LOC13:35
10:35 GMT
BRUSSELS, Jan 29 (KUNA) -- The Anglo Dutch energy giant Shell Thursday announced that it is cutting investments over the next three years due to a drop in oil prices.
"We have curtailed over USD 15 billion of potential spending over the next three years. Shell has options to further reduce spending, but we are not over-reacting to current low oil prices and keeping our best opportunities on the table," said Shell's CEO, Ben van Beurden, in a statement.
"Given Shell's rich portfolio funnel and today's lower oil prices, investment levels are under severe pressure in the near term.
Today's lower prices are creating opportunities to reduce our own costs and to take costs out of the supply chain, where there is multi-billion dollar savings potential for Shell," he noted.
However, Van Beurden said that Shell had posted improved earnings and returns in 2014, including USD 25 billion of free cash flow, underpinning USD 15 billion of dividends and share buybacks. (end)
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