Shell’s profits hit by further slide in oil prices

Royal Dutch Shell expects to report a near halving in profits in the last three months of 2015 following the further slide in oil prices, it said yesterday, a week before shareholders meet to vote on its $47bn (€43.1bn) deal to take over rival BG Group.

Giving preliminary estimates for results ahead of the meeting, Shell said its underlying fourth-quarter earnings would be $1.6bn (€1.46bn) to $1.9bn, down from $3.26bn a year ago.

Oil prices fell by another 24% in the fourth quarter, as global supplies continued to outstrip demand, further eroding oil companies’ upstream revenues.