With the end of the year only a few short months away, companies around the world are analyzing their profit margins for the third quarter. Shell, one of the world’s largest and most profitable energy companies, and an exemplar of the United Kingdom’s dominance in the energy sector in Europe, has reported a slight decline in gas output on the European continent during the third quarter of the year. However, the firm has noted that despite the slight decrease in gas, its profits exceeded expectations in Q3.
Shell’s gas output declined in Q3, despite the company boasting several huge gas projects around the world
Shell has become an icon of the energy sector, not just in Europe, but all over the world as well. The company has become a global leader in the energy market through its vast portfolio of energy projects.
Now, the company has reported that its gas output for the third quarter in Europe has seen a slight decrease, but profits remain high. Shell’s European gas output was 21.7mn m³/d in Q3 2025, which is down from 22.7mn m³/d this time last year. Also, it points to a trend for the company this year as the number is lower than its output in Q2, which sat at 22.4mn m³/d.
Shell’s European gas portfolio is vast and impressive, yet it struggled to meet production expectations
Shell has projects on the go around the European continent, with the UK and Dutch fields playing an important role for the company. Additionally, it has a 17% stake in the Ormen Lange field in Norway and an 18% stake in the giant Troll field. Output for the astonishingly large Troll field hovered at around 111.4 m³/d in July-August, while the Ormen field averaged 23.8mn m³/d during those two months.
Despite the slight decline in gas output, the firm has still seen profits exceed expectations
Q4 of this year is set to see a more positive outlook for Shell, as the company saw its Victory Field project being commissioned in September. It stated that its expectations for the project’s output are hovering around 4.25mn m³/d.
“The fiscal situation [in the UK] is improved so that we can make investments that allow for indigenous production to meet UK demand long term.” – Shell’s chief executive Wael Sawan
Shell’s CEO expects the company’s joint venture with Norway’s Equinor, called Adura, to kick off by the end of the year. The pair has noted that they expect the Adura project to be the largest independent producer in the UK North Sea. Which is saying a lot considering the vastness of the projects in the region.
Shell has reported a profit of $5.3 billion in the period between July and September, which is significantly more than Q2, which sat at around %3.6 billion. Notably, Shell has initiated a $3.5 billion share buyback program covering an aggregate contract term of roughly three months. The program will be completed before the Q4 results announcement.
Shell will lean on its vast international portfolio to improve gas production
Shell has an exceedingly vast portfolio of projects that span the length and breadth of the world, and has recently given a Final Investment Decision on a HI offshore gas project in Nigeria. This project exemplifies the firm’s energy expertise, and Shell will need a boost to its gas output. The end of the year is upon us, and the company will need to continue to expand its gas portfolio, especially in Europe, if it wants a successful Q4. Thankfully, the firm has enough projects in the loop to compensate for any issues the company might face in Europe as the region faces a future without Russian energy.
