Van Beurden has stated, “Our ambitious growth drive in recent years has yielded a step change in Shell’s portfolio and options, with more growth to come, but at the same time we have lost some momentum in operational delivery, and we can sharpen up in a number of areas.” He continued, “Our overall strategy remains robust, but 2014 will be a year where we are changing emphasis, to improve our returns and cash flow performance.”
Ben van Beurden, who began his role as Shell’s new CEO on January 1, 2014, has announced that even though the company’s overall strategy is solid, he has new priorities.
He stated that these include improving the company’s financial results, achieving better capital efficiency and strengthening overall operational performance and project delivery. He also detailed that Shell will continue to invest in new projects that deliver more energy to their client base while also creating more value for shareholders. Van Beurden believes that this new strategy is “designed to deliver” through-cycle growth in cash flow, which will drive competitive returns and a growing dividend.
The landscape the company had previously expected has changed due to the worsening security situation in Nigeria in 2013 and delays to non-operated projects in other countries, resulting in this shift in priorities.