Shell Plans Increased Returns, Expands LNG Focus Until 2030

Shell Plc has announced a strategy to boost investor returns by becoming the world's leading liquefied natural gas (LNG) trader, targeting annual sales growth of 4% to 5% until 2030. The company plans to increase shareholder distributions to 40-50% of cash flow from operations, up from the previous target of 30-40%, while maintaining a progressive dividend policy with a 4% annual increase. Additionally, Shell intends to lower its capital expenditure to between $20 billion and $22 billion per year through 2028, focusing on cost reductions and operational optimization. CEO Wael Sawan emphasized the company's commitment to enhancing financial performance while reducing carbon emissions intensity over time. Shell aims to grow overall oil and gas production by 1% annually, with a stable liquids output of approximately 1.4 million barrels per day. This shift reflects a firmer commitment to fossil fuels amidst a broader industry trend towards increasing dividends and share buybacks as key investor attractions.