Shell has signed a $10bn revolving credit facility with the interest and fees paid on the facility linked to Shell’s progress towards reaching its short-term net carbon footprint intensity target, as published in its Sustainability Report.

Shell wants to reduce the net carbon footprint of the energy products it sells by around 50 per cent by 2050 and by 20 per cent by 2035, and has also set a three-year target to reduce its net carbon footprint by 2 per cent to 3 per cent by 2021 as compared to 2016 – meaning that the company is taking responsibility for the use of its products as well as its own outputs.

The $10 billion unsecured revolving credit facility consists of a five-year, $8bn revolving credit facility, and a one-year, $2bn facility. Each facility includes two one-year extension options at the discretion of each lender. In anticipation of the cessation of the London Interbank Offered Rate (LIBOR), this is one of the world’s first credit facilities linked to the new Secured Overnight Financing Rate (SOFR).

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