Shell announces Q3 2022 results
Published by Emily Thomas,
Deputy Editor
Oilfield Technology,
Shell plc Chief Executive Officer, Ben van Beurden: “Today we are announcing a new share buyback programme resulting in an additional US$4 billion of distributions, which we expect to complete by our Q4 2022 results announcement. Furthermore, we plan to increase the dividend per share (DPS) for the fourth quarter, which will be paid in March 2023, by an expected 15%, subject to Board approval."
Results
Robust performance in a turbulent economic environment with lower crude prices and higher gas prices compared with Q2 2022. Adjusted earnings of US$9.5 billion in Q3 2022, with Adjusted EBITDA of US$21.5 billion.
Strengthening and simplifying the portfolio through the energy transition with completion of the Sprng Energy (India) acquisition, participation in the North Field South LNG expansion (Qatar) in October, the Rosmari-Marjoram field FID (Malaysia), the announced Aera Energy divestment (California, USA) and the acquisition of Shell Midstream Partners (USA).
Disciplined cash CAPEX: expected to be in the US$23 - 27 billion range in 2022, evenly split between Growth, Transition and Upstream pillars.
US$4 billion share buybacks announced, expected to be completed by Q4 2022 results announcement; total distributions in excess of 30% of CFFO for the last four quarters. Subject to Board approval, intention to increase DPS by an expected 15% for the fourth quarter, which will be paid in March 2023. Announced 2022 shareholder distributions ~US$26 billion.
Wael Sawan to succeed Ben van Beurden as Chief Executive Officer, effective 01 January 2023.
Upstream
Strong operational performance in Deep Water, resulting in Upstream benefiting from high-value barrels in Q3 production mix.
Adjusted Earnings benefited from non-cash provision releases and gains related to storage transfer effects in a joint venture.
Production was lower than in Q2 2022, mainly driven by the derecognition of Salym in Russia, along with unscheduled deferments, partly offset by higher scheduled maintenance in Q2.
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/27102022/shell-announces-q3-2022-results/
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