Preventing the facilitation of tax evasion

About Shell

Royal Dutch Shell ^[1] plc directly or indirectly holds investments in companies that explore for oil and gas worldwide; develop new oil and gas supplies and have a global network of refineries, chemical plants, and retail sites. Shell companies also transport and trade oil, gas and energy-related products, as well as investing in alternative energy and biofuels production.

Our Values

All Shell companies and Shell operated joint ventures must comply with local legislation and regulations, and must conduct their activities in line with the Shell General Business Principles and our core values of honesty, integrity and respect for people. We encourage joint ventures we do not operate to apply materially equivalent business principles.

In line with our Shell General Business Principles, we seek to work with contractors and suppliers who contribute to sustainable development and are economically, environmentally and socially responsible. Contractors and suppliers are expected to comply with all applicable laws and regulations.

We believe paying taxes in the countries where we operate is about more than complying with the law. It is about showing that the extraction, supply and distribution of natural resources provide governments with an opportunity to generate revenues, support economic growth and enhance social development.

Shell does not condone, encourage or support tax evasion, and is committed to implementing procedures to prevent anybody employed or contracted to Shell or acting on Shell’s behalf facilitating the evasion of tax. Any involvement by persons associated with Shell (broadly employees, contractors and parties acting for Shell) in such activities is considered damaging to our reputation and potentially the long-term sustainability of our business. Due to the size and complexity of our business there will be occasions where there will be disagreements with tax authorities. Shell aims to resolve such disputes in an amicable fashion, however these will occasionally result in litigation. Tax evasion is against our Shell General Business Principles and our core values.

Preventing the facilitation of Tax Evasion

Shell has in place a Code of Conduct, applicable to all employees and contractors working on behalf of Shell, to ensure they comply with applicable laws and act in accordance with our values and business principles.

We have a Global Helpline in place for all employees and contract staff in Shell and for third parties with whom Shell has a business relationship (such as customers, suppliers, agents) to raise concerns and report instances of potential non-compliance with our values and principles, in full confidence and without fear of retaliation.

We believe the existing Code of Conduct and supporting ethics and compliance framework provides a robust base for preventing the facilitation of tax evasion. However, we acknowledge the potential for this risk given the complexity of our business activities, the range of jurisdictions in which we operate, and the number of third parties with whom we have a business relationship.

Building on our existing Code of Conduct and ethics and compliance framework, we will work to ensure that employees, contractors or other parties working for Shell are aware of their responsibilities, and are provided with the tools to identify indicators of possible tax evasion and respond appropriately.

This statement does not in any way indicate a change in our stance on the facilitation of tax evasion, but seeks to make explicitly clear that such offences are, and always have been, against Shell’s principles and policies. Shell has decided to make this statement publicly following the introduction of the Corporate Criminal Offence: Preventing the Facilitation of Tax Evasion by the United Kingdom on 30 September 2017.

^[1] _{The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this statement “Shell”, “Shell group” and “Royal Dutch Shell” are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to subsidiaries in general or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this statement refer to companies over which Royal Dutch Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has joint control are generally referred to as “joint ventures” and “joint operations” respectively. Entities over which Shell has significant influence but neither control nor joint control are referred to as “associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in a venture, partnership or company, after exclusion of all third-party interest. For the full cautionary note, please visit: Cautionary Note}