LNG liquefaction volumes were slightly higher on the quarter, averaging 8 million tonnes. Shell's fuel sales averaged 4.3 million barrels per day in the quarter, down from 4.45 million bpd in the previous quarter, Shell said. Earnings from oil trading are set to be "significantly higher" in the quarter.Ĭashflow in the quarter would be negatively impacted by "very significant" outflows of around $7 billion as a result of changes in the value of oil and gas inventories. Shell, the world's largest liquefied natural gas trader, said earnings from LNG trading were expected to be higher in the quarter compared with the previous three months. The unprecedented volatility in commodity prices in recent months has pushed several traders to the brink as they scrambled to sharply increase downpayments for oil and LNG cargoes. Shell did not provide any guidance on the future of its stakes in Russian projects.īenchmark oil prices soared to an average of more than $100 a barrel in the quarter, their highest since 2014, while European gas prices hit a record high. Shell said it will exit all its Russian operations, including a major liquefied natural gas plant in the Sakhalin peninsula in the eastern flank of the country. By taking a modular approach to the design of battery systems. The start of 2022 marked one of the most turbulent periods in decades for the oil and gas industry as Western companies including Shell rapidly pulled out of Russia, severing trading ties and winding down joint ventures following Moscow's invasion of Ukraine. Indicate by check mark whether the registrant is a shell company (as defined in Rule. Royal Dutch Shell Plc said it will write down between 15 billion and 22 billion in the second quarter, as the company gave investors a wider glimpse of just how severely the coronavirus crisis. Shell shares were down 1.2% at the start of London trading. Operating profit fell 10, cushioned by a. The increase was due to additional potential impacts around contracts, writedowns of receivables, and credit losses in Russia, a Shell spokesperson said. Despite the writedown, Berkshire said second-quarter net income surged 87 because of gains in stock investments such as Apple Inc as markets rebounded. Shell, whose market capitalisation is around $210 billion, had previously said the Russia writedowns would reach around $3.4 billion. Together with cash and cash equivalents of circa $ 20 billion, available liquidity will rise from $ 30 billion to more than $40 billion, with access to extensive commercial paper programmes,” the oil-giant assured.The post-tax impairments of between $4 billion and $5 billion in the first quarter will not impact the company's earnings, Shell said in an update ahead of its earnings announcement on May 5. This is in addition to the $10 billion credit facility signed in December 2019. “Reflecting the Shell Group’s prudent balance sheet policy and to enhance financial flexibility, Shell has a new $12 billion revolving credit facility commitment. It however allayed concerns by investors noting that its liquidity remains strong. We expect to provide further updates about the impact on our outlook in the first quarter results announcement,” the statement said. In October, Shell, the world’s biggest LNG trader, wrote down the value of its LNG portfolio by just under 1 billion, focusing on its flagship Prelude project in Australia. “The impact of the dynamically evolving business environment on first quarter results is being primarily reflected in March with a relatively minor impact in the first two months. Royal Dutch Shell took a big writedown on the value of North American shale assets, which combined with trouble in its Nigeria operations to wipe a fifth off its quarterly profits. In integrated gas, production is expected to be between 920 and 970 thousand barrels of oil equivalent per day, including additional volumes from the Egypt offshore assets that were previously reported in the Upstream segment. Shell’s first quarter oil production was expected to fall by 4.5% versus the fourth quarter of 2019, while liquefied natural gas (LNG) volumes were set to decline by 2.3%.
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