Shell to Boost Deepwater Production in Brazil

SHELL TO BOOST DEEPWATER PRODUCTION IN BRAZIL Decision to move forward with two projects at existing developments enhancesoffshore portfolio. July 22, 2013 - THE HAGUE - Shell, and its partners, are expecting to boostproduction with two new deepwater projects at Parque das Conchas (BC-10) andthe Bijupirá/Salema fields. "Offshore Brazil is a key part of our plans to grow our deepwater portfolio - akey component of our global strategy," said John Hollowell, Executive VicePresident for Deep Water, Shell Upstream Americas. "We look forward tocontinuing the work with our partners in offshore Brazil to develop theresources in a safe and responsible way." For Parque das Conchas (BC-10), Shell and its partners Petrobras and ONGC, havedecided to move forward with Phase 3 of the project, which will include theinstallation of subsea-infrastructure at the Massa and Argonauta O-Southfields. These fields will be tied-back to the Espírito Santo - the floating,production, storage and offloading vessel (FPSO) - that is at the center of theParque das Conchas development. Once online, Phase 3 of the BC-10 project is expected to reach a peakproduction of 28,000 barrels of oil equivalent (boe) per day (Shell share 50%,Petrobras 35%, ONGC 15%). Since coming on-stream in 2009, the BC-10 project hasproduced more than 70 million boe. Phase 2 of the project, to tie-in theArgonauta O-North field, continues to progress and is expected to come onlinelate 2013 with a peak production of 35,000 boe per day (Shell share 50%,Petrobras 35%, ONGC 15%). At the Bijupirá/Salema fields, a re-development is underway that includes thedrilling of four new production wells. This is expected to boost productionfrom these fields to a peak of 35,000 boe per day in 2014 (Shell share 80%,Petrobras 20%). The Bijupirá/Salema fields have produced close to 100 millionboe since startup in 2003. Inquiries: Media:Shell US Media Relations +1 713 241 4544Shell International Media Relations +44 (0) 20 7934 5550 Shell Brazil Media Relations +55 21 3984 7413 Investor Relations: North America +1 713 241 1042International + 31 (0) 70 377 4540 Editors Notes: * Shell is currently operating two FPSOs in Brazil's offshore - the Espírito Santo at Parque das Conchas and the Fluminense at the Bijupirá/Salema fields. * Photographs and a map are available here. Cautionary Note The companies in which Royal Dutch Shell plc directly and indirectly ownsinvestments are separate entities. In this announcement "Shell", "Shell group"and "Royal Dutch Shell" are sometimes used for convenience where references aremade to Royal Dutch Shell plc and its subsidiaries in general. Likewise, thewords "we", "us" and "our" are also used to refer to subsidiaries in general orto those who work for them. These expressions are also used where no usefulpurpose is served by identifying the particular company or companies.``Subsidiaries'', "Shell subsidiaries" and "Shell companies" as used in thisannouncement refer to companies over which Royal Dutch Shell plc eitherdirectly or indirectly has control. Companies over which Shell has jointcontrol are generally referred to "joint ventures" and companies over whichShell has significant influence but neither control nor joint control arereferred to as "associates". In this announcement, joint ventures andassociates may also be referred to as "equity-accounted investments". The term"Shell interest" is used for convenience to indicate the direct and/or indirect(for example, through our 23% shareholding in Woodside Petroleum Ltd.)ownership interest held by Shell in a venture, partnership or company, afterexclusion of all third-party interest. This announcement contains forward-looking statements concerning the financialcondition, results of operations and businesses of Royal Dutch Shell. Allstatements other than statements of historical fact are, or may be deemed tobe, forward-looking statements. Forward-looking statements are statements offuture expectations that are based on management's current expectations andassumptions and involve known and unknown risks and uncertainties that couldcause actual results, performance or events to differ materially from thoseexpressed or implied in these statements. Forward-looking statements include,among other things, statements concerning the potential exposure of Royal DutchShell to market risks and statements expressing management's expectations,beliefs, estimates, forecasts, projections and assumptions. Theseforward-looking statements are identified by their use of terms and phrasessuch as ``anticipate'', ``believe'', ``could'', ``estimate'', ``expect'',``goals'', ``intend'', ``may'', ``objectives'', ``outlook'', ``plan'',``probably'', ``project'', ``risks'', "schedule", ``seek'', ``should'',``target'', ``will'' and similar terms and phrases. There are a number offactors that could affect the future operations of Royal Dutch Shell and couldcause those results to differ materially from those expressed in theforward-looking statements included in this announcement, including (withoutlimitation): (a) price fluctuations in crude oil and natural gas; (b) changesin demand for Shell's products; (c) currency fluctuations; (d) drilling andproduction results; (e) reserves estimates; (f) loss of market share andindustry competition; (g) environmental and physical risks; (h) risksassociated with the identification of suitable potential acquisition propertiesand targets, and successful negotiation and completion of such transactions;(i) the risk of doing business in developing countries and countries subject tointernational sanctions; (j) legislative, fiscal and regulatory developmentsincluding regulatory measures addressing climate change; (k) economic andfinancial market conditions in various countries and regions; (l) politicalrisks, including the risks of expropriation and renegotiation of the terms ofcontracts with governmental entities, delays or advancements in the approval ofprojects and delays in the reimbursement for shared costs; and (m) changes intrading conditions. All forward-looking statements contained in thisannouncement are expressly qualified in their entirety by the cautionarystatements contained or referred to in this section. Readers should not placeundue reliance on forward-looking statements. Additional risk factors that mayaffect future results are contained in Royal Dutch Shell's 20-F for the yearended December 31, 2012 (available at www.shell.com/investorand www.sec.gov ).These risk factors also expressly qualify all forward looking statementscontained in this announcement and should be considered by the reader. Eachforward-looking statement speaks only as of the date of this announcement, July22, 2013. Neither Royal Dutch Shell plc nor any of its subsidiaries undertakeany obligation to publicly update or revise any forward-looking statement as aresult of new information, future events or other information. In light ofthese risks, results could differ materially from those stated, implied orinferred from the forward-looking statements contained in this announcement. We may have used certain terms, such as resources, in this announcement thatUnited States Securities and Exchange Commission (SEC) strictly prohibits usfrom including in our filings with the SEC. U.S. Investors are urged toconsider closely the disclosure in our Form 20-F, File No 1-32575, available onthe SEC website www.sec.gov. You can also obtain these forms from the SEC bycalling 1-800-SEC-0330.