Brent Crude At $87.22 Lifts Shell’s Q2 Profit To $9.84bn Despite Output Setbacks

Brent crude at $87.22 lifted Shell’s second-quarter profit to $9.84 billion, as stronger trading gains from volatile oil markets outweighed production setbacks at some of the energy major’s key facilities.

Shell said profit for the April-to-June period more than doubled from $4.26 billion a year earlier, bringing first-half earnings to $16.76 billion, up 70 per cent from the same period in 2025 after first-quarter profit of $6.92 billion.

The results came against the backdrop of sharp swings in global energy prices after the US-Israel conflict with Iran raised fears of disruption to oil and liquefied natural gas shipments through the Strait of Hormuz. Brent crude surged to above $120 a barrel at its peak before easing back below $100 as uncertainty over the shipping route persisted.

That volatility proved beneficial for Shell’s trading business, which posted wider margins as prices moved sharply across the market. Chief executive Wael Sawan said the company’s operational performance delivered “very strong results during another quarter of severe disruption in global energy markets.”

The gains were partly offset by operational problems. Shell said liquefied natural gas production in Qatar has remained shut since early March, while its Pearl gas-to-liquids facility sustained extensive damage after a missile strike and may take about a year to repair.

As a result, gas production fell to 631,000 barrels of oil equivalent per day in the second quarter, compared with 909,000 barrels per day in the previous quarter. Overall oil and gas output in the first half of the year was down 16 per cent from the corresponding period in 2025, although new production from Brazil and the Gulf of America helped cushion the decline.

Analysts said Shell’s diversified portfolio helped it absorb the shocks better than less integrated rivals. Maurizio Carulli, global energy analyst at Quilter Cheviot, said the standout contribution came from Shell’s trading operation, supported by refining, chemicals and production growth in Brazil.

Environmental groups criticised the company’s windfall earnings, arguing that consumers continue to bear the burden of higher fuel and energy costs. Friends of the Earth campaigner Danny Gross said Shell’s profits showed why the shift away from fossil fuels must accelerate as households face rising bills and the climate crisis deepens.