Shell is to take a “good look” at its North Sea portfolio as it considers $30 billion of asset sales over the next two years.
The confirmation came as chief executive Ben van Beurden refused to rule out more cuts to North Sea jobs.
The CEO outlined how rising costs and depleting assets forced the firm to pull a series of “financial levers”.
The firm is to continue its cost-cutting with a further 6,500 jobs to go this year.
Mr van Beurden said: “These levers are working. We still have all the balance sheet strength ahead of us if we were to need it.”
A further $30bn will be clawed back through asset sales.
The bulk of the divestments are expected to come after the completion of its landmark BG deal.
The chief executive said the takeover will act as a “springboard to change Shell into a simpler and more profitable company”.
Pressed on the company’s future in the North Sea, van Beurden said: “Yes, we will take a very good look at the North Sea and make sure that out of two strong portfolios we will crystallise the strongest possible core.
“Like any province that gets mature, and certainly one where we have high cost structures and still a high tax regime, we will have to look at how to restructure this to bring it back to its most advantaged core.”
Earlier, CFO Simon Henry said the North Sea was one of three underperforming areas of the business.
He said: “We have a lot of high cost locations. One of the ways to take cost down is to move the work to a lower cost location.”
The firm has made $250 million of savings in the UK this year, including cutting 750 UKCS jobs.
The oil giant is also working with a pipeline of service firms to reduce costs.
Shell’s second quarter profit totalled $3.8bn, a significant slide on last year’s $6.1bn but the firm retained its dividend commitment at $1.88 a share.
Stocks in Shell closed up 4.45% at 1856.13.