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Royal Dutch Shell (RDSA)

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Monday 17 September, 2012

Royal Dutch Shell

Alaska Drilling Update

Royal Dutch Shell Alaska drilling update

17th September 2012, The Hague: Royal Dutch Shell ("Shell") is engaged in a
multi-year drilling programme to explore for new oil & gas resources in
high-potential blocks in offshore Alaska. Important progress has been made with
this programme, with two drill ships, more than twenty support vessels, an
approved capping stack, and other redundant oil spill response equipment
already in position. Shell continues to demonstrate the strength and extent of
its Arctic preparations. 

Over the last several days, Shell has successfully completed a series of tests
of the first-ever Arctic Containment System. However, during a final test, the
containment dome aboard the Arctic Challenger barge was damaged. It is clear
that some days will be required to repair and fully assess dome readiness. We
are disappointed that the dome has not yet met our stringent acceptance
standards; but, as we have said all along, we will not conduct any operation
until we are satisfied that we are fully prepared to do it safely.

The time required to repair the dome, along with steps we have taken to protect
local whaling operations and to ensure the safety of operations from ice floe
movement, have led us to revise our plans for the 2012-2013 exploration
program. In order to lay a strong foundation for operations in 2013, we will
forgo drilling into hydrocarbon zones this year. Instead, we will begin as many
wells, known as `top holes,' as time remaining in this season allows. The top
portion of the wells drilled in the days and weeks ahead will be safely capped
and temporarily abandoned this year, in accordance with regulatory
requirements. We look forward to the final receipt of our drilling permits for
the multi-year exploration program upon the successful testing and deployment
of the Arctic Containment System.

These capabilities have, most recently, been evident in Shell's ice management
operations as it successfully moved one of its drill ships and support vessels
safely out of the path of approaching sea ice. That drill ship, the Noble
Discoverer, is expected to resume its position and drilling operations over the
`Burger A' prospect in the days ahead.

Also, in the coming days, Shell is expected to begin exploratory drilling in
the Beaufort Sea. These operations will follow the conclusion of the fall whale
hunt and the anticipated receipt of a top hole drilling permit.

We have tested and assembled drill ships and support vessels, trained
personnel, and acquired numerous final approved plans and permits. This
exploration program remains critically important to America's energy needs, to
the economy and jobs in Alaska, and to Shell.

Shell Media Relations
International, UK, European Press: +44 207 934 5550 
Shell Investor Relations
Europe - Tjerk Huysinga: + 31 70 377 3996 
United States - Ken Lawrence: +1 713 241 2069

Cautionary note
The companies in which Royal Dutch Shell plc directly and indirectly owns
investments are separate entities. In this release "Shell", "Shell group" and
"Royal Dutch Shell" are sometimes used for convenience where references are
made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the
words "we", "us" and "our" are also used to refer to subsidiaries in general or
to those who work for them. These expressions are also used where no useful
purpose is served by identifying the particular company or companies.
``Subsidiaries'', "Shell subsidiaries" and "Shell companies" as used in this
release refer to companies in which Royal Dutch Shell either directly or
indirectly has control, by having either a majority of the voting rights or the
right to exercise a controlling influence. The companies in which Shell has
significant influence but not control are referred to as "associated companies"
or "associates" and companies in which Shell has joint control are referred to
as "jointly controlled entities". In this release, associates and jointly
controlled entities are also referred to as "equity-accounted investments". The
term "Shell interest" is used for convenience to indicate the direct and/or
indirect (for example, through our 23% shareholding in Woodside Petroleum Ltd.)
ownership interest held by Shell in a venture, partnership or company, after
exclusion of all third-party interest.

This release contains forward-looking statements concerning the financial
condition, results of operations and businesses of Royal Dutch Shell. All
statements other than statements of historical fact are, or may be deemed to
be, forward-looking statements. Forward-looking statements are statements of
future expectations that are based on management's current expectations and
assumptions and involve known and unknown risks and uncertainties that could
cause actual results, performance or events to differ materially from those
expressed or implied in these statements. Forward-looking statements include,
among other things, statements concerning the potential exposure of Royal Dutch
Shell to market risks and statements expressing management's expectations,
beliefs, estimates, forecasts, projections and assumptions. These
forward-looking statements are identified by their use of terms and phrases
such as ``anticipate'', ``believe'', ``could'', ``estimate'', ``expect'',
``intend'', ``may'', ``plan'', ``objectives'', ``outlook'', ``probably'',
``project'', ``will'', ``seek'', ``target'', ``risks'', ``goals'', ``should''
and similar terms and phrases. There are a number of factors that could affect
the future operations of Royal Dutch Shell and could cause those results to
differ materially from those expressed in the forward-looking statements
included in this release, including (without limitation): (a) price
fluctuations in crude oil and natural gas; (b) changes in demand for the
Shell's products; (c) currency fluctuations; (d) drilling and production
results; (e) reserve estimates; (f) loss of market share and industry
competition; (g) environmental and physical risks; (h) risks associated with
the identification of suitable potential acquisition properties and targets,
and successful negotiation and completion of such transactions; (i) the risk of
doing business in developing countries and countries subject to international
sanctions; (j) legislative, fiscal and regulatory developments including
potential litigation and regulatory measures as a result of climate changes;
(k) economic and financial market conditions in various countries and regions;
(l) political risks, including the risks of expropriation and renegotiation of
the terms of contracts with governmental entities, delays or advancements in
the approval of projects and delays in the reimbursement for shared costs; and
(m) changes in trading conditions. All forward-looking statements contained in
this release are expressly qualified in their entirety by the cautionary
statements contained or referred to in this section. Readers should not place
undue reliance on forward-looking statements. Additional factors that may
affect future results are contained in Royal Dutch Shell's 20-F for the year
ended 31 December, 2011 (available at and -
opens in new window). These factors also should be considered by the reader.
Each forward-looking statement speaks only as of the date of this release,
September 17, 2012. Neither Royal Dutch Shell nor any of its subsidiaries
undertake any obligation to publicly update or revise any forward-looking
statement as a result of new information, future events or other information.
In light of these risks, results could differ materially from those stated,
implied or inferred from the forward-looking statements contained in this
release. There can be no assurance that dividend payments will match or exceed
those set out in this release in the future, or that they will be made at all.

The United States Securities and Exchange Commission (SEC) permits oil and gas
companies, in their filings with the SEC, to disclose only proved reserves that
a company has demonstrated by actual production or conclusive formation tests
to be economically and legally producible under existing economic and operating
conditions.  We use certain terms in this release, such as resources and oil in
place that SEC's guidelines strictly prohibit us from including in filings with
the SEC.  U.S. Investors are urged to consider closely the disclosure in our
Form 20-F, File No 1-32575, available on the SEC website - opens in
new window. You can also obtain these forms from the SEC by calling

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