By Christian Moess Laursen
Shell said Friday that it expects to book after-tax impairments of up to $3 billion for the second quarter of 2023, and that upstream production declined from the first three months of the year.
The energy major said it expects to pay post-tax impairments of up to $3 billion, largely due to a 1% increase in the discount rate used for impairment testing.
Shell said it expects to report that upstream production fell to 1.7 million-1.8 million barrels of oil equivalent a day in the second quarter from 1.9 million BOE a day in the first quarter. The decline is a reflection of scheduled maintenance, including assets in the Gulf of Mexico, Norway, Malaysia and Brazil, it said.
In its integrated gas division, the company’s production in the quarter was in the range of 950,000 to 990,000 BOE a day compared with 970,000 BOE in the first quarter, it said.
Write to Christian Moess Laursen at christian.moess@wsj.com
Corrections & Amplifications
This item was corrected at 0706 GMT to reflect Shell expects to report that upstream production fell to 1.7 million-1.8 million barrels of oil equivalent a day in the second quarter. The original version incorrectly said the company expects to report that production fell BY 1.7 million-1.8 million BOE a day in the third paragraph.
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