Shell drops two North Sea wind projects in fossil fuel shift

Shell posted a 24% rise in third-quarter net profit to US$5.3 billion, boosted by stronger trading margins and sales volumes despite lower oil prices.

LONDON: British oil and gas giant Shell said Monday that it was ending its participation in two offshore wind projects in the North Sea, part of its shift away from alternative energy to focus on its fossil fuels business.

The company announced last year that it would scale back various climate objectives in favour of oil and gas to raise profits.

It will stop developing the MarramWind and CampionWind turbine projects with partners in the North Sea after “a strategic review”, a spokesman said, adding that Shell now had no new offshore wind projects in Scotland.

“Shell’s strategic pivot focuses on playing to our strengths in power trading and integrated energy solutions rather than majority share investments in power generation assets,” it added in a statement.

Last month, Shell said it had abandoned construction of one of Europe’s largest biofuel plants in the Netherlands, citing unfavourable market conditions.

The announcement came as it unveiled a 24% jump in net profit in the third quarter to US$5.3 billion, as trading margins and sales volumes improved despite falling oil prices.