Shell Share Discussion Threads

[grupo guitarlumber] 10/9/2023 18:39

Upcoming events on Shell plc


2023-nov-02 03:00 am Q3 2023 Earnings Release

[drewcole] 10/9/2023 00:00

"Shell stock shows potential for long-term growth."

[davidmarquez] 09/9/2023 23:46

"Shell stock shows potential for long-term growth."

[coreyhawkins] 09/9/2023 22:26

"Shell stock shows potential for long-term growth."

[crowndembovcvyad] 09/9/2023 20:09

"Shell stock shows potential for long-term growth."

[waldron] 22/1/2022 20:11

great stuff

[gateside] 22/1/2022 18:29

Link to new Shell thread - I'll edit the charts when the new ticker - SHEL - goes live on Tuesday

[grupo guitarlumber] 17/1/2022 16:38

Can we pencil in atleast a 11pc share price RISE BETWEEN NOW AND EARLY FEB if nothing its the fan

[grupo guitarlumber] 17/1/2022 16:29

In a research note, Deutsche Bank analyst James Hubbard has maintained his recommendation on the stock with a Buy rating. The target price is unchanged and still at GBX 2038.

[waldron] 14/1/2022 09:02

JP Morgan's analyst Christyan Malek upgrades his rating from Sell to Buy. The target price remains unchanged at GBX 2500.

[waldron] 12/1/2022 14:42

seeking alpha


Morgan Stanley's 2022 outlook for European oils -- bullish

Jan. 12, 2022 8:50 AM ETBP, EQNR, TTE, E, RDS.A, USO, CO1:COM

By: Nathan Allen, SA

News Editor

Rise in gasoline prices concept with double exposure of digital screen with financial chart graphs and oil pumps on a field.


Morgan Stanley's commodities strategist and head of European oils, Martijn Rats, is out with a note this morning detailing his view of the year ahead for European energy - he remains constructive, with many of the factors contributing to 2021 outperformance driving repeated outperformance in 2022.

Starting with the commodity, the Bank sees Brent oil prices (CO1:COM) (NYSEARCA:USO) hitting $90 a barrel later this year, as low inventories, low spare capacity, and low investment drive prices higher; the bank assumes an average Brent price of $78 in 2022.

Improved cash flow management will lead the five European majors (Total (NYSE:TTE), Equinor (NYSE:EQNR), Shell (NYSE:RDS.A), Eni (NYSE:E), BP (NYSE:BP)) to generate $76b in free cash flow during 2022, or ~14% of their combined market caps -- this is double what these companies generated in all of 2011-2014, when Brent was above $100.

The bank anticipates a rotation out of growth stocks, into value stocks during 2022, and thinks energy will be a direct beneficiary, given the compelling 14% free cash flow yield and average 8% shareholder payout.

Finally, Mr. Rats thinks the ongoing energy crisis could change perceptions about the industry, driving investors to reconsider the "benefits" of divestment.

Top pick remains Shell (RDS.A) given his view that the dividend will rise faster than the market expects (and faster than Management has guided); additionally the market will begin to ascribe value to Shell's ability to allocate capital to the energy transition.

ENI (E) is also buy rated, given the potential to unlock value as the Company plans to partially list its retail and renewables businesses; the dividend framework also ties payouts to the oil price, which leads to a ~7% yield in Morgan Stanley's forecast.

The focus on Shell is in-line with most Wall Street peers, as robust free cash flow, gas-heavy commodity exposure, and underperformance have earned the stock several buy ratings into 2022; Eni however, is a non-consensus pick and will be interesting to watch as the year unfolds.

[maywillow] 10/1/2022 16:36

Brits face a massive increase in energy bills. BP and Shell could be on the hook to pay

By Charles Riley, CNN Business

Updated 1221 GMT (2021 HKT) January 10, 2022





London (CNN Business)The UK government is coming under mounting pressure to increase taxes on oil and gas companies, including BP and Shell. The aim: to help British households cope with skyrocketing energy bills.

The main opposition Labour Party this weekend called on Prime Minister Boris Johnson to impose a windfall tax on companies pumping oil and gas from the North Sea, saying that the money raised could be used to cut £200 ($272) from soaring household bills.

The party reportedly says the rate of corporate tax the companies pay should be increased by 10 percentage points for a year. That would also allow the government to increase energy subsidies for the poorest households to £400 ($545) per year from £140 ($190).

British consumers will pay roughly £790 ($1,075) more to heat and light their homes this year, according to Bank of America, following a dramatic surge in wholesale energy prices that has caused dozens of UK energy suppliers to collapse in recent months.

Wholesale European gas prices have jumped by 400% over the previous year and electricity prices have increased by 300%, according to Bank of America. The increases have been driven by cold weather, nuclear plant outages in France and reduced gas flow from Russia.

BP (BP) and Shell (RDSA) both operate in the North Sea, and have benefited from rising gas and oil prices.

BP CEO Bernard Looney told the Financial Times in November that surging commodity prices had turned the company into a "cash machine." The company posted profits of $3.3 billion in the third quarter of 2021, and said it planned to return an extra $1.25 billion to shareholders.

Shell made more than $4 billion in the quarter, and is also rewarding investors with a $7 billion share buyback program as it returns cash from the sale of its shale assets in the Permian Basin, which stretches from Texas to New Mexico.

Industry group OGUK, which represents UK offshore producers including Shell and BP, said last week that a windfall tax would make energy companies less likely to invest in the country, causing "irreparable damage to the industry" that would "leave consumers even more exposed to global shortages."

UK households are already under pressure from inflation of more than 5% and they face a sharp rise in costs in April, when a cap on energy prices will be raised. The poorest 10% of households will see their spending on energy increase from 8.5% of their total budget to 12%, according to the Resolution Foundation.

"Proceeding with such a large, overnight bill rise without mitigating measures at a time when real wages are likely to be falling looks completely untenable," the group said in a report published in late December.

The UK government has so far rejected calls for a windfall tax on North Sea producers, even as other European countries take action to shield consumers from the sharp increase in prices.

"What Labour are putting out just doesn't add up. A windfall tax on oil and gas companies, who are already struggling in the North Sea, is never going to cut it," cabinet minister Nadhim Zahawi told LBC radio on Sunday. "The best way to help people is to make sure there is a job available to them."

European households will pay €650 ($735) more for energy this year, bringing average spending to €1,850 ($2,095), according to Bank of America. Consumers in the United Kingdom and Italy face the largest increases of the major economies in western Europe.

[maywillow] 10/1/2022 16:16

Shell contracts Thyssenkrupp for 200-MW green hydrogen project in Rotterdam


January 10 (Renewables Now) - German industrial group Thyssenkrupp AG (ETR:TKA) today said it will construct a 200-MW green hydrogen plant for Royal Dutch Shell Plc (AMS:RDSA) in the port of Rotterdam in the Netherlands.

Shell has contracted Thyssenkrupp Uhde Chlorine Engineers to engineer, procure and fabricate the electrolysis plant, called Hydrogen Holland I.

Electricity for the hydrogen production will be provided by the Hollandse Kust (Noord) offshore wind farm through guarantees of origin. The 759-MW wind farm is being developed by Shell and Eneco in the Dutch North Sea.

The facility will use Thyssenkrupp Uhde Chlorine Engineers' 20-MW alkaline water electrolysis modules and will produce green hydrogen for industry and the transport sector. The hydrogen can be transported via a 40-km (25 miles) pipeline to Shell’s Energy and Chemicals Park Rotterdam, Thyssenkrupp said.

While Shell is yet to make a final investment decision on the project, Thyssenkrupp expects construction work for the electrolysers to start in the spring. The project is targeted to begin production in 2024.

Thyssenkrupp Uhde Chlorine Engineers is a joint venture with Italy’s Industrie De Nora, where Thyssenkrupp Industrial Solutions is the majority shareholder.

Last year, Australian engineering group Worley Ltd (ASX:WOR) unveiled an early engineering services contract from Shell for the Holland Hydrogen I project.

[grupo guitarlumber] 10/1/2022 11:46

Crude Oil Futures Surge on Signs of Resilient Demand, ANZ Bank Says
01/10/2022 | 10:46am GMT


(MT Newswires) -- Crude oil futures surged on signs of resilient demand, which helped ease concerns over the coronavirus, Australia's ANZ Bank said in a Monday note.

Vehicle usage in key markets such as Europe and the US remained relatively unchanged in late December from earlier in the month, even with a surge in coronavirus cases, the bank noted. In Asia, road traffic also has not been reduced by omicron as diesel sales in India approached pre-pandemic levels in December, ANZ Bank said.

Meanwhile, supply struggles to grow amid unrest and protests in Kazakhstan and similar issues crimping production in Libya, according to ANZ Bank.

The Organization of the Petroleum Exporting Countries is not expected to raise output as members and OPEC allies struggle to achieve their targets, the bank said. Russia failed to boost output in December and Nigeria is experiencing disruptions at loading facilities. In Canada and the US, a deep freeze has disrupted oil flows.

European gas markets are on a roller coaster ride as the last week of December saw prices fall amid a sharp rise in US LNG shipments into Europe, ANZ Bank said. Dutch gas futures dropped over 50% from record highs to end the year just under 70 euros per megawatt hour. However, reduced Russian gas pushed futures back above 85 euros/MWh last week, the bank said.

Current pipeline bookings from Europe remain limited, which could lead to an increased reliance on LNG to boost inventories, ANZ Bank noted. However, lower coal supply from Indonesia could mean that consumers in nearby countries may have to rely more on LNG for heating, boosting sentiment.

As a result, North Asian LNG futures also started the year strongly, compounded by snowfalls in Tokyo that put a strain on Japan's power grid, according to ANZ Bank. Supply issues still persist as Royal Dutch Shell plc (RDS.A, RDS.B)'s Prelude LNG facility is expected to remain shut until late February.

[adrian j boris] 09/1/2022 13:44

inews


Calls for ‘Robin Hood’ tax on oil and gas producers to help consumers pay energy bills

By Ruchira Sharma

January 9, 2022 12:43 pm(Updated 1:10 pm)

Labour and the Lib Dems have both called for a windfall tax on oil and gas producers to curtail rising energy prices over the next year.

Both parties slammed the Government for failing to act on energy costs and called for a one-off levy to protect vulnerable families.

Energy prices are expected to soar when the legal cap on prices rises in April.

Wholesale gas prices climbed throughout 2021, with the cap increase set to pass some of the pain to consumers and worsen a cost of living crisis.


Bills could rise from £1,277 a year for an average household under the current price cap to £1,865 a year, an increase of 50 per cent, according to estimates.

The Prime Minister is coming under mounting pressure from his own backbenchers to provide support to consumers set to be stung by the price cap rise, with experts predicting that prices could keep rising until at least 2023.


The Liberal Democrats said a windfall tax on oil and gas producers who have profited from the price increases would generate enough money to give over seven million households £300 off their heating bills this year – an estimated £5 billion to £7 billion.

“Cabinet ministers are turning a blind eye to families in their own backyard struggling with soaring heating bills,” Liberal Democrat leader Ed Davey said.

“We need an urgent package of support now to help people cope with the cost of living crisis. That should include Liberal Democrat calls for a Robin Hood tax on oil and gas firms seeing record profits, raising enough cash to give over seven million households £300 off their heating bills this year.”

Meanwhile, Labour outlined proposals to save households around £200 or more through its windfall tax, calling for the squeezed middle, pensioners and the lowest earners to get additional support – up to £600 off bills.

“There is a global gas price crisis, but 10 years of the Conservatives’ failed energy policy, and dither and delay has created a price crisis that’s being felt by everyone,” said Rachel Reeves MP, Labour’s Shadow Chancellor of the Exchequer.

“We want to stop bills going up.

“Labour’s plan to keep energy bills lower in future would see us accelerate home-grown renewables and new nuclear, retrofit 19 million homes to save households an average of £400 a year on their bills, and reform our broken energy system to stop energy companies playing fast and loose with the rules.”

The Institute for Public Policy Research (IPPR) has welcomed plans for a windfall tax on North Sea oil and gas, saying that it is right that those profiting from the crisis contribute to supporting those hardest hit.

Luke Murphy of the IPPR said: “In the longer-term, the only way to address this crisis is not to increase domestic gas production as some have suggested, but to reduce our reliance on volatile fossil fuels by ramping up renewables and an ambitious plan to insulate homes across the country.

“The Government must now deliver a plan that can ease the immediate cost of living crisis this year and address the longer-term challenge of delivering an energy supply that is affordable, secure and net zero.”

Government modelling suggests inflation could increase to around seven per cent if the energy price cap shoots up in April as expected, according to reports.

The energy regulator Ofgem will set the price cap for domestic customers in February, before the changes kick in in April.

Charities, including the fuel poverty charity National Energy Action, have warned that the steep rise in costs will see “an avalanche” of people falling into debt or rationing heating.