LONDON, July 31 (Reuters) - Anglo Dutch oil company RoyalDutch Shell will show no mercy to underperforming oilrefineries in Europe as it seeks to improve returns, its chiefexecutive said on Thursday.
Oil companies with refineries in Europe are facing anindustry wide challenge of weak profit margins andover-capacity, which has already prompted some plants to close.
"The refining environment in Europe is challenged," saidShell's Chief Executive Ben van Beurden on a webcast to discussthe company's earnings. "In the end we will end up with a strongposition in Europe as the industry further restructures.
"If we can't get to that point, there will be no mercy forthose refineries. We will not tolerate having structurallyunderperforming assets that cannot deliver or cannot punch theirweight in the portfolio." (Reporting by Alex Lawler; editing by Keiron Henderson)
