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Shell blamed production disruption from security breaches in Nigeria for a fall in overall oil and gas production to just under 3 billion barrels of oil a day from 3.01 billion a year ago.
Thefts of crude from pipelines and flooding have caused damage in its Nigerian operations. The group said its refining business recovered but attributed it to supply shortages rather than
strong demand. It forecast the upturn could be short-lived due to the tough global economy. Finance chief Simon Henry said: “We’re seeing evidence of a weak economy all around us.” Excluding
disposals and Nigerian problems, Shell increased upstream production 1 per cent in the three months to September 30, helped by progress on projects in Qatar and Canada. Profit came in at
£4.1billion, down from £4.3billion a year ago but above City forecasts of £3.9billion. Shares rose 52p to 2177p. Chief executive Peter Voser said: “Shell is driving a long-term and
consistent strategy in volatile energy markets.” Tony Shepard at broker Charles Stanley said: “Shell is performing well.”