Shell: tops the FTSE 100 after reassuring update
(CercleFinance.com) - Shell shares rose on Thursday morning in London after the group's reassuring trading update regarding its Q1 performance, which did not seem to have suffered too much from the fall in gas prices.
At around 8.30am (London time), the energy company's shares were up over 2%, leading the FTSE 100 index, which was up around 0.4% at the same time.
Shell said this morning that its liquefied natural gas (LNG) production volumes should be between seven and 7.4 million tonnes in Q1, above its previous forecast of between 6.6 and 7.2 million tonnes.
In its statement, the group said its gas trading results should be "similar" to those of Q4 2022, which was exceptional in this respect.
In upstream, its production target has been tightened to between 1.80 and 1.90 million barrels per day, compared with the 1.75-1.95 million barrels previously envisaged.
On the downstream side, Shell said it expects results to be "significantly better" than those recorded for the fourth quarter, which were rather disappointing.
The company said it was looking forward to a "significant improvement" in its Q4 results, which were disappointing. Overall, RBC analysts view this as a positive trading update, given the concerns surrounding the impact of lower gas prices in the quarter.
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