Shell might lose $5 billion due to the company’s decision to leave Russia

Shell indicated that it will write down up to $5 billion as a result of its decision to exit the Russian market, while the rise in oil and gas prices stimulated trade activity in the first quarter.

Shell’s revenue would be unaffected by the projected $4 billion to $5 billion in post-tax losses, the firm said ahead of its earnings report on May 5.

Shell has previously stated that the Russian write-downs were projected to reach $3.4 billion. According to a Shell official, the rise is due to extra possible repercussions related to contracts, receivables writedowns, and credit losses in Russia.

Shell’s market capitalisation is estimated to be over $210 billion.