Shell Shuns New Oil-Sands Projects as Low Prices Force Cost Control
- Rivals Exxon and Conoco recently posted oil-sands writedowns
- Outlook for ample oil supply may favor low-cost producers: BP
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Royal Dutch Shell Plc is unlikely to take on new oil-sands projects as it maintains a grip on costs after crude’s crash forced competitors to write down Canadian reserves.
While Shell’s existing oil-sands operations generate strong cash flows, the expense of developing new projects discourages additional investments, Chief Executive Officer Ben Van Beurden said in an interview.