v3.25.2
Debt
12 Months Ended
Dec. 31, 2024
Financial Instruments [Abstract]  
Debt Debt
Debt
$ million
Dec 31, 2024Dec 31, 2023
Debt (excluding
lease liabilities)
Lease
liabilities [A]
TotalDebt (excluding
lease liabilities)
Lease
liabilities [A]
Total
Current debt:6,9204,71011,6305,2884,6439,931
Short-term debt642642845845
Long-term debt due within 1 year6,2784,71010,9884,4434,6439,086
Non-current debt41,45623,99265,44848,54423,06671,610
Total48,37628,70277,07853,83227,70981,541
[A]Further analysis of lease liabilities is provided in Note 22.
Net debt is the sum of current and non-current debt, less cash and cash equivalents, adjusted for the fair value of derivative financial instruments used to hedge the volatility caused by fluctuations in foreign exchange and interest rates relating to debt, and associated collateral balances. Net debt is a non-GAAP measure, providing additional information to help demonstrate the economic impacts of debt, associated hedges, and cash and cash equivalents.
Net debt
$ million
(Asset)/liability
Current
debt
Non-current
debt
Derivative
financial
instruments
Cash and cash
equivalents
(see Note 18)
Net debt*
At January 1, 20249,93171,610775(38,774)43,542
Cash flow(9,653)35(594)(1,097)(11,309)
Lease additions [A]7635,0835,846
Other movements10,909(10,040)(319)550
Currency translation differences and foreign exchange losses/(gains)
(320)(1,240)979761180
At December 31, 202411,63065,448841(39,110)38,809
At January 1, 20239,00174,7941,288(40,246)44,837
Cash flow(9,617)(215)7231,778(7,331)
Lease additions [A]1,0213,3214,342
Other movements 9,619(7,184)(481)1,954
Currency translation differences and foreign exchange (gains)/losses(93)894(755)(306)(260)
At December 31, 20239,93171,610775(38,774)43,542
[A]Further analysis of lease liabilities is provided in Note 22.
Borrowing facilities and amounts undrawn
$ million
FacilityAmount undrawn
Dec 31, 2024Dec 31, 2023Dec 31, 2024Dec 31, 2023
CP programmes20,00020,00020,00020,000
EMTN programmeN/AunlimitedN/AN/A
US shelf registrationunlimitedunlimitedN/AN/A
Committed credit facilities8,0009,9208,0009,920
* Non-GAAP measure (see page 337).
21. Debt continued
During 2024, Shell had access to international debt capital markets via two commercial paper (CP) programmes, a US universal shelf (US shelf) registration and a Euro medium-term note (EMTN) programme. Issuances under the CP programmes are supported by a committed credit facility and cash.
Under the CP programmes, Shell can issue debt of up to $10,000 million with maximum maturities ranging between 183 days and 364 days depending on the form of the notes issued; and $10,000 million with maturities not exceeding 397 days.
The US shelf registration provides Shell with the flexibility to issue debt securities, ordinary shares, preferred shares and warrants. The registration is updated once every three years and was last updated in December 2023. During 2024, no debt was issued under this registration (2023: no debt issued).
The EMTN programme lapsed in November 2024 and will be renewed during 2025. During 2024, no debt was issued under this programme
(2023: no debt issued).
On December 13, 2019, Shell refinanced its revolving credit facility (RCF), which is linked to the Secured Overnight Financing Rate (SOFR),
at pre-agreed margins. Shell elected not to extend the short-dated tranche of $1,920 million in 2024. The remaining $8,000 million expires in 2026 (2023: $8,000 million expiring in 2026). The terms and availability are not conditional on Shell's financial ratios nor its credit ratings. The interest and fees related to these facilities are linked to Shell's progress towards reaching its short-term Net Carbon Intensity target.
The following tables compare contractual cash flows for debt, excluding lease liabilities at December 31, with the carrying amount in the Consolidated Balance Sheet. Contractual amounts reflect the effects of changes in foreign exchange rates; differences from carrying amounts reflect the effects of discounting, premiums and, where fair value hedge accounting is applied, fair value adjustments. Interest is estimated assuming that interest rates applicable to variable-rate debt remain constant and there is no change in aggregate principal amounts of debt other than repayment at scheduled maturity, as reflected in the table.
2024
$ million
Contractual payments
Less than
1 year
Between
1 and 2
years
Between
2 and 3 years
Between
3 and 4
years
Between
4 and 5
years
5 years
and later
TotalDifference
from carrying
amount
Carrying
amount
Bonds6,0363,7922,3445,2072,33327,36947,081(395)46,686
EMTN
3,2861,0422,3443,7078336,46917,681(260)17,421
US shelf
2,7502,7501,5001,50020,90029,400(135)29,265
Bank and other borrowings88516969289322461,6901,690
Total (excluding interest)6,9213,9612,4135,4962,36527,61548,771(395)48,376
Interest1,4371,2651,1841,1621,05512,21418,317
2023
$ million
Contractual payments
Less than
1 year
Between
1 and 2
years
Between
2 and 3 years
Between
3 and 4
years
Between
4 and 5
years
5 years
and later
TotalDifference
from carrying
amount
Carrying
amount
Bonds4,2926,1943,8562,4895,44230,04952,322(567)51,755
EMTN
3,0423,4441,1062,4893,9427,64921,672(414)21,258
US shelf
1,2502,7502,7501,50022,40030,650(153)30,497
Bank and other borrowings1,06023073346533162,078(1)2,077
Total (excluding interest)5,3526,4243,9292,8355,49530,36554,400(568)53,832
Interest1,5691,4521,2851,2071,17713,36620,056
Interest rate swaps have been entered into against certain fixed rate debt affecting the effective interest rate on these balances (see Note 26).
The fair value of debt excluding lease liabilities at December 31, 2024, was $44,119 million (2023: $50,866 million), mainly determined from
the prices quoted for those securities. The difference between the fair value of debt and the carrying amount is predominantly related to the difference between the fixed rate and the current market rate.