The Secret Of Survival? Sustainability

Money’s too tight to mention. Shell has axed thousands of jobs, cut its spending by billions of pounds and has put the “for sale” sign on projects all around the globe. It reassured its big city investors last week that, to prosper in the “new normal” of low oil prices, it has cut its capital expenditure by around one-third, is concentrating on fields that will produce the juiciest returns and will squeeze even more cost savings out of its combination with BG.

Yet, in these days of scrimping and saving, there was one pot of money that remains protected. In terms of Shell’s overall expenditure, it is tiny – around 3 per cent of the company’s capital allocation today. But it will become an increasingly large and important part of Shell’s business in the next decade. It is “new energies”; Shell-speak for renewable energy.

http://www.offshorepost.com/analysis/secret-survival-sustainability/?utm_source=Offshore+Post&utm_campaign=95a53f47cd-Declan+Tuesday+June+14+2016&utm_medium=email&utm_term=0_d0509d2a93-95a53f47cd-268412977