Shell shares up as it ratifies 10,000 work divides and descending net profit

1Royal Dutch Shell shares rose after it confirmed it would cut 10,000 jobs and a sharp fall in annual profits. Shell prolonged gains to 7% as it said it fabricated $1.8bn (£1.23bn) for the fourth quarter, compared with a $4.2bn profit for the same period the year before.

Total-year profits have seen their steepest drop in 13 years, from $19bn in 2014 to $3.8bn last year. Oil prices have fallen steadily, from more than $100 a barrel 18 months ago to around $30 a bbl instantly. Nevertheless, Shell has maintained its dividend payout to shareholders, a go that relieved investors.

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Oil companies and their businesspeople get been cutting back hard on investment and jobs as the low price eats into profits and makes investment less worthwhile. Shell’s arch-rival, BP, announced a profits slump of 51% to $5.9bn for 2015 and a further 3,000 work cuts earlier this week.