Shell to review chemical assets through US partnerships, European closures
by ChemOrbis Editorial Team - content@chemorbis.com
Shell outlined its updated strategy at Capital Markets Day 2025, focusing on stronger financial performance, disciplined investments, and a streamlined business model. CEO Wael Sawan reaffirmed Shell’s ambition to lead in integrated gas, LNG, and customer-focused energy marketing while sustaining liquids production.
Shareholder distributions will rise to 40-50% of cash flow from operations, focusing on share buybacks and a 4% annual dividend growth policy. Shell increased its cost reduction target to $5-7 billion by 2028, up from $2-3 billion by 2025. Capital spending will be lowered to $20-22 billion annually through 2028, while free cash flow per share is set to grow over 10% annually through 2030.
Shell is also optimizing its Chemicals portfolio, exploring strategic partnerships in the US and selectively closing or upgrading assets in Europe to improve returns and reduce capital employed. This follows the recent sale of its petrochemical assets in Singapore as part of a broader portfolio review. Earlier this month, media reports indicated that Shell was considering the sale of its chemical assets in Europe and the US as part of its strategic reassessment.
The company operates major chemical sites in Rheinland, Germany; Moerdijk, the Netherlands; and Mossmoran, UK.
Shareholder distributions will rise to 40-50% of cash flow from operations, focusing on share buybacks and a 4% annual dividend growth policy. Shell increased its cost reduction target to $5-7 billion by 2028, up from $2-3 billion by 2025. Capital spending will be lowered to $20-22 billion annually through 2028, while free cash flow per share is set to grow over 10% annually through 2030.
Shell is also optimizing its Chemicals portfolio, exploring strategic partnerships in the US and selectively closing or upgrading assets in Europe to improve returns and reduce capital employed. This follows the recent sale of its petrochemical assets in Singapore as part of a broader portfolio review. Earlier this month, media reports indicated that Shell was considering the sale of its chemical assets in Europe and the US as part of its strategic reassessment.
The company operates major chemical sites in Rheinland, Germany; Moerdijk, the Netherlands; and Mossmoran, UK.
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