Shell expects its fuel sales to decline or stay broadly steady in Q1 2021 as some Coronavirus restrictions ease, according to Reuters.
Shell’s refined oil product sales were 3.7-4.7 million barrels per day (mmbbl/d) for the Q1 compared with just under 4.8 mmbbl/d in the Q4 of 2020. Shell’s refining margins increased to about $2.6 per barrel (bbl) in the quarter, up from $1.6 in the previous quarter.
Additionally, Shell’s liquefied natural gas (LNG) production is 7.8-8.4 million tons (mmt) in Q1, while in Q4 2020 was 8.2 million. Total upstream production was expected to rise to 2.4-2.48 million barrel of oil equivalent (mmbbloe/d) from 2.37 million in the Q4 of 2020.
It is worth noting that Shell warns from Texas freeze as it is expected to have reduced production by 10,000-20,000 bbl/d, slashing adjusted Q1 earnings.