Shell Share Discussion Threads

[waldron] 23/3/2020 08:23

Shell Curbs Buyback, Cuts Spending Forecast

Amanda Jordan, Bloomberg News








A scallop shaped Shell logo sits on display above a newly opened gas station, operated by Royal Dutch Shell Plc, in Kemerovo, Russia, on Friday, Sept. 14, 2018. Royal Dutch Shell plans to double the number of its petrol stations in Russia to 450, says Sergey Starodubtsev, the director-general of Shell Neft, the company's Russian subsidiary. Photographer: Andrey Rudakov/Bloomberg

A scallop shaped Shell logo sits on display above a newly opened gas station, operated by Royal Dutch Shell Plc, in Kemerovo, Russia, on Friday, Sept. 14, 2018. Royal Dutch Shell plans to double the number of its petrol stations in Russia to 450, says Sergey Starodubtsev, the director-general of Shell Neft, the company's Russian subsidiary. Photographer: Andrey Rudakov/Bloomberg , Bloomberg

(Bloomberg) --

Royal Dutch Shell Plc said it won’t continue with the next phase of its share buyback program, joining a growing list of energy companies enacting cost savings to weather the market crisis.

The oil major announced Monday it was taking “immediate steps to ensure the financial strength and resilience” of its business. While its intention to complete the share buyback remains unchanged, “it is not likely to be feasible before the end of 2020,” according to a statement.

Shell sees a reduction in cash capital spending to $20 billion or below for 2020 from a planned level of around $25 billion. It also expects a reduction in underlying operating costs by $3 billion to $4 billion a year over the next 12 months compared with 2019 levels, and a “material̶1; decline in working capital.

Together, the measures are expected to contribute $8 billion to $9 billion of free cash flow on a pretax basis. The company said it’s still committed to its divestment program of more than $10 billion of assets in 2019-20 but timing depends on the market.

Across the oil and gas industry, companies are reining in spending as they seek to weather a crash in the oil market. Exxon Mobil Corp. has announced a slowdown in its spending program, while European counterpart BP Plc’s head Bernard Looney said it would reduce capital and operational spending.

©2020 Bloomberg L.P.

[waldron] 23/3/2020 08:14

Jamie Ashcroft

07:21 Mon 23 Mar 2020

Follow Jamie on:
viewRoyal Dutch Shell Plc
Royal Dutch Shell to cut costs by up to US$9bn to protect finances from coronavirus

“The combination of steeply falling oil demand and rapidly increasing supply may be unique, but Shell has weathered market volatility many times in the past"
Royal Dutch Shell Plc - Royal Dutch Shell to cut costs by up to US$9bn to protect finances from coronavirus

Royal Dutch Shell Plc (LON:RDSB) told investors it is taking decisive action to “reinforce financial strength and resilience” and to position the company for the eventual economic recovery following the Covid-19 coronavirus pandemic.

Shell is cutting its removing some US$5bn from its capital spending budget, which will now stand at US$2bn for 2020, and, it plans to slash underlying operating costs by US$3bn to US$5bn over the course of the year.
READ: Shell deemed “most vulnerable” by City analyst

It is expected these changes will contribute around US$8bn to US$9bn of free cash flow per year over the next twelve months. The company noted that it also remains committed to its planned US$10bn asset divestment programme.

“As well as protecting our staff and customers in this difficult time, we are also taking immediate steps to ensure the financial strength and resilience of our business,” said Ben van Beurden, Shell chief executive.

“The combination of steeply falling oil demand and rapidly increasing supply may be unique, but Shell has weathered market volatility many times in the past.”

Shell said it will seek to maintain strong financial credit metrics and ensure its balance sheet remains robust. The company added that it has around US$20bn of cash and equivalents plus US$10bn of undrawn credit lines.

MyProactive

[waldron] 23/3/2020 08:07

Royal Dutch Shell plc cuts capex, suspends share buybacks
Mar. 23, 2020 3:52 AM ET|About: Royal Dutch Shell plc (RDS.B)|By: Gaurav Batavia, SA News Editor

Royal Dutch Shell plc (NYSE:RDS.A) expects to generate FCF of $8B-9B on a pre-tax basis.

Reduces operational costs by $3B-$4B p.a. over the next 12 months against the 2019 level.

Cuts FY20 Capex guidance to $20B or below from prior guidance of ~$25B.

Material reductions in working capital.

Divestment program of more than $10B of assets in 2019-20 depending on the market conditions.

Suspends share buyback program, following the completion of the current share buyback tranche.

The company has ~$20B in cash and cash equivalents, $10B of undrawn credit lines and access to extensive commercial paper programs.

Press Release

[waldron] 20/3/2020 17:27

Brent Crude Oil NYMEX 28.67 +0.70%
Gasoline NYMEX 0.68 -1.46%
Natural Gas NYMEX 1.71 -1.22%
WTI 25.647 USD -2.78%


FTSE 100
5,190.78 +0.76%
Dow Jones
19,983.17 -0.52%
CAC 40
4,095.83 +6.23%
SBF 120
3,196.27 +5.32%
Euro STOXX 50
2,548.5 +3.58%
DAX
8,928.95 +3.70%
Ftse Mib
15,669.59 +1.31%



Eni
7.293 +4.71%


Total
25 +11.11%

Engie
10.405 +1.17%


Bp
251.7 +4.55%

Vodafone
112.52 -3.00%

Royal Dutch Shell A
1,062.2 +4.08%

Royal Dutch Shell B
1,033.6 +7.67%

[bigtune888] 20/3/2020 05:27

KEY POINTS
U.S. crude futures for April rose 92 cents, or 3.7% to $26.14 a barrel. The front-month April contract, which spiked 24% on Thursday, expires later on Friday.
Brent crude futures climbed 57 cents, or 2%, to $29.04 per barrel. Brent rose 14.4% on Thursday in its biggest one-day gain since September.
GP: US Pumpjack at Dusk in the Permian Basin
Silhouette of Permian Basin pumpjacks taken at dusk, north of Midland, Texas, U.S. in late 2019.
Richard Eden | via Getty Images
U.S. crude oil prices rose over $1 on Friday, extending steep gains from the previous session, after U.S. President Donald Trump hinted he may intervene in the price war between Saudi Arabia and Russia at an “appropriate time”.

Prices were also supported by United States’ plans to buy oil for its emergency stockpile, while regulators in the country’s largest oil-producing state Texas were reportedly considering curtailing production.

“Such actions, if implemented, would reduce global and domestic supplies and help support prices in the near-term,” Goldman Sachs said in a note on Friday.

“While this support could prove lasting in 2H20, the accompanying supply cuts would however remain much too small to offset the current 8 million barrels per day hit on demand from the coronavirus...”;

The more active West Texas Intermediate (WTI) crude futures contract for May was up $1.01, or 3.9% at $26.92 a barrel by 0352 GMT.

U.S. crude futures for April rose 92 cents, or 3.7% to $26.14 a barrel. The front-month April contract, which spiked 24% on Thursday, expires later on Friday.

Brent crude futures climbed 57 cents, or 2%, to $29.04 per barrel. Brent rose 14.4% on Thursday in its biggest one-day gain since September.

U.S. crude and Brent have both collapsed about 40% in the last two weeks since talks between the Organization of the Petroleum Exporting Countries and its allies, including Russia, broke down, which led Saudi Arabia to ramp up supply.

The Trump administration is considering a diplomatic push to get Saudi Arabia to close its taps and using the threat of sanctions on Russia to force them to reduce output, the Wall Street Journal reported, quoting unidentified sources.

“A fair bit of short covering ensued after President Trump suggested he may tackle the oil crisis by brokering a deal between Moscow and Riyadh,” Stephen Innes, chief market strategist at AxiCorp, said in a note.

U.S. crude prices were also supported by the country’s plans to buy crude for stockpiling after the U.S. Department of Energy said it would buy up to 30 million barrels of crude oil for the Strategic Petroleum Reserve by the end of June.

“Buying oil for the strategic reserve is a very constructive measure to help some U.S. producers avoid collapse amid the international price war,” said Per Magnus Nysveen, head of analysis at Oslo-based energy research firm Rystad Energy.

[love and gold] 19/3/2020 22:38

hxxps://www.forexlive.com/technical-analysis/!/wti-crude-oil-futures-jumped-to-2771-20200319

Crude oil surges on rumors, but backs off
There are some rumours that Putin has instructed Novak to engage in Saudi Arabia in talks. That is the basis of the sharp run up.

We are currently giving up the gains with the price currently trading at $25.66. I guess the rumours don't have much credence, but it hard to tell the market to ignore the price action (PS liquidity is also limited)

[love and gold] 19/3/2020 22:38

hxxps://www.forexlive.com/technical-analysis/!/wti-crude-oil-futures-jumped-to-2771-20200319

Crude oil surges on rumors, but backs off
There are some rumours that Putin has instructed Novak to engage in Saudi Arabia in talks. That is the basis of the sharp run up.

We are currently giving up the gains with the price currently trading at $25.66. I guess the rumours don't have much credence, but it hard to tell the market to ignore the price action (PS liquidity is also limited)

[waldron] 19/3/2020 17:16

Brent Crude Oil NYMEX 29.16 +9.25%
Gasoline NYMEX 0.68 +4.89%
Natural Gas NYMEX 1.71 +3.58%
(WTI) 24.625 USD +5.87%


FTSE 100
5,151.61 +1.40%
Dow Jones
20,108.11 +1.05%
CAC 40
3,855.5 +2.68%
SBF 120
3,034.89 +2.90%
Euro STOXX 50
2,460.3 +2.75%
DAX
8,610.43 +2.00%
Ftse Mib
15,387.3 +1.76%


Eni
6.965 +4.05%


Total
22.5 +3.23%

Engie
10.285 -0.15%


Bp
240.75 +3.02%

Vodafone
116 +8.03%

Royal Dutch Shell A
1,020.6 +5.13%

Royal Dutch Shell B
960 +4.71%

[maywillow] 19/3/2020 08:49

RDSA Barclays Capital Equal weight DOWN FROM 2,800.00 TO 1,500.00 Reiterates

BP. Barclays Capital Overweight DOWN FROM 650.00 TO 380.00 Reiterates

[waldron] 18/3/2020 17:34

Brent Crude Oil NYMEX 27.27 -10.33%
Gasoline NYMEX 0.65 -9.53%
Natural Gas NYMEX 1.62 -8.54%
WTI 22.21 USD -16.22%


FTSE 100
5,080.58 -4.05%
Dow Jones
19,576.75 -7.82%
CAC 40
3,754.84 -5.94%
SBF 120
2,949.24 -5.43%
Euro STOXX 50
2,385.82 -5.54%
DAX
8,441.71 -5.56%
Ftse Mib
15,147.39 -1.09%


Eni
6.694 -2.51%

Total
21.795 -13.34%

Engie
10.3 -0.05%

Bp
233.7 -9.99%

Vodafone
107.38 -0.32%

Royal Dutch Shell A
970.8 -10.11%

Royal Dutch Shell B
916.8 -10.66%

[waldron] 18/3/2020 16:35

Another pointer fieldhouse

one is subject to 15pc dutch withholding tax on A shares DIVI

[jackdaw4243] 18/3/2020 16:22

Field

Also one has voting rights so I am told but I hold both and have just topped up.

[the grumpy old men] 18/3/2020 14:12

DIFFERENT COMPANIES

A is a dutch co,

B is a uk co.

in event of bankruptcy, A Company shareholders get paid out first

[fieldhouse] 18/3/2020 13:41

Can someone please tell me the difference between the A and B shares.
Thankyou

[maywillow] 18/3/2020 08:40

RDSB Goldman Sachs Buy 2,050.00 - Reiterates

BP. Goldman Sachs Buy 550.00 - Reiterates

[waldron] 17/3/2020 17:26

Brent Crude Oil NYMEX 29.34 -2.36%
Gasoline NYMEX 0.72 +2.98%
Natural Gas NYMEX 1.82 -1.62%
WTI 28.26 USD -3.05%


FTSE 100
5,294.9 +2.79%
Dow Jones
20,709.57 +2.58%
CAC 40
3,991.78 +2.84%
SBF 120
3,118.74 +2.34%
Euro STOXX 50
2,530.5 +3.59%
DAX
8,939.1 +2.25%
Ftse Mib
15,360.42 +2.54%




Eni
6.866 +5.76%

Total
25.15 +3.35%

Engie
10.305 +3.28%

Bp
259.65 +0.12%

Vodafone
107.72 +9.90%

Royal Dutch Shell A
1,080 +2.80%

Royal Dutch Shell B
1,026.2 +2.27%



CERTAINLY SELLING SHELL A SHARES AT A PREMIUM

[maywillow] 17/3/2020 10:23

RDSB UBS Buy DOWN FROM 2,450.00 TO 1,800.00 Unchanged

BP. UBS Buy DOWN FROM 570.00 TO 445.00 Unchanged