Shell to Sell 1,000 Stores in Next 2 Years

The divesture is part of an overall plan to upgrade its retail network.

March 15, 2024

Shell published its Energy Transition Strategy report, where it revealed plans to sell 500 company-owned retail sites a year in 2024 and 2025.

According to the report, the divesture is part of the company’s plan to upgrade its retail network with low-carbon fuels and EV charging in markets that meet the company’s investment criteria, including China, Europe and the United States, while reducing Shell’s presence in other markets.

The company said it growing its EV charging business in order to offer customers choices in markets where it is seeing increased demand, such as China and Europe. Shell stated it aims to increase the number of public charge points that it operates from 54,000 today to around 200,000 by 2030.

In the report, Shell stated that it is choosing to focus on public charging rather than home charging because they believe that’s what customers will need most. Additionally, Shell said it has “a major competitive advantage” with its global network of service stations being one of the largest in the world.

“We have other competitive advantages, such as our convenience retail offering, which allows us to offer our customers coffee, food and other convenience items as they charge their cars,” Shell said in its report. “As we grow our business offering charging for electric vehicles, we expect an internal rate of return of 12% or higher.”

The announcement to sell 1,000 stores by 2026 comes as Shell continues to expand its retail presence in the United States. Last month, Shell acquired the retail division of Brewer Oil Company, gaining 45 fuel and convenience store sites in New Mexico.

In the report, Shell said it invested $2.3 billion in producing non-energy products last year, including its c-store network.