DAILY EXPRESS: Oil giant Shell floats as prices sink
ROYAL Dutch Shell unleashed an industry-beating rise in quarterly profit yesterday, despite falling oil prices, and vowed to keep slashing less-lucrative projects.
Finance chief Simon Henry said: “It’s quite likely we’ll take a very close look at investment levels where we have flexibility if we see oil price weakness persisting.”
DAILY MAIL: Shell posts forecast-busting profit rise of 31pc despite slump in oil prices
Shell has managed to weather the sharp drop in the price of oil since June, announcing forecast-busting results for the third quarter.
Oil and gas production slipped by 5 per cent compared with the same period last year due to the expiration of its licence in Abu Dhabi, as well as security impacts in Nigeria and divestments.
The oil major also announced that Charles Holliday, a board director since 2010 and former chairman of Bank of America, will take over from outgoing chairman Jorma Ollila in 2015. He will be the Dutch-based group’s first American chairman.
THE GUARDIAN: Shell appoints former Bank of America boss Charles Holliday as new chairman
The announcement came as Shell’s profit rose strongly in the third quarter year on year, but the company warned it had yet to feel the full effect of the falling oil price.
The Independent: Shell puts rival BP in the shade after profits jump despite fall in oil prices
Although Shell beat City hopes, profits were down on the $6.1 billion seen in the April-June quarter due to the plunging oil price, which has plummeted by more than 20 per cent since the summer.
Oil and gas prices have continued to fall since the end of the quarter, threatening further revenue falls for Shell and its competitors.
Shell chief executive Ben van Beurden said: “The recent decline in oil prices is part of the volatility in our industry. It underlines the importance of our drive to get a tighter grip on performance management, keep a tight hold on costs and spending, and improve the balance between growth and returns.”