- Shell plc's 2024 report reveals total payments of $28.1 billion to governments worldwide.
- Key recipients include Nigeria ($5.3 billion), Oman ($4.6 billion), and Brazil ($3.7 billion).
- Payments are detailed across categories like production entitlements, taxes, and royalties.
Shell plc (SHEL, Financial) has published its comprehensive Report on Payments to Governments for the year 2024, detailing a substantial total of $28.1 billion in payments related to its extractive operations around the globe. This extensive financial disclosure includes production entitlements, taxes, and royalties among other categories, underscoring the significant economic contribution of the company's activities.
Breaking down the payments, Shell allocated $11.4 billion in production entitlements, $10.5 billion in taxes, and $4.3 billion in royalties. The company's most significant financial commitments were in Nigeria, which received $5.3 billion, followed by Oman with $4.6 billion, and Brazil at $3.7 billion. These payments highlight the crucial role Shell plays in the economies of these resource-rich countries.
Despite the overall positive fiscal impact, Shell reported negative tax positions in the UK (-$16.6 million) and India (-$17.7 million), which could be associated with tax refunds or financial adjustments from previous operations. These figures reflect the complex tax environments in which Shell operates globally.
The report focuses on payments linked to the exploration, prospection, discovery, development, and extraction of minerals, oil, and natural gas deposits, while explicitly excluding activities related to refining and gas liquefaction operations. This transparency initiative aligns with UK, EU, Dutch, and US regulations aimed at enhancing transparency in the extractive sector.
