Shell earns $1 billion a year from US crude trading, court filing shows

By Jerry 
HOUSTON, April 29 (Reuters) – Financial details of Shell’s (SHEL.L), opens new tab vast oil and gas trading business are some of the company’s closest-held secrets. Documents in a lawsuit filed by a former employee, however, revealed its U.S. crude trading regularly earns around $1 billion every year.
Testimony by a former head of Shell’s U.S. crude trading division filed in a Texas state court has offered a rare look at the huge profits of its trading operations and the multi-million dollar bonuses bestowed on traders.

John Dimech, who was a manager in Shell’s crude oil trading group in Houston for 11 years, said in a deposition last year that the crude trading unit typically made between $950 million to $1 billion a year.
That is between 13% and 15% of Shell’s overall U.S. pre-tax profits in recent years, according to calculations based on company filings.
Shell’s 2022 tax contribution report detailed a pre-tax profit of just over $7 billion total in the U.S. that year, while its 2021 pretax profit stood at about $6.36 billion.
Source: REUTER

Leave A Reply

Your email address will not be published. Required fields are marked *

*