Shell PLC (NYSE:SHEL) shares were trading lower in premarket Wednesday after the company trimmed its first-quarter gas production guidance and as broader energy stocks declined on easing geopolitical tensions.

Shares of oil and gas companies moved lower after President Donald Trump said in a social media post that the U.S. would work closely with Iran and that several points in a proposed plan to end the war had been agreed to, signaling a potential de-escalation in the Middle East conflict and reduced supply concerns. Oil prices fell sharply following the announcement, pressuring energy equities.

Shell cited the impact of the Middle East conflict on Qatari volumes as it revised its outlook.

Upstream and Integrated Gas

Shell narrowed its Integrated Gas production outlook to about 880,000 to 920,000 barrels of oil equivalent per day, down from its prior guidance of 920,000 to 980,000 boe/d.

The company said Trading and Optimization performance ...