Royal Dutch Shell (LON:RDSA) aims to expand marketing operations in Asia, Reuters has reported. The move would come with the Anglo-Dutch energy giant wants 20 percent of sales from its fuel stations worldwide to come from recharging electric vehicles and low carbon fuels by 2025, as the world shifts away from crude.
Shell’s share price has been subdued in London this morning, having given up 0.49 percent to 2,125.00p as of 09:43 BST. The stock, however, is slightly outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.80 percent lower at 7,341.13 points. The group’s shares have added more than 16 percent to their value over the past year, but have given up some five percent in the year-to-date.
John Abbott, the head of refining, trading and marketing at Shell, told Reuters yesterday that the energy major, which has 43,000 fuel stations in 80 countries, was aiming to expand in China and India, as well as Mexico, where it sees fossil fuel growth in the next decade. He, however, added that the group remained focused on a future of where demand for alternatives to petrol and diesel cars would rise.
“Shell will be part of leading the de-carbonising of the energy system. We have to accept that is the way the world is going,” he told the newswire in an interview in London, adding that Shell, the world’s top roadside fuel station operator, was “working back from the customer, which is very relevant as we go through the energy transition”.
The news comes after Shell recently kicked off its expansion in Mexico, having opened its first service station in the country. The move marks the start of the group’s expansion plan which will see it invest $1 billion in Mexico over the coming decade.