Transcript G&P Gas Course 2007

Selling gas in Europe - and getting it there
Copyright: Shell Energy Europe B.V.
Jorge Santos Silva
Vice President Shell Energy Europe
Shell Energy Europe
Setting the scene: Europe is facing a gas supply gap and growing concerns over supply security
BCM
900
800
Demand
700
600
500
400
Contracted Supplies
300
200
Indigenous Production
100
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Source: Wood Mackenzie
Excludes contract-extensions
2025
2024
2023
2022
2021
2020
2019
2018
2017
2016
2015
2014
2013
2012
2011
2010
2009
2008
0
Changing environment and competitive landscape
Perspective of a pan-European marketer
SEE and/or JV Activity
Regas capacity rights
2003
Regas capacity development
2008
Equity gas production area
Shell JV Interest
Power
Wind
Norway
UK
GasUnie-GTS
GasTerra
Finpipe
Fluxys/Distrigas
NL
Belgium
Norway
BEB Storage
BEBTansport
Avacon/BEB
VNG/BEB
DFTG/BEB
GasTerra
UK
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ESBi
NL
Germany
Ukraine
Austria
France
Spain
BEB Storage
Hungary
France
Italy
Attiki
Spain
ESBi
Italy
Attiki
Turkey
Adequate investment in large infrastructure
• Long Haul Pipelines: which comes first: molecules or transport?
• LNG: in a progressively globalized business balance between value vs cost of
optionality
• Storage: scarce resource and inadequate development
• Interconnectors: adequate development is needed
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Coordination and co-operations is key
Transparent access to infrastructure
• Unbundled TSOs provide for the correct environment
• Transport capacity & Interconnectors:
• access
• harmonised, simplified rules and procedures
• adequate easily accessible transparent information
• integrated tools
• Storage: more flexibility and new products
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More pragmatic regulation is key
…so what does an infrastructure user need
• Sufficient capacity & adequate access for bringing gas to Europe and to
transport it within Europe
• A simple, transparent process to book capacity
• A simple, transparent process to manage capacity
• Improved cross-border transport
• Harmonisation of gas quality specifications
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Strong active forward looking SO who works closely together with market players and
counterparties on European and regional level
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File name
Slide 7
Thank you