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Shell takes Argentina to court over fuel price ban

Royal Dutch Shell Plc, refiner of almost 15% of Argentina’s fuel, sued the government over a prohibition that prevents fuel producers from increasing prices in the country, Bloomberg reports. Shell’s court complaint follows Argentina’s order mandating oil companies to lower fuel prices to pre-August 1 levels. During the first half of 2010, fuel prices rose 21% in the country, according to a Buenos Aires-based energy research company. Shell has battled the Argentine government over fuel prices in the last few years. As a result, in 2005, then-President Nestor Kirchner urged consumers to boycott the company. In 2007, the government closed a Shell refinery, alleging environmental concerns. (August 24, 2010)