About Shell

Shell plc (Shell), an international energy company, engages in the principal aspects of the energy and petrochemicals industries. The company operates through Integrated Gas, Upstream, Marketing, Chemicals and Products, and Renewables and Energy Solutions segments. Integrated Gas, Renewables and Energy Solutions The Integrated Gas segment includes liquefied natural gas (LNG), conversion of natural gas into gas-to-liquids (GTL) fuels and other products. The segment includes natural gas and liquids exploration and extraction, and the operation of the upstream and midstream infrastructure necessary to deliver gas and liquids to market, as well as the marketing, trading and optimisation of LNG, including LNG as a fuel for heavy-duty vehicles. External Power Sales In 2022, the company’s external power sales were 243 terawatt hours (TWh). Sales of Pipeline Gas to End-Use Customers In 2022, the company’s sales of pipeline gas to end-use consumers were 843 TWh. Portfolio and Business Development Key portfolio events included the following: In January 2022, Shell and ScottishPower won bids to develop 5 GW of floating wind power in the U.K. In January 2022, the company started operations at the power-to-hydrogen electrolyser in China. In February 2022, the company completed the acquisition of online energy retailer Powershop Australia which was announced in November 2021. In April 2022, Atlantic Shores Offshore Wind (ASOW), the company’s 50:50 joint venture with EDF Renewables North America, was awarded the commercial lease for acreage in the New York Bight offshore wind auction, U.S.A. This was after it was announced as provisional winner in February. In July 2022, the company took the final investment decision to build a 200 MW electrolyser, Holland Hydrogen I (Shell interest 100%), which is expected to be operational from 2025. In August 2022, the company completed the acquisition of renewable energy platform Sprng Energy group in India, which was announced in April 2022. In December 2022, Ecowende, the company’s joint venture with Eneco, won the tender to develop a 760 MW offshore wind farm at Hollandse Kust (west) lot VI in the Netherlands. Business and Property The company is building its R&ES portfolio through organic and inorganic growth. Most of these growth opportunities are in sectors that differ from, but have similarities and links to, Shell's existing oil and gas businesses. Energy Marketing The company provides electricity and smart energy solutions to residential, commercial and industrial customers. The company sells natural gas and power to more than 2.2 million retail customers mainly in the U.K., the U.S.A., Australia, Germany, and the Netherlands. Hydrogen The company is part of joint ventures and alliances that has built hydrogen filling stations for passenger cars and trucks. Since July 2021, the company has operated an electrolyser (Shell interest 100%) in Germany, which produces green hydrogen (produced using electricity from renewable sources). In China, the company’s joint venture Zhangjiakou City Transport and Shell New Energy Co., Limited (Shell interest 47.5%) developed a renewable power electrolyser and is developing hydrogen filling stations in Zhangjiakou City in the Beijing-Tianjin-Hebei region. The electrolyser started operations in January 2022. In July 2022, the company announced the final investment decision to build the 200 MW electrolyser Holland Hydrogen I (Shell interest 100%) in the Netherlands, which is expected to be operational from 2025. Carbon Capture and Storage Carbon capture and storage (CCS) is a combination of technologies that capture and store CO2 deep underground, preventing its release into the atmosphere. In the R&ES segment the company offers CCS services to its customers. Existing CCS operations that help decarbonise its own assets are reported in the segment where the relevant asset sits. The company has a 33.3% interest in the Northern Lights CCS joint venture, where the other partners are Equinor and TotalEnergies (equal partners). The project is located in Norway and is under construction. Phase One is expected to be operational in 2024. Nature and Environmental Solutions Nature and Environmental Solutions include the company’s Nature-Based Solutions (NBS) business and the Environmental Products Trading Business (EPTB). NBS conserve, enhance and restore ecosystems – such as forests, grasslands and wetlands – to prevent greenhouse gas emissions or reduce atmospheric CO2 levels. Through EPTB the company develops, offtakes, trades and supplies environmental products across compliance and voluntary markets, and this includes working with its other businesses, such as Integrated Gas or Marketing to provide integrated energy solutions to customers. Shell Ventures Shell Ventures are corporate venture funds, where the company acts as an investor and a partner to help commercialise innovative businesses. The company aims to accelerate the energy and mobility transformation by investing in companies that lower emissions, electrify energy systems, gain data-based insights and provide innovative consumer solutions. Treasury Wine Estates switches to solar In 2022, Shell helped wine producer Treasury Wine Estates, owner of the Penfolds, 19 Crimes, St Huberts and Wolf Blass labels, get closer to achieving its net-zero target and become a renewable energy producer by installing a combined 9,500 solar panel modules at two of its Australian sites. The solar modules were installed at the Barossa Winery and packaging centre in South Australia, and the Karadoc Winery in Victoria. They have been installed on rooftops and in open ground areas, and are expected to generate more than 5,500 megawatt-hours of electricity per year. This is the equivalent of powering 900 homes and offers an example of how the wine industry can navigate the energy transition. Treasury Wine Estates wants to produce wine sustainably and is aiming for net-zero emissions from its own operations and the energy it consumes by 2030. Shell’s Powering Progress strategy seeks to help customers decarbonise by identifying and providing solutions for cleaner, affordable and reliable energy. Shell Energy is working with Treasury Wine Estates, which has 13,000 hectares of vineyards all over the world, to provide renewable energy across the wine company’s operations, from cultivation to cellar door, tasting halls, offices and packaging centres. A further 9,000 solar panels are in the process of being installed at Treasury Wine Estates’ Californian vineyards, including Sterling Winery, TWE Paso Winery, Paris Valley Ranch and Beaulieu Vineyards. Upstream segment The Upstream segment includes exploration and extraction of crude oil, natural gas and natural gas liquids. It also markets and transports oil and gas, and operates the infrastructure necessary to deliver them to the market. The company operates the infrastructure necessary to deliver them to the market. Upstream business delivers reliable energy from conventional oil and gas operations, as well as deep-water exploration and production activities. Upstream business delivers reliable energy from conventional oil and gas operations, as well as deep-water exploration and production activities. The company focuses on its upstream portfolio to become more resilient, prioritising value over volume to provide the energy the world needs today whilst funding the energy system of tomorrow. Upstream's oil and gas supplies help maintain the world's energy security. Production Available for Sale In 2022, production was 692 million barrels of oil equivalent (boe), or 1,897 thousand boe per day (boe/d). In Brazil, in May 2022, the company started production at the FPSO Guanabara in the Mero field, in the offshore Santos Basin. In Malaysia, in September 2022, together with PETRONAS Carigali Sdn Bhd, the company took the final investment decision (FID) to develop the Rosmari-Marjoram gas project. In the U.K., in July 2022, the company took the final investment decision (FID) to develop the Jackdaw North Sea gas field. In the US Gulf of Mexico, in March 2022, the company started the production at PowerNap, a subsea development. In the US Gulf of Mexico, in February 2023, the company started production at Vito, a Shell-operated floating production facility. The company continued to divest assets during 2022, including: In Malaysia, in December 2022, the company agreed to sell its stake in two offshore production sharing contracts (PSCs) in the Baram Delta to Petroleum Sarawak Exploration & Production Sdn. Bhd. (PSEP). The sale concerns non-operated interests of 40% in the Amended 2011 Baram Delta EOR PSC and 50% in the SK 307 PSC. The remaining interests in both PSCs are held by the operator, PETRONAS Carigali Sdn Bhd (PCSB). Sale completion is expected in 2023. In the Philippines, in November 2022, the company sold its 100% shareholding in Shell Philippines Exploration B.V. (SPEX) to Malampaya Energy XP Pte Ltd (MEXP), a subsidiary of Prime Infrastructure Capital Inc (Prime Infra). In the U.S.A., in February 2023, the company sold its 100% interest in Shell Onshore Ventures LLC, which holds a 51.8% membership interest in Aera Energy LLC to IKAV. Business and Property The company’s subsidiaries, joint ventures and associates are involved in all aspects of upstream activities, including land tenure, entitlement to produced hydrocarbons, production rates, royalties, pricing, environmental protection, social impact, exports, taxes and foreign exchange. Europe Germany Shell and ExxonMobil are 50:50 shareholders of BEB Erdgas und Erdoel GmbH & Co. KG (BEB), which owns interests in various concessions mainly in Lower Saxony. ExxonMobil Production Deutschland GmbH has a service contract with BEB under which it provides operating services to BEB for most of the concessions. Italy Shell has a 39% interest in the Val d’Agri producing concession, operated by ENI S.p.A. The company also has a 25% interest in the Tempa Rossa producing concession, operated by TotalEnergies EP Italia S.p.A. Netherlands Shell and ExxonMobil are 50:50 shareholders in Nederlandse Aardolie Maatschappij B.V. (NAM). NAM holds a 60% interest in the onshore low-calorific Groningen gas field (the remaining 40% interest is held by EBN, a Dutch government entity), the Schoonebeek oil field and some 25 smaller hydrocarbon production licences. Production from the Groningen field induces earthquakes which have led to damage claims, security concerns, a strengthening operation to make buildings earthquake resistant and calls from residents and local politicians to close the field. Norway Shell is a partner in 20 production licences on the Norwegian continental shelf, and the operator of eight of these. The company has interests in two gas-producing fields: Shell-operated Ormen Lange (Shell interest 17.8%) and Equinor-operated Troll (Shell interest 8.1%). In 2022, a plan for development and operation was submitted for government approval for the Equinor-operated gas discovery Irpa (Shell interest 10%), as a tie-back to the Aasta Hansteen field. The company is also the operator of two fields which are being decommissioned: Knarr (which ceased production in 2022) and Gaupe. In addition, the company is the technical service provider for the Gassco-operated Nyhamna processing plant. U.K. Shell operates a number of interests on the U.K. continental shelf under 50:50 joint-venture agreements with Neo Energy and has a 50:50 joint venture agreement with ExxonMobil for the SEGAL gas transportation system; the Brent Field, which is being decommissioned; and other assets in the North Sea. Shell also has non-operated positions in the West of Shetland area, namely Clair (Shell interest 27.97%) and Schiehallion (Shell interest 44.89%), both operated by BP. In May 2022, the UK’s Offshore Petroleum Regulator for Environment and Decommissioning (OPRED) approved the revised environmental statement for the Jackdaw gas field development and gave production consent in June 2022. In July, Greenpeace applied for a judicial review of the Regulator’s decision. The application has, at Greenpeace’s request, been put on hold pending the decision by the U.K. Supreme Court on another case which concerns similar legal issues, and which will likely be heard in the second half of 2023. The project is expected to come on stream in the mid-2020s. In 2022, Shell drilled five exploration wells on the U.K. continental shelf. From April 2022, Shell assumed the role of technical development lead for the CO2 capture, transportation and storage modules of the Acorn carbon capture, utilisation and storage (CCUS) and hydrogen project. Acorn is part of the Scottish Cluster, which continues to be the Track 1 reserve cluster in the U.K. government’s CCUS cluster sequencing process. This means that if another cluster selected as Track 1 is discontinued the Scottish Cluster may take its place. In November 2022, Shell completed the acquisition of a 100% interest in Corallian Energy Limited. The interest comprises the P.2596 licence containing the Victory field gas discovery west of Shetland which is expected to be a subsea tie-back to existing infrastructure tied into the Shetland Gas Plant. Gas would be exported via existing pipelines to the North Sea Midstream Partners operated plant at St Fergus, helping to ensure longer-term gas supply for the U.K. Rest of Europe Shell also has interests in Albania. Asia (including the Middle East and Russia) Brunei Shell and the Brunei government are 50:50 shareholders in Brunei Shell Petroleum Company Sendirian Berhad (BSP). BSP has long-term onshore and offshore oil and gas concession rights and sells most of its gas production to Brunei LNG Sendirian Berhad, with the remainder sold in the domestic market. In addition to the company’s interest in BSP, the company has a non-operating interest in the offshore Block B concession (Shell interest 35%, operated by TotalEnergies), where gas and condensate are produced from the Maharaja Lela field. The company has a non-operating interest in a gas holding area for deep-water Block CA2 (Shell interest 12.5%, operated by Petronas), under a PSC. The company operates the deep-water Block CA1 (Shell interest 86.95%), in which the Jagus-East field is located, under a PSC. As referred to in the Malaysia section below, the Jagus-East field and the Geronggong field, held by BSP, form part of the unitised GKGJE field. Iraq Shell has a 44% interest in the Basrah Gas Company, which gathers, treats and processes associated gas that was previously being flared from the Rumaila, West Qurna 1 and Zubair fields. The processed gas and associated products, such as condensate and LPG, are sold to the domestic market. Any surplus condensate and LPG is exported. Kazakhstan Shell is the joint operator with ENI S.p.A. of the onshore Karachaganak oil and condensate field (Shell interest 29.3%). The Karachaganak field is in north-west Kazakhstan and covers an area of more than 280 square kilometres. The company also has an interest in the North Caspian Sea Production Sharing Agreement (Shell interest 16.8%), which includes the Kashagan field in the Kazakh sector of the Caspian Sea. The North Caspian Operating Company is the operator. This shallow-water field covers an area of around 3,400 square kilometres. Marketing segment The Marketing segment includes the Mobility, Lubricants, and Sectors & Decarbonisation businesses. The Mobility business operates Shell’s retail network including electric vehicle charging services. The Lubricants business produces, markets and sells lubricants for road transport, and machinery used in manufacturing, mining, power generation, agriculture and construction. The Sectors & Decarbonisation business sells fuels, speciality products and services including low-carbon energy solutions to a broad range of commercial customers, including the aviation, marine, commercial road transport and agricultural sectors. The company has a 7.4% interest in the Caspian Pipeline Consortium which owns and operates an oil pipeline running from the Caspian Sea to the Black Sea, across parts of Kazakhstan and Russia. The company holds its interest in the Caspian Pipeline Consortium via three legal entities, two of which are wholly owned by Shell, and the other is a joint venture with Rosneft (Shell interest 49%), Rosneft-Shell Caspian Ventures Ltd (Cyprus) (RSCV), which was formed to primarily own and manage pipeline capacity rights. The company continues to manage that part of its interest in CPC held through RSCV in full compliance with applicable laws. Malaysia Shell explores for and produces oil and gas off the coast of Sabah and Sarawak under 21 PSCs, in which the company’s interests range from 20% to 92.5%. Offshore Sabah The company operates two producing oil fields the Malikai deep-water field (Shell interest 35%), and the unitised GKGJE field consisting of the Malaysian Gumusut and Kakap fields and the Bruneian Geronggong and Jagus-East fields that straddle the Malaysia-Brunei border and have been made into a single unit. Shell’s interest in the unitised field is 37.89%. In June 2022, the company took the final investment decision on the GKGJE Phase 4 oil development project. In July 2022, the company achieved first oil for the Phase 3 development. In March 2022, the company signed two new exploration PSCs for Block 2W and X (Shell interest 50% each). In its non-operated portfolio: The company has a 21% interest in the Siakap North-Petai deep-water field and a 30% interest in the Kebabangan field. In October 2022, the company signed a new exploration PSC for Block SB 2K (Shell interest 25.1%). In February 2023, the company completed the farm-in to one exploration PSC for Block SB2V (Shell interest 40%). Offshore Sarawak The company is the operator of eight producing gas fields and one producing oil and gas field. Nearly all the gas produced offshore Sarawak is supplied to Malaysia LNG (MLNG) and to its gas-to-liquids plant in Bintulu. The fields are gas fields F6, F23, E8, F13 East and F13 West under the MLNG PSC (Shell interest 40%); gas fields F14 and F28 under the SK308 PSC (Shell interest 50%); gas field Gorek under the SK408 PSC (Shell Interest 30%); and oil and gas field E6 under the SK308 PSC (Shell interest 50%). The company is also the operator for Block SK318 PSC. This block contains the Timi field (Shell interest 75%) which is under development, and the Rosmari-Marjoram fields (Shell interest 80%). In September 2022, together with PETRONAS Carigali Sdn Bhd, it took the final investment decision to develop the Rosmari-Marjoram natural gas project. Situated around 220 kilometres off the coast of Bintulu, the project comprises a remotely operated offshore platform and onshore gas plant. Rosmari-Marjoram will mainly be powered by renewable energy from solar power offshore and hydroelectric power onshore. In November 2022, the company progressed with the execution of the MLNG F22, F27, Selasih (FaS) project, which comprises a single well development in each of the F22, F27 and Selasih fields to be drilled from the wellhead platforms with tie-backs to the F23 hub. In March 2022,the company signed one new exploration PSC for Block SK439 and SK440 (Shell interest 92.5%). In February 2023, it signed one new PSC for Block SK3B (Shell interest 45%). In its non-operated portfolio: First gas was achieved for SK320 (Shell interest 20%) in April 2022. Using renewables to produce gas in Malaysia In 2022, the company took the final investment decision to develop the Rosmari-Marjoram gas production project in Malaysia. The project will be mainly powered by renewable energy, using solar power for its remotely operated offshore platform and hydroelectric power for its onshore gas plant. Rosmari-Marjoram is designed to produce 800 million standard cubic feet of gas per day and is expected to start production in 2026. The project will include one of the longest gas offshore pipelines in the world, stretching more than 200 kilometres from the field to the coast of Sarawak. Once production starts, the gas will be piped to the Malaysia liquefied natural gas (Malaysia LNG) complex. Rosmari-Marjoram will help Shell deliver a reliable supply of gas and do this while reducing the emissions from its operations. This is in line with the company’s Powering Progress energy transition strategy to become a net-zero business by 2050. The project team has demonstrated ingenuity and applied a learner mindset to the design, evolving the project from a conventional offshore processing platform to a carbon-competitive onshore gas plant. Shell focuses on seeking the highest return from investments within the lowest possible carbon emissions budget. Rosmari-Marjoram’s offshore platform will use power from 240 solar panels and the onshore plant is connected to the Sarawak grid system, which is supplied mainly by hydroelectric plants. Batteries and diesel generators will be held in reserve as back-up to ensure the safety of the company’s operations. The company has a 30% interest in Jerun which is part of the Block SK408 PSC. Jerun is a gas development with an integrated central processing platform. Block SK408 also contains the producing non-Shell-operated Larak and Bakong fields. The company also has a 40% interest in the amended 2011 Baram Delta enhanced oil recovery PSC and a 50% interest in the SK307 PSC. In December 2022, Shell signed an agreement to sell its non-operated interests in these two PSCs to Petroleum Sarawak Exploration and Production Sdn Bhd (PSEP), effective January 1, 2023. The sale is expected to be completed in early 2023, subject to completion of conditions which include, amongst others, regulatory approval. Oman Shell has a 34% interest in Petroleum Development Oman (PDO), which operates the Block 6 oil concession. Shell is entitled to 34% of oil produced from Block 6 through its interest in Private Oil Holdings Oman Ltd. The government of Oman has a 60% interest in PDO and the Block 6 oil concession through its 100% owned company, Energy Development Oman (EDO). PDO operates a concession area of about 90,000 square kilometres and has more than 200 producing oil fields. The company has a 50% interest in Block 42 under an Exploration and Production Sharing Agreement (EPSA) where Shell is the operator. The other 50% interest is held by the government through its 100% owned company, OQ. The company has a 100% interest in Block 55 under an EPSA. Russia Shell announced in the first quarter of 2022 its intent to withdraw from its ventures in Russia with Gazprom and related entities. Syria Shell holds a 65% interest in Syria Shell Petroleum Development B.V. (SSPD), a joint venture between Shell and the China National Petroleum Corporation. SSPD holds a 31.25% interest in Al Furat Petroleum Company, a Syrian joint stock company, whose role was to perform petroleum operations. Shell also holds a 70% interest in two exploration licences via Shell South Syria Exploration B.V. In December 2011, in compliance with international sanctions on Syria, including European Council Decision 2011/782/CFSP, Shell suspended all exploration and production activities in Syria. SSPD continued to fulfil minimum contractual obligations towards the Syrian finance and labour ministries, in compliance with applicable trade control laws. Rest of Middle East and Asia Shell also has interests in Kuwait and the United Arab Emirates. On November 1, 2022, Shell Petroleum N.V. completed the sale of its 100% shareholding in Shell Philippines Exploration B.V. (SPEX) to Malampaya Energy XP Pte Ltd, a subsidiary of Prime Infrastructure Capital Inc (Prime Infra). SPEX owns a 45% operating interest and is operator in Service Contract 38, which includes the Malampaya gas field. The sale completion transferred ownership and control of SPEX to Prime Infra. Africa Nigeria Shell operates a number of interests in onshore and offshore oil exploration and production assets in Nigeria. Onshore The Shell Petroleum Development Company of Nigeria Limited (SPDC) is the operator of the SPDC joint venture (SPDC JV, Shell interest 30%) which, after the handover of its operations in OML 11 in 2022, has 15 Niger Delta onshore oil mining leases (OMLs). SPDC also has three shallow-water oil mining leases (OML 74, 77 and 79) and a 40% interest in the non-operated Sunlink joint venture which has one shallow-water lease (OML 144). Offshore The company’s main offshore deep-water activities are carried out by Shell Nigeria Exploration and Production Company Limited (SNEPCo, Shell interest 100%). SNEPCo has interests in three deep-water blocks that are under PSC terms: the producing assets Bonga (OML 118) and Erha (OML 133), and the non-producing asset Bolia Chota (OML 135). SNEPCo operates OML 118 (Shell interest 55%), including the Bonga field FPSO vessel. The company also operates OML 135, encompassing the Bolia and Doro fields (Shell interest 55%). The company has a 43.8% non-operating interest in OML 133 (including the Erha FPSO). In 2022, OML 118 and OML 133 were renewed for 20 years following settlement of disputes regarding historic allocation of production between Nigerian National Petroleum Corporation (NNPC) and the parties to the PSCs. Authorities are investigating the company’s involvement in Nigerian oil Block OPL 245 and the 2011 settlement of litigation pertaining to that block. Business Update In August 2021, the Petroleum Industry Act (PIA) entered into effect, creating a new regulatory framework for the petroleum industry in Nigeria. The PIA introduces significant changes and the company is actively engaged in the implementation process to ensure that these changes are implemented in a timely manner in its operations. In 2022, the company’s share of production, onshore and offshore, in Nigeria was 131 thousand boe/d, compared with 175 thousand boe/d in 2021. Security issues, sabotage and crude oil theft in the Niger Delta continued and remained significant challenges to the company’s onshore operations in 2022, leading to a significant reduction of crude available for export from the Bonny terminal for several months. Rest of Africa Shell also has interests in Algeria, Mauritania, Namibia, Sao Tome and Principe, South Africa and Tunisia. In 2021, Shell announced plans to hand back to the government of Tunisia upstream assets associated with the Miskar and Hasdrubal concessions. In 2022, Shell handed back the Miskar concession upon its expiry. Discussions continue regarding the Hasdrubal hand-back. North America Canada Shales assets in Canada are reported as part of the Integrated Gas segment instead of the Upstream segment. U.S.A. The majority of the company’s oil and gas interests in the U.S.A. comprise leases for federal offshore tracts in the deep waters of the Gulf of Mexico. Such leases usually have a fixed primary term and, once production is established, the leases remain in effect through continued production, subject to compliance with the terms and provisions of the leases (including appurtenant applicable laws and regulations). Shell holds one licence interest in the North Slope area of Alaska. In 2020, the company received regulatory approval to combine its near-shore leases in West Harrison Bay into a single unit. Shell is seeking a co-owner to operate the unit. Gulf of Mexico Shell’s major production area in the U.S.A. is the Gulf of Mexico. The company has a total of 327 active federal offshore leases where Shell is the operator and an additional 103 active federal offshore leases where Shell has a non-operated interest. The company is the operator of eight production hubs: Mars (Shell interests ranging from 33.7% to 100%), Olympus (Shell interests ranging from 71.5% to 100%), Auger (Shell interests ranging from 27.5% to 100%), Perdido (Shell interests ranging from 33.3% to 40%), Ursa (Shell interests ranging from 40% to 80%), Enchilada/Salsa (Shell interests ranging from 37.5% to 75%), Appomattox (Shell interest 79%) and Stones (Shell interest 100%). The company also has the West Delta 143 processing facilities (Shell interest 71.5%). The company continues to produce from Coulomb (Shell interest 100%) which ties into the Na Kika platform (Shell interest 50%) operated by BP. The company continued exploration, development and abandonment activities in the Gulf of Mexico in 2022. In March 2022, the company began production at PowerNap (Shell interest 100%), a subsea tie-back to the Shell-operated Olympus tension leg platform (Shell interest 71.5%) in the Mars Corridor. PowerNap is expected to produce up to 20,000 barrels of oil equivalent per day (boe/d) at peak rates. Exploration Shell's exploration team searches for crude oil and gas, both onshore and offshore. Exploration may result in discoveries of oil and gas that it can develop, helping maintain energy security and contributing to its Powering Progress strategy. In 2022, producible hydrocarbons were encountered in Malaysia, the U.K. and the Gulf of Mexico. Hydrocarbons were also encountered in Namibia and further appraisal is being undertaken to determine producibility. Gulf of Mexico In 2022, Shell acquired 20 blocks in the Gulf of Mexico in Lease Sale 257. The company relinquished a lease for one block ahead of expiration. Brazil In 2022, the Brazilian government ratified 11 Santos Basin blocks. Shell secured five blocks in the 2021 17th National Petroleum Agency Bid-Round and the remaining six in the 2022 3rd Permanent Offer Concession Bid-Round (Shell interest 70% in seven of them, 100% in the remaining four, operator in all cases). The company also secured one Santos block in 2022 1st Production Sharing Permanent Offer Bid-Round in Brazil (Shell interest 40%, non-operated), which is awaiting government ratification. Malaysia In 2022, Shell relinquished one non-operated Sabah block (Shell interest 50%). The company signed three exploration PSCs for the offshore Sarawak and Sabah blocks (Shell interest 92.5% in two Sarawak blocks, 50% in two Sabah blocks, operator). The company also signed an exploration PSC for another non-operated Sabah block (Shell interest 25.1%). U.K. In 2022, Shell farmed into three exploration licences in the UK’s southern North Sea area (Shell interest 50%, non-operated). New frontiers In June 2022, Shell secured two blocks in the Open Uruguay Round, which are awaiting government ratification (Shell interest 100%, operator). In September 2022, the company took over an additional 50% participating interest in two operated blocks offshore Sao Tome and Principe, after the withdrawal of a partner, giving it a total interest of 85% in both blocks. In December 2022, the company completed the farm-out of a 45% non-operated participating interest in a deep-water exploration licence off the Western Cape of South Africa. Vito - Delivering Value with a Smaller, Less Costly Design The company’s Shell-operated Whale project (Shell interest 60%), also in the Gulf of Mexico and approved in 2021, will follow suit and replicate much of Vito’s smaller. Together with its partner, China National Offshore Oil Corporation (CNOOC), the company has reached a final investment decision (FID) on Rydberg (Shell interest 80%). It is a subsea tie-back to the Shell-operated Appomattox production hub (Shell interest 79%). The project is expected to start production in 2024 and produce up to 16,000 barrels of oil equivalent per day (boe/d) at peak rates. In June 2022, the company acquired a 51% operated interest from Equinor in the North Platte deep-water development project. To reflect Shell’s entry to the project, Shell and Equinor have agreed to rename the North Platte opportunity to Sparta. Front-end engineering and design (FEED) has been well matured, and Shell is working closely with Equinor to progress the opportunity. In February 2023, the company began production at the Shell-operated Vito floating production facility (Shell interest 63.1%). Vito is expected to produce up to 100,000 barrels of oil equivalent per day (boe/d) at peak rates. The company also made progress on the development of Whale (Shell interest 60%), which is a Shell-operated stand-alone host in the execution phase, expected to achieve first oil in late 2024. Rest of North America Shell also has deep-water licences and one shallow-water licence in Mexico. South America Argentina Shell has interests in the onshore Vaca Muerta Basin in the Neuquen Province. The company is the operator of the Cruz de Lorena, Sierras Blancas and Coiron Amargo Sur Oeste (Shell interest 90% each), and Bajada de Añelo (Shell interest 50%) areas. The company has non-operated interests in the areas of Rincon La Ceniza and La Escalonada (Shell interest 45% each), both operated by Total Austral S.A., and in the Bandurria Sur area (Shell interest 30%), operated by YPF S.A. The company is the operator of a joint venture created for the construction of a pipeline which connects Sierras Blancas and the regional distribution network (Shell interest 60%). In the north-western Argentina basin, the company has a non-operated interest in the onshore Acambuco area (Shell interest 22.5%), operated by Pan American Energy. In addition to the producing interests, the company is the operator of two frontier exploration areas offshore Argentina (Shell interest 60% each) and it has a non-operated interest in an adjacent area (Shell interest 30%), operated by Equinor. Brazil Shell’s operated assets in Brazil consist of the Bijupirá and Salema fields (Shell interest 80% each), which are being decommissioned; the producing BC-10 field (Shell interest 50) in the Campos Basin; the Gato do Mato and the adjacent Sul de Gato do Mato areas in the Santos Basin (Shell interest 50%), subject to unitisation and with development options under evaluation. The company also holds an interest in 13 exploration blocks in the Santos Basin (Shell interests ranging from 45% to 100%), 10 blocks in the Barreirinhas Basin (Shell interests ranging from 50% to 100%), four blocks in the Campos Basin (Shell interests ranging from 40% to 100%) and one block in the Potiguar Basin (Shell interest 100%). The company’s non-operated portfolio consists of eight producing fields in the offshore Santos Basin: the Sapinhoá field (Shell interest 30%, operated by Petrobras and straddling the BM-S-9 and Entorno de Sapinhoá blocks already unitised); the Lapa field (Shell interest 30% in Block BM-S-9A, operated by TotalEnergies); the Berbigão and Sururu fields (Shell interest 25% in Block BM-S-11A, operated by Petrobras and subject to ongoing unitisation agreement discussions); the Atapu field (Shell interest 16.7% and straddling the BM-S-11A and Atapu PSC area already unitised); the Tupi field (Shell interest 23%, already unitised, in Block BM-S-11 and operated by Petrobras); the Iracema field (Shell interest 25% in Block BM-S-11 and operated by Petrobras); and the Mero field in the Libra PSC area (Shell interest 20%, unitisation with an adjoining area still subject to government approval and operated by Petrobras). In addition to the producing assets, the company holds interests in four non-operated exploration blocks, two in the Santos Basin (Shell interest of 20% and 40%, both operated by Petrobras) and two in the Potiguar Basin (Shell interest 40%, both operated by Petrobras). The FPSO Guanabara production started in the Mero field in April 2022, offshore Santos Basin. Mero is expected to receive three more FPSOs and start producing from these between 2023 and 2025. In April 2022, the company signed the PSC related to the acquisition of 25% of Atapu Transfer of Rights area (acquired in the ANP bid round in 2021) and increasing Shell’s interest in the Atapu field from 4.3% to 16.7%. In December 2022, Shell placed a successful bid in the ANP’s Permanent Offer PSC bid round for the acquisition of 40% of the Sudoeste de Sagitário block in the Santos Basin and is awaiting ratification. Rest of South America Shell also has interests in Suriname and Uruguay. Trading and Supply Shell markets and trades crude oil from most of its Upstream operations. Downstream Downstream also includes the pipeline activities, and trading of crude oil, oil products and petrochemicals. Projects & Technology Projects & Technology manages the delivery of the company’s projects and drives research and innovation. It provides technical services for its businesses. It is also responsible for providing functional leadership across Shell in safety and environment, contracting and procurement, wells activities and greenhouse gas management. Technology and innovation are essential to the company’s efforts to meet the world’s energy needs in a competitive way. The company’s main technology centres are in India, the Netherlands and the U.S.A., with other centres in Brazil, China, Germany, Oman and Qatar. The Oil Products and Chemicals segments are reorganized into two segments – Marketing, and Chemicals and Products. Marketing Marketing comprises Mobility, Lubricants, and Sectors and Decarbonisation activities. Mobility operates Shell's retail network, including electric vehicle charging services. Lubricants produces, markets and sells lubricants for road transport, and for machinery used in manufacturing, mining, power generation, agriculture and construction. Sectors and Decarbonisation sells fuels, and speciality products and services, including energy solutions that help customers reduce emissions in the aviation, marine, commercial road transport and agricultural sectors, among others. Chemicals and Products manages chemical manufacturing plants with their own marketing network and refineries, which turn crude oil and other feedstocks into a range of oil products. These products are moved and marketed around the world for domestic, industrial and transport use. Marketing Sales In 2022, Marketing sales volumes were 2,503 thousand barrels of oil per day (TBL/day), which was 3% higher than 2021 sales volumes of 2,433 TBL/day mainly as a result of demand recovery in aviation (within Sectors and Decarbonisation). Portfolio and Business Developments Significant portfolio and business developments in 2022 included: In May 2022, the company completed the sale of Shell Neft LLC, Shell’s retail stations and lubricants business in Russia, to PJSC LUKOIL. In June 2022, the company completed the acquisition of 184 company-owned fuel and convenience retail sites and 107 supply agreements for the independently operated retail fuel and convenience retail sites from the Landmark group of companies in the U.S.A. The agreement to acquire the retail fuel station network (including fuel stations, convenience retail and dealer supply agreements) was signed in October 2021. In December 2022, the company completed the acquisition of the Environmentally Considerate Lubricants (ECLs) business of the PANOLIN Group. The transaction includes the PANOLIN brand, ECL product formulations, intellectual property, technical expertise and technology, international customer base and portfolio of products. In February 2023, the company completed the acquisition of 100% of the shares of Nature Energy Biogas A/S. Building Integrated Renewable Natural Gas (RNG) Value Chain at Global Scale On February 20, 2023, Shell announced it had completed the acquisition of Denmark-based Nature Energy, Europe’s largest producer of renewable natural gas (RNG) from biomass. The acquisition, which was announced in November 2022, helps accelerate the company’s transition to become a net-zero emissions energy business by 2050 by offering its customers low-carbon fuels, which can help them decarbonise. Nature Energy produces RNG from agricultural, industrial, and household waste. It has 14 operating plants and established supply infrastructure. The company produced around 6.5 million MMBtu in 2022 and has around 30 new plant projects in Europe and North America, which could deliver up to 9.2 million MMBtu/year by 2030. RNG, also known as biogas or biomethane, is chemically identical to conventional natural gas and can be used in the company’s existing transmission and distribution infrastructure. This makes it a competitive option to help decarbonise hard-to-abate sectors, including commercial road transport, shipping, heating and heavy industry. The sustainability benefits are amplified by the processing and use of methane that would otherwise be released to the atmosphere from the decomposition of organic byproducts and waste. Shell’s Powering Progress strategy seeks to deliver affordable, reliable, low-carbon energy to the company’s customers. Business and Property Mobility Shell is one of the world’s largest mobility retailers, by number of sites, with more than 46,000 Shell-branded mobility locations in more than 80 markets at the end of 2022. The company operates different models across these markets, from full ownership of retail sites through to brand licensing agreements. Every day, around 32 million customers visit its mobility locations for an evolving range of quality fuels, including electric vehicle charging, and convenience and non-fuel products and services. The company offers its business customers Shell Fleet Solutions, through which they can obtain items, including fuel cards, road services and carbon-offset offers. Beyond the company’s mobility locations, it also serves electric vehicle customers at their homes and workplaces through Shell Recharge Solutions, and at on-street locations through Ubitricity. In addition to fuels, the company is expanding its convenience and non-fuel retail offer to cater to more of its customers’ needs. At many of its sites, the company offers a range of convenience items, including beverages and fresh food, and services, such as lubricant changes and car washes. The company remains committed to developing traditional fuels for drivers of internal combustion engine vehicles. Aided by the company’s partnership with Scuderia Ferrari, it has concentrated on developing fuels with special formulations designed to clean engines and improve performance. In 2022, the company launched a new and improved formulation of Shell V-Power across multiple markets, with further roll-out planned for 2023. The company sold fuels under the Shell V-Power brand in 69 markets in 2022. The company is also expanding networks of refuelling stations of lower-emission fuels, including biofuels, hydrogen, and various gaseous fuels, such as LNG and bio-LNG. The company has more than 50 hydrogen retail sites in Europe and North America, where drivers can fill up their vehicles with hydrogen fuel. In nine markets, Shell Mobility provides customers with the opportunity to compensate their carbon emissions, including through carbon credits. Shell Mobility aims to take a leadership position in the energy transition by marketing more and cleaner fuels for the company’s customers. At the end of 2022, Shell owned or operated around 139,000 charge points, including more than 28,000 charge points at Shell forecourts, on-street locations, mobility hubs and destinations like supermarkets. In January 2022, Shell opened its first electric vehicle charging hub in the U.K. in Fulham, London, where petrol and diesel pumps at an existing fuel station have been replaced with charge points. Shell Fulham features nine high-powered, ultra-rapid 175 kW charge points. Lubricants Shell Lubricants has been the number one global finished lubricants supplier in terms of market share for 16 consecutive years, according to Kline & Company data for 2021. Shell lubricants are available across more than 160 markets for passenger cars, motorcycles, trucks, coaches, and machinery used in manufacturing, mining, power generation, agriculture and construction. The company also makes premium lubricants for conventional vehicles and Shell E-fluids for electric vehicles using gas-to-liquids (GTL) base oils that are made from natural gas at its Pearl GTL plant in Qatar. The company has a global lubricants supply chain with a network of 32 blending plants, four base oil plants, ten grease plants and six GTL base oil storage hubs. Through its marine activities, the company primarily provides the shipping and maritime sectors with lubricants. The company also provides fuels, chemical products, and related technical and digital services. The company supplies more than 200 grades of lubricants and seven types of fuel to vessels worldwide, ranging from large ocean-going tankers to small fishing boats. Shell marine lubricant products are used in more than 10,000 vessels and are available in over 700 ports across more than 60 countries. Sectors and Decarbonisation Sectors and Decarbonisation sells fuels, speciality products and services, including energy solutions that help customers reduce emissions in the aviation, marine, commercial road transport, and agricultural sectors, among others. Shell Aviation provides aviation fuel, lubricants and low-carbon solutions globally. In February 2022, Shell became the first supplierof sustainable aviation fuel (SAF) to customers in Singapore. Together with Accenture and American Express Global Business Travel (Amex GBT), Shell launched Avelia - one of the world’s first blockchain-powered digital sustainable aviation fuel book-and-claim solutions for business travel. Avelia is designed to help trigger demand for SAF, providing confidence to suppliers like the company to further increase investment in production, and in turn lowering the price point for these fuels. Shell Marine offers a portfolio of marine fuels, lubricants and low-carbon solutions, with a supply network that covers key bunkering locations globally. Shell is investing in a variety of fuels, technologies and solutions to support a decarbonised future for shipping. In June 2022, Shell and CMA CGM signed a non-binding memorandum of understanding to support the advancement of low-carbon marine fuels and innovative technical solutions, alongside a multi-year LNG supply agreement in the Port of Singapore from the second half of 2023. Shell Commercial Road Transport provides fuels, lubricants and digital services to customers with heavy-duty vehicles in their fleets. In 2022, Shell expanded its LNG refuelling network to more than 60 operated sites, bringing the number of sites where Shell customers can access LNG in Europe to more than 160. In February 2022, Shell became the first fuel provider to offer customers in the Netherlands a blended product, by feeding a portion of Shell BioLNG into its entire LNG network. Shell Bitumen supplies customers across 60 markets and provides enough bitumen to resurface 500 kilometres of road lanes every day. It also invests in research and development to create innovative products. Shell Sulphur Solutions manages the complete value chain of sulphur, from refining to marketing. It provides sulphur for use in applications, such as fertiliser, mining and chemicals. It also licenses Shell Thiogro technologies to create innovative and custom sulphur-enhanced fertilisers. In 2022, around 9.5 billion litres of biofuels went into Shell's fuels worldwide, which includes sales made by Raízen, the company’s non-operated joint venture in Brazil (Shell interest 44%). In 2022, Raízen produced around 3 billion litres of ethanol and around 4.8 million tonnes of sugar from sugar cane. The cellulosic ethanol plant at Raízen's Costa Pinto mill in Brazil produced 26 million litres of ethanol in 2022 (2021: 19 million litres). Renewable natural gas (RNG), also known as biogas or biomethane, is gas derived from processing organic waste in a controlled environment until it is fully interchangeable with conventional natural gas. Shell is constructing two facilities which will convert dairy manure to RNG and which will be co-located at the Bettencourt Dairies in Wendell, Idaho, U.S.A. Once operational, Shell Downstream Bovarius is expected to produce approximately 400,000 MMBtu a year of negative-carbon-intensity RNG. The second facility, Shell Downstream Friesian, is expected to produce approximately 350,000 MMBtu a year of negative-carbon-intensity RNG using cow manure from the dairy once operational. In Europe, the company is offering liquefied renewable natural gas (bio-LNG) to customers with trucks powered by natural gas. In 2022, in collaboration with Nordsol, the company commenced production at its first European bio-LNG plant, in Amsterdam Westpoort, in the Netherlands. This made the company the first fuel provider to offer a blend of bio-LNG throughout the entire LNG network in the Netherlands. The company also began construction of a bio-LNG plant at its Energy and Chemicals Park Rheinland, scheduled to commence operations in 2023. Business Activities with Syria Syria The company ceased all operations in Syria in 2011. In 2022, the company renewed its trademark rights in Syria. The renewal of the trademark rights is not indicative of any sales of products in Syria. Chemicals and Products segment Chemicals and Products includes chemicals manufacturing plants with their own marketing network, and refineries which turn crude oil and other feedstocks into a range of oil products. These are moved and marketed around the world for domestic, industrial and transport use. The business also includes pipelines, trading of crude oil, oil products and petrochemicals, and oil sands activities, which involves the extraction of bitumen from mined oil sands and its conversion into synthetic oil. Portfolio and Business Developments Significant portfolio and business developments in 2022 included: In October 2022, Shell USA, Inc. and Shell Midstream Partners, L.P. completed the definitive agreement and plan of merger announced in July 2022, pursuant to which Shell USA, Inc. acquired all of the common units representing limited partner interests in Shell Midstream Partners, L.P. not held by Shell USA, Inc. or its affiliates. In November 2022, the company commenced operations of its Pennsylvania Chemical project, Shell Polymers Monaca (SPM). The Pennsylvania facility is the first major polyethylene manufacturing complex in the north-eastern U.S.A. and has a designed output of 1.6 million tonnes annually. Chemicals and Products Sales In 2022, Chemicals sales volumes were 12,281 thousand tonnes, 14% lower than 2021 sales volumes of 14,216 thousand tonnes, due to lower demand. In 2022, Refining & Trading sales volumes were 1,700 thousand barrels (per day) ( b/d), 16% lower than 2021 volumes of 2,026 thousand b/d due to impact of divestments. Portfolio and Business Developments Significant portfolio and business developments in 2022 included: In October 2022, Shell USA, Inc. and Shell Midstream Partners, L.P. completed the definitive agreement and plan of merger announced in July 2022, pursuant to which Shell USA, Inc. acquired all of the common units representing limited partner interests in Shell Midstream Partners, L.P. not held by Shell USA, Inc. or its affiliates. In November 2022, the company commenced operations of its Pennsylvania Chemical project, Shell Polymers Monaca (SPM). The Pennsylvania facility is the first major polyethylene manufacturing complex in the north-eastern U.S.A. and has a designed output of 1.6 million tonnes annually. Business and Property Chemicals The company’s plants produce a range of base chemicals, including ethylene, propylene and aromatics, and intermediate chemicals, such as styrene monomer, propylene oxide, solvents, detergent alcohols, ethylene oxide and ethylene glycol. The company has the capacity to produce around 8.1 million tonnes of ethylene a year (including the Shell share of capacity entitlement (offtake rights) of joint ventures and associates, which may be different from nominal equity interest). The company is expanding its product portfolio to include sustainable chemicals made from bio-based and circular feedstocks, more intermediates and performance chemicals such as polyethylene and polycarbonate. The company operates chemical plants worldwide and has a global balance of locations, feedstocks and products that allows it to seize commercial opportunities and withstand cycles of lower margins. Shell Chemicals is transforming and has integrated further with Refining. In addition to its standalone, chemicals-only production sites, the company is transforming its refineries into energy and chemicals parks. The company expects this to happen at the following sites: Norco in the U.S.A., Scotford in Canada, Pernis in the Netherlands, Rheinland in Germany and Pulau Bukom in Singapore. The company is also exploring options for the former Convent Refinery in Louisiana, U.S.A., which is shut down, and may turn it into a low-carbon fuels facility. In 2022, the company supplied more than 12 million tonnes of petrochemicals to more than 1,000 industrial customers worldwide. Products made from chemicals are used in everyday life in medical equipment, construction, transport, electronics, agriculture and sports. As global demand for chemicals increases, it plans to increase the size of its business, by understanding and responding to its customers’ needs. Products – Refining & Trading Refining The company has interests in eight refineries worldwide, with a capacity to process a total of 1.7 million barrels of crude oil per day. The distribution of the company’s refining capacity is 60% in Europe, 26% in the Americas and 14% in Asia. Shell Refining is transforming. The company is concentrating its refineries portfolio to meet its strategic aims and to capitalise on the strong integration between its customers, trading operations, chemical plants and, increasingly, its low-carbon fuels output. The company is transforming its refining sites into energy and chemicals parks. Transforming the company’s refineries will mean developing new facilities and converting or dismantling existing units. The company plans to process less crude oil and use more renewable and recycled feedstocks such as hydrogen, biofuels and plastic waste. Trading and Supply Through its main trading offices in London, Houston, Singapore and Rotterdam, the company trades crude oil, low-carbon fuels, refined products, chemical feedstocks and environmental products. Trading and Supply trades in physical and financial contracts, lease storage and transportation capacities, and manages shipping and wholesale commercial fuel activities globally. Operating in around 25 countries, with about 180 Shell and joint-venture (including pipeline) terminals, the company’s supply and distribution infrastructure is well positioned to make deliveries around the world. Shipping and Maritime enables the safe delivery of the Shell Trading and Supply contracts. This includes supplying feedstocks for the company’s refineries and chemical plants, and finished products such as gasoline, diesel and aviation fuel to its Marketing segment and customers. Shell Wholesale Commercial Fuels provides fuels for transport, industry and heating and from reliable main-grade fuels to premium products. Pipelines The company owns and operates eight tank farms across the U.S.A. through Shell Pipeline Company LP (Shell interest 100%). It transports around 1.5 billion barrels of crude oil, refined products and chemicals a year through around 6,000 kilometres of pipelines in the Gulf of Mexico and nine the U.S. states. The company’s non-Shell-operated ownership interests provide another 13,000 kilometres of pipeline. Shell Midstream Partners, L.P., a master limited partnership headquartered in Houston, Texas, became a wholly owned subsidiary of Shell in 2022. Accordingly, the company owns, operates, develops and acquires pipelines and other midstream and logistics assets. The company’s assets include interests in entities that own crude oil and refined products pipelines and terminals that serve as key infrastructure to transport onshore and offshore crude oil production to USA Gulf Coast and Midwest refining markets; and deliver refined products from those markets to major demand centres. The company’s assets also include interests in entities that own natural gas and refinery gas pipelines that transport offshore natural gas to market hubs and deliver refinery gas from refineries and plants to chemical sites along the USA Gulf Coast. Oil Sands Synthetic crude oil is produced by mining bitumen-saturated sands, extracting the bitumen, and transporting it to a processing facility where hydrogen is added to make a wide range of feedstocks for refineries. The Athabasca Oil Sands Project (AOSP) in Alberta, Canada, includes the Albian Sands mining and extraction operations, the Scotford upgrader and the Quest carbon capture and storage (CCS) project. The company has a 50% interest in 1745844 Alberta Ltd. (formerly known as Marathon Oil Canada Corporation), which holds a 20% interest in the Athabasca Oil Sands Project. Colibri Gas for LNG export and Domestic Use in Trinidad and Tobago In 2022, the company produced gas for the first time from the Shell-operated Colibri project in Trinidad and Tobago. Most of Colibri’s gas is exported as liquefied natural gas (LNG). Shell seeks to provide more affordable, reliable, and cleaner energy to the company’s customers. While the vast majority of Colibri’s gas will be exported, about 25% will be supplied to Trinidad and Tobago’s National Gas Company (NGC), which will deliver it to the local power utility, Trinidad & Tobago Electricity Commission, to power homes and businesses. The NGC also supplies gas to petrochemicals plants in Trinidad, a major exporter of ammonia and methanol. Oil and Natural Gas Production, Exploration and Development Australia The company operates the Queensland Curtis LNG (QCLNG) venture’s natural gas operations, including wells, compression stations and processing plants, in Queensland’s Surat Basin. The company has interests ranging from 44% to 74% in 25 field compression stations and six central processing plants. The company’s production of natural gas from the onshore Surat Basin supplies the QCLNG liquefaction plant and the domestic gas market. The company has a 50% interest in Arrow, a Queensland-based joint venture with China National Petroleum Corporation (CNPC). Arrow owns coalbed methane assets and a domestic power business. In addition, Shell has interests in offshore production, LNG liquefaction and exploration licences in the Browse Basin and in the North West Shelf (NWS) and Greater Gorgon areas of the Carnarvon Basin. Woodside is the operator on behalf of the NWS joint venture. The company has a 25% interest in the Chevron-operated Gorgon LNG joint venture that includes offshore production. In the Browse Basin, Shell is the operator for the Prelude field (Shell interest 67.5%); the Crux gas and condensate development field (Shell interest 84.5%), where a final investment decision was taken in May 2022; and other backfill projects for Prelude FLNG. The company is also a partner in the Browse joint arrangement (Shell interest 27%) covering the Brecknock, Calliance and Torosa gas fields, which are under development and operated by Woodside. Barbados In 2022, the company farmed into two exploration blocks (Shell interest 40%), where its partner is the operator. Bolivia The company holds a 37.5% participating interest in the Caipipendi block where it produces and delivers natural gas to domestic and export markets. The company also has a 25% interest in the Tarija XX West block where it produces from the Itaú field. In 2022, the company exited the Iñiguazu exploration block (operated by Repsol) where it held a 15% participating interest. Canada In Canada, the company produces and markets natural gas, natural gas liquids and condensate. The company holds mineral acres, primarily in the Montney play in British Colombia and Alberta. The company operates four natural gas processing area facilities at its Groundbirch asset in British Colombia. China The company develops and produces from the onshore Changbei tight-gas field under a production-sharing contract (PSC) with CNPC. Colombia The company has 50% interests in three blocks that it operates, and 60% interests in two other deep-water blocks where Chevron is the operator. Egypt The company has a 25% interest in the Burullus Gas Company (Burullus) joint venture, which operates the West Delta Deep Marine concession (Shell interest 50%) and supplies gas to the domestic market and the Egyptian LNG plant. The company has a 50% interest in the Rashid Petroleum Company (Rashpetco) joint venture, which operates the Rosetta concession (Shell interest 100%). The company has a 30% interest in the El Burg Offshore Company (EBOC) joint venture, which operates the El Burg offshore concession (Shell interest 60%). The company has participating interests in several exploration concessions in the Nile Delta, the wider East Mediterranean and the Red Sea. Indonesia The company has a 35% interest in the INPEX Masela Ltd joint venture, which owns and operates the offshore Masela block. Oman The company has a concession to develop and produce natural gas from Block 10 (Shell interest 53.45%). The company also has a separate gas sales agreement for gas produced from the block. In September 2022, Shell and its partners signed an exploration and production-sharing agreement with the government of Oman for the exploration, evaluation and development of natural gas resources and condensate in Block 11 (Shell interest 67.5%). Qatar The company operates the Pearl GTL plant (Shell interest 100%) in Qatar under a development and production-sharing contract with the government. The fully integrated facility has the capacity to produce, process and transport 1.6 billion standard cubic feet per day (scf/d) of gas from Qatar’s North Field. The company has a 30% interest in Qatargas 4, which comprises integrated facilities to produce around 1.4 billion scf/d of gas from Qatar’s North Field, an onshore gas-processing facility. In July 2022, QatarEnergy selected the company to participate in the North Field East (NFE) expansion project in Qatar. In December 2022, QatarEnergy and Shell closed the transaction resulting in Shell purchasing 25% of the shareholding in a joint venture (JV) which owns a 25% interest in the overall NFE project. Thus, Shell's ownership of NFE via its JV shareholding is 6.25%. In October 2022, the company was also selected as a partner in the North Field South project (Shell interest 9.375%). Shell participation in the North Field South project remains subject to clearance of remaining customary conditions precedent. Russia Shell announced in the first quarter 2022 its intent to withdraw from its ventures in Russia with Gazprom and related entities, and to end its involvement in the Nord Stream 2 pipeline project Tanzania The company operates and has a 60% interest in Blocks 1 and 4 off the coast of southern Tanzania under a production-sharing agreement with the government of Tanzania that expires in 2024. Trinidad and Tobago The company has interests in three concessions with producing fields: Central Block (Shell interest 65%), North Coast Marine Area (Shell interest 80.5%), and East Coast Marine Area (Shell interest 100%). In 2022, production started on Block 22 (Shell interest 90%) and NCMA-4 (Shell interest 80%) in the North Coast Marine Area. The company’s interests range from 35% to 100% in exploration Blocks 5(d), 5(c)REA, 6(d), and Atlantic Area Block 5. Turkey In 2022, the company released its exploration licence in the Western Black Sea. Delivery Commitments The company sells crude oil and natural gas from its producing operations under a variety of contractual obligations. Most contracts generally commit the company to sell quantities based on production from specified properties, although some natural gas sales contracts specify delivery of fixed and determinable quantities. Renewables and Energy Solutions Renewables and Energy Solutions (R&ES) includes renewable power generation, the marketing and trading of power and pipeline gas, as well as carbon credits, and digitally enabled customer solutions. R&ES also includes the production and marketing of hydrogen, development of commercial carbon capture and storage (CCS) hubs, investment in nature-based projects that avoid or reduce carbon emissions (NBS), and Shell Ventures, which invests in companies that work to accelerate the energy and mobility transformation. Strategy Powering Progress is the company’s strategy to generate value for shareholders and become a net-zero emissions business by 2050. The key elements of the company’s strategy include working with its customers and across sectors to accelerate the transition to net-zero emissions; protecting the environment, reducing waste and making a positive contribution to biodiversity; and improving people’s lives through its products and activities, contributing to local communities and championing inclusion. History The company was founded in 1907. It was incorporated in England and Wales in 2002 as a private company under the Companies Act 1985, as amended. The company was formerly known as Royal Dutch Shell plc and changed its name to Shell plc in January 2022.