We recently published a list of the 12 best oil and gas dividend supplies according to billionaires. In this article we will look at where Shell PLC (NYSE: SHEL) stands against other best oil and gas dividend shares to invest according to billionaires.
The United States of America now produces more oil than any country in history. In December 2024, the oil and gas managers of the country produced more than 13.49 million barrels per day (BPD) of crude oil, a highest production percentage. Oil production in America has increased by almost 50% over the past decade, and the US Energy Information Administration (EIA) now expects the American production of crude oil in 2025 to have an average of 13.59 million BPD, an increase in the earlier estimate of 13.55 million BPD. But at the same time, the production of the country runs the risk of falling Brent prices, which is expected to have on average around $ 74 this year and then fall further to around $ 66 in 2026.
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Another major problem for the American oil and gas industry is that the largest oil field in the country marks and possibly approaches peak production. The Perm -Bekken led the American shale revolution and was responsible for almost half of the country’s general production in December. The ruthless drilling in the past two decades, however, has exhausted the core of the oil field, and Schaleie -executives now expect that the growth in oil production of the Perm will delay from approximately 25% to 250,000 to 300,000 BPD this year.
Oil and gas managers are also irritated by the tariff policy assumed by the Trump administration, because the constant uncertainty is now threatening their drilling plans. A recently published investigation by the Federal Reserve Bank of Dallas has shown that oil executives are dissatisfied with President Trump’s administration, and almost a third even said that their business prospects had deteriorated since the end of 2024. Moreover, the imposition of the 25% rate of steel and aluminum has already led to an estimated 4% increase in costs for drilling a well.
Despite all the aforementioned issues and falling margins, however, the oil and gas companies of the country remain dedicated to shareholders and have increased their return at record level. A report from Janus Henderson has revealed that operators in the energy sector spread more than $ 49 billion in dividends in the third quarter of 2024, an increase of $ 32.2 billion three years ago. To maintain such high levels of payment, the industry will have to shift to its second most important source of income – natural gas.
In contrast to crude oil, the Benchmark American natural gas price at Henry Hub has risen by more than 114% in the past year, thanks to the delay in the output in 2024, the export of LNG and rapidly vast stocks during the coldest winter in six years. The EIA expects the American gas demand to reach this year and subsequent record heights, and it has predicted that the country’s gas output will increase to 105.2 billion cubic foot per day (BCFD) in 2025, an increase of 103.2 BCFD last year and a record 103.6 BCFD in 2023.
It is worth noting that, despite the recent decrease in industry’s income, Berkshire Hathaway from Warren Buffett has invested hundreds of millions of dollars in an oil and gas giant in recent months. Omaha’s oracle has a talent for dividends, because about 80% of its portfolio is concentrated in dividend shares, so the recent investment can be a reflection of his confidence in the sector’s payment potential.
12 best oil and gas dividend supplies according to billionaires
A gas refinery illuminated against the night sky and shows the scale of the company’s petrochemical activities.
To collect data for this article, we have observed various companies that worked in the oil and gas sector and subsequently selected companies with the highest dividend yields from March 28, 2025, and they are ranked by their number of billionaire investors according to the Insider Monkey Database from Q4 2024. The following are the following Best oil and gas dividend supplies according to billionaires.
At Insider Monkey we are obsessed with the shares that stack hedge funds. The reason is simple: our research has shown that we can surpass the market by imitating the best share choices of the best hedge funds. The strategy of our quarterly newsletter selects 14 CAP and Large-CAP shares every quarter and has returned 373.4% since May 2014 and has reported its benchmark with 218 percentage points (see more details here).
Number of billionaire holders: 14
Dividend yield from March 28: 3.79%
Shell PLC (NYSE: SHEL) is a worldwide group of energy and petrochemical companies that employ 103,000 people and with activities in more than 70 countries. The company is also the number one global supplier of lubricants, as well as the top player in the fast -growing LNG sector.
Shell PLC (NYSE: SHEL) had a tough Q4 2024 because it reported a profit of $ 3.66 billion, the lowest quarterly win in the past 3 years. As a result, the adapted profit per share of $ 1.18 oil and gas giant fell under expectations by $ 0.31, and the quarterly turnover of $ 66.28 billion also missed estimates with more than $ 5.5 billion. Despite the heavy business environment, Shell generated an operational cash flow of $ 54.7 billion and a free cash flow of $ 39.5 billion for the entire year 2024. The divided $ 22.6 billion to its shareholders during the year, which represents 41% of its total free cash flow. Moreover, the continuous focus of the company has helped on simplification to deliver more than $ 3 billion in structural cost reductions since 2022, so that the target was achieved before the planned schedule.
In January, Shell PLC (NYSE: SHEL) announced an increase of 4% in its dividends and another $ 3.5 billion in return program, making this the 13th consecutive quarter of at least $ 3 billion in return. According to analysts at Barclays, Shell can increase its dividend by 10% -20% by 2026, while the $ 14 billion stock buying program keeps its intact intact this year.
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Publication: none. This article was originally published on Insider Monkey.
