Shell considers job cuts in oil and gas industry: report – Shell (NYSE:SHEL)

Shell plc SIGN The company reportedly plans to reduce its workforce in oil and gas exploration and development by 20%.

The move follows significant declines in renewable energy and low-carbon businesses, Reuters reported.

According to the report, the proposed 20% cut is subject to consultations with employee representatives.

The restructuring of Shell's exploration, oil and gas production and subsurface businesses will result in hundreds of job cuts worldwide, with a noticeable impact on operations in Houston, The Hague and, to a lesser extent, the UK.

The report quoted Shell as saying: “Shell aims to create more value with fewer emissions by focusing on performance, discipline and simplification across the business. This includes delivering structural operating cost reductions of $2 billion to $3 billion by the end of 2025.”

Shell recently reduced its offshore wind, solar and hydrogen activities and divested power retail businesses, refineries and certain oil and gas production assets, including those in Nigeria.

Shell and PetroChina The Arrow Energy joint venture recently announced plans to develop Phase 2 of the Surat Gas Project in Queensland, Australia.

This month the company reported second-quarter revenue of $74.46 billion, beating the $61.33 billion forecast.

Shell shares have risen by around 16% in the last 12 months. Investors can participate in the shares via Macquarie ETF Trust Macquarie Energy Transition ETF PERFOMANCE And VanEck Natural Resources ETF HAP.

Read also: Gevo and Shell work together on the green revolution in motorsport: Details

Price promotion: SHEL shares rose 0.60% to $72.38 at last check on Thursday.

Photo courtesy: Shutterstock

Read more:

Disclaimer: This content was created in part using AI tools and reviewed and published by Benzinga editors.