Dec 6, 2021

Shell Enterprises LLC, a subsidiary of Royal Dutch Shell plc, has completed the sale of its interest in the Permian to ConocoPhillips for $9.5B in cash. The agreement covers the sale of Shell's 225k net acres and existing production of around 175 thousand barrels equivalent per day. As noted in the announcement of the agreement for the sale of Shell’s Permian business, this deal reflects Shell’s focus on value over volumes as well as disciplined stewardship of capital. This transaction was made possible by the Permian team’s outstanding operational performance and provides excellent value to our shareholders through accelerated cash delivery and additional distributions. As previously announced, the cash proceeds from this transaction will be used to fund $7B in additional shareholder distributions with the remainder used for further strengthening of the balance sheet. The first tranche of additional shareholder distributions will be in the form of share buybacks of up to $1.5B and will commence on December 2, 2021. The form and timing for distributing the remaining $5.5B will be announced in early 2022. These distributions are in addition to our shareholder distributions in the range of 20-30% of cash flow from operations. Notes to editors On September 20, 2021, Shell and ConocoPhillips announced that they had reached an agreement for ConocoPhillips to acquire Shell’s Permian business. The transaction resulted in an after-tax gain of $2.4 to $2.6B after adjustments. Majority of Midland-based Permian employees and many Houston-based employees were offered employment by ConocoPhillips with effect upon closing in accordance with the terms and conditions of the transaction. Shell is one of America’s leading energy companies with interests in 50 states employing more than 15,000 people. Shell’s U.S. portfolio of operated companies and interests consists of oil, natural gas, petrochemicals, gasoline, lubricants, and other refined products along with renewables such as wind, solar, and mobility options like electric vehicle charging and hydrogen. In the U.S. Shell is also investing in an integrated power business that will provide electricity to millions of homes and businesses. Source: Shell Enterprises LLC