Shell plc reported total payments of $28.1bn to the governments of 27 countries for its 2024 activities in the exploration and production of natural resources, according to its disclosure filed under UK payment transparency regulations. This amount includes taxes, royalties, production entitlements and other payments related to the extraction of oil, gas and minerals.
Nigeria tops declared payment destinations
Nigeria received the highest payments from Shell, totalling $5.34bn. These flows include $3.8bn in production entitlements, $648.7mn in taxes and $780.2mn in royalties. Shell stated that all production entitlements in Nigeria were made in kind, equivalent to 80,289 thousand barrels of oil equivalent, valued at market price.
Malaysia received $3.12bn, including $2.3bn in production entitlements and $500mn in royalties. These payments were mainly made through local subsidiaries such as Shell Sabah Selatan Sendirian Berhad and Sarawak Shell Berhad. Financial flows in Malaysia also included payments to national oil companies such as Petroliam Nasional Berhad.
Oman, Qatar and Norway at the centre of fiscal flows
Oman received a total of $4.58bn, including $3.95bn in taxes paid to the Ministry of Finance and $633.7mn in production entitlements to the Ministry of Energy and Minerals. Payments to Qatar reached $3.34bn, divided between production entitlements, taxes and fees paid to QatarEnergy under the Pearl GTL project.
In Europe, Norway was Shell’s main recipient, with a total of $3.38bn. This includes $2.08bn in production entitlements transferred as in-kind barrels valued at market price and $1.3bn in taxes, particularly to the Norwegian Tax Administration (Skatteetaten).
Negative flows in the United Kingdom and India
Unlike most other countries, the United Kingdom and India recorded negative amounts in the report. Shell declared a negative balance of -$5.17mn in the United Kingdom due to a tax adjustment of -$16.6mn, partially offset by $11.48mn in project-related fees. In India, the only reported figure was a negative tax adjustment of -$17.7mn.
The company clarified that these figures do not include social investments or payments related to refining or gas liquefaction. Reported payments strictly concern extractive activities, as required by regulatory authorities in the UK, the Netherlands and the United States.
