Shell Resumes North Sea Production With First New FPSO In Over 20 Years
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 04 2025
0mins
Should l Buy SHEL?
Source: Benzinga
Shell Resumes Production: Shell PLC has resumed production at the Penguins field in the North Sea using a new floating production, storage, and offloading (FPSO) facility, aiming for peak production of approximately 45,000 barrels of oil equivalent per day while reducing operational emissions by around 30%.
Financial Performance: Despite the positive news on production, Shell reported fourth-quarter revenue of $66.28 billion, which fell short of expectations, along with adjusted earnings per ADS that also missed consensus estimates.
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Analyst Views on SHEL
Wall Street analysts forecast SHEL stock price to fall
10 Analyst Rating
5 Buy
5 Hold
0 Sell
Moderate Buy
Current: 91.360
Low
41.75
Averages
74.27
High
91.00
Current: 91.360
Low
41.75
Averages
74.27
High
91.00
About SHEL
Shell plc is an international energy company engaged in the principal aspects of the energy and petrochemical industries. The Company's segments include Integrated Gas, Upstream, Marketing, Chemicals and Products, Renewables and Energy Solutions, and Corporate. The Integrated Gas segment includes liquefied natural gas (LNG), conversion of natural gas into gas-to-liquids (GTL) fuels and other products. It includes natural gas and liquids exploration and extraction, and the operation of the upstream and midstream infrastructure. The Upstream segment includes exploration and extraction of crude oil, natural gas and natural gas liquids. It also markets and transports oil and gas and operates the infrastructure necessary to deliver them to the market. The Marketing segment comprises the Mobility, Lubricants, and Sectors & Decarbonization businesses. The Chemicals and Products segment includes chemicals manufacturing plants with their own marketing network, and refineries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Increased Import Dependency: In 2024, the UK imported 3.1 times more kerosene than it produced and 2.5 times more diesel, indicating a significant decline in self-sufficiency in these critical fuels due to refinery closures, thereby increasing reliance on external supplies.
- Stockpile Crisis: The UK's kerosene stockpiles are only sufficient for one month's supply, far below the levels of most other countries, creating an urgent demand for kerosene in the international market, especially during peak aviation fuel demand periods.
- Price Hike Expectations: With European kerosene prices having doubled, airfares are expected to rise this summer, and airlines may cut capacity, which could impact the UK's tourism sector, although it may encourage more domestic vacations, providing opportunities for local hospitality businesses.
See More
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- Economic Blockade Impact: The full implementation of the US blockade on Iranian ports has cut off international sea trade that powers about 90% of Iran's economy, potentially leading to further economic deterioration in Iran while also creating ripple effects in the global energy market.
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