I can confirm this still happens with gnome-shell 3.24.1-0ubuntu1.

It appears that you can stop this from happening by blocking gnome-
color-panel in /etc/geoclue/geoclue.conf:

[gnome-color-panel]
allowed=false
system=true
users=

Just to add some confusion, it appears that GDM sometimes starts using
geoclue which then makes then location icon appear in the user's desktop
once logged in. But that is presumably something that should be logged
seperately.

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https://bugs.launchpad.net/bugs/1682167

Title:
  location services says it is in use even though it is disabled and
  nothing is using it

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