Shell Energy North America Purchases MP2 Energy LLC
Jun 29, 2017
Shell Energy North America (“SENA”) announced today that it has signed a purchase agreement for the acquisition of MP2 Energy LLC (MP2). Subject to regulatory approvals, the transaction is expected to be closed in the 3rd quarter of 2017.
Through self-developed proprietary systems and technology, MP2 provides market based solutions to commercial and industrial customers for managing energy supply, load, and generation. MP2 is unique in its skill set and at the front of the curve when it comes to developing fit for purpose solutions to its customers, which face ever more complicated energy choices.
“We are proud to bring MP2 into the Shell Energy North America family,” said Glenn Wright, VP, SENA. “MP2 has established itself as a significant player in the large end-user electricity market, and achieved its position by combining optimally designed energy solutions and exceptional customer service.”
SENA manages a successful retail energy business targeting large commercial and industrial customers on the west coast of the U.S. With the acquisition of MP2, SENA expands those capabilities and gains capabilities in Texas and throughout the eastern U.S., as well as access to MP2’s top tier network of aggregators, brokers, and consultants. “As Shell continues to expand its energy focus, we will strive to bring customers ever more innovative commodity solutions, including the deployment of new energy management tools,” said Wright.
When this acquisition closes, MP2 will continue to be managed by the existing MP2 management team as a wholly-owned subsidiary of Shell Energy North America. From its offices in The Woodlands, Texas, MP2 will utilize the additional resources that Shell provides to further develop and enhance the leading-edge services and products MP2 is built upon.
Note to editors
SENA and its subsidiaries operate as an integral part of the global Shell Trading network. The company and its subsidiaries trade and market natural gas, wholesale power, environmental and risk management products with counterparties and customers throughout the region. Its customers include large commercial and industrial users, retail energy companies, local gas distribution companies, electric utilities, independent power producers, oil and gas producers, municipalities, and rural electric cooperatives. SENA consistently ranks within the top three gas and power marketers in North America according to Platts. Capabilities include marketing natural gas within the U.S. and Canada, with a sales volume of 10 billion cubic feet per day; marketing wholesale and retail power, with sales topping 270 million megawatt hours annually; and participating in nearly all organized power markets, with access to over 9,500 megawatts of generating capacity across North America.
MP2 Energy is a top-tier power company that manages power plants, delivers retail power to end-use customers, and masters all other aspects of the power markets like asset management, commodity hedging, solar installation and offtake, wind and distributed generation.
- Media Relations - Shell US Media Relations: +1 713 241 4544
Investor Relations - North America: +1 832 337 2034
The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this announcement “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 announcement refer to companies over which Royal Dutch Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has joint control are generally referred to as “joint ventures” and “joint operations” respectively. Entities over which Shell has significant influence but neither control nor joint control are referred to as “associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in a venture, partnership or company, after exclusion of all third-party interest.
This announcement 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’’, ‘‘goals’’, ‘‘intend’’, ‘‘may’’, ‘‘objectives’’, ‘‘outlook’’, ‘‘plan’’, ‘‘probably’’, ‘‘project’’, ‘‘risks’’, “schedule”, ‘‘seek’’, ‘‘should’’, ‘‘target’’, ‘‘will’’ 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 announcement, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserves 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 regulatory measures addressing climate change; (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. There can be no assurance that future dividend payments will match or exceed previous dividend payments. All forward-looking statements contained in this announcement are expressly qualified in their entirety by the cautionary statements contained or referred to in this announcement. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Royal Dutch Shell’s 20-F for the year ended December 31, 2016 (available at www.shell.com/investor and www.sec.gov). These risk factors also expressly qualify all forward looking statements contained in this announcement and should be considered by the reader. Each forward-looking statement speaks only as of the date of this announcement, JUN 29, 2017. Neither Royal Dutch Shell plc 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 announcement.
We may have used certain terms, such as resources, in this announcement that United States Securities and Exchange Commission (SEC) strictly prohibits us from including in our 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 www.sec.gov
You may also be interested in
Oil Products, Gas & Power and Chemicals, by trading natural gas, electrical power, crude oil, refined products, chemical feedstocks and environmental products.
Shell Energy offers a comprehensive suite of tailored products and solutions, including rapidly growing capacity, trading and technical expertise and smart energy solutions, serving customers across the commercial and industrial sectors.