Shell restructures power division, halts new offshore wind investments- report

In a strategic shift, Shell (LON:SHEL ) is dividing its power division into two distinct entities and has decided to halt new investments in offshore wind projects, Reuters reported Wednesday.

This move was confirmed by a company spokesperson, who detailed the reorganization of Shell Energy into separate units focusing on power generation and trading.

The spokesperson stated, "While we will not lead new offshore wind developments, we remain interested in offtakes where commercial terms are acceptable and are cautiously open to equity positions, if there is a compelling investment case."

This decision indicates a more selective approach by Shell in its future energy project engagements, particularly in the offshore wind sector, where the company will not take the lead on new developments.

However, Shell has not closed the door on participating in such projects through off-take agreements or equity investments, provided the commercial conditions are favorable and the investment case is strong.

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Source: Investing.com