London, Jan 15, 2026, 07:12 GMT — Premarket
- Shell and Exxon Mobil have scrapped their planned sale of UK Southern North Sea gas assets to Viaro Energy.
- Brent crude dropped over 2% in early Asian trading, putting pressure on oil majors.
- Shell shares ended Wednesday at 2,739 pence. Quarterly results and an interim dividend are scheduled for Feb. 5.
Shares of Shell Plc opened Thursday in London after the company and Exxon Mobil pulled out of a planned sale of their UK Southern North Sea gas assets to Viaro Energy, citing changing commercial and market conditions. Shell will continue to operate the package, which covers 11 gas fields plus the onshore Bacton terminal. Viaro CEO Francesco Mazzagatti said the deal was “fully funded” before both parties decided to halt the transaction. Reuters
The botched sale leaves Shell stuck with an ageing North Sea lineup just as investors zero in on cash returns and portfolio shake-ups. On Wednesday, Shell closed 0.6% higher at 2,739 pence.
Oil prices took a hit. Brent dropped $1.67, or 2.5%, to $64.85 a barrel by 0109 GMT. The slide came after U.S. President Donald Trump’s remarks eased concerns over immediate supply disruptions from Iran. Adding to the downside, U.S. crude inventories unexpectedly rose. “Selling pressure prevailed,” said Hiroyuki Kikukawa, chief strategist at Nissan Securities Investment. Reuters
Shell is halfway through a $3.5 billion share buyback, a move to reduce its outstanding shares. The company plans to wrap up this latest round before releasing its fourth-quarter results. The buyback programme is scheduled to continue until Jan. 30, depending on market conditions.
Shell revealed in its latest update that on Jan. 14, it repurchased 659,659 shares in London and 646,620 shares in Amsterdam, planning to cancel them. The volume-weighted average prices were 27.3057 pounds and 31.5729 euros, respectively.
Shareholder politics add another layer of tension. Climate activist group Follow This, joined by over 20 investors, has filed resolutions pushing Shell and BP to clarify their strategies for generating value amid declining oil and gas demand. Shell said its board will review the resolution and issue a recommendation before its annual meeting in mid-May.
Shell entered the debate following a cautious trading update last week. The company forecasted a fourth-quarter loss in its chemicals and products segment and warned of “significantly lower” oil trading results, raising questions about the buyback schedule. RBC analyst Biraj Borkhataria pressed on whether management would “hold the line” on the $3.5 billion buyback. Reuters
Peers are grappling with a familiar blend of oil-price volatility, asset choices, and investor demands. BP is also dealing with the Follow This campaign, while Exxon remains linked to the stalled North Sea sale.
For now, Shell’s stock outlook hinges on crude prices. A sharper drop in oil could pinch upstream cash flow and trim refining margins. Meanwhile, if an asset sale falls through, Shell could face steeper decommissioning and operating expenses than expected.
Traders are focused on any fresh news about the UK gas assets, while also eyeing Shell’s Q4 results and interim dividend set for Feb. 5 at 0700 GMT. CEO Wael Sawan and CFO Sinead Gorman will hold a briefing later the same day.
