Shell Target Price Lifted 22% to 3,350p as Pearl GTL Halts Output
HSBC raised earnings estimates for integrated oil majors, lifting Shell’s price target by 22% to 3,350p and boosting 2026 Brent forecasts to $80 per barrel. Shell halted output at Pearl GTL after an attack on its Qatar facility; Train 2 repairs will take about a year, risking gas-to-liquids supply tightness.
1. HSBC boosts Shell forecasts
HSBC boosted its earnings estimates for integrated oil majors, raising Shell’s 2026 target price by 22% to 3,350p while lifting Brent price assumptions to $80 per barrel from $65. The bank’s revisions reflect significant macro adjustments as Middle East supply shocks bolster revenue projections.
2. Pearl GTL facility output halted
Shell halted production at its Pearl GTL facility in Qatar following a targeted attack on Qatar Energy’s complex on March 20, suspending gas-to-liquids output across the plant. The suspension underscores heightened regional security risks that could reverberate through global energy markets.
3. Year-long repair and supply impact
Shell expects Train 2 repairs at Pearl GTL to take about a year, delaying restoration of critical gas-to-liquids capacity. This prolonged outage may tighten LNG supply and refining feedstock availability, potentially affecting Shell’s earnings and global hydrocarbon flows.