A process for preparing a shell metal catalyst or a precursor of a shell metal catalyst which process includes the steps of: applying a slurry having a diluent; a catalytically active metal or a precursor compound thereof; and optionally a refractory oxide; designated hereinafter as "first refractory oxide" of an element having an atomic number of at least 20 or a precursor of the first refractory oxide; onto the surface of particles of a core carrier; forming a wet coating; and removing at least a part of the diluent from the wet coating; wherein the slurry has at least 5% w of the catalytically active metal or the precursor compound thereof; calculated on the weight of the metal relative to the weight of calcinations residue which can be formed from the slurry by drying the slurry and calcining. The invention also relates to a shell metal catalyst or a precursor of a shell metal catalyst which is obtainable by the process; and the use of the shell metal catalyst in a chemical conversion process. The invention also relates to a process for producing hydrocarbons; which process involves contacting a mixture of carbon monoxide and hydrogen with a shell metal catalyst, wherein the catalytically active metal is a Group VIII metal which is present at least partly in metallic form.