Shell’s record £13.9 billion profits ‘satisfactory’

Source: Exec Digital UK

Date :31/01/2008 09:33:15

Despite publishing record breaking full year results, Shell Chief Executive Jeroen van der Veer has branded the company’s performance as ‘satisfactory.’

The oil giant made history on the back of three month period in which oil average over $90 a barrel, although its actual production dipped by two percent.

The company reported that full year profits were up nine percent up on the year before, while 4Q figures were up eleven percent.

Tax calls

The results have been met with much criticism from consumers, largely due to the rising price of petrol. Tony Woodley, joint general secretary of trade union Unite called for a tax increase, saying:

"Record profits of over thirteen and a half billion pounds at Shell and cumulative oil industry profits in excess of fifty billion in the last three years are, quite frankly, obscene. It is time the government acted."

In Shell’s statement, Mr. van der Veer said:

“Overall these are satisfactory results. We made good progress in 2007, launched new projects upstream and downstream, and achieved exploration successes. In the fourth quarter, we continued to see weak refining margins.

’On track’

“We are proceeding with the rejuvenation of our portfolio with investment in new legacy assets, and through disposals. The execution of our strategy is on track.”

Fellow industry heavyweights Chevron & Exxon Mobil are due to post their results tomorrow.

January 31, 2008