I am Peter Voser, the CEO of Shell, and let me give you some highlights from our fourth quarter and 2010 results...
....and strategy delivery.
Full year CCS earnings, excluding identified items, were $18 billion, an EPS increase of 56%...
...and Q4 results were $4.1 billion, an EPS increase of 49%.
Our 2010 earnings increased substantially from 2009 levels,
driven by improving industry fundamentals, and Shell’s production growth and cost performance.
Our 2010 oil and natural gas production volumes were 3.3 million boe/d,
an increase of 5%. LNG sales volumes increased by 25%, with continued growth in Downstream.
Both our fourth quarter and full year earnings were supported by higher oil prices and chemicals margins.
However, we did see the impact of weak refining margins, pressure on natural gas prices in some regions,
and strong volatility in Downstream marketing margins...as a result of rising oil prices.
In 2010 Shell made good progress on implementing strategy...improving near-term performance...
...delivering a new wave of production growth....
and maturing the next generation of growth options for shareholders.
Our underlying costs declined by $2 billion in 2010 compared to 2009,
bringing the total underlying cost reduction to $4 billion for 2009 and 2010 combined... a reduction of some 10%.
We sold $7 billion of non-core assets in 2010 , bring total asset sales in the last 5 years to some $30 billion,
or a roll over of about 20% of our capital employed.
We have delivered our 2010-11 asset sales targets ahead of schedule,
and I am expecting some $5 billion of disposals for 2011.
Shell’s growth programmes are on track. In 2010, we started up 6 key projects in Upstream and Downstream...
and our projects in Qatar – that’s LNG and GTL are going well.
I’m very pleased to see these projects coming on stream as we’d planned...
.... and these projects underpin Shell’s targets for an 11% production increase from 2009 to 2012,
and a 50-80% increase in cashflow from operations ...measured at $60-$80 oil prices.
These are ambitious targets, but we are on track.
Looking at the longer term...we are took two final investment decisions for deepwater projects,
we acquired new gas resources in the US, Australia and China, and moved forward with biofuels in Brazil.
We will continue to invest for medium-term growth to create value for our shareholders,
balancing returns today with investment for the future.
In 2010 Shell paid dividends of some $10 billion...the largest in our sector...underlining our commitment to shareholder returns.
I expect 2011 net capital investment of some $25-27 billion...as we invest for future growth.
Let me sum up. We are making good progress against our targets, and there is more to come from Shell.
Thank you.