Shell joins BP, which last year announced it too would not be buying shale oil from the twins. Southern Pacific shares fell 1c to finish at 51c after the announcement, a level not since the mid-nineties.
While Shell denies it, many insiders believe the decision was greatly influenced by Greenpeaces' campaign to have the plant shut down. Greenpeace believes the extracting and burning of oil from shale produces more carbon dioxide per unit of energy than any other fossil fuel.
The oil shale twins will complete their merger this week after CPM said it would apply to the Federal Court of Australia for an order approving its merger with SPP. If the court approves the order, CPM said it would look to cease trading its shares on the ASX on the 28 February.
