Shell impairment charges hit $4.5 bln in Q4 ’23

Shell’s fourth quarter impairment charges reached between $2.5 billion to $4.5 billion, primarily from the Singaporean chemicals and refining hub that the oil major is trying to sell.

The assets comprise a refinery with a capacity of 237,000 barrels per day (bpd) and an ethylene plant with a capacity of one million metric tonnes per year (tpy) located on the Bukom and Jurong islands in Singapore. The company had previously announced a strategic plan for those plants last year.

The company also announced that upstream production would reach 1,830–1,930 thousand barrels of oil equivalent per day and that gas trading would be significantly higher than the previous three-month period, ahead of its fourth-quarter results on February 1.

It also stated that its division of chemicals and products is anticipated to report an adjusted earnings loss for the same period.