Royal Dutch Shell posted today a colossal net loss of US$18.1 billion for the second quarter, blaming massive asset writedowns on the coronavirus-hit oil market.. — Reuters pic
The vast charge was taken “as a result of revised medium- and long-term price and refining margin outlook assumptions in response to the Covid-19 pandemic and macroeconomic conditions as well as energy market demand and supply fundamentals,” Shell said in a results statement. “Shell has delivered resilient cash flow in a remarkably challenging environment,” said Chief Executive Ben van Beurden in today’s statement.
Both Shell and British rival BP, which reports its earnings next week, have opted to book charges in the second quarter on sustained coronavirus fallout that ravaged the world’s appetite for crude oil.