Oil price rise pumps up profits for Shell

PROFITS at oil titan Shell have soared 42pc to £3.8bn during the latest three months, on the back of higher oil prices.

The Anglo-Dutch firm produced 3.8m barrels of oil and gas a day at an average price of $67 a barrel. It sold more assets to pay for its £36bn purchase of BG Group in 2016, having agreed the £680m sale of petrol stations in Argentina.

But shares slid during the day as it missed forecasts on cash flow, which fell slightly to £6.7bn.

The oil price nearly hit $75 yesterday amid expectations of renewed US sanctions on Iran, falling output in Venezuela and strong demand.

It has risen 15pc in four weeks, and recovered from lows of below $30 barrel in 2016.

Boss Ben van Beurden, 60, said: ‘Strong earnings were underpinned by higher oil and gas prices, continued growth and very good performance of our integrated gas business, and improved profitability in upstream business.’