In a statement, the company said that it would increase total shareholder distributions to between 20% and 30% of cashflow from operations with the precise amount subject to the ‘full visibility of second quarter results’.
It comes as prevailing oil prices – up to around US$75 per barrel from around US$45 at the turn of the year - have boosted cash flow and profitability substantially.
The oiler-in-transition told investors that it expects to have further reduced its net debt during the quarter and will retire its net debt target of US$65bn, and, it added that it will keep capex below US$22bn in 2021.
The pending rise in shareholder returns comes ahead of the market expectations.
In London, Shell shares rose 2.11% to change hands at 1,451.60p.
Second quarter results are due for release on July 29.