Shell’s Refining Margin Soars to Record High After Middle East Conflict Upends Fuel Markets

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.

Shell expects to report a record third-quarter refining margin of $42 a barrel, up from $24 in the second quarter and surpassing the previous high of $28.04 set after Russia’s invasion of Ukraine in 2022. The surge reflects global fuel supply tightness and volatility tied to the Middle East conflict. Despite strong margins, refinery utilization fell to between 93% and 97% due to low water levels on Germany’s River Rhine.

Shell noted its trading arm continues to benefit from price swings, with oil and gas traders expected to deliver strong performance. Nowhere has the war’s impact been more pronounced than in refining, where damaged facilities and supply disruptions have driven diesel and jet fuel prices sharply higher. In the U.S., diesel averaged $6.31 a gallon versus $3.68 a year earlier.

Ukrainian drone attacks on Russian refineries and Chinese export restrictions suggest the market will remain tight into 2027. High European gas prices also provide an earnings boost, though Shell’s gas unit saw mixed results. Its Pearl gas-to-liquids facility in Qatar remains offline after being targeted, while its LNG traders have capitalized on selling North American cargoes to Europe.

Shell also raised its third-quarter integrated gas production outlook to 740,000 to 780,000 barrels of oil equivalent per day following its $13.6 billion acquisition of Canada’s ARC Resources.