Europe’s largest oil company has established a separate division, New Energies, to invest in renewable and low-carbon power.
Shell’s new division brings together its existing hydrogen, biofuels and electrical activities, but will also be used as a base for a new drive into wind power, as reported by The Guardian.
With $1.7 billion of capital investment currently attached to it and annual capital expenditure of $200 million, New Energies will be run alongside the Integrated Gas division under executive board member Maarten Wetselaar.
Shell has made no formal announcement so far about New Energies but the new business is expected to be revealed at a public strategy briefing in London on June 7.
The move emerged days after experts at Chatham House warned international oil companies they must transform their business or face a “short, brutal” end within 10 years.