© Reuters
By Scott Kanowsky
Investing.com — Shell PLC’s (AS:) first-quarter gas trading will resemble that posted for the last three months of 2022, the oil major said in an update on Thursday.
In the statement, Europe’s largest oil and gas company forecast trading and optimization at its key integrated gas division to be “at a similar level” compared to the fourth quarter.
Shell also forecast quarterly production at the unit to be in the range of 930,000 to 970,000 barrels of oil equivalent per day, up from 917,000 in the previous three months.
Integrated gas, which includes the world’s largest trading operations, reported $6 billion in adjusted earnings in the fourth quarter, thanks largely to rising energy prices caused by the outbreak of the war in Ukraine.
These prices have since moderated from increases seen in 2022, though both benchmark and benchmark prices have gained this week following a surprise decision by OPEC and its allies, including Russia, to cut production.
RBC analysts said the statement appeared “overall positive” for Shell due to concerns about the impact of lower gas prices on the 115-year-old business.
Shell shares rose in early trading on Thursday.
