Oil giant Royal Dutch Shell has announced it is to shed 6,500 jobs as part of cost cutting plans. The company said the cost cutting was to help “mitigate the impact” on profits amidst a drop in oil prices.

Its “prudent approach” included a reduction in operating costs of $4bn and reduced oil exploration operations.

The company announced profits of $3.4bn in the three months to 30 June, a 35% decrease compared with last year. Shell also said that it was “planning for a prolonged downturn” in oil prices.