Shell settles loss of profit insurance claims related to January 2003 fire

CALGARY, June 27 /CNW/ - Shell Canada announced today that it has
achieved final settlement with insurance underwriters on a loss of profit
claim related to the January 6, 2003 fire at the Muskeg River Mine.
Shell's share of proceeds from the final settlement will be recorded in
the second quarter of 2005, resulting in an after-tax earnings contribution of
$82 million. Physical damage claims related to the fire were previously
settled with insurers.
The Athabasca Oil Sands Project consists of the Muskeg River Mine located
north of Fort McMurray, Alberta and the Scotford Upgrader located near
Edmonton and is a joint venture among Shell Canada Limited (60 per cent),
Chevron Canada Limited (20 per cent) and Western Oil Sands L.P. (20 per cent).

This document contains "forward-looking statements" based upon current
expectations, estimates and projections of future production, project startup
and future capital spending. Forward-looking statements include, but are not
limited to, references to future capital and other expenditures, drilling
plans, construction activities, the submission of regulatory applications,
refining margins, oil and gas production levels, resources and reserves
estimates.

Readers are cautioned not to place undue reliance on forward-looking
statements. Forward-looking statements involve numerous risks and
uncertainties that could cause actual results to differ materially from those
anticipated by the Corporation. These risks and uncertainties include, but are
not limited to, the risks of the oil and gas industry (including operating
conditions and costs), demand for oil, gas and related products, disruptions
in supply, project schedules, the uncertainties involving geology of oil and
gas deposits, the uncertainty of reserves estimates, fluctuations in oil and
gas prices and foreign currency exchange rates, general economic conditions,
commercial negotiations, changes in law or government policy, and other
factors, many of which are beyond the control of the Corporation.