Shell cuts 2020 spending by US$5bil

The cuts are expected to boost Shell’s cash generation by between US$8bil and US$9bil on a pretax basis.

LONDON: Royal Dutch Shell will lower spending by US$5bil and suspended its vast US$25bil share buyback plan in an effort to weather the recent collape in oil prices, it said.

The Anlgo-Dutch oil major said it would reduce capital expenditure to US$20bil or below from a planned level of about US$25bil while seeking to reduce operating costs by an additional US$3bil to US$4bil over the next 12 months.