Oil‑Gas Re‑focus

Strategically, CEO Wael Sawan announced a refocus on oil and gas after the renewable‑energy division posted a $489 million loss last year. Shell has cut $5 billion in costs, abandoning a Rotterdam biofuels refinery and several wind farms in Britain and the United States. New production plans target the Gulf of Mexico, Brazil, Angola, and South Africa, with an objective to increase oil production by 1‑2 % annually until 2030 – reversing the previous net‑zero emissions commitment. Operationally, production grew 2 % year‑over‑year in Q4, but reserve life slipped to 7.8 years following asset sales. Management cites acquisitions to bridge production through 2030 and highlights opportunities in Namibia, Libya, and Venezuela, although investor caution remains due to oil‑price volatility.