Shell PLC's (LSE:SHEL, NYSE:SHEL) management likely wished they still had a mute button as the oil major’s first physical AGM since the COVID lockdowns was besieged by climate activists.
It was also Shell’s first AGM in the UK, following its corporate departure from the Netherlands earlier this year.
Members of the Extinction Rebellion protest group reportedly infiltrated the meeting posing as shareholders and disrupted proceedings by chanting, singing and delivering speeches in protest.
Protestors shouted “Shell must fall” and sang “We will stop you” (to the tune of Queen’s “We will rock you”), whilst other reportedly glued themselves to the building’s fixtures.
HAPPENING NOW: I’m at @Shell_UKLtd AGM where a choir has disrupted the chairman’s speech singing a rendition of “we will stop you” ???? #RallyAgainstShell pic.twitter.com/JlYDT3ChF6
— Mia Watanabe | 渡辺みあ (@MiaHWatanabe) May 24, 2022
On the AGM docket, Shell’s ‘Resolution 20’ sought support for the company’s ‘Energy Transition Strategy’ albeit it was an advisory vote, meaning that management would not be bound to the outcome of the shareholder poll.
A competing motion – Resolution 21 – was filed by activist investors that calls for the group to pledge to more stringent short, medium and long-term emissions targets.
Earlier this month, Shell said that if the resolution does not pass, or receives more than 20% of votes against the resolution it would re-engage with investors.
Amidst what was described as ‘chaos’ the AGM was temporarily suspended and Shell chief executive Ben van Beurden left the venue.
Amidst widespread calls for a windfax tax on burgeoning profits on high-priced oil sales, Shell announced an increase in dividends for its shareholders.
When the votes were eventually counted, Resolution 20 received just over 20% opposition, while the activists got 20.2% support for Resolution 21.
In a statement, van Beurden said: “Shareholder support is critical as our business continues to change and we work towards our target to become a net-zero emissions energy business by 2050.
“We are pleased that the overwhelming majority of shareholders continue to support Shell, our energy transition strategy and the progress we have made in the past 12 months. We are on the right track.
“We are also encouraged by the reduced support for shareholder resolution number 21 but recognise there is still work to do. We will consult shareholders to understand these votes and formally report back to investors within six months."