• Thursday, June 13, 2024
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Energy giant Shell withdraws from Russian oil

Shell reports $9.1 billion profit in Q1 2022, highest since 2008

Shell Plc announced today its intention to withdraw from its involvement in all Russian hydrocarbons, including crude oil, petroleum products, gas and liquefied natural gas in a phased manner, aligned with new government guidance.

The energy giant said in a statement that as an immediate first step, it would stop all spot purchases of Russian crude oil.

It said it would also shut its service stations, aviation fuels and lubricants operations in Russia.

“We are acutely aware that our decision last week to purchase a cargo of Russian crude oil to be refined into products like petrol and diesel – despite being made with security of supplies at the forefront of our thinking – was not the right one and we are sorry,” said Shell Chief Executive Officer, Ben van Beurden.

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He added, “As we have already said, we will commit profits from the limited, remaining amounts of Russian oil we will process to a dedicated fund.

“We will work with aid partners and humanitarian agencies over the coming days and weeks to determine where the monies from this fund are best placed to alleviate the terrible consequences that this war is having on the people of Ukraine.”

Shell said its actions to date had been guided by continuous discussions with governments about the need to disentangle society from Russian energy flows, while maintaining energy supplies.

“Threats today to stop pipeline flows to Europe further illustrate the difficult choices and potential consequences we face as we try to do this,” it added.