Shell Sees Q2 Post Tax Impairments Of Up To $3 Bln, Sequentially Weak Upstream Production

(RTTNews) - Shell Plc (SHEL), a British oil and gas major, Friday said it projects post tax impairments of up to $3 billion for the second quarter, primarily driven by a 1 percent increase in the discount rate used for impairment testing.

In the Integrated Gas segment, trading & optimisation are expected to be significantly lower sequentially, due to seasonality and fewer optimisation opportunities.

Production for the quarter is expected to be in the range of 950 kboe/d to 990 kboe/d, compared to first quarter's 970 kboe/d. LNG liquefaction volumes would be 6.9 MT to 7.3 MT, compared to 7.2 MT in the preceding quarter.

In Upstream, second-quarter production is expected to be 1,650 kboe/d to 1,750 kboe/d, compared to 1,877 kboe/d in the first quarter, reflecting scheduled maintenance, including assets in the Gulf of Mexico, Norway, Malaysia and Brazil. Marketing sales volumes would be 2,400 kb/d to 2,800 kb/d, compared to 2,446 kb/d in the first quarter.

Shell is scheduled to release its second-quarter results on July 27.

In London, Shell shares were trading at 2,255.50 pnce, down 0.40 percent.