Oil and gas group Shell will pay out more money to shareholders, now that the economic recovery from the corona crisis and high energy prices are being greatly benefited. Shell reported this in an update on the course of business in the second quarter.
The Anglo-Dutch company plans to increase its total distribution to shareholders, including dividends, to between 20 and 30 percent of cash flow from operating activities, as of the announcement of its quarterly results on July 29. Last year, Shell had cut its dividend for the first time in decades because of the impact of the corona crisis on the oil sector.
At the same time, Shell is further reducing its debt. As a result, capital investment for this year is below $22 billion. As a result, total oil and gas production is expected to amount to the equivalent of up to 2.3 million barrels per day in the recent period.
Strong oil demand has pushed prices to their highest levels in years. On Tuesday, a barrel of American oil price even briefly touched the highest level since 2014.