Shell Expects Significantly Higher Q3 Integrated Gas Trading, Upstream Output

Shell anticipates a strong third quarter in 2025, driven by significantly higher trading and optimisation performance in its Integrated Gas division, supported by increased liquefied natural gas (LNG) production, which is expected to rise to between 7.0 and 7.4 million tonnes. Upstream production is forecasted to increase to between 1.79 million and 1.9 million barrels of oil equivalent per day, although earnings will be impacted by $200 million to $400 million in charges related to the rebalancing of participation interests in Brazil's Tupi field. Marketing adjusted earnings are expected to improve, while the Chemicals & Products segment faces a loss, despite stronger refining margins rising to $11.6 per barrel. Shell also disclosed a $600 million non-cash impairment due to the cancellation of its Rotterdam biofuels project, reflecting challenges in making the plant competitive. The company plans to report its full third-quarter results on October 30, 2025, following a second quarter marked by a 32% year-on-year fall in adjusted earnings to $4.3 billion, though this still exceeded expectations. Overall, Shell's outlook highlights resilience in gas and trading operations amid pressures in biofuels and chemicals, with ongoing strategic adjustments in asset participation and divestments.