Shell lifts Q3 gas production outlook and expects higher refining margins
Shell PLC raised its integrated gas production forecast for the third quarter of 2026 to 740,000‑780,000 barrels of oil equivalent per day, up from the prior range of 570,000‑630,000 boe/d. The company also expects refining margins to climb to $42 per barrel, compared with $24 per barrel in the second quarter, while LNG volumes are projected at 7.2‑7.6 million metric tons, slightly below the 7.7 million tons reported in Q2. The outlook reflects the impact of the recently completed $16.4 billion acquisition of ARC Resources and a recovery in Middle‑East oil flows.
Why it matters
Shell says the higher gas output and stronger refining margins should boost earnings in Q3, although the modest dip in LNG volumes may temper overall revenue growth. The company also expects $300 million of exploration well write‑offs during the quarter, which could offset some of the earnings upside.
Key facts
- 1Shell raised its Q3 integrated gas production forecast to 740,000‑780,000 boe/d. marketscreener.com
- 2The previous gas forecast range was 570,000‑630,000 boe/d. marketscreener.com
- 3Q2 gas production was 631,000 boe/d. marketscreener.com
- 4LNG volumes are expected at 7.2‑7.6 million metric tons in Q3. industrialinfo.com
- 5Refining margins are projected at $42 per barrel for Q3, up from $24 per barrel in Q2. investing.com
- 6The $16.4 billion acquisition of ARC Resources was completed on September 2, 2026. rte.ie
Summary written by AlphAI from 10 of 10 sources. Not investment advice. Figures are as stated by the linked sources.