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Royal Dutch Shell plc (RDSB.L)

LSE - LSE Delayed price. Currency in GBp
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1,510.80+26.20 (+1.76%)
At close: 4:35PM BST
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  • D
    DRFD
    when RDS says they are going to give back 70% of the income from the sale of assets to shareholders it means that they themselves could not find a place to invest it in their business in order to grow or improve their business. coupled with a meaningful reduction in production this is not in the direction of growth or sustainability and this is what investors are looking for in the medium term (3-6 years). might be worthwhile for short term traders however.
  • G
    Greg
    $RECAF Shell is attending the Africa E&P Summit that is taking place from 9/22-9/23. Those in attendance include other majors including Exxon, BP, CNOOC and a host of others. Most of these are onshore, but Recon Africa is the only onshore company and it is exploring the Kavango Basisn in northeast Namibia and northwest Botswana. This might be the last major onshore basin on earth.
  • m
    m
    The cash proceeds from this transaction will be used to fund $7 billion in additional shareholder distributions after closing, with the remainder used for further strengthening of the balance sheet. These distributions will be in addition to our shareholder distributions in the range of 20-30% of cash flow from operations. The effective date of the transaction is July 1, 2021 with closing expected in Q4 2021.
  • A
    Anonymous
    Any chance that the share price gets back to 50 or higher?
  • R
    Rich
    And why is this not trading higher? 45 to 50?
  • R
    Retired
    Analyzing The Permian Sale

    I do not have enough information to do a rigorous analysis but I have read the analysis of others.

    It has been reported that if RDS took the 9.5 billion and used it to buy back shares, it could save 400 million/year (the savings by not paying dividends on those shares). Even if RDS actually used those funds for a capital investment with a ROI of 10% (unlikely), that is 950 million/year.

    COP has said that the acquired assets will yield some 30 billion over the next 10 years (10 billion to shareholders and 20 billion in additional cash flow which the company can use/invest). By my calculation, that translates to about 3 billion/year.

    Let's compare: 400-950 million/year vs 3 billion/year. HELLO!!! Using these figures, the winner is obvious?

    Hard to believe the difference....Does anyone have better information to share?
  • D
    DRFD
    if you're in the business of selling eggs and you sell your chickens that would lead to having less or no eggs left to sell . revenue impacts would seem to be the flip side of selling the chickens.
  • s
    scott
    ConocoPhillips up more than 10% after bought Permian Asset from Shell (average $15K per acre compared to OXY have to paid $60K per acre not too long ago)
  • D
    David
    Buy today what in two years from now you wished you owned. Don’t buy today what you wished you bought 2 years ago. So many stocks today are selling at prices that will probably actually provide negative future returns because the price is so high. Other stocks like Energy and Financials can be bought at very low valuations that have a good chance of providing high future returns.
  • D
    DRFD
    200,000 bpd reduction is a lot of top line decrease without a corresponding cost decrease
  • z
    zonnewijzer
    (Bloomberg) -- Oil pared losses after Royal Dutch Shell Plc. said a critical U.S. Gulf of Mexico oil-production platform will be out of service for the rest of this year.
  • S
    Sander
    wish they would invest the 7bn in new NG or renewable projects instead of just paying a dividend or share buyback
  • m
    m
    Well COP outperforming RDS-A since the announcement. Poor BvB he can't get anything right ......
  • L
    LadaNiva
    Hope they use that excess cash to pay down all variable rate debt because with rates set to start skyrocketing over the next few years, all that income from higher oil and gas prices will get used to pay higher and higher interest expense in the future. Time to repair the balance sheet and get ready for a rough ride.
  • D
    David
    I can't believe the news that Shell has sold an asset immediately gets lots of up votes.
    If my house is worth 400k and I sell it for 300k, is that a good deal? No.
  • C
    Clown World
    You just know insider info was used. This stock jumped at close and AH without news. Must be nice to have corporate friends
  • A
    Anonymous
    Which shares are better to own: A or B?
  • R
    Retired
    Jason: You posted that you made 17,000 by investing 1,500 with someone...and received 9 supporting posts on how much they made investing with same person.

    And, every poster is (I think) new to this board.

    This is typical of shilling for an investment advisor. Buyer beware....
  • E
    Eco
    Shell to Sell Permian Assets to ConocoPhillips for $9.5 Billion

    smart move....strained assets are not good long term

    RIP Conoco !!

    Amen
  • C
    Clyde DeVore
    European choice. Do without winter heat and summer airconditioning for the average and poor persons but plenty for the politicians and the more well to do.