Shell’s boss to buy electric car as it cuts focus on oil

Going electric: Shell chief Ben van Beurden
Ben Stansall/AFP/Getty Images
Michael Bow27 July 2017

The head of oil major Shell said his next car will be an electric vehicle, in a further sign that the industry is ready to end its reliance on the black stuff.

Chief executive Ben van Beurden told Bloomberg he would buy a battery-powered vehicle for his next runaround as he unveiled a big rise in second-quarter profits at the giant.

"The next buy I do is my next car which will be an electric vehicle," he said. "The whole move to electrify mobility is a good thing."

The comments underscore big oil’s plans to readjust to the green energy growth.

Van Beurden has predicted oil demand will peak by the early 2030s and promised to get Shell in shape for the new world.

The major has bought gas companies like BG Group and promised $1 billion (£766 million) a year spending on renewables to try to reduce its reliance on oil.

Van Beurden’s comments also come as the UK pledged to ban all new petrol and diesel cars and vans by 2040 and to replace them with electric or hybrid vehicles.

Second-quarter profits beat City expectations, rising to $3.6 billion from $1 billion.

“Shell’s strong results this quarter show that we are reshaping the company following the integration of BG,” van Beurden said.

“Cash generation has been resilient over four consecutive quarters, at an average oil price of just under $50 per barrel,” he added.

The shares rose by 0.8%, or 16.75p, to £21.03.