3rd Quarter 2008 results

• Cash flow from operating activities for the third quarter 2008, excluding net working capital movements, was $10.4 billion. Net capital investment for the quarter was $11.2 billion. Total distribution to shareholders, in the form of dividends and share repurchases, was $3.1 billion and gearing was 15.4% at the end of the third quarter.

• The sale of the BEB Erdgas und Erdoel GmbH (Shell share 50%) gas transport business in Germany was closed, increasing the third quarter 2008 earnings by some $1.4 billion.

• A third quarter 2008 dividend has been announced of $0.40 per share, an increase of 11% over the US dollar dividend for the same period in 2007.

Royal Dutch Shell Chief Executive Jeroen van der Veer commented: "We delivered satisfactory earnings and operating performance in the third quarter of 2008. We are watching the world economic situation closely. Shell is robust across a wide range of energy prices. Our strategy remains to pay competitive and progressive dividends, and to make significant investments in the company for future profitability."

KEY FEATURES OF THE THIRD QUARTER 2008

• Third quarter 2008 CCS earnings were $10,903 million or 71% higher than in the same quarter a year ago.

• Third quarter 2008 reported income was $8,448 million or 22% higher than in the same quarter a year ago.

• Oil Products earnings reflected some $400 million of non-cash gains related to fair value accounting of commodity derivatives. In addition Gas & Power earnings reflected non-cash gains of some $400 million related to fair value accounting of commodity derivatives associated with long-term contracts (see Note 8).

• Basic CCS earnings per share increased by 74% versus the same quarter a year ago.

• Total cash returned to shareholders in the form of dividends and share repurchases in the third quarter 2008 was $3.1 billion.

• Cash flow from operating activities, excluding net working capital movements, was $10.4 billion compared to $9.9 billion for the same quarter last year. Including net working capital movements, cash flow from operating activities was $12.6 billion compared to $9.1 billion in the third quarter 2007.

• Capital investment for the third quarter 2008 was $13.2 billion, including an amount of $5.0 billion related to the acquisition of Duvernay Oil Corp. (“Duvernay”). Net capital investment (capital investment, less divestment proceeds) for the third quarter 2008 was $11.2 billion.

• Return on average capital employed (ROACE), on a reported income basis (see Note 3), was 26.3%.

• Gearing (see Note 5) was 15.4% at the end of the third quarter 2008 versus 12.1% at the end of the third quarter 2007.

• Oil and gas production, including oil sands bitumen production, for the third quarter 2008 was 2,931 thousand barrels of oil equivalent per day (boe/d), compared to 3,137 thousand boe/d in the same quarter last year. Production when compared to the third quarter 2007 was reduced by some 120 thousand boe/d due to hurricane impacts in the Gulf of Mexico, USA and a planned maintenance turnaround in the UK North Sea related to the shutdown of the St. Fergus gas processing facilities. Excluding these factors and the impact of divestments and production sharing contracts (PSC) pricing effects, production was 1% lower than the same quarter last year.

• Liquefied Natural Gas (LNG) sales volumes of 3.10 million tonnes were 6% lower than in the same quarter a year ago.

• Oil Products refinery availability was 88%, compared to 93% in the third quarter 2007. Chemicals manufacturing plant availability was 86%, 8% lower than in the third quarter 2007. Oil Products and Chemicals availability was significantly impacted by the hurricanes in the USA. Oil Sands upgrader availability was 96%, 6% higher than in the same quarter last year.

• Oil Products marketing sales volumes in the third quarter 2008 decreased by 3% compared to the same quarter last year, and, excluding the impact of divestments, were in line with the same quarter last year. Chemical product sales volumes decreased by 13% compared to the third quarter 2007.

SUMMARY OF IDENTIFIED ITEMS

Earnings in the third quarter 2008 reflected the following items, which in aggregate amounted to a net gain of $2,063 million (compared to a net gain of $265 million in the third quarter 2007), as summarised in the table below:

• Exploration & Production earnings included a gain of $575 million, reflecting a gain from divestments of $347 million, a gain of $167 million related to the mark-to-market valuation of certain UK gas contracts, a tax credit in Canada of $22 million and a gain from a pension accounting adjustment of $39 million. Earnings for the third quarter 2007 included a net gain of $130 million.

• Gas & Power earnings included a net gain of $1,368 million, reflecting a gain from a divestment of $1,395 million, a gain of $33 million related to the mark-to-market valuation of certain gas contracts and a gain from a pension accounting adjustment of $7 million, which were partly offset by an impairment charge of $67 million. Earnings for the third quarter 2007 included a net charge of $4 million.

• Oil Sands earnings included a gain of $25 million related to a tax credit.

• Oil Products earnings included a gain of $77 million, reflecting a gain of $25 million related to a tax credit in Canada and a gain from a pension accounting adjustment of $52 million. Earnings for the third quarter 2007 included a net gain of $121 million.

• Chemicals earnings included a gain from a pension accounting adjustment of $18 million. Earnings for the third quarter 2007 included a net gain of $18 million.

These identified items generally relate to events with an impact of greater than $50 million on Royal Dutch Shell’s earnings and are shown to provide additional insight into its segment earnings, CCS earnings and income attributable to shareholders. Further additional comments on the business segments are provided in the section ‘Earnings by business segment’ on page 4 and onwards.

Commodity price effects (see Note 8 - Accounting for Derivatives)

During the third quarter 2008 worldwide oil and gas related commodity marker prices declined significantly.

As a result of fair value accounting of commodity derivatives associated with long-term contracts, required under International Financial Reporting Standards (IFRS), Gas & Power earnings were increased by some $400 million, as opposed to non-cash charges of some $300 million recorded in the second quarter 2008.

As required under IFRS, commodity derivatives are recorded at fair value, which is based on market prices, and physical crude oil and oil products inventories are recorded at the lower of historical cost or net realizable value. During the third quarter 2008, Oil Products earnings were increased by non-cash gains of some $400 million, mainly related to reversals of non-cash charges of some $450 million recorded in the second quarter 2008.

EARNINGS BY BUSINESS SEGMENT

Third quarter Exploration & Production segment earnings were $5,501 million compared to $3,327 million a year ago. Earnings included a gain of $575 million related to identified items, compared to a net gain of $130 million in the third quarter 2007 (see page 3 for details).

Earnings compared to the third quarter 2007 reflected the benefit of higher oil and gas prices on revenues, which was partly offset by lower production volumes, particularly in the USA as a consequence of hurricane impacts, higher exploration expenses and higher royalty expenses.

Global liquids realisations were 57% higher than in the third quarter 2007, compared with marker crudes Brent and WTI increases of 54% and 57% respectively. Global gas realisations were 48% higher than a year ago. Outside the USA, gas realisations increased by 45% whereas in the USA gas realisations increased by 66%.

Third quarter 2008 production (excluding oil sands bitumen production) was 2,854 thousand barrels of oil equivalent per day (boe/d) compared to 3,055 thousand boe/d a year ago. Crude oil production was down 10% and natural gas production was down 2% compared to the third quarter 2007. Production, compared to the third quarter 2007, was impacted by some 120 thousand boe/d as a consequence of the hurricanes in the USA Gulf of Mexico and planned maintenance turnarounds in the UK North Sea related to the shutdown of the St. Fergus gas processing facilities.

Production compared to the third quarter 2007 included additional volumes principally from Ormen Lange (Shell share 17%) in Norway, Changbei (Shell share 50%) in China, West Salym (Shell share 50%) in Russia, F13W (Shell share 50%) and M3S (Shell share 70%) in Malaysia, Stybarrow (Shell share 17.1%) in Australia, Champion West Phase 3B/C (Shell share 50%) in Brunei, Starling (Shell share 28%), Caravel (Shell share 71%), Shamrock (Shell share 100%) and Curlew C (Shell share 100%) in the United Kingdom and Deimos (Shell share 71.5%) in the USA.

Third quarter portfolio developments

In Canada, Shell completed the acquisition of Duvernay, which is a Canadian tight gas company, for $5.5 billion. During 2008 Shell has also acquired significant additional acreage in the Montney gas play, in areas adjacent to Duvernay's positions, bringing Shell's total spend on tight gas acreage in the area to $6.2 billion in 2008. Shell estimates that this combined portfolio of approximately 2 thousand square kilometres contains discovered gas resources of some 1 billion boe, with significant additional exploration potential.

In Australia, Shell concluded the agreement with Arrow Energy Ltd. to jointly develop projects to extract clean-burning natural gas from coal deposits.

In the UK, Shell announced the start-up of the Curlew C field (Shell share 100%), the fourth North Sea field brought on stream during 2008. Together, these fields have an expected aggregate peak production capacity of some 30 thousand boe/d (Shell share).

In the Netherlands, Shell, through its joint venture Nederlandse Aardolie Maatschappij BV (Shell share 50%), signed Sales and Purchase Agreements for some euro 1.1 billion for the sale of assets situated along the NOGAT pipeline, covering exploration, production and transportation of oil and gas. The transaction is subject to regulatory approvals and third party consents.

In the USA Gulf of Mexico deepwater, Shell concluded the sale of its interest in the Big Foot prospect (Shell share 12.5%), for some $0.4 billion.

Also in the USA, a 30 thousand boe/d water injection project commenced at the Ursa/Princess field (Shell share 45%). The project is expected to continue for the next 30 years, extending the life of the field by some 10 years.

Third quarter Gas & Power segment earnings were $2,774 million compared to $568 million a year ago. Earnings included a net gain of $1,368 million related to identified items, compared to a net charge of $4 million in the third quarter 2007 (see page 3 for details). In addition, third quarter 2008 earnings were increased by non-cash gains of approximately $400 million as a result of fair value accounting of commodity derivatives associated with long-term contracts (see Note 8).

Earnings compared to the third quarter 2007 reflected the impact of strong LNG and gas to liquids (GTL) product prices on revenues and higher marketing and trading contributions, which were partly offset by lower LNG sales volumes.

LNG sales volumes of 3.10 million tonnes were 6% lower than in the same quarter a year ago, mainly as a consequence of planned maintenance shutdowns and changed cargo lifting schedules compared to the same quarter last year.

Marketing and trading earnings, non-LNG related, were higher than in the same quarter a year ago, reflecting increased earnings both in North America and Europe.

Third quarter portfolio developments

In Germany, the sale of the BEB Erdgas und Erdoel GmbH gas transport business (Shell share 50%), was closed on July 1, 2008.

In Iraq, Shell and the Iraqi Ministry of Oil have signed a heads of agreement to establish an incorporated joint venture (Shell share 49%) to process and market natural gas in southern Iraq.

In Australia, construction was completed at the North West Shelf Train 5 (Shell share 22%) with a capacity of 4.4 mtpa (100% basis).

In the USA, the 164 Megawatt (MW) Mount Storm Phase I wind farm (Shell share 50%) in West Virginia became operational.

Also in Germany, construction of the 20 MW Avancis thin-film solar pilot plant (Shell share 50%) was completed. Commercial sales are expected to begin around the end of 2008.

Third quarter Oil Sands segment earnings were $371 million compared to $183 million in the same quarter last year. Earnings included a gain of $25 million related to an identified item (see page 3 for details).

Earnings compared to the third quarter 2007 reflected the impact of higher oil prices on revenues, which was partly offset by lower production volumes, higher operating costs and higher royalty expenses.

Bitumen production decreased by 6% compared to the same quarter last year. Upgrader availability was 96% compared to 90% in the same quarter last year.

Third quarter Oil Products segment results were a loss of $44 million compared to earnings of $2,153 million for the same period last year.

Third quarter Oil Products CCS segment earnings were $2,304 million compared to $1,651 million in the third quarter 2007. Earnings included a gain of $77 million related to identified items, compared to a net gain of $121 million in the third quarter 2007 (see page 3 for details). In addition, third quarter 2008 earnings increased by non-cash gains of around $400 million as a result of fair value accounting of commodity derivatives (see Note 8).

CCS earnings compared to the third quarter 2007 reflected higher marketing margins, higher realised refining margins and trading contributions, which were partly offset by increased operating costs, lower refinery intake and net currency exchange rate impacts.

Industry refining margins compared to the same quarter a year ago were higher in Europe and declined in the US Gulf Coast, US West Coast and the Asia-Pacific region. Refinery availability was 88%, compared to 93% in the third quarter of 2007. The decrease mainly reflects hurricane impacts in the US Gulf Coast region.

Marketing earnings compared to the same period a year ago increased due to higher B2B margins, which were partly offset by lower retail earnings and lower finished lubricants margins.

Oil Products (marketing and trading) sales volumes decreased by 5% compared to the same quarter last year. Marketing sales volumes were 3% lower than in the third quarter 2007, and, excluding the impact of divestments, were in line with the same quarter last year.

Third quarter portfolio developments

In Canada, Shell announced an increase in its shareholding in Iogen Energy Corporation from 26.3% to 50%, contributing to its strategic investment and development programme in biofuels.

Third quarter Chemicals segment results were a loss of $79 million compared to earnings of $397 million for the same period last year.

Third quarter Chemicals CCS segment earnings were $116 million compared to $360 million in the same quarter last year. Earnings included a gain of $18 million related to an identified item, compared to a gain of $18 million in the third quarter 2007 (see page 3 for details).

CCS earnings compared to the third quarter 2007 reflected lower realised margins, lower sales volumes, lower income from equity-accounted investments and an impairment charge.

Sales volumes decreased by 13% when compared to the third quarter 2007 as a result of lower global demand and the impact of the hurricanes in the US Gulf Coast region.

Chemicals manufacturing plant availability was 86%, some 8% lower than in the third quarter 2007, mainly as a consequence of hurricane impacts in the USA.

Third quarter Corporate segment results were a loss of $43 million compared to earnings of $413 million for the same period last year.

Earnings compared to the third quarter 2007 reflected currency exchange losses, higher shareholder costs, lower tax credits and lower net underwriting results, mainly as a consequence of hurricane impacts in the USA, which were partly offset by higher net interest income.

All amounts shown throughout this Report are unaudited.

In this announcement, excluding in the financial statements, we have aggregated our equity position in projects for both direct and indirect interest (for example, we have aggregated our indirect interest in North West Shelf LNG and the Pluto project via our 34% shareholding in Woodside Energy Ltd).

Fourth quarter and full year 2008 results are expected to be announced on January 29, 2009. First quarter results for 2009 are expected to be announced on April 29, 2009, second quarter results are expected to be announced on July 30, 2009 and third quarter results are expected to be announced on October 29, 2009. There will be a Shell strategy update on March 17, 2009.

In this document “Shell”, “Shell group” and “Royal Dutch Shell” are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to subsidiaries in general or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this document refer to companies in which Royal Dutch Shell plc either directly or indirectly has control, by having either a majority of the voting rights or the right to exercise a controlling influence. The companies in which Shell has significant influence but not control are referred to as “associated companies” or “associates” and companies in which Shell has joint control are referred to as “jointly controlled entities”. In this document, associates and jointly controlled entities are also referred to as “equity-accounted investments”.

This document contains forward-looking statements concerning the financial condition, results of operations and businesses of Royal Dutch Shell. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Royal Dutch Shell to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as “anticipate”, “believe”, “could”, “estimate”, “expect”, “intend”, “may”, “plan”, “objectives”, “outlook”, “probably”, “project”, “will”, “seek”, “target”, “risks”, “goals”, “should” and similar terms and phrases. There are a number of factors that could affect the future operations of Royal Dutch Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this document, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserve estimates; (f) loss of market and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments including potential litigation and regulatory effects arising from recategorisation of reserves; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; and (m) changes in trading conditions. All forward-looking statements contained in this document are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Each forward-looking statement speaks only as of the date of this document, October 30, 2008. Neither Royal Dutch Shell nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this document.

Please refer to the Annual Report and Form 20-F for the year ended December 31, 2007 for a description of certain important factors, risks and uncertainties that may affect Shell's businesses.

Cautionary Note to US Investors:

The United States Securities and Exchange Commission (SEC) permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We may use certain terms in this announcement that the SEC's guidelines strictly prohibit us from including in filings with the SEC. US Investors are urged to consider closely the disclosure in our Form 20-F, File No 001-32575 and disclosure in our Forms 6-K, File No 001-32575, available on the SEC’s website www.sec.gov . You can also obtain these forms from the SEC by calling 1-800-SEC-0330.

    October 30, 2008