Shell Again Most Sustainable/Ethical Oil Company in 2006



For the third year running, Shell ranks the most sustainable/ethical company, followed by BP and Brazil's Petrobras, according to a study by the Madrid ethics rating firm Management & Excellence (M&E).

Shell substantially improved from 82% (2005) to 89%. It supports 12 codes of human rights and its board met a record 29 times in 2004, compared with 8 at BP. It offers grievance channels for employees in over 50 countries and is implementing 120 biodiversity projects worldwide. No oil company studied was as transparent as Shell, publishing 13 separate reports on topics ranging from environmental impact to animal testing. Caught in a scandal two years ago for misrepresenting its oil reserves, Shell now publishes a 40-page report on how its reserves calculations comply with SEC guidelines.

                               Ranking

                    1.  Shell            89.01%
                    2.  BP               83.52%
                        Petrobras        83.52%
                    4.  Statoil          83.15%
                    5.  Total            76.19%
                    6.  Norsk Hydro      73.26%
                        Repsol           73.26%
                    8.  Chevron          72.53%
                    9.  ExxonMobil       68.13%
                    10. Conoco           66.30%
                    11. Pemex            62.64%
                    12. ENI              62.27%
                    13. Lukoil           58.61%
                    14. Gazprom          35.90%
                    15. Petronas         20.15%

Brazil's Petrobras, moves up this year from 7th (2005) to 2nd place. While Exxon scored 80% in 2005, it only achieved 68.1% this year, owing to gaps in reporting and thus dropping it from 2nd to 9th place in 2006. Exxon gives little information on employee performance measurement systems, supplier management, and is not listed in the FTSE4Good or Dow Jones Sustainability indices.

Other companies are improving their transparency. Russia's Lukoil manages to raise its total score by 23 percentage points from 35% to 58.61%, or a jump of 67%. In September 2005 Lukoil released its first sustainability report, which more than doubled its transparency score from 29% (2005) to 62% (2006).

Management & Excellence (M&E) was one of the first companies to research and rate companies in sustainability and ethical areas, specializing in the oil business and Latin America. The current study "World's Most Sustainable and Ethical Oil Companies" analyzes companies according to their actual compliance with over 280 internationally recognized standards in sustainability, corporate governance, social responsibility (CSR) and ethics customized to the oil industry.

RELATED COMPANIES
Company: BP plc more info
Operates 33 Offshore Rigs
 - Exxon, BP Targeted in NYC Suit That Relies on 'Nuisance' Theory (Jan 10)
 - Owners of Louisiana-Illinois Pipeline Eye Reversal Next Steps (Dec 21)
 - Canadian Offshore Oil Interest Grows As Pipeline Woes Sink Alberta Prices (Dec 20)
Company: Exxon Mobil Corporation more info
Operates 16 Offshore Rigs
 - ExxonMobil Reports Papua New Guinea Discovery (Jan 16)
 - Exxon, BP Targeted in NYC Suit That Relies on 'Nuisance' Theory (Jan 10)
 - ExxonMobil Reports More Offshore Guyana Success (Jan 05)
Company: Lukoil more info
 - Romania Closes One Case Against Russia's Lukoil, Related Trial Still On (Nov 17)
 - Transneft: Oil Supplies to Lukoil's Norsi Refinery Suspended Due to Fire (Oct 05)
 - Russia's Lukoil Eyes Decade Of Oil Output Growth (Sep 20)
Company: Norsk Hydro ASA more info
Operates 1 Offshore Rigs
 - Sentry Petroleum Appoints Former Norsk Hydro Analyst to Board of Directors (Dec 29)
 - Hydro Under Investigation for Former Libya Oil Operations (Oct 07)
 - SeaBird First Contract Award for SeaBed Operations (Apr 28)
Company: OAO Gazprom more info
 - Ukraine And Russia Both Claim Victory In Gas Dispute (Dec 22)
 - Gazprom to Splurge on EU Gas Pipe as US Weighs Penalties (Dec 19)
 - Court Rejects PGniG's Attempt To Limit Gazprom's Use Of Opal Pipeline (Oct 13)
Company: Petrobras more info
Operates 34 Offshore Rigs
Manages 10 Offshore Rigs
 - Exxon, Petrobras Form Alliance To Develop Oil, Gas Projects (Dec 14)
 - Natural Gas In Petrobras Pipelines Up About 23% In 2017 (Dec 05)
 - Petrobras CEO Says To Discuss Refining Partnership With CNPC CEO (Nov 15)
Company: Shell more info
Operates 30 Offshore Rigs
 - UK Firm Intertek Says Employee Involved in Shell Oil Theft Case (Jan 17)
 - Shell Looks Beyond Road Fuels to Secure Future of Refining (Nov 06)
 - API Panel Member: Voluntary Methane Program Forthcoming (Oct 06)
Company: Statoil more info
Operates 1 Offshore Rigs
 - Statoil May Build Onshore Terminal for Castberg Oil -Minister (Jan 16)
 - Canadian Offshore Oil Interest Grows As Pipeline Woes Sink Alberta Prices (Dec 20)
 - Sharp Fall In Applications For Norway's Arctic Oil Permits (Dec 05)
Company: Total S.A. more info
 - Total Starts Up Antwerp Refinery And Petrochem Complex After Upgrade (Nov 30)
 - Hoegh LNG: Pakistan LNG Import Project Consortium Folds (Nov 16)
 - France's Total Buys Engie's LNG Business For $1.5B (Nov 08)
Company: ConocoPhillips more info
Operates 12 Offshore Rigs
 - Exxon, BP Targeted in NYC Suit That Relies on 'Nuisance' Theory (Jan 10)
 - ConocoPhillips Vows Financial Discipline As Aims To Boost Output (Nov 08)
 - ConocoPhillips' Profit Beats Estimates, But Budget Cut 10% (Oct 26)
Company: Chevron Corporation more info
 - Oil Producers Want New Hearing on Impact of Magellan Proposal (Jan 17)
 - Exxon, BP Targeted in NYC Suit That Relies on 'Nuisance' Theory (Jan 10)
 - Angola LNG Production Setback Prompts Tender Cancellation (Jan 08)
Company: ENI more info
Operates 11 Offshore Rigs
 - BSEE: Italy's Eni Begins Drilling Oil Well In Alaska's Beaufort Sea (Dec 27)
 - Eni 'Mission Impossible' Points to Seismic Shift for Big Oil (Dec 22)
 - Sanction-Proof Oil Rig Beats US Policy From Cuba to Russia (Dec 19)
Company: PETRONAS more info
Operates 10 Offshore Rigs
 - After Europe's Gas Market Disasters, LNG May Come to the Rescue (Dec 12)
 - Petronas Unit Agrees Share Swap With Shell's Africa Operator (Dec 05)
 - Malaysia's Petronas Asked To Exit Myanmar In Protest Of Rohingya Crisis (Nov 08)
Company: Pemex more info
Operates 45 Offshore Rigs
 - Mexico Says Deepwater Oil Tender Doomed By Brazil Competition (Dec 08)
 - Sources: Mexico's Pemex Declares Force Majeure On Isthmus Crude Oil (Nov 29)
 - Mexico's Pemex Makes Biggest Onshore Oil Find in 15 Years - President (Nov 03)
Company: Repsol more info
 - Exxon Mobil Bets on Brazil, Buys 10 Oil Blocks in Auction (Sep 28)
 - Repsol Says Drilling Suspended On Vietnam Oil Block Disputed By China (Aug 02)
 - China Urges Halt To Oil Drilling In Disputed South China Sea (Jul 25)