
Average for period 1st 2nd 3rd 4th Year 1st 2nd 3rd 4th Year Year Year Year
Pound sterling 0.5289 0.5389 0.5605 0.5719 0.5504 0.5443 0.5537 0.5499 0.5367 0.5462 0.61 0.66 0.69Euro 0.7625 0.7944 0.8198 0.8409 0.8050 0.8002 0.8301 0.8178 0.7726 0.8052 0.89 1.06 1.12Swiss franc 1.1809 1.2262 1.2736 1.3010 1.2464 1.2551 1.2758 1.2563 1.1845 1.2429 1.35 1.55 1.69Canadian dollar 1.2262 1.2441 1.2028 1.1737 1.2114 1.3183 1.3594 1.3088 1.2207 1.3018 1.40 1.57 1.55Japanese yen 104 108 111 117 110 107 110 110 106 108 116 125 121
End-period
Pound sterling 0.5320 0.5543 0.5685 0.5790 0.5448 0.5539 0.5567 0.5186 0.56 0.62 0.69Euro 0.7716 0.8283 0.8317 0.8437 0.8170 0.8262 0.8115 0.7334 0.79 0.95 1.13Swiss franc 1.1961 1.2828 1.2934 1.3129 1.2740 1.2619 1.2607 1.1318 1.24 1.38 1.68Canadian dollar 1.2140 1.2313 1.1715 1.1623 1.3019 1.3463 1.2715 1.2026 1.29 1.57 1.59Japanese yen 107 110 113 117 104 109 111 103 107 119 131
FINANCIAL STATEMENTS
12 Royal Dutch Shell plc
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 12
Capital investmentIFRS US GAAP
$ million
2005 2004 2003 2002 2001
Capital expenditurea
Exploration & Production Europe 1,820 1,591 1,996 7,342 1,137Other Eastern Hemisphere 6,654 5,420 4,143 2,634 2,860USA 1,225 1,061 1,377 1,766 1,720Other Western Hemisphereb 1,159 627 613 1,322 1,130
10,858 8,699 8,129 13,064 6,847
Gas & Power Europe 101 5 – – –Other Eastern Hemisphere 1,476 1,146 807 229 50USA 4 32 32 9 34Other Western Hemisphere (13) 174 182 233 229
1,568 1,357 1,021 471 313
Oil Products Europe 1,107 1,279 838 2,272 655Other Eastern Hemisphere 717 597 514 480 342USA 449 498 722 4,408 3Other Western Hemisphere 537 387 293 493 462
2,810 2,761 2,367 7,653 1,462
Chemicals Europe 102 185 106 167 97Other Eastern Hemisphere 16 8 7 87 53USA 217 282 331 416 513Other Western Hemisphere 52 54 26 10 22
387 529 470 680 685
Other industry segments 293 220 265 494 291
15,916 13,566 12,252 22,362 9,598
Exploration expense (excluding depreciation and release of currency translation differences)Europe 171 96 189 177 98Other Eastern Hemisphere 194 233 452 363 354USA 261 221 275 249 289Other Western Hemisphere 189 101 143 208 144
815 651 1,059 997 885
Total capital expenditure and exploration expense 16,731 14,217 13,311 23,359 10,483
New equity in equity accounted investmentsEurope 63 36 39 73 162Other Eastern Hemisphere 288 385 81 163 90USA 17 251 393 295 236Other Western Hemisphere 22 9 245 153 216
390 681 758 684 704
New loans to equity accounted investmentsEurope 28 21 27 70 33Other Eastern Hemisphere 299 325 154 390 334USA (22) 20 28 118 –Other Western Hemisphere 10 11 16 27 3
315 377 225 605 370
Other investments – – – – 224
Total capital investment* 17,436 15,275 14,294 24,648 11,781
*comprising Europe 3,620 3,387 3,391 10,384 2,232Other Eastern Hemisphere 9,657 8,129 6,172 4,373 4,319USA 2,204 2,396 3,211 7,461 2,976Other Western Hemisphere 1,955 1,363 1,520 2,430 2,254
17,436 15,275 14,294 24,648 11,781
*comprising Exploration & Production 12,045 9,708 9,337 14,151 8,191Gas & Power 1,602 1,633 1,511 953 963Oil Products 2,844 2,823 2,405 7,968 1,527Chemicals 599 868 599 998 760Other industry segments 346 243 442 578 340
17,436 15,275 14,294 24,648 11,781
a Includes acquisitions in 2002. 2002 also includes $1.3 billion for acquisition of DEA (paid in July 2003).b Includes capital expenditure on the Athabasca Oil Sands Project.
Financial Statements 13
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 13
Fixed assetsa (at December 31)IFRS US GAAP
$ million
2005 2004 2003 2002 2001
Exploration & Production Europe 15,984 20,448 20,978 21,003 7,696Other Eastern Hemisphere 26,136 21,274 18,670 15,328 14,370USA 7,580 7,745 8,064 8,524 8,189Other Western Hemisphere 7,249 6,977 6,727 6,057 3,534
56,949 56,444 54,439 50,912 33,789
Gas & Power Europe 368 232 452 513 406Other Eastern Hemisphere 8,237 6,521 5,290 4,027 3,243USA 2,568 3,046 4,622 1,894 1,830Other Western Hemisphere 736 677 951 838 1,241
11,909 10,476 11,315 7,272 6,720
Oil Products Europe 9,752 11,339 11,171 10,263 6,938Other Eastern Hemisphere 6,448 6,516 7,167 6,567 6,300USA 12,402 12,242 13,164 12,946 4,581Other Western Hemisphere 3,801 3,726 3,653 3,401 3,424
32,403 33,823 35,155 33,177 21,243
Chemicals Europe 2,091 4,332 4,253 3,887 3,472Other Eastern Hemisphere 2,472 2,128 2,276 2,461 2,215USA 3,496 3,626 3,613 3,139 2,687Other Western Hemisphere 441 472 423 353 345
8,500 10,558 10,565 9,840 8,719
Other industry segments Europe 125 157 181 378 209Other Eastern Hemisphere 7 41 32 32 22USA 130 211 430 344 223Other Western Hemisphere – 2 5 171 195
262 411 648 925 649
Total operating segments 110,023 111,712 112,122 102,126 71,120Corporate 2,462 2,624 2,475 2,017 1,893
112,485 114,336 114,597 104,143 73,013
a Comprises intangible assets, property, plant and equipment and investments.
F INANCIAL STATEMENTS
14 Royal Dutch Shell plc
50040 Shell 5 Year_04_16.qxd 25/5/06 1:34 pm Page 14
Depreciation, depletion and amortisationIFRS US GAAP
$ million
2005 2004 2003 2002 2001
Exploration & Production Europe 3,777 3,425 3,781 2,292 1,330Other Eastern Hemisphere 1,915 1,934 1,570 1,787 1,328USA 1,596 1,595 1,644 1,354 1,072Other Western Hemispherea 989 744 792 257 281
8,277 7,698 7,787 5,690 4,011
Gas & Power Europe 2 2 2 6 6Other Eastern Hemisphere 172 120 68 55 56USA 99 663 57 66 43Other Western Hemisphere 17 118 1 1 1
290 903 128 128 106
Oil Products Europe 1,065 1,588 1,064 961 780Other Eastern Hemisphere 576 628 556 538 505USA 625 686 826 558 5Other Western Hemisphere 356 455 417 349 327
2,622 3,357 2,863 2,406 1,617
Chemicals Europe 220 212 176 140 123Other Eastern Hemisphere 63 63 59 59 58USA 278 391 416 179 200Other Western Hemisphere 39 29 27 23 23
600 695 678 401 404
Other industry segments Europe 54 18 141 33 28Other Eastern Hemisphere – 3 3 4 4USA 27 18 23 34 57Other Western Hemisphere – 9 1 21 50
81 48 168 92 139
Total operating segments 11,870 12,701 11,624 8,717 6,277Corporate 111 144 87 22 18
11,981 12,845 11,711 8,739 6,295
a Includes depreciation, depletion and amortisation on the Athabasca Oil Sands Project.
Financial Statements 15
50040 Shell 5 Year_04_16.qxd 25/5/06 1:35 pm Page 15
Capital employed (at December 31)IFRS US GAAP
$ million
2005 2004 2003 2002 2001
Exploration & Production World outside USA 37,272 34,840 33,131 28,615 17,918USA 5,364 5,438 5,761 6,492 6,293
42,636 40,278 38,892 35,107 24,211
Gas & Power World outside USA 9,848 8,302 7,115 5,482 5,135USA 4,350 3,639 5,051 2,168 2,275
14,198 11,941 12,166 7,650 7,410
Oil Products World outside USA 23,962 23,174 24,211 20,782 18,108USA 10,300 10,463 11,084 11,274 3,966
34,262 33,637 35,295 32,056 22,074
Chemicals World outside USA 5,445 7,738 7,484 7,098 6,109USA 3,077 3,187 2,946 2,408 2,470
8,522 10,925 10,430 9,506 8,579
Other industry segments 171 489 864 1,611 1,815
Total operating segments 99,789 97,270 97,647 85,930 64,089Corporate 11,051 8,705 3,688 2,915 8,019
110,840 105,975 101,335 88,845 72,108
TaxationIFRS US GAAP
$ million
2005 2004 2003 2002 2001
Exploration & Production 14,794 9,649 7,280 5,945 6,905Other industry segments 3,205 2,519 609 720 307Charge for equity accounted investments 1,463 990 1,087
Totala 17,999 12,168 9,352 7,655 8,299
%
As percentage of income before taxation 40 38 43 44 44
a The charge for Group companies (excluding equity accounted investments) comprises:current taxation 19,435 13,081 8,200 6,658 7,617deferred taxation (1,436) (913) (311) 7 (405)
17,999 12,168 7,889 6,665 7,212
F INANCIAL STATEMENTS
16 Royal Dutch Shell plc
50040 Shell 5 Year_04_16.qxd 25/5/06 1:35 pm Page 16
Employees by segment (average numbers)IFRS US GAAP
thousands
2005 2004 2003a 2002 2001
Exploration & Production 18 16 17 17 14Gas & Power 2 2 2 2 2Oil Products 71 78 82 75 58Chemicals 8 8 9 9 9Other industry segments and Corporate 10 9 9 8 7
109 113 119 111 90
Employees by geographical area (average numbers)IFRS US GAAP
thousands
2005 2004 2003a 2002 2001
EuropeThe Netherlands 10 10 11 11 10UK 7 8 8 9 10Others 22 25 27 26 18
39 43 46 46 38Other Eastern Hemisphere 33 30 28 27 24USA 24 26 30 23 12Other Western Hemisphere 13 14 15 15 16
109 113 119 111 90
Employee emolumentsIFRS US GAAP
$ million
2005 2004 2003a 2002 2001
Remuneration 8,286 8,037 7,477 6,096 4,651Social law taxes 681 691 660 518 395Retirement benefits 768 782 538 (201) (580)Share-based compensation 376 285 – – –
10,111 9,795 8,675 6,413 4,466
a In connection with the adoption of IFRS as of January 1, 2004, an entity in Europe that had previously been accounted for as a Group company on a proportionate basis, has instead been accounted foras equity accounted investment. As a result of this change, information as of December 31, 2003 shown for Group companies is, as of January 1, 2004, shown as part of the Group share of equityaccounted investments.
Employee data 17
EMPLOYEE DATA
50040 Shell 5 Year_17.qxd 25/5/06 1:19 pm Page 17
18 Royal Dutch Shell plc
IFRS
$ million
2005 2004
Revenue (including inter-segment sales) 45,674 37,295
Purchases (including change in inventories) (1,673) (2,669)
Exploration (1,286) (1,809)
Depreciation (8,152) (7,015)
Operating expenses (9,295) (8,467)
Share of profit of equity accounted investments 4,112 2,463
Other income/(expense) (272) (95)
Taxation (14,870) (9,880)
Segment earnings 14,238 9,823
Capital investment 12,046 9,708
Capital employed 42,636 40,278
thousand barrels of oil equivalent/day
Hydrocarbon production 3,518 3,772
$/barrel of oil equivalent
Average production cost 5.54 4.02
average numbers in thousands
Employees 18 16
US GAAP
$ million
2003 2002 2001
Revenue (including inter-segment sales) 32,468 26,320 25,601
Purchases (including change in inventories) (1,535) (1,050) (1,265)
Exploration (1,475) (1,052) (910)
Depreciation (7,316) (5,556) (3,969)
Operating expenses (7,174) (6,686) (5,474)
Share of profit of equity accounted investments 1,857 1,316 1,548
Other income/(expense) 72 73 48
Taxation (8,307) (6,724) (7,697)
Segment earnings from continuing operations 8,590 6,641 7,882
Income from discontinued operations, net of tax 78 85 29
Cumulative effect of a change in accounting principle 255 – –
Segment earnings 8,923 6,726 7,911
Capital investment 9,337 14,151 8,191
Capital employed 38,892 35,107 24,211
thousand barrels of oil equivalent/day
Hydrocarbon production 3,905 3,960 3,746
$/barrel of oil equivalent
Average production cost 3.19 2.83 2.41
average numbers in thousands
Employees 17 17 14
EXPLORATION & PRODUCTION
> Exploration & Production explores forand extracts oil and gas and buildsand operates the infrastructurenecessary to deliver thesehydrocarbons to market.
> Oil and gas production in 2005averaged 3.5 million boe per day.
> We expect production to grow andreach between 3.8 and 4.0 millionboe per day by 2009.
> The Group’s longer-term productionaspiration is some 4.5-5.0 millionboe per day by 2014.
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 18
Exploration & Production 19
Location of activitiesa b c (at December 31, 2005)Development
and/or ShellExploration production Operatord
Europe
Austria • •
Denmark • •
Germany • •
Ireland • • •
Italy • •
The Netherlands • • •
Norway • • •
UK • • •
Africa
Algeria • •
Angola •
Cameroon • • •
Gabon • • •
Libya • •
Morocco • •
Nigeria • • •
Asia Pacific
Australia • •
Brunei • • •
China • •
Malaysia • • •
New Zealand • •
Pakistan • • •
Philippines • • •
Developmentand/or Shell
Exploration production Operatord
Middle East, Russia, CIS
UAE (Abu Dhabi) • •
Azerbaijan •
Egypt • • •
Iran • •
Kazakhstan • • •
Oman • • •
Qatar • •
Russia • • •
Saudi Arabia • •
Syria • •
USA
USA • • •
Other Western Hemisphere
Argentina •
Brazil • • •
Canada • • •
Venezuela • •
a Including equity accounted investments.b Where an equity accounted investment has properties outside
its base country, those properties are not shown in this table.c This table shows different geographical categories compared
to the map above reflecting organisational structure.d In several countries where “Shell Operator” is indicated, a
Group company is operator of some but not all explorationand/or production ventures.
Canada
USA
Latin AmericaArgentinaBrazilVenezuela
EuropeAustriaDenmarkGermanyItalyThe NetherlandsNorwayRepublic of IrelandUK
AfricaAlgeriaAngolaCameroonEgyptGabonLibyaMoroccoNigeria
Middle EastIranOmanQatarSaudi ArabiaSyriaUnited Arab Emirates
Commonwealth ofIndependent StatesAzerbaijanKazakhstanRussiaUkraine
Asia PacificAustraliaBruneiChinaMalaysiaNew ZealandPakistanPhilippines
Countries in which Exploration & Production operate
The maps on pages 20 to 30 are to provide an impression only of the spread of our operations as at the end of 2005. They should not be taken as anaccurate representation of activity.
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 19
20 Royal Dutch Shell plc
PAC I F IC OCEAN
GULF OF MEX ICO
MACKENZ I EBAY
KUGMAL L I TBAY
Inuvik
Halifax
Limestone
Coalinga
San Ardo
Ventura
Midway Sunset
BetaHuntington Beach
Offshore Santa Maria Basin
Cymric & Mckittrick
Belridge
Peace River
Athabasca Oil Sands
Caroline
Panther River
Waterton
Ram/Clearwater
Burnt Timber
Jumping Pound
Moose Mountain/Whiskey Creek
Habanero
Serrano
E Anstey – (Nakika)
OreganoCrosby
Ariel – (Nakika)
Ram Powell
EuropaAugerGlider
Kepler – (Nakika)
MensaHolstein
Great White
Boomvang
Brutus
Tahiti
Stones (Walker Ridge 508)
Princess
Deimos
Mars
Coulomb (Nakika)
HoustonNew Orleans
Morgan City
Grande Prairie
Ft. St. John
Edmonton Gillette
Rock Springs
Cody
Calgary
ALBERTA
MONTANA
COLORADO
MEX ICO
TEXAS
LOU IS IANA MISS I SS I P P IA LABAMA
F LOR IDA
WYOMINGPinedale
Los Angeles
CAL I FORN IA
Bigh
orn
SAB LE I S LAND
NOVA SCOT IA
A
D
B C
E
F
3002000 100 3002000 100
3002000 100
1501000 50
2501000 50 150 200 500 25 50 75
E
B
A
C F
D
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
1 USA (CALIFORNIA, WYOMING AND GULF OF MEXICO) AND CANADA (ALBERTA, MACKENZIE BAY AND NOVA SCOTIA)
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 20
Exploration & Production 21
2 BRAZIL, ARGENTINA AND VENEZUELA
A
B
Merluza Condensate
Cerro Tuyunti
San Pedrito
Macueta
BC-10 A-West
Chimarrao
Salema
Bijupira
UrdanetaWest
Maceio
Brasilia
São Paulo
Rio de Janeiro
CARACASMARACAIBO
PERU
PARAGUAY
COLOMB IA
CH I L E
BRAZ I L
BOL IV IA
ARGENT INA
ARUBA
COLOMB IA
NETHER LANDS ANT I L L ES
VENEZUE LA
B1,0000 250 500 750
2000 50 100 150
A
BShell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 21
22 Royal Dutch Shell plc
3 NORTH SEA AND IRELAND
SEA OF THE HEBR IDES
CE LT IC SEA
BarnacleMiller
Bressay
22/19a-1 (Fiddich)
Sean
Egret
Buckland
Strathspey
Merlin
Teal South
Kestrel
Curlew B – D
Brigantine A-C
Hudson
30/6-3 (Stella)
Ness
Skene
Nevis
Pelican
Gannet
Skua
Kingfisher
13/21a – 6 (West Wick)
30/3a-1 (Blane)
Cook
Lucy
Howe
Leman
Beryl
Penguin Cluster (A-E)
Goldeneye
Nelson
Clair
Hod
JotunTrym
6405_07 Ellida
Idun
DraugenSkarv & Skarv Tilje
Valhall
Ormen Lange
Troll
CoevordenSchoonebeek
Norg
GrijpskerkWarffum
Nes
Goldenstedt-Oythe K & Visbek ZKloster-/Kirchseelte/Ortholz
Wisselshorst
Soehlingen
Boetersen Pool
GroningenG14A&B
Alma
Freja
Harald East & West
Middelie
RoarTyra & South East
Gom
DanKraka
Halfdan & North East
Nor 6406/9-Onyx SW
ValemonKvitebjorn
Statfjord Øst
Statfjord Nord
Tern
Cormorant South
Otter
Eider
Maclure
Guillemot ABittern
22/13a-1 (Bardolino)
Marnock
Madoes
Starling
PuffinMerganser
ScoterShearwater
Pierce23/16b-1(Phyllis)
Mirren
Svend
Valdemar
K17AQ16A
K18-7 (Golf)K14B
Corvette
ClipperSouth
Ensign
Skiff
Barque
Galleon
Soltau/Friedrichseck
Idsingen/Walsrode
Hemmelte/Kneheim/VahrenHengstlage T
Gjoea
DooishCorrib
Fulmar
Osprey
Brent
L12
J03C
K08A&C
L02B
K01A
K15
L13L09D&F
Dagmar
F03-FB
Elly
Statfjord
Sygna
Dunlin
30/2A-E(Victorious)
Auk
Rolf
Carrack
Cutter
Skjold
K07A-E
L05A
RotterdamBotlek
WaterfordCork
Galway
Limerick
Bergen
Esbjerg
Hamburg
The hagueRotterdam
Amsterdam
Aberdeen
Trondheim
BellanaboyBridge
Karstø
Kollsnes
StureMongstad
Nybro
Den Helder
Zeebrugge
Dunkirk
Shandwick
Point of Ayr
Bacton
Hamble
Dimlington
FawleyRefinery
Theddlethorpe
GrangemouthRefinery
Hound Point
Mossmoran
Nigg
Flotta
Barrow-in-Furness
Sullom Voe
Cruden BaySt. Fergus
Teesside
TjeidbergoddenNyhamna
Lowestoft
NORWAY
DENMARK
GERMANY
NETHER LANDS
BE LG IUM
UNI TEDK INGDOM
IRE LAND
5000 100 200 300 400
2501250
B
BA
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
A
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 22
Exploration & Production 23
4 ITALY, GABON, ANGOLA, NIGERIA AND CAMEROON
Igoumou Marin
Bende-M’Bassou
Gamba-Ivinga
Totou
Ighengue Marin
Avocette
KoulaDamier
Coucal
M’Boukou
Toucan
Rabi
Atora
Cerro Falcone
Monte Alpi
Tempa Rossa
Block 34
OzigoAwoun
Rome
Palermo
Napels
Warri
Mayumba
Pointe Noire
Gamba Terminal (SBM)
Lambarene
Libreville
Port Gentil
B IGHT OF B IAFRA
BA IA DO BENGO
B IGHT OF BEN IN
250
245
219
286
238
BoliaDoro
Etan
28472
N IGER IA
CAMEROON
EQUATOR IA L GU INEA
Lagos
Douala
Malabo
Port Harcourt
Forcados (SBM 2)
Bonny Export
Escravos (SBM 3)
EQUATOR IA L GU INEA
SAO TOME ANDPR INC I PE
GABON
CONGO
AT LANT IC OCEAN
BA IA DO BENGO
ANGOLA
ZA I RE
Calabar
Erha MainForcados-Yokri
Erha North
Odidi
Oben
Utorogu
Ubie
Gbaran
Nun River
Soku
Kalaekule Rio del Rey Lokele
Nembe Creek
Bosi
Abo NorthAbo Main
209318
125
Bonga
OberanBobo
Bonga SW
EA
211
211
212
79
322
4002000
2000 100
5002500
SARD IN IA
S IC I LY
TYRRHEN IAN SEA
ION IAN SEA
ADR IAT ICSEA
I TA LY
SANMAR INO
CORS ICA(FRANCE )
CROAT IABOSN IA– HERZEGOV INA
MONACO
Brass (SBM)
A
CB
C
BA
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 23
24 Royal Dutch Shell plc
5 ALGERIA AND LIBYA
Araew
Es Sider (SBM)Zueitina (SPM & CBM)
NC212 NC215
RegganeDjebel Hirane
Zerafa
Salemi
NC213
NC214NC211A
NC211C
AlgiersSkikda(Philippeville)
TripoliMellitah
L I BYA
EGYPT
L I BYA
ALGER IA
TUN IS IA
TUN IS IA
MALTA
ALGER IA
MOROCCO
PORTUGAL
G IBRA LTAR
SPA IN
WESTERNSAHARA
I TA LY
5002000 100 300 400
5002000 100 300 400
A
B
A B
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 24
Exploration & Production 25
6 CHINA AND PAKISTAN
Beijing
Yinchuan
Tientsin
Xi’an
Shanghai
Hong Kong
Islamabad
Multan
HyderabadKarachi
Quetta TA IWAN
CH INA
MONGOL IA
MACAU
AFGHANISTAN
IND IA
PAK I S TAN
IRAN
A
B
1,0002500 500 7505001000 200 300 400
AB
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
Changbei
Xijiang 30-2Xijiang 24-1&3
BadhraBhit
Offshore Indus E 2365-1 EL
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 25
26 Royal Dutch Shell plc
7 BRUNEI, PHILIPPINES AND MALAYSIA
Miri
Seria
Labuan
Bintulu
Seria NF
Bakau
FairleyFairley
GannetGannet
TukauTukau
Selasih
F29
Bijan
G7
M4
BettyBetty
E1
Barton
Serai
Saderi Bongawan North
Cili Padi
D12
PisaganPisaganB12
South Furious
Nosong
LailaLaila
BaroniaBaronia
M1
E6
Saint Joseph
MalikaiMalikai
Kinabalu
Baram
B11
F14
F23
UbahUbah
F28
Jintan
F13E
GumusutGumusut
F6
E8
Enggang
Malampaya Gas
SC 38
MagpieMagpieMampakMampak
SelangkirSelangkir
Maharaja LelaMaharaja Lela
Iron Duke
Champion West
Bugan
ND 7ND 6
RasauSouth West Ampa
West Lutong
BokorBokor
PM-301
PM-302Bumi South
Bunga Kesumba
Bunga Zetung
Bunga Anggerik
Bunga Kamelia
Bandar Seri Begawan
Kota belud
Bintulu
Tumpat
Kuala terengganu
IpohDungun
Kertih
PH I L I P P INESMALAYS IA
INDONES IA
PH I L I P P INES
BRUNE I
V I E TNAM
THA I LAND
MALAYS IA
250500 100 150 200
5000 125 250 375 2500 50 100 150 200
A
B
C
A
B C
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 26
Exploration & Production 27
8 NEW ZEALAND AND AUSTRALIA (NORTH WEST SHELF)
Gaea
Searipple
North Rankin
Hermes
Lambert
Angel
Cossack
Wanaea
Wilcox
Iago
Goodwyn South
Tidepole
Keast
Echo/Yodel
Dockrell
Dixon
Geryon
Jansz
Maenad
Orthrus
Chrysaor/Dionysus
West Tryal Rocks
Gorgon
BA
Evans Shoal
Brecknock
Scott Reef 1
Brecknock South
Greater Sunrise
AUSTRA L IA
INDONES IA
Broome
Dampier
5001000 200 300 400
1250
PEP38481
PEP38459PEP
38482
PML381012
PML 38839NEW ZEALAND
Pohokura
Maui
Kapuni
New Plymouth
B
A
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 27
28 Royal Dutch Shell plc
9 IRAN, UNITED ARAB EMIRATES, OMAN AND SAUDI ARABIA
Ruwais
Mina Al Fahal
Qalhat
Umm Al Nar
Muscat
Sur
Abu dhabi
Suhar
YEMEN
SAUD I ARAB IA
QATAR
OMAN
IRANBAHRA IN
UN I TED ARAB EM IRATES
BAHRA IN
OMAN
UNI TED ARAB EM IRATES
QATAR
I RANKUWAI T
SAUD I ARAB IA
B
Soroosh
Nowrooz
QatarGas 3/4
South Pars
Pearl
Daina IslandDas Island
Bu Tini Island
RumaithaAl Dabbiya
Adco South
Block 9 Block 8
Block 7
Block 5Block 6
Nafoorah
Mukhalzna
Qata
Marmul
Amal
Runib
Irad
Warad
Al Burj
Ghaba North
Qarn Alam
Wafra
Rima
Burhaan
Birba
Karim West
Nimr
Zauliyah
Barik
Musallim
Al Noor
Thuleilat
Saih Rawl
Sakhiya
Yibal
Natih
Fahud
Huwaila
Kidan South – Arab
Rumaitha
Al Dabb’iya
Sahil
Shah
Asab
Bab
Bu Hasa
Kidan North – Arab
Simsim
Qaharir
Zalzala
Amin
Lekhwair
Al Huwaisah
Sakhiya-6
Mamour-1ST
Budour NE-A
Ufuq-A
Dafiq-A
4002000 100 300
4002000 100 300
A
BA
Shell oil projects Shell gas projects Shell oil & gas projects Shell oil pipeline Shell gas pipeline Industry pipeline
0
Wells – 2005 discoveries Terminal Shell interest (land) Shell interest (sea) All scales measured in km
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 28
Exploration & Production 29
10 EGYPT AND SYRIA
MED I TERRANEAN SEA
Suez
Port said
Tanta
AlexandriaMatruh
Cairo
El faiyum
Asyut
L I BYA
I SRAE L
GAZA S TR I P
EGYPT
SYR IA
I RAQ
Yimken
Tanak North
Ghawari
Azraq
Mqaat
Sarhit
Shdeha
Maleh
Galban
Saban
Rasein
Jarnof
Sijan
ShahelEl Isbah
Tayyani EastTanak
Omar
Al Ishara East
Jido
Al Kharrata
Al Ward North
An Nishan
Al Ahmar
Ash Shola
Thayyem
Omar North East
Omar North
Jazieh
Abou Hardan
West SitraSitra
NEAG
NW Damietta
NE Med. Sea Deep Water-W
NE Abu El
Gharadiq S-A
NE Abu El
Gharadiq N
Obaiyed
Badr El Din
BED 17-2
BED 16-3
Ras ShukheirTerminal (SBM 1)
NE Med. SeaDeep Water-E
5002500
100500
C
D
D
C
Shell oil projectsShell gas projectsShell oil & gas projectsShell oil pipelineShell gas pipelineIndustry pipeline
0
Wells – 2005 discoveriesTerminalShell interest (land)Shell interest (sea)All scales measured in km
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 29
30 Royal Dutch Shell plc
VadelypUpper & West Salym
Kashagan SW
Kashagan
Kalamkas More
Pearls
KairanAktote
Arman
Inam
MertviyKultuk
Piltun-Astokhskoye– Sakhalin II
Lunskiy – Sakhalin II
Piltun
Lunskoye
Prigorodnoye(Oil & LNG) SPM
KAZAKHSTAN
RUSSIA
UZBEKISTAN KYRGYZSTAN
TAJIKISTANTURKMENISTAN
GEORGIA
ARMENIA AZERBAIJAN
TURKEY
IRAN
CHINA
SAKHALIN
Moscow
Urengoy
PechoraUkhta
Arkhanglsk
KhantyMansiysk
Nefteugansk
Almaty
Baku
Okha
B
A
A B
Shell oil projects Shell gas projects Shell oil & gas projects Shell oil pipeline Shell gas pipeline Industry pipeline
0
Wells – 2005 discoveries Terminal Shell interest (land) Shell interest (sea) All scales measured in km
1,0007500 500250
1250
11 COMMONWEALTH OF INDEPENDENT STATES PROJECTS
50040 Shell 5 Year_18-33.qxd 26/5/06 11:05 am Page 30
Exploration & Production 31
THIS PAGE INTENTIONALLY LEFT BLANK
50040 Shell 5 Year_18-33.qxd 25/5/06 1:53 pm Page 31
Oil and gas acreagea b c d (at December 31)thousand acres thousand acres
2005 2004Developed Undeveloped Developed Undeveloped
Gross Net Gross Net Gross Net Gross Net
Europe 9,852 3,110 14,507 4,415 8,449 3,200 14,024 4,904Africae 7,175 2,382 27,206 14,806 6,597 2,058 15,584 8,398Asia Pacificf 7,777 3,589 129,149 36,279 7,094 3,283 106,326 29,388Middle East, Russia, CISg 32,064 10,284 64,956 29,995 34,753 11,152 63,469 29,882USA 1,250 563 4,359 3,069 961 531 3,998 2,864Americas, Other 872 551 30,097 20,314 855 529 27,236 20,421
58,990 20,479 270,274 108,878 58,709 20,753 230,637 95,857
Number of productive wellsa b (at December 31)
2005 2004Oil Gas Oil Gas
Gross Net Gross Net Gross Net Gross Net
Europe 1,762 491 1,355 448 1,786 478 1,445 491Africae 1,234 413 36 12 1,215 396 36 12Asia Pacificf 1,080 483 304 121 1,191 551 237 90Middle East, Russia, CISg 4,128 1,279 38 38 3,795 1,198 40 38USA 16,159 8,270 873 636 16,131 8,163 719 520Americas, Other 122 117 351 284 117 112 329 270
24,485 11,053 2,957 1,539 24,235 10,898 2,806 1,421
Number of net productive wells and dry holes drilleda
2005 2004 2003 2002 2001
Productive Dry Productive Dry Productive Dry Productive Dry Productive Dry
ExploratoryEurope 5 3 6 2 6 3 9 4 6 4Africae 9 1 3 1 5 – 6 4 7 1Asia Pacificf 6 3 5 5 5 7 3 3 8 12Middle East, Russia, CISg 5 3 7 2 7 4 5 4 6 4USA 9 3 2 3 10 – 10 4 2 4Americas, Other 3 4 1 2 2 5 2 2 3 3
37 17 24 15 35 19 35 21 32 28
DevelopmentEurope 25 – 27 – 19 1 47 – 38 –Africae 13 – 11 – 20 1 39 – 14 –Asia Pacificf 21 1 22 1 41 2 42 1 56 2Middle East, Russia, CISg 173 4 150 6 149 4 83 12 90 8USA 446 – 504 1 465 – 559 1 549 2Americas, Other 26 – 10 1 8 – 31 – 25 –
704 5 724 9 702 8 801 14 772 12
a Including equity accounted investments.b The term “gross” relates to the total activity in which Group and equity accounted investments have an interest and the term “net” relates to the fractional interests owned by Group companies plus the Group
share of equity accounted investments’ fractional interests.c One thousand acres equals approximately four square kilometres.d Excludes oil sands.e Excludes Egypt.f Excludes Sakhalin.g Middle East and former Soviet Union (Commonwealth of Independent States), which includes Caspian region, Egypt and Sakhalin.
OIL AND GAS – EXPLORATION & PRODUCTION OPERATIONS
32 Royal Dutch Shell plc
50040 Shell 5 Year_18-33.qxd 25/5/06 1:53 pm Page 32
thousand acres thousand acres thousand acres
2003 2002 2001Developed Undeveloped Developed Undeveloped Developed Undeveloped
Gross Net Gross Net Gross Net Gross Net Gross Net Gross Net
10,172 3,204 15,977 5,307 10,417 3,259 19,752 6,930 9,570 3,031 12,616 4,5816,956 2,193 18,595 10,253 6,289 1,886 25,394 15,516 6,489 1,984 20,804 11,6583,793 1,638 113,978 33,357 3,963 1,864 118,471 40,446 3,762 1,816 115,294 41,691
34,729 11,062 65,106 30,079 35,448 11,435 18,544 12,771 34,509 11,021 22,921 15,3791,512 694 4,040 2,802 1,557 754 4,670 3,183 1,599 702 3,931 2,609
853 529 28,094 19,835 832 509 33,338 22,840 767 492 35,709 22,001
58,015 19,320 245,790 101,633 58,506 19,707 220,169 101,686 56,696 19,046 211,275 97,919
2003 2002 2001Oil Gas Oil Gas Oil Gas
Gross Net Gross Net Gross Net Gross Net Gross Net Gross Net
1,799 468 1,432 485 2,002 533 1,454 458 1,618 429 1,299 4271,380 414 43 14 1,399 446 42 13 1,614 550 45 151,313 726 247 99 1,317 726 205 95 1,242 588 199 913,673 1,145 203 129 3,456 1,085 179 115 3,210 1,031 131 91
15,891 7,998 697 486 15,686 8,294 945 686 16,717 8,511 956 658116 111 322 265 112 110 314 259 86 86 298 251
24,172 10,862 2,944 1,478 23,972 11,194 3,139 1,626 24,487 11,195 2,928 1,533
OIL AND GAS – EXPLORATION & PRODUCTION OPERATIONS
Exploration & Production 33
50040 Shell 5 Year_18-33.qxd 25/5/06 1:53 pm Page 33
OIL AND GAS RESERVES
34 Royal Dutch Shell plc
Crude oil and natural gas liquidsGroup companies’ estimated net proved reserves of crude oil and natural gas liquids at the end of the year, their share of the net proved reserves of equityaccounted investments at the end of the year, and the changes in such reserves during the year are set out below.
Proved developed and undeveloped reservesIFRS
million barrels 2005
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 953 1,145 245 798 458 146 3,745Revisions and reclassifications 82 (206) (27) 37 23 28 (63)Improved recovery 2 1 – 3 – – 6Extensions and discoveries 22 78 – 256 20 – 376Purchases of minerals in place 3 – – 10 1 – 14Sales of minerals in place (10) – (3) – – – (13)Production (195) (136) (42) (111) (86) (29) (599)Transfers to equity accounted investments – – – – – – –
At December 31 857 882 173 993 416 145 3,466
Group share of equity accounted investmentsAt January 1 18 – 276 457 392 – 1,143Revisions and reclassifications (2) – 8 84 65 – 155Improved recovery – – – – – – –Extensions and discoveries – – – – 4 – 4Purchases of minerals in place – – – – – – –Sales of minerals in place – – (2) – – – (2)Production (2) – (41) (51) (36) – (130)Transfers to equity accounted investments – – – – – – –
At December 31 14 – 241 490 425 – 1,170
Minority interests’ share of Group companies
At December 31 – 18 – 121 – 18 157
Proved developed reservesIFRS
million barrels 2005
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 740 617 134 475 242 115 2,323At December 31
e639 532 93 437 230 86 2,017
Group share of equity accounted investmentsAt January 1 15 – 187 360 349 – 911At December 31
e12 – 163 360 346 – 881
Oil sandsa
IFRS
million barrels 2005
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 – – – – – 615 615Revisions and reclassifications – – – – – 166 166Extensions and discoveries – – – – – – –Production – – – – – (35) (35)
At December 31 – – – – – 746 746
Minority interests’ share of oil sands
At December 31 – – – – – 164 164
a Petroleum reserves from operations that do not qualify as oil and gas producing activities, such as our Athabasca Oil Sands Project, are not included in oil and gas reserves. The petroleum reserves for theAthabasca Oil Sands Project are presented in this booklet net of royalty volumes.
b Excludes Egypt. c Excludes Sakhalin. d Middle East and former Soviet Union (Commonwealth of Independent States), which includes Caspian region, Egypt and Sakhalin.e After accounting for a transfer of developed reserves from Group to equity accounted investments of 360 million barrels at the end of 2004.
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 34
Oil and gas reserves 35
IFRS
million barrels 2004
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
1,179 1,379 303 1,202 547 379 4,989(26) (46) 13 80 (2) (197) (178)
6 2 – 4 – – 125 13 10 68 12 2 110– – – – – – –
(2) (57) (35) – – – (94)(209) (146) (46) (172) (99) (38) (710)
– – – (384) – – (384)
953 1,145 245 798 458 146 3,745
21 – 304 86 413 – 824– – (22) (13) 18 – (17)– – 38 – – – 38– – – – – – –– – – – – – –– – (1) – – – (1)
(3) – (43) – (39) – (85)– – – 384 – – 384
18 – 276 457 392 – 1,143
– 23 1 109 – 14 147
IFRS
million barrels 2004
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
945 777 184 864 291 191 3,252740 617 134 475 242 115 2,323
17 – 224 1 364 – 60615 – 187 360 349 – 911
IFRS
million barrels 2004
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
– – – – – 572 572– – – – – 72 72– – – – – – –– – – – – (29) (29)
– – – – – 615 615
– – – – – 135 135
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 35
OIL AND GAS RESERVES
36 Royal Dutch Shell plc
Crude oil and natural gas liquids continuedProved developed and undeveloped reserves
US GAAP
million barrels 2003e
Eastern Hemisphere Western Hemisphere
Asia Middle EastEuropee Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 1,377 1,449 323 1,446 717 470 5,782Revisions and reclassifications 88 (102) 21 (204) (54) (57) (308)Improved recovery 5 (6) 16 10 8 1 34Extensions and discoveries 12 171 – 128 9 2 322Purchases of minerals in place 1 – – 3 – – 4Sales of minerals in place (39) – – – (23) – (62)Production (245) (133) (57) (181) (110) (37) (763)Transfers to equity accounted investments – – – – – – –
At December 31 1,199 1,379 303 1,202 547 379 5,009
Group share of equity accounted investmentsAt January 1 2 – 325 118 413 – 858Revisions and reclassifications – – 1 – 41 – 42Improved recovery – – 13 – – – 13Extensions and discoveries – – 11 86 – – 97Purchases of minerals in place – – – – – – –Sales of minerals in place – – – (117) – – (117)Production – – (46) (1) (41) – (88)Transfers from Group companies – – – – – – –
At December 31 2 – 304 86 413 – 805
Minority interests’ share of proved reserves of Group companiesAt December 31 – 24 1 137 – 54 216
Proved developed reservesUS GAAP
million barrels 2003e
Eastern Hemisphere Western Hemisphere
Asia Middle EastEuropee Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 1,063 674 194 1,023 371 191 3,516At December 31 962 777 184 864 291 191 3,269
Group share of equity accounted investmentsAt January 1 1 – 206 15 365 – 587At December 31 1 – 224 1 364 – 590
Oil sandsa
US GAAP
million barrels 2003e
Eastern Hemisphere Western Hemisphere
Asia Middle EastEuropee Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 – – – – – 517 517Revisions and reclassifications – – – – – 10 10Extensions and discoveries – – – – – 60 60Production – – – – – (15) (15)
At December 31 – – – – – 572 572
Minority interests’ share of oil sandsAt December 31 – – – – – 126 126
a Petroleum reserves from operations that do not qualify as oil and gas producing activities, such as our Athabasca Oil Sands Project, are not included in oil and gas reserves and are not considered in thestandardised measure of discounted future cash flows for oil and gas reserves. The petroleum reserves for the Athabasca Oil Sands Project are presented in this booklet net of royalty volumes.
b Excludes Egypt. c Excludes Sakhalin. d Middle East and former Soviet Union (Commonwealth of Independent States), which includes Caspian region, Egypt and Sakhalin.e In connection with the adoption of IFRS as of January 1, 2004, an entity in Europe that had previously been accounted for as a Group company on a proportionate basis, has been instead accounted for as
an equity accounted investment. As a result of this change, some 20 million barrels of proved reserves that as of December 31, 2003 are shown for Group companies are, as of January 1, 2004, shownas part of the Group share of equity accounted investments.
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 36
Oil and gas reserves 37
US GAAP
million barrels 2002 million barrels 2001
Eastern Hemisphere Western Hemisphere Eastern Hemisphere Western Hemisphere
Asia Middle East Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total Europe Africab Pacificc Russia,CISd USA Other Total
1,013 1,308 426 1,677 672 504 5,600 1,122 1,321 433 1,569 609 509 5,56399 89 (27) (26) 77 (42) 170 34 16 (23) 288 30 43 38813 – 6 47 51 – 117 39 2 11 (4) – – 48
– 173 6 – 33 – 212 17 89 6 – 139 1 252507 – – – 7 41 555 – – 69 – 3 – 72
(1) (19) (19) (62) (3) – (104) – – – – (1) (14) (15)(254) (102) (69) (190) (120) (33) (768) (199) (120) (70) (176) (108) (35) (708)
– – – – – – – – – – – – – –
1,377 1,449 323 1,446 717 470 5,782 1,013 1,308 426 1,677 672 504 5,600
1 – 307 – 356 – 664 1 – 300 100 441 – 8421 – 55 – 65 – 121 – – 40 (92) (35) – (87)– – 4 – – – 4 – – 12 – 1 – 13– – 9 – 33 – 42 – – 4 – – – 4– – – 121 – – 121 – – – – – – –– – – (1) – – (1) – – – – (9) – (9)– – (50) (2) (41) – (93) – – (49) (8) (42) – (99)– – – – – – – – – – – – – –
2 – 325 118 413 – 858 1 – 307 – 356 – 664
– 23 1 126 – 61 211 – 22 1 116 – 66 205
US GAAP
million barrels 2002 million barrels 2001
Eastern Hemisphere Western Hemisphere Eastern Hemisphere Western Hemisphere
Asia Middle East Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total Europe Africab Pacificc Russia,CISd USA Other Total
750 662 245 1,089 429 212 3,387 845 703 217 1,148 351 214 3,4781,063 674 194 1,023 371 191 3,516 750 662 245 1,089 429 212 3,387
1 – 208 – 330 – 539 1 – 197 37 364 – 5991 – 206 15 365 – 587 1 – 208 – 330 – 539
US GAAP
million barrels 2002 million barrels 2001
Eastern Hemisphere Western Hemisphere Eastern Hemisphere Western Hemisphere
Asia Middle East Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total Europe Africab Pacificc Russia,CISd USA Other Total
– – – – – 594 594 – – – – – 594 594– – – – – (77) (77) – – – – – – –– – – – – – – – – – – – – –– – – – – – – – – – – – – –
– – – – – 517 517 – – – – – 594 594
– – – – – 115 115 – – – – – 132 132
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Natural gasGroup companies’ estimated net proved reserves of crude oil and natural gas liquids at the end of the year, their share of the net proved reserves of equityaccounted investments at the end of the year, and the changes in such reserves during the year are set out below. The volumes in the table below have notbeen adjusted to standard heat content, which means that volumes of gas are reported on an “as-sold” basis and are treated as equivalent without regard tothe quality of the gas (e.g. with respect to the inert gas content thereof or the various hydrocarbon components). The price used to calculate future revenuesand cash flows from proved gas reserves is that realised at year-end based on “as-sold” volumes. As such, the realised price reflects the quality of the gas,both in terms of inert components that reduce gas quality and hydrocarbon components with high molecular weights that enrich the quality of the gas.
Proved developed and undeveloped reservesa
IFRS
thousand million standard cubic feet 2005
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 5,964 2,532 6,803 5,383 2,823 1,545 25,050Revisions and reclassifications 289 (221) (706) (54) 116 (47) (623)Improved recovery – – – – – – –Extensions and discoveries 234 – 213 1,842 148 135 2,572Purchases of minerals in place 57 – 61 – 11 6 135Sales of minerals in place (18) – – – – – (18)Production (778) (138) (596) (92) (418) (182) (2,204)
At December 31 5,748 2,173 5,775 7,079 2,680 1,457 24,912
Group share of equity accounted investmentsAt January 1 12,513 – 2,987 – 17 – 15,517Revisions and reclassifications 31 – (23) – 3 – 11Improved recovery 2 – – – – – 2Extensions and discoveries 5 – – – – – 5Purchases of minerals in place – – – – – – –Sales of minerals in place (3) – – – – – (3)Production (574) – (252) – (2) – (828)
At December 31 11,974 – 2,712 – 18 – 14,704
Minority interests’ share of proved reserves of Group companies
At December 31 – – 36 3,059 – 261 3,356
Proved developed reservesa
IFRS
thousand million standard cubic feet 2005
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 3,258 919 2,702 166 1,875 1,080 10,000At December 31 3,662 782 2,336 138 1,608 906 9,432
Group share of equity accounted investmentsAt January 1 9,731 – 1,606 – 15 – 11,352At December 31 10,109 – 1,443 – 15 – 11,567
Crude oil and natural gas liquids and oil equivalent of natural gas at December 31e
IFRS
million barrels of oil equivalent 2005
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
Proved developed and undeveloped reservesGroup companies 1,848 1,257 1,169 2,213 878 396 7,761Group share of equity accounted investments 2,078 – 709 490 428 – 3,705
Total 3,926 1,257 1,878 2,703 1,306 396 11,466
a These quantities have not been adjusted to standard heat content. b Excludes Egypt. c Excludes Sakhalin. d Middle East and former Soviet Union (Commonwealth of Independent States), which includes Caspian region, Egypt and Sakhalin.e 5,800 million cubic feet of natural gas = one million barrels of oil equivalent.
OIL AND GAS RESERVES
38 Royal Dutch Shell plc
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 38
IFRS
thousand million standard cubic feet 2004
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
6,697 2,743 7,352 3,628 3,143 1,628 25,191(172) (74) 125 138 (100) (45) (128)
9 – – – – 4 13213 – 171 2,128 257 192 2,961
– – – – 9 – 9(48) – (310) (258) – (37) (653)
(735) (137) (535) (253) (486) (197) (2,343)
5,964 2,532 6,803 5,383 2,823 1,545 25,050
13,219 – 3,122 – 27 – 16,368(97) – 120 – (8) – 15
– – 45 – – – 458 – 1 – – – 9– – – – – – –– – (55) – – – (55)
(617) – (246) – (2) – (865)
12,513 – 2,987 – 17 – 15,517
– – 56 2,231 – 274 2,561
IFRS
thousand million standard cubic feet 2004
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
3,792 886 3,128 446 1,754 1,297 11,3033,258 919 2,702 166 1,875 1,080 10,000
7,719 – 1,825 – 22 – 9,5669,731 – 1,606 – 15 – 11,352
IFRS
million barrels of oil equivalent 2004
Eastern Hemisphere Western Hemisphere
Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total
1,981 1,582 1,418 1,726 945 412 8,0642,175 – 791 457 395 – 3,818
4,156 1,582 2,209 2,183 1,340 412 11,882
Oil and gas reserves 39
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 39
Natural gas continuedProved developed and undeveloped reservesa
US GAAP
thousand million standard cubic feet 2003e
Eastern Hemisphere Western Hemisphere
Asia Middle EastEuropee Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 21,284 1,692 7,862 1,118 3,842 1,959 37,757Revisions and reclassifications (435) (688) 8 (22) (70) (181) (1,388)Improved recovery 4 506 17 – 10 30 567Extensions and discoveries 459 1,361 6 2,790 305 34 4,955Purchases of minerals in place 6 – – – – – 6Sales of minerals in place (139) – – – (389) (17) (545)Production (1,303) (128) (541) (258) (555) (197) (2,982)
At December 31 19,876 2,743 7,352 3,628 3,143 1,628 38,370
Group share of equity accounted investmentsAt January 1 44 – 3,243 – 21 – 3,308Revisions and reclassifications – – 106 – 9 – 115Improved recovery 1 – 11 – – – 12Extensions and discoveries 1 – – – – – 1Purchases of minerals in place – – – – – – –Sales of minerals in place – – – – – – –Production (7) – (238) – (3) – (248)
At December 31 39 – 3,122 – 27 – 3,188
Minority interests’ share of proved reserves of Group companiesAt December 31 – – 63 1,285 – 300 1,648
Proved developed reservesa
US GAAP
thousand million standard cubic feet 2003e
Eastern Hemisphere Western Hemisphere
Asia Middle EastEuropee Africab Pacificc Russia,CISd USA Other Total
Group companiesAt January 1 11,472 735 3,405 574 2,311 1,464 19,961At December 31 11,477 886 3,128 446 1,754 1,297 18,988
Group share of equity accounted investmentsAt January 1 38 – 1,776 – 17 – 1,831At December 31 34 – 1,825 – 22 – 1,881
Crude oil and natural gas liquids and oil equivalent of natural gas at December 31f
US GAAP
million barrels of oil equivalent 2003
Eastern Hemisphere Western Hemisphere
Asia Middle EastEuropee Africab Pacificc Russia,CISd USA Other Total
Proved developed and undeveloped reservesGroup companies 4,626 1,852 1,570 1,828 1,089 660 11,625Group share of equity accounted investments 9 – 842 86 418 – 1,355
Total 4,635 1,852 2,412 1,914 1,507 660 12,980
a These quantities have not been adjusted to standard heat content. b Excludes Egypt. c Excludes Sakhalin. d Middle East and former Soviet Union (Commonwealth of Independent States), which includes Caspian region, Egypt and Sakhalin.e In connection with the adoption of IFRS as of January 1, 2004, an entity in Europe that had previously been accounted for as a Group company on a proportionate basis, has been instead accounted for as
an equity accounted investment. As a result of this change, some 13.2 trillion standard cubic feet of proved reserves that as of December 31, 2003 are shown for Group companies are, as of January 1,2004, shown as part of the Group share of equity accounted investments.
f 5,800 million cubic feet of natural gas = one million barrels of oil equivalent.
OIL AND GAS RESERVES
40 Royal Dutch Shell plc
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 40
US GAAP
thousand million standard cubic feet 2002 thousand million standard cubic feet 2001
Eastern Hemisphere Western Hemisphere Eastern Hemisphere Western Hemisphere
Asia Middle East Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total Europe Africab Pacificc Russia,CISd USA Other Total
22,022 1,780 9,031 1,777 3,663 2,257 40,530 22,339 1,786 7,999 2,054 3,399 2,313 39,890(110) 1 (680) (282) 162 (123) (1,032) 815 (47) 175 (73) 114 13 997
6 – 150 – 20 – 176 (9) – 266 – – – 25729 – 126 – 410 9 574 214 121 8 95 385 132 955
673 – – – 208 12 893 – – 1,095 – 355 9 1,459(5) – (212) – (10) – (227) – – – – (9) (8) (17)
(1,331) (89) (553) (377) (611) (196) (3,157) (1,337) (80) (512) (299) (581) (202) (3,011)
21,284 1,692 7,862 1,118 3,842 1,959 37,757 22,022 1,780 9,031 1,777 3,663 2,257 40,530
48 – 2,943 – 15 – 3,006 56 – 3,272 – 86 – 3,4141 – 434 – 7 – 442 (5) – 62 – (29) – 28– – 8 – – – 8 – – 17 – – – 173 – 80 – 1 – 84 4 – 2 – – – 6– – – – – – – – – – – – – –– – – – – – – – – (181) – (40) – (221)
(8) – (222) – (2) – (232) (7) – (229) – (2) – (238)
44 – 3,243 – 21 – 3,308 48 – 2,943 – 15 – 3,006
– – 61 59 – 342 462 – – 77 153 – 401 631
US GAAP
thousand million standard cubic feet 2002 thousand million standard cubic feet 2001
Eastern Hemisphere Western Hemisphere Eastern Hemisphere Western Hemisphere
Asia Middle East Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total Europe Africab Pacificc Russia,CISd USA Other Total
11,880 668 3,635 1,097 2,363 1,754 21,397 12,613 713 2,795 1,382 2,347 1,673 21,52311,472 735 3,405 574 2,311 1,464 19,961 11,880 668 3,635 1,097 2,363 1,754 21,397
41 – 1,759 – 11 – 1,811 53 – 1,809 – 66 – 1,92838 – 1,776 – 17 – 1,831 41 – 1,759 – 11 – 1,811
US GAAP
million barrels of oil equivalent 2002 million barrels of oil equivalent 2001
Eastern Hemisphere Western Hemisphere Eastern Hemisphere Western Hemisphere
Asia Middle East Asia Middle EastEurope Africab Pacificc Russia,CISd USA Other Total Europe Africab Pacificc Russia,CISd USA Other Total
5,047 1,741 1,678 1,639 1,379 808 12,292 4,810 1,615 1,983 1,983 1,304 893 12,58810 – 884 118 417 – 1,429 9 – 814 – 359 – 1,182
5,057 1,741 2,562 1,757 1,796 808 13,721 4,819 1,615 2,797 1,983 1,663 893 13,770
Oil and gas reserves 41
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 41
Earnings from oil and gas exploration and production activitiesa
IFRS
$ million
2005
Eastern Hemisphere Western Hemisphere
Middle East
Asia Russia, OilEurope Africa Pacific CIS USA Other Total sands Total
Group companiesRevenueb third parties 3,399 (314) 1,367 2,176 2,850 1,458 10,936 614 11,550
intra-Group 9,869 7,503 1,608 6,193 5,050 1,356 31,579 1,357 32,936
13,268 7,189 2,975 8,369 7,900 2,814 42,515 1,971 44,486Production costsc,d 2,245 1,971 674 857 1,040 562 7,349 470 7,819Exploration expense 213 193 56 72 378 246 1,158 – 1,158Depreciation, depletion and amortisation 3,888 844 692 508 1,629 820 8,381 181 8,562Other income/(costs) (413) 84 254 (762) (346) (456) (1,639) (315) (1,954)
Earnings before tax 6,509 4,265 1,807 6,170 4,507 730 23,988 1,005 24,993Taxation 3,767 3,526 473 4,988 1,533 236 14,523 344 14,867
Earnings from continuing operations 2,742 739 1,334 1,182 2,974 494 9,465 661 10,126Earnings from discontinued operations – – – – – – – – –
Earnings after taxation 2,742 739 1,334 1,182 2,974 494 9,465 661 10,126$ per barrel
e
Revenueb 40.68 44.93 20.60 65.72 49.94 46.64 43.54 56.84 44.00Production costsc,d 6.88 12.32 4.67 6.73 6.57 9.32 7.53 13.55 7.73Exploration expense 0.65 1.21 0.39 0.57 2.39 4.08 1.19 – 1.15Depreciation, depletion and amortisation 11.92 5.27 4.79 3.99 10.30 13.59 8.58 5.22 8.47Other income/(costs) (1.27) 0.52 1.76 (5.98) (2.19) (7.56) (1.68) (9.08) (1.93)
Earnings before tax 19.96 26.65 12.51 48.45 28.49 12.09 24.56 28.99 24.72Taxation 11.55 22.04 3.28 39.17 9.69 3.91 14.87 9.92 14.70
Earnings after taxation 8.41 4.61 9.23 9.28 18.80 8.18 9.69 19.07 10.02
Earnings from oil and gas exploration and production activitiesa
US GAAP
$ million
2003
Eastern Hemisphere Western Hemisphere
Middle East
Asia Russia, OilEurope Africa Pacific CIS USA Other Total sands Total
Group companiesRevenueb third parties 5,386 129 808 1,640 1,903 1,115 10,981 288 11,269
intra-Group 5,873 3,888 1,179 3,713 4,480 713 19,846 398 20,244
11,259 4,017 1,987 5,353 6,383 1,828 30,827 686 31,513Production costsc,d 1,886 1,087 419 1,408 603 366 5,769 262 6,031Exploration expense 229 235 112 121 275 144 1,116 – 1,116Depreciation, depletion and amortisation 3,723 462 539 585 1,667 681 7,657 120 7,777Other income/(costs) (512) (187) 238 (443) 30 (240) (1,114) (434) (1,548)
Earnings before tax 4,909 2,046 1,155 2,796 3,868 397 15,171 (130) 15,041Taxation 1,686 1,437 217 2,239 1,497 204 7,280 (29) 7,251
Earnings from continuing operations 3,223 609 938 557 2,371 193 7,891 (101) 7,790Earnings from discontinued operations – (16) 68 26 – – 78 – 78
Earnings from operations 3,223 593 1,006 583 2,371 193 7,969 (101) 7,868$ per barrele
Revenueb 23.96 25.92 13.25 23.79 30.99 25.75 24.14 45.73 24.39Production costsc,d 4.01 7.01 2.79 6.26 2.93 5.15 4.52 17.47 4.67Exploration expense 0.49 1.52 0.75 0.54 1.33 2.03 0.87 – 0.86Depreciation, depletion and amortisation 7.92 2.98 3.59 2.60 8.09 9.59 6.00 8.00 6.02Other income/(costs) (1.09) (1.21) 1.59 (1.97) 0.15 (3.38) (0.87) (28.93) (1.20)
Earnings before tax 10.45 13.20 7.71 12.42 18.79 5.60 11.88 (8.67) 11.64Taxation 3.59 9.27 1.46 9.94 7.28 2.88 5.70 (1.94) 5.61
Earnings from operations 6.86 3.93 6.25 2.48 11.51 2.72 6.18 (6.73) 6.03a Excludes certain financing costs and related tax effects.b Certain purchases of traded product are netted into sales. c Production costs exclude additional taxes levied on oil and gas production, which are included under taxation.d No adjustments are made for government share of volumes in production sharing contracts. Including such adjustments the sum of unit production costs and unit depreciation, depletion and amortisation for
2004 would be reduced by approximately $1.02/boe.e Based on related oil and gas quantities produced, including natural gas liquids, with gas converted to crude oil equivalent.
OIL AND GAS
42 Royal Dutch Shell plc
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 42
IFRS
$ million
2004
Eastern Hemisphere Western Hemisphere
Middle East
Asia Russia, OilEurope Africa Pacific CIS USA Other Total sands Total
3,440 (187) 958 1,849 2,063 1,277 9,400 479 9,8797,117 5,616 1,517 4,616 4,754 1,187 24,807 843 25,650
10,557 5,429 2,475 6,465 6,817 2,464 34,207 1,322 35,5291,799 1,548 541 1,332 767 510 6,497 313 6,810
145 157 134 103 352 211 1,102 – 1,1023,501 699 570 802 1,625 600 7,797 155 7,952(1,201) 196 479 (805) (319) (333) (1,983) (442) (2,425)
3,911 3,221 1,709 3,423 3,754 810 16,828 412 17,2402,686 2,448 351 2,795 1,302 187 9,769 111 9,880
1,225 773 1,358 628 2,452 623 7,059 301 7,360– – – – – – – – –
1,225 773 1,358 628 2,452 623 7,059 301 7,360$ per barrele
31.14 31.94 17.93 29.93 37.25 34.70 30.62 45.15 31.005.31 9.11 3.92 6.17 4.19 7.18 5.82 10.69 5.940.43 0.92 0.97 0.48 1.92 2.97 0.99 – 0.96
10.33 4.11 4.13 3.71 8.88 8.45 6.98 5.29 6.94(3.54) 1.15 3.47 (3.73) (1.74) (4.69) (1.78) (15.10) (2.12)
11.53 18.95 12.38 15.84 20.52 11.41 15.05 14.07 15.047.92 14.40 2.54 12.94 7.11 2.63 8.75 3.79 8.62
3.61 4.55 9.84 2.90 13.41 8.78 6.30 10.28 6.42
US GAAP
$ million $ million
2002 2001
Eastern Hemisphere Western Hemisphere Eastern Hemisphere Western Hemisphere
Middle MiddleEast East
Asia Russia, Oil Asia Russia, OilEurope Africa Pacific CIS USA Other Total sands Total Europe Africa Pacific CIS USA Other Total sands Total
5,472 73 763 1,772 1,997 892 10,969 2 10,971 4,971 98 803 1,359 2,771 836 10,838 – 10,8384,572 2,538 1,186 3,087 2,863 433 14,679 – 14,679 3,723 2,759 1,171 3,201 2,306 630 13,790 – 13,790
10,044 2,611 1,949 4,859 4,860 1,325 25,648 2 25,650 8,694 2,857 1,974 4,560 5,077 1,466 24,628 – 24,6281,826 754 420 1,275 589 298 5,162 2 5,164 1,275 820 350 1,115 496 268 4,324 – 4,324
177 204 58 81 249 208 977 – 977 98 95 73 121 289 143 819 – 8192,469 458 572 777 1,461 265 6,002 1 6,003 1,452 398 455 503 1,116 287 4,211 – 4,211
(428) (97) 160 (654) (221) (219) (1,459) – (1,459) (274) (30) (44) (390) (261) (242) (1,241) – (1,241)
5,144 1,098 1,059 2,072 2,340 335 12,048 (1) 12,047 5,595 1,514 1,052 2,431 2,915 526 14,033 – 14,0332,340 789 294 1,638 791 93 5,945 2 5,947 2,454 1,026 403 1,849 1,028 185 6,945 – 6,945
2,804 309 765 434 1,549 242 6,103 (3) 6,100 3,141 488 649 582 1,887 341 7,088 – 7,088– (15) 70 30 – – 85 – 85 – (15) 69 13 – – 67 – 67
2,804 294 835 464 1,549 242 6,188 (3) 6,185 3,141 473 718 595 1,887 341 7,155 – 7,155$ per barrele $ per barrele
20.77 22.24 11.86 19.05 21.57 20.08 19.55 – 19.55 20.22 21.32 12.49 20.09 24.41 20.94 20.07 – 20.073.78 6.42 2.56 5.00 2.61 4.52 3.94 – 3.94 2.97 6.12 2.22 4.91 2.38 3.83 3.52 – 3.520.37 1.74 0.35 0.32 1.10 3.15 0.74 – 0.74 0.23 0.71 0.46 0.53 1.39 2.04 0.67 – 0.675.11 3.90 3.48 3.05 6.48 4.02 4.58 – 4.58 3.38 2.97 2.88 2.22 5.37 4.10 3.43 – 3.43(0.89) (0.83) 0.97 (2.56) (0.98) (3.32) (1.11) – (1.11) (0.64) (0.22) (0.28) (1.72) (1.25) (3.46) (1.01) – (1.01)
10.62 9.35 6.44 8.12 10.40 5.07 9.18 – 9.18 13.00 11.30 6.65 10.71 14.02 7.51 11.44 – 11.444.82 6.72 1.78 6.42 3.53 1.40 4.53 – 4.53 5.70 7.66 2.54 8.15 4.95 2.64 5.66 – 5.66
5.80 2.63 4.66 1.70 6.87 3.67 4.65 – 4.65 7.30 3.64 4.11 2.56 9.07 4.87 5.78 – 5.78
Exploration & Production 43
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 43
Crude oil and natural gas liquids productiona
IFRS US GAAP
thousand barrels/day
2005 2004 2003 2002b 2001
EuropeUK 250 275 354 402 311The Netherlands 7 8 8 9 10Denmark 143 142 141 140 130Norway 107 129 143 131 89Germany 4 5 5 5 6Italy 30 21 19 – –Others –c –c 1 9 1
541 580 671 696 547
Other Eastern HemisphereAfricaNigeria 324 349 314 215 250Gabon 36 35 35 46 56Cameroon 13 15 16 17 19Others – – – 2 3
373 399 365 280 328
Asia PacificMalaysia 41 47 51 59 60Brunei 95 98 103 101 97Australia 53 60 73 92 99New Zealand 15 15 19 29 30Others 4 3 3 5 –China 20 20 22 24 23Thailand – – 14 15 16
228 243 285 325 325
Middle EastOman 214 246 269 319 327Abu Dhabi 134 133 126 100 94Egypt 14 10 11 11 14Syria 36 35 44 49 48Russia 35 32 30 33 23Others 10 15 17 13 –
443 471 497 525 506
Total Other Eastern Hemisphere 1,044 1,113 1,147 1,130 1,159
USA 333 375 414 442 411
Other Western HemisphereCanada 39 40 44 43 47Brazil 26 43 11 2 2Venezuela 14 22 46 46 44Others 1 –c –c – 1
80 105 101 91 94
Total crude oil production excluding oil sands 1,998 2,173 2,333 2,359 2,211
Oil sands 95 80 46 – –
Total 2,093 2,253 2,379 2,359 2,211million tonnes a year
Metric equivalent 105 113 119 118 111
a Of Group companies, plus Group share of equity accounted investments, and including natural gasliquids (Group share of equity accounted investments is assumed to be equivalent to Group interest).Royalty purchases are excluded. In those countries where production-sharing contracts operate, thefigures shown represent the entitlements of the Group companies concerned under those contracts.
b The acquisition of Enterprise Oil contributed some 180,000 boe per day to 2002 totalhydrocarbon production (nine months of production averaged over the full year). Production camemainly from assets in the UK and Norway.
c Less than 1,000 barrels daily.d Exceptionally, the minority interest is deducted in respect of production volumes given for Petroleum
Development Oman.e Egypt was previously included in Africa.f By country of origin from gas produced by Group and associated companies (Group share).
In those countries where production-sharing contacts operate, the figures shown represent theentitlements of the Group companies concerned under those contracts.
g No natural gas production.
Natural gas production available for salef
IFRS US GAAP
million standard cubic feet/day
2005 2004 2003 2002b 2001
EuropeUK 925 984 1,002 1,148 1,196The Netherlands 1,562 1,667 1,527 1,527 1,555Denmark 410 383 302 313 309Norway 298 260 287 242 176Germany 428 411 437 408 428Italy 25 16 14 7 –Others 11 18 18 22 20
3,659 3,739 3,587 3,667 3,684
Other Eastern HemisphereAfricaNigeria 377 375 352 244 219Gabong – – – – –Cameroong – – – – –Othersg – – – – –
377 375 352 244 219
Asia PacificMalaysia 858 739 706 664 580Brunei 544 554 549 508 491Australia 525 436 403 373 379New Zealand 234 258 288 461 470Others 164 145 151 78 66Chinag – – – – –Thailand – – 39 41 42
2,325 2,132 2,136 2,125 2,028
Middle EastOman – 471 468 786 553Abu Dhabig – – – – –Egypt 238 211 228 232 248Syria 15 9 11 16 18Russiag – – – – –Othersg – – – – –
253 691 707 1,034 819
Total Other EasternHemisphere 2,955 3,198 3,195 3,403 3,066
USA 1,150 1,332 1,527 1,679 1,598
Other Western HemisphereCanada 413 449 466 473 507Brazil 43 48 39 39 33 Venezuelag – – – – –Others 43 42 35 25 14
499 539 540 537 554
Total natural gas production 8,263 8,808 8,849 9,286 8,902
Oil sandsg – – – – –
Total 8,263 8,808 8,849 9,286 8,902
44 Royal Dutch Shell plc
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 44
Exploration & Production 45
Total productiona
IFRS US GAAP
thousand barrels oil equivalent/day
2005 2004 2003 2002 2001
EuropeUK 410 445 527 600 517The Netherlands 276 295 272 273 278Denmark 214 208 193 194 183Norway 158 174 193 173 120Germany 78 75 80 75 80Italy 34 24 22 9 –Others 2 3 3 4 4
1,172 1,224 1,290 1,328 1,182
Other Eastern HemisphereAfricaNigeria 389 414 375 257 288Gabon 36 35 35 46 56Cameroon 13 15 16 17 19Others – – – 2 3
438 464 426 322 366
Asia PacificMalaysia 189 175 173 174 160Brunei 189 193 198 189 182Australia 144 135 142 157 164New Zealand 55 60 68 108 111Others 32 28 29 18 12China 20 20 22 24 23Thailand – – 21 22 23
629 611 653 692 675
Middle EastOman 214 327 350 454 422Abu Dhabi 134 133 126 100 94Egypt 55 46 51 51 57Syria 39 37 46 52 51Russia 35 32 30 33 23Others 10 15 16 13 –
487 590 619 703 647
Total Other EasternHemisphere 1,554 1,665 1,698 1,717 1,688
USA 531 605 677 731 686
Other Western HemisphereCanada 110 117 124 125 134Brazil 34 51 18 8 7 Venezuela 14 22 46 46 44Others 8 8 6 5 5
166 198 194 184 190
Total production excluding oil sands 3,423 3,692 3,859 3,960 3,746
Oil sands 95 80 46 – –
Total 3,518 3,772 3,905 3,960 3,746million tonnes a year
Metric equivalent 176 189 195 198 187
a 5,800 million cubic feet of natural gas = one million barrels of oil equivalent.
Processingb
Natural gas processing plantsLocation, Group interest in plantsc and capacity (at December 31, 2005)
Group interest 100% capacity million% cubic feet daily d
EuropeNorway Kårstøe 4 3,108
Kollsnes 8 4,414UK Bacton, Norfolk 50 3,016
Mossmorran, Fifef 50 g
St Fergus, Aberdeenshire 50 1,162
Asia PacificAustralia Karratha
e22 2,200
New Zealand Oaonuie 83 465
Middle EastAbu Dhabi Asab 15 306
Bab 15 150Bu Hasa 15 512Ruwaisf 15 g
USAAlabama Yellowhammer 64 200
CanadaAlberta Burnt Timber 64 95
Caroline 56 129Jumping Poundf 78 151Watertonf 78 165Wildcat Hills 27 113
Nova Scotia Goldboro 24 565
b Plants with capacities of at least 100 million cubic feet daily of natural gas, and excluding basicseparation units.
c Percentage rounded to nearest whole percentage point where appropriate.d One million cubic feet is approximately equivalent to 26,700 cubic metres.e Landed gas capacity for LNG, domestic gas and LPG processing.f Plants with fractionation facilities.g Fractionation plants processing NGL feedstocks only.
Group share of equity accounted investments exploration and productionearnings
IFRSi US GAAPh
$ million
2005 2004 2003 2002 2001
Earnings before taxation 7,890 4,695 1,857 1,316 1,551Taxation 3,778 2,232 1,057 775 793
Earnings from operations 4,112 2,463 800 541 758
h Excludes certain financing costs and related tax effects.i In connection with the adoption of IFRS as of January 1, 2004, an entity that had previously been
accounted for as a Group company on a proportionate basis, has been instead accounted for asan equity accounted investment.
50040 Shell 5 Year_34_45.qxd 30/5/06 11:45 am Page 45
46 Royal Dutch Shell plc
IFRS
$ million
2005 2004
Revenue (including inter-segment sales) 15,624 10,835
Purchases (including change in inventories) (12,855) (8,680)
Depreciation (290) (903)
Operating expenses (2,087) (1,452)
Share of profit of equity accounted investments 999 1,142
Other income/(expense) 223 733
Taxation (41) 140
Segment earnings 1,573 1,815
Capital investment 1,602 1,633
Capital employed 14,198 11,941
average numbers in thousands
Employees 2 2
US GAAP
$ million
2003 2002 2001
Revenue (including inter-segment sales) 8,227 4,874 6,652
Purchases (including change in inventories) (6,460) (3,754) (5,207)
Depreciation (116) (116) (106)
Operating expenses (1,141) (915) (821)
Share of operating profit of associated companies 871 729 919
Other income/(expense) 1,343 124 130
Taxation (454) (195) (368)
Segment earnings from continuing operations 2,270 747 1,199
Income from discontinued operations, net of tax 19 27 27
Segment earnings 2,289 774 1,226
Capital investment 1,511 953 963
Capital employed 12,166 7,650 7,410
average numbers in thousands
Employees 2 2 2
> Gas & Power liquefies and transportsnatural gas, and develops natural gasmarkets and related infrastructure.The business also markets and tradesnatural gas and electricity, andconverts natural gas to liquids toprovide clean fuels.
> We expect our LNG capacity to growan annual average of 14% across2004-2009.
> A number of new opportunities arealso emerging for application of Shellproprietary coal gasification process.
> Gas & Power operates in some 30countries and territories around theworld.
GAS & POWER
50040 Shell 5 Year_46_47.qxd 25/5/06 1:37 pm Page 46
Gas & Power 47
Canada
USA
Latin AmericaBoliviaBrazilMexico
EuropeDenmarkGermanyGreeceItalyThe NetherlandsNorwaySpainTurkeyUK
AfricaAlgeriaEgyptGhanaLibyaNigeria
Middle EastOmanQatar
Commonwealth ofIndependent StatesRussia
Asia PacificAustraliaBruneiChinaIndiaJapanKoreaMalaysia
Countries in which Gas & Power operate
Liquefied natural gas (LNG) sales volumesmillion tonnes
2005 2004 2003 2002 2001
Australia 2.6 2.0 1.8 1.7 1.7Nigeria 2.3 2.4 2.1 1.5 1.5Oman 2.1 2.1 2.1 1.9 1.7Malaysia 2.0 1.9 1.5 2.3 2.3Brunei 1.7 1.8 1.8 1.7 1.7
Total 10.7 10.2 9.3 9.1 8.9
Processing (at December 31, 2005)LNG plants
Group 100% capacityinterest
amillion tonnes
Location % per yearb
Australia NWS Karratha 22 11.7Nigeria Bonny 26 13.6Oman Sur 30 6.6Oman (Qalhat) Sur 11 3.7Malaysia (Dua and Tiga) Bintulu 15 14.6Brunei Lumut 25 7.2
GTL plant (at December 31, 2005)Group interest %
a100% capacity bbl/day
b
Malaysia Bintulu 72 14,700
a Percentage rounded to nearest whole percentage point where appropriate.b As reported by the joint ventures (excluding the impact of Train 4 debottlenecking in Australia).
50040 Shell 5 Year_46_47.qxd 25/5/06 1:38 pm Page 47
48 Royal Dutch Shell plc
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50040 Shell 5 Year_48_53.qxd 25/5/06 1:44 pm Page 48
Oil Products 49
IFRS
$ million
2005 2004
Revenue (including inter-segment sales) 253,853 222,348
Purchases (including change in inventories) (223,482) (195,270)
Depreciation (2,622) (3,357)
Operating expenses (16,141) (15,022)
Share of profit of equity accounted investments 1,713 1,277
Other income/(expense) 69 61
Taxation (3,408) (2,440)
Segment earnings 9,982 7,597
Capital investment 2,844 2,823
Capital employed 34,262 33,637
thousand barrels/day
Product volumes 7,057 7,600
average numbers in thousands
Employees 71 78
US GAAP
$ million
2003 2002 2001
Revenue (including inter-segment sales) 162,491 135,761 92,970
Purchases (including change in inventories) (142,432) (118,446) (80,447)
Depreciation (2,717) (2,262) (1,617)
Operating expenses (14,167) (12,044) (8,490)
Share of operating profit of associated companies 910 554 234
Other income/(expense) (62) (57) (61)
Taxation (1,202) (1,021) (670)
Segment earnings from continuing operations 2,821 2,485 1,919
Income from discontinued operations, net of tax 39 142 51
Segment earnings 2,860 2,627 1,970
Capital investment 2,405 7,968 1,527
Capital employed 35,295 32,056 22,074
thousand barrels/day
Product volumes 7,445 7,399 6,143
average numbers in thousands
Employees 82 75 58
> Oil Products businesses engage inrefining crude oil into a range ofproducts including fuels, lubricantsand petrochemicals, and marketing ofthe refined products.
> The Oil Products business operates theworld’s largest fuel retail network withsome 45,000 service stations.
> Oil Products operates in more than140 countries and territories aroundthe world.
OIL PRODUCTS
50040 Shell 5 Year_48_53.qxd 25/5/06 1:44 pm Page 49
50 Royal Dutch Shell plc
Countries in which Oil Products operate
Cost of crude oil processed or consumed(including upstream margin on crude supplied by Group and equity accounted investments inexploration & production)
IFRS US GAAP
$ per barrel
2005 2004 2003 2002 2001
48.24 37.22 26.75 24.35 23.56
Operable crude oil distillation capacityb
IFRS US GAAP
thousand barrels/calendar dayc,d
2005 2004 2003 2002 2001
Europe 1,822 1,835 1,808 1,809 1,400Other Eastern
Hemisphere 899 1,050 1,072 1,108 1,155USA 955 1,032 1,073 1,075 689Other Western
Hemisphere 350 350 361 395 398
4,026 4,267 4,314 4,387 3,642
Crude oil processede
IFRS US GAAP
thousand barrels/calendar dayc,d
2005 2004 2003 2002 2001
Europe 1,701 1,687 1,712 1,701 1,309Other Eastern
Hemisphere 802 942 916 870 933USA 855 950 974 996 624Other Western
Hemisphere 364 364 347 314 361
3,722 3,943 3,949 3,881 3,227
Group share of equity accounted invetments 455 451 515 473 480
Crude oil distillation unit intake as percentage of operable capacityf
IFRS US GAAP
%
2005 2004 2003 2002 2001
Europe 97 94 96 94 95Other Eastern
Hemisphere 92 91 89 84 90USA 88 91 89 91 91Other Western
Hemisphere 91 93 90 86 91
Worldwide 93 92 92 90 92
Refinery processing intakeg
IFRS US GAAP
thousand barrels/calendar dayc,d
2005 2004 2003 2002 2001
Crude oil 3,722 3,946 3,949 3,881 3,227Feedstocks 259 216 218 203 173
3,981 4,162 4,167 4,084 3,400
Europe 1,804 1,770 1,776 1,761 1,358Other Eastern
Hemisphere 849 962 956 941 1,018USA 953 1,055 1,079 1,064 663Other Western
Hemisphere 375 375 356 318 361
3,981 4,162 4,167 4,084 3,400million tonnes a year
Metric equivalent 195 204 204 201 166
Refinery processing outturnh
IFRS US GAAP
thousand barrels/calendar dayd
2005 2004 2003 2002 2001
Gasolines 1,492 1,542 1,575 1,537 1,242Kerosines 382 424 418 400 369Gas/Diesel oils 1,256 1,297 1,312 1,287 1,068Fuel oil 391 414 378 355 339Other products 567 557 550 546 417
4,088 4,234 4,233 4,125 3,435
a The basis for reporting from 2002 has been changed to reflect only those activities relating to theOil Products business; previously the volumes of the Mobil refinery in Alabama, a refinery ownedby Chemicals, was included within the US volumes. The 2001 figures have been restated on asimilar basis. Furthermore, from 2002 the US reported volumes include 100% of Shell Oil ProductsUS and 50% of Motiva; the 2001 figures have been restated in accordance with the ownershipinterests prevailing at that time.
b Group average operating capacity for the year and excluding mothballed capacity.c One barrel per day is equivalent to approximately 50 tonnes a year, depending on the specific
gravity of the crude oil.d The calendar day capacity is the actual barrels processed during the year (maximum sustainable
rate x utilisation) divided by the number of days in the year.e Including natural gas liquids; includes processing for others and excludes processing by others.f Including crude oil and feedstocks processed in crude oil distillation units, and based on calendar--
day capacities.g Including crude oil and natural gas liquids plus feedstocks processed in crude oil distillation units
and in secondary conversion units.h Excluding “own use” and products acquired for blending purposes.
REFININGa
Canada
USA
Latin AmericaArgentinaBelizeBoliviaBrazilChileColombiaCosta RicaEcuadorEl SalvadorGuatemalaGuyanaHondurasMexicoNicaraguaPanamaParaguayPeruSurinamUruguayVenezuela
The CaribbeanBahamasBarbadosBermudaBritish AntillesDominican RepublicFrench Antilles &GuianaGrenadaHaitiJamaicaNetherlands AntillesPuerto RicoSt. Kitts & NevisSt. LuciaSt. VincentTrinidad & Tobago
EuropeAustriaBelgiumBulgariaCroatiaCzech RepublicDenmarkEstoniaFinland
FranceGermanyGibraltarGreeceHungaryIcelandRepublic of IrelandItalyLatviaLithuaniaLuxembourgThe NetherlandsNorwayPolandPortugalRomaniaSerbia andMontenegroSlovakiaSloveniaSpainSwedenSwitzerlandTurkeyUkraineUK
50040 Shell 5 Year_48_53.qxd 25/5/06 1:44 pm Page 50
Oil Products 51
Location, percentagea of Group financial interest and capacity of refineriesb,c,d
(at December 31, 2005)thousand barrels/calendar day
Group Capacity 100%*Refinery interestlocation % A B C D
EuropeCzech Republic Kralupy 16 62 – 24 –
Litvinov 16 101 14 – 25Denmark Fredericia 100 68 40 – –France Berre-l’Etang 100 80 – 19 –
Petit-Couronne 100 141 11 22 –Reichstett-Vendenheim 83 78 18 14 –
Germany Harburg 100 93 14 16 –Heide 100 83 14 – 16Miro 32 310 65 89 –Schwedt 38 220 47 50 –Rheinlande 100 327 50 – 79
The Netherlands Pernis 90 403 45 49 80Norway Mongstad 21 199 24 55 –Sweden Gothenburg 100 80 31 – –UK Eastham 50 20 – – –
Stanlow 100 270 – 68 –
AfricaAlgeriaBeninBotswanaBurkina FasoCameroonCape Verde IslandsCongoCote d’IvoireDemocratic Republicof CongoDjiboutiEgyptEritreaEthiopiaGabonThe GambiaGhanaGuineaGuinea-BissauKenyaLa RéunionLesothoMadagascarMaliMoroccoMozambiqueNamibiaNigeria
RwandaSenegalSouth AfricaSudanSwazilandTanzaniaTogoTunisiaUgandaZimbabwe
Middle EastIranJordanOmanSaudi ArabiaSyriaUnited Arab EmiratesYemen
Commonwealth ofIndependent StatesAzerbaijanKazakhstanRussiaTurkmenistan
Asia PacificAustraliaBrunei
CambodiaChina (includingHong Kong)Cook IslandsFijiGuamIndiaIndonesiaJapanLaosMalaysiaMauritiusNew CaledoniaNew ZealandPakistanPalauPapua New GuineaPhilippinesSaipanSingaporeSouth KoreaSri LankaTahitiTaiwanThailandTongaVanuatuVietnam
thousand barrels/calendar day
Group Capacity 100%*Refinery interestlocation % A B C D
Other Eastern HemisphereAfricaCameroon Cape Limboh 8 41 – – –Côte d’lvoire Abidjan 7 67 – – 14Gabon Port Gentil 12 19 9 – –Kenya Mombasa 17 90 – – –Senegal Dakar 24 24 – – –South Africa Durban 50 169 25 34 –
Middle EastSaudi Arabia Al-Jubail 50 290 91 – 44
Asia PacificAustralia Clyde 100 78 – 35 –
Geelong 100 92 – 36 –Japan Obgimachi
(Showa Kawasaki) 35 110 – – –Mizue (Toa Kawasaki) 18 65 24 38 –Yamaguchi 13 110 – 25 –Yokkaichi 26 193 – 53 –
Malaysia Port Dickson 51 109 – 39 –New Zealand Whangarei 17 98 – – 28Pakistan Karachi 30 44 – – –Philippines Tabangao 67 102 29 – –Singapore Pulau Bukom 100 464 64 34 30
thousand barrels/calendar day
Group Capacity 100%*Refinery interestlocation % A B C D
USACalifornia Martinez 100 158 48 71 40
Wilmington 100 100 40 36 32Louisiana Convent 50 235 – 85 45
Norco 50 220 21 105 32Texas Deer Park 50 334 88 70 56
Port Arthur 50 285 50 86 –Washington Puget Sound 100 149 26 58 –
Other Western HemisphereArgentina Buenos Aires 100 100 19 20 –Canada
Alberta Scotford 78 56 – – 58Ontario Sarnia 78 71 5 18 8Quebec Montreal East 78 121 15 27 13
DominicanRepublic Haina 50 31 – – –
El Salvador Acajutla 35 20 – – –
* Key
A=Atmospheric distillationB=Thermal cracking/visbreaking/cokingC=Catalytic crackingD=Hydrocracking
a Percentage rounded to nearest whole percentage point where appropriate.b Regional totals of Group company refineries calculated from above list may differ from
those reported on page 50 due to difference in capacity definitions. Daily signifies per calendar day.
c Excludes the base lube oil manufacturing facility in Taiwan.d Excludes mothballed capacity.e Godorf and Wesseling have been combined to form Rheinland in 2005.
50040 Shell 5 Year_48_53.qxd 25/5/06 1:44 pm Page 51
52 Royal Dutch Shell plc
Product volumese
thousand barrels/day
2005 2004 2003 2002 2001
EuropeGasolines 569 576 616 647 531Kerosines 223 220 194 190 164Gas/Diesel oils 920 934 936 950 776Fuel oil 196 179 184 177 174Other products 185 203 207 209 207
2,093 2,112 2,137 2,173 1,852
Other Eastern Hemisphereb,c
Gasolines 318 337 315 332 328Kerosines 174 168 166 142 132Gas/Diesel oils 470 511 489 476 460Fuel oil 151 168 180 188 200Other products 119 136 138 149 138
1,232 1,320 1,288 1,287 1,258
USAGasolines 1,068 1,372 1,343 1,239 737Kerosines 236 258 212 221 138Gas/Diesel oils 368 430 430 401 266Fuel oil 107 209 189 105 65Other products 234 247 218 173 111
2,013 2,516 2,392 2,139 1,317
Other Western HemisphereGasolines 263 293 296 317 315Kerosines 74 73 72 74 80Gas/Diesel oils 251 249 243 246 252Fuel oil 77 85 86 92 100Other products 43 44 52 49 54
708 744 749 778 801
Export salesd
Gasolines 186 182 193 251 202Kerosines 104 114 154 155 154Gas/Diesel oils 287 274 213 222 194Fuel oil 313 208 181 196 168Other products 121 130 138 198 197
1,011 908 879 1,022 915
Total product salesGasolines 2,404 2,760 2,763 2,786 2,113Kerosines 811 833 798 782 668Gas/Diesel oils 2,296 2,398 2,311 2,295 1,948Fuel oil 844 849 820 758 707Other products 702 760 753 778 707
7,057 7,600 7,445 7,399 6,143
Sales by product as percentage of total product sales%
2005 2004 2003 2002 2001
Gasolines 34.1 36.3 37.1 37.7 34.4Kerosines 11.5 10.9 10.7 10.6 10.9Gas/Diesel oils 32.5 31.6 31.1 31.0 31.7Fuel oil 12.0 11.2 11.0 10.2 11.5Other products 9.9 10.0 10.1 10.5 11.5
100.0 100.0 100.0 100.0 100.0
Total oil sales volumese
Oil products by geographical areathousand barrels/day
2005 2004 2003 2002 2001
EuropeGermany 771 772 785 789 454France 268 275 283 299 306UK and Republic of Ireland 323 311 313 317 319The Netherlands 199 191 180 191 204Others 532 563 576 577 569
2,093 2,112 2,137 2,173 1,852
Other Eastern HemisphereAustralia 222 215 190 194 203Others 1,010 1,105 1,098 1,093 1,055
1,232 1,320 1,288 1,287 1,258
USA 2,013 2,516 2,392 2,139 1,317
Other Western HemisphereCanada 300 287 276 263 267Brazil 179 170 168 191 203Others 229 287 305 324 331
708 744 749 778 801
Export salesf 1,011 908 879 1,022 915
Total oil products 7,057 7,600 7,445 7,399 6,143Crude oil 3,695 5,160 4,769 5,025 4,461
Total oil sales 10,752 12,760 12,214 12,424 10,604million tonnes a year
Metric equivalent 527 627 611 621 530
a Sales figures exclude deliveries to other companies under reciprocal purchase and sale arrangements which are in the nature of exchanges. Sales of condensate and natural gas liquids are included.
b In Iran, a Group entity has a 61.57% interest in a joint venture that operates a lubricant oilblending plant and sells lubricants in Iran.
c The Group operates in Sudan through The Shell Company of the Sudan (Shell Sudan), which is anindirect wholly-owned subsidary of Royal Dutch Shell. Shell Sudan’s activities consists of the sale offules and lubricants to retail and commercial customers. Shell Sudan also sold aviation fuels priorto the disposition of this activity in 2005. The Shell Group does not hold any oil or gas reservesin Sudan.
d Export sales as percentage of total oil products sales amount to 14.3% in 2005, 11.9% in 2004,11.8% in 2003, 13.8% in 2002 and 14.9% in 2001.
e By country of destination, except where the ultimate destination is not known at the time of sale,in which case the sales are shown as export sales.
f Export sales as a percentage of total oil sales volumes amount to 9.4% in 2005, 7.1% in 2004,7.2% in 2003, 8.2% in 2002 and 8.6% in 2001.
OIL SALESa
50040 Shell 5 Year_48_53.qxd 25/5/06 1:44 pm Page 52
Oil Products 53
RevenueIFRS US GAAP
$ million
2005 2004 2003 2002 2001
by productGasolines 62,189 55,594 44,830 38,861 30,455Kerosines 21,775 16,308 10,826 9,170 8,710Gas/Diesel oils 63,357 48,304 35,344 28,077 25,735Fuel oil 13,218 9,688 8,424 6,591 5,900Other products 17,505 15,279 13,834 11,420 9,845
Total oil products 178,044 145,173 113,258 94,119 80,645
by geographical areaEurope 55,968 44,010 35,618 30,228 25,077Other Eastern Hemisphere 31,705 25,725 19,957 16,801 17,371USA 49,574 46,500 34,533 26,200 17,199Other Western Hemisphere 19,957 15,116 12,751 10,836 12,118Export sales 20,840 13,822 10,399 10,054 8,880
Total oil products 178,044 145,173 113,258 94,119 80,645
Average product revenueIFRS US GAAP
$ per barrel
2005 2004 2003 2002 2001
by productGasolines 70.88 55.03 44.46 38.22 39.50Kerosines 73.52 53.52 37.18 32.12 35.70Gas/Diesel oils 75.61 55.04 41.90 33.52 36.19Fuel oil 42.91 31.17 28.14 23.82 22.85Other products 68.29 54.95 50.30 40.21 38.14
Total oil products 69.12 52.19 41.68 34.85 35.96
by geographical areaEurope 73.21 56.93 45.67 38.11 37.09Other Eastern Hemisphere 70.52 53.30 42.45 35.77 37.83USA 67.48 50.48 39.56 33.55 35.78Other Western Hemisphere 77.28 55.51 46.64 38.18 41.47Export sales 56.48 41.57 32.41 26.95 26.59
Total oil products 69.12 52.19 41.68 34.85 35.96
OIL SALESa
number of ships million deadweight tonnes2005 2004 2003 2002 2001 2005 2004 2003 2002 2001
Owned/demise-hiredVLCCs (very large crude carriers over 160,000 dwt) 4 5 7 7 7 1.2 1.5 2.1 2.1 2.1Large range (45,000 to 160,000 dwt) 13 11 13 16 16 0.8 0.7 0.9 1.3 1.3Medium range (25,000 to 45,000 dwt) 5 5 5 5 6 0.2 0.2 0.2 0.2 0.2General purpose (10,000 to 25,000 dwt)/Specialist) 5 2 3 2 2 0.1 0.1 0.1 0.1 0.1
27 23 28 30 31 2.3 2.5 3.3 3.7 3.7
Time-charteredb c
VLCCs (very large crude carriers over 160,000 dwt) 1 1 1 1 – 0.3 0.3 0.3 0.3 –Large range (45,000 to 160,000 dwt) 18 19 15 18 17 1.6 1.7 1.3 1.5 1.5Medium range (25,000 to 45,000 dwt) 14 8 13 15 7 0.5 0.3 0.5 0.6 0.3General purpose (10,000 to 25,000 dwt)/Specialist) 13 12 10 6 7 0.3 0.2 0.2 0.1 0.1
46 40 39 40 31 2.7 2.5 2.3 2.5 1.9
Total oil tankers 73 63 67 70 62 5.0 5.0 5.6 6.2 5.6
Owned/demise-hired under construction or on order (oil)d 1 3 – – – 0.1 0.3 – – –
Gas carriersa (at December 31)number of ships thousand cubic metres
2005 2004 2003 2002 2001 2005 2004 2003 2002 2001
Owned/demise-hired (LNG)e 6 6 5 4 2 797 797 662 522 253Time-chartered (LNG)e 1 1 – – – 145 145 – – –Owned/demise-hired (LPG) 0 1 1 1 1 0 60 59 59 59Time-chartered (LPG) 2 2 2 3 2 136 136 136 145 113
Total gas carriers 9 10 8 8 5 1,078 1,138 857 726 425
Owned/demise-hired under construction or on order (LNG)d – – 1 2 4 – – 135 277 556
a Oil tankers, ocean going articulated tug barges and gas carriers of 10 kdwt and above which are owned/chartered by Group companies where the Group equity shareholding is at least 50%.b Time-chartered oil tankers include Consecutive Voyage Charters. c Contracts of affreightment are not included.d Owned/demise hired newbuilding contracts not in service but due for delivery post December 31, 2005.e LNG carriers reported in Gas & Power sector.
SHIPPINGOil tankersa (at December 31)
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54 Royal Dutch Shell plc
IFRS
$ million
2005 2004
Revenue (including inter-segment sales) 34,996 29,497
Purchases (including change in inventories) (29,565) (24,362)
Depreciation (599) (695)
Operating expenses (3,613) (3,205)
Share of profit of equity accounted investments 423 437
Other income/(expense) (9) (25)
Taxation (335) (300)
Segment earnings from continuing operations 1,298 1,347
Income/(loss) from discontinued operations (307) (199)
Segment earnings 991 1,148
Capital investment 599 868
Capital employed 8,522 10,925
thousand tonnes
Sales volumes 22,826 24,160
average numbers in thousands
Employees 8 8
US GAAP
$ million
2003 2002 2001
Revenue (including inter-segment sales) 20,817 15,207 14,250
Purchases (including change in inventories) (16,952) (12,035) (11,041)
Depreciation (678) (401) (404)
Other cost of sales (2,234) (1,518) (1,866)
Operating expenses (1,065) (815) (973)
Share of operating profit of equity accounted investments (165) 213 (27)
Other income/(expense) (43) (13) (4)
Taxation 111 (73) 192
Segment earnings (209) 565 127
Capital investment 599 998 760
Capital employed 10,430 9,506 8,579
thousand tonnes
Sales volumes 23,108 21,393 18,878
average numbers in thousands
Employees 9 9 9
CHEMICALS
> Chemicals produce and sellpetrochemicals to industrial customersglobally. The products are widelyused in plastics, coating anddetergents, which in turn are used initems such as textiles, medicalsupplies and computers.
> Chemicals operate in some 36countries and territories around theworld.
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Chemicals 55
Revenue by geographical areaa
IFRS US GAAP
$ million
2005 2004 2003 2002 2001
Europe 8,981 7,873 5,617 3,994 3,734Other Eastern Hemisphere 4,640 4,530 3,092 2,324 1,642USA 6,564 6,159 4,369 3,548 3,419Other Western Hemisphere 735 616 486 379 283
Total chemical products net proceeds 20,920 19,178 13,564 10,245 9,078Non-chemical products 2,998 2,311 1,622 1,245 1,538
23,918 21,489 15,186 11,490 10,616
Sales volumes by main product categoryb
IFRS US GAAP
thousand tonnes
2005 2004 2003 2002 2001
Base chemicals 13,710 14,184 13,165 10,031 8,760First-line derivatives 8,891 9,499 9,779 9,595 8,849Other 225 477 164 1,767 1,269
22,826 24,160 23,108 21,393 18,878
Sale volumes by regiona
IFRS US GAAP
thousand tonnes
2005 2004 2003 2002 2001
Europe 10,018 10,159 9,902 9,077 8,408Other Eastern Hemisphere 5,252 5,526 5,397 4,672 3,732USA 6,893 7,819 7,108 6,970 6,239Other Western Hemisphere 663 656 701 674 499
22,826 24,160 23,108 21,393 18,878
Ethylene capacityc Group and equity accounted investmentsIFRS US GAAP
2005 2004 2003 2002 2001
Nominal capacity (thousand tonnes/year) 6,414 6,701 6,203 6,023 5,586Capacity utilisation (%) 86 87 90 92 87
Canada
USA
Latin AmericaArgentinaBrazilChileColombiaMexicoVenezuela
The CaribbeanJamaicaPuerto Rico
EuropeDenmarkFranceGermanyGreeceItalyThe NetherlandsPolandSpainSwitzerlandTurkeyUK
AfricaKenyaSouth Africa
Middle EastSaudi ArabiaUnited ArabEmirates
Asia PacificAustraliaChinaJapanMalaysiaNew ZealandPhilippinesSingaporeSouth KoreaTaiwanThailandVietnam
Countries in which Chemicals operate
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56 Royal Dutch Shell plc
a Excluding proceeds from equity accounted investments and chemical feedstock trading.b Excluding volumes sold by equity accounted investments, chemical feedstock trading and by-products.c Data includes Group share of capacity entitlement (offtake rights) that may be different from nominal Group equity interest.d Percentage rounded to the nearest percentage point where appropriate. In locations where the Group’s financial interest varies between plants, the range of these interests is indicated.e Based on the sum of the 100% capacities of processes yielding base, first-line derivatives and other and Group ownership as at December 31, 2005.
Manufacturing: location of principal plants and products (at December 31, 2005)Group Combinedinterest capacity
Products* %d categorye
EuropeFrance Berre 1,2 100 MediumGermany Godorf 1 100 Medium
Heide 1 100 MediumWesseling 1 100 Major
The Netherlands Moerdijk 2 100 MajorPernis 1,2 100 Major
UK Carrington 2 100 MediumFEP 1 50 MediumStanlow 1,2,3 100 MajorWilton 2 45–100 Medium
Other Eastern HemisphereAustralia Geelonge 1,2 100 MediumSaudi Arabia Al-Jubail 1,2 50 MajorSingapore Jurong Island
(Ayer Merbau) 1,2,3 30–70 MajorJurong Island (Seraya) 2 50–100 MajorPulau Bukom 1 100 Medium
Group Combinedinterest capacity
Products* %d categorye
USAAlabama Mobile 1 100 MajorLouisiana Geismar 2 100 Major
Norco 1,3 100 MajorTexas Deer Park 1,2,3 100 Major
Port Arthur 1 62 Medium
Other Western HemisphereCanada
Alberta Scotford 2 100 MediumOntario Sarnia 2,3 50–100 Medium
Puerto Rico Yabucoa 1 100 Major* KeyProducts Combined capacity categoriese
1 Base Major: exceeds one million tonnes per annum.2 First-line derivatives Medium: between approximately one hundred thousand and 3 Other (including one million tonnes per annum.
divested businesses Plants with a combined capacity of less than approximately oneand polyolefins) hundred thousand tonnes per annum are not included in this table.
CHEMICALS
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57
Other industry segmentsIFRS
$ million
2005 2004
Segment earnings (202) (145)
Capital investment 345 243
Capital employed 171 489
US GAAP
$ million
2003 2002 2001
Segment earnings (267) (110) (287)
Capital investment 442 578 340
Capital employed 864 1,611 1,815
OTHERINDUSTRYSEGMENTS
> Other Industry Segments includeRenewables and Hydrogen.
> Renewables develop business basedon renewable sources of energy,including wind and solar power.
> Hydrogen develop businessopportunities in hydrogen and fuel celltechnology.
> Other industry segments operate insome 13 countries around the world.
USA
Latin AmericaBrazil
EuropeFranceGermanyThe NetherlandsUK
AfricaSouth Africa
Asia PacificIndiaIndonesiaJapanPhilippinesSingaporeSri Lanka
Countries in which other industry segments operate
Research and development expenditureIFRS US GAAP
$ million
2005 2004 2003 2002 2001
Total (including depreciation) 588 553 584 472 387
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58 Royal Dutch Shell plc
Financial year ends December 31, 2005
AnnouncementsFull year results 2005 February 2, 2006First quarter results 2006 May 4, 2006Second quarter results 2006 July 27, 2006Third quarter results 2006 October 26, 2006
Dividends – Ordinary shares Class A and Class B including ADRs2005 Fourth quarter interim*Announced February 2, 2006Ex-dividend date February 8, 2006Record date February 10, 2006Payment date March 15, 2006
2006 First quarter interimAnnounced May 4, 2006Ex-dividend date May 10, 2006Record date May 12, 2006Payment date June 14, 2006
2006 Second quarter interimAnnounced July 27, 2006Ex-dividend date August 2, 2006Record date August 4, 2006Payment date September 13, 2006
2006 Third quarter interimAnnounced October 26, 2006Ex-dividend date November 1, 2006Record date November 3, 2006Payment date December 13, 2006
Annual General Meeting May 16, 2006
*The Directors do not propose to recommend any further distribution in respect of 2005.
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Investor RelationsEnquiries from institutional shareholders may be addressed to:
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