Shell disposals set to top $4bn
Disposals by oil giant Shell are likely to top $4bn (€3.21bn) this year – twice as much as first forecast, the company said today.
But Shell added it would take net charges of$ 820m (€659m) in addition to the previously announced $200m (€160m).
Analysts said the update – issued ahead of fourth quarter results on February 5 – had been in line with expectations.
Shares rose 3.25p to 410.25p.
The proceeds from disposals relate to a two-year programme to upgrade Shell’s portfolio of assets.
That has resulted in the sale of certain interests, including a stake in Germany’s gas importer Ruhrgas earlier this year.
Shell’s additional net charges come on top of the $200m (€160m) already booked for the closure of its Bakersfield refinery in California.
Shell added that upgrade activities were proceeding to plan.
“The net impact on full-year 2003 earnings of the overall upgrading programme, together with impairment charges, is relatively immaterial at group level,” it said.
