ROYAL DUTCH SHELL PLC

    4TH QUARTER AND FULL YEAR 2016 UNAUDITED RESULTS

    SUMMARY OF UNAUDITED RESULTS                                                          
                                                                                          
             Quarters                         $ million                    Full year      
                                                                                          
      Q4   Q3 2016 Q4 2015  %1                                         2016    2015    %  
     2016                                                                                 
                                                                                          
     1,541   1,375     939  +64 Income/(loss) attributable to           4,575   1,939 +136
                                shareholders                                              
                                                                                          
     (509)      73     901      Current cost of supplies (CCS)        (1,042)   1,903     
                                adjustment for Downstream2                                
                                                                                          
     1,032   1,448   1,840  -44 CCS earnings attributable to            3,533   3,842   -8
                                shareholders3                                             
                                                                                          
     (763) (1,344)     268      Identified items2,4                   (3,652) (7,604)     
                                                                                          
     1,795   2,792   1,572  +14 CCS earnings attributable to            7,185  11,446  -37
                                shareholders excluding identified                         
                                items                                                     
                                                                                          
                                Of which:                                                 
                                                                                          
       907     931   1,245         Integrated Gas                       3,700   5,057     
                                                                                          
        54       4 (1,009)         Upstream                           (2,704) (2,255)     
                                                                                          
     1,339   2,078   1,524         Downstream                           7,243   9,748     
                                                                                          
     (505)   (221)   (188)      Corporate and Non-controlling         (1,054) (1,104)     
                                interest                                                  
                                                                                          
     9,170   8,492   5,423  +69 Cash flow from operating activities    20,615  29,810  -31
                                                                                          
      0.19    0.17    0.15  +27 Basic earnings per share ($)             0.58    0.31  +87
                                                                                          
      0.13    0.18    0.29  -55 Basic CCS earnings per share ($)         0.45    0.61  -26
                                                                                          
      0.22    0.35    0.25  -12 Basic CCS earnings per share excl.       0.92    1.81  -49
                                identified items4 ($)                                     
                                                                                          
      0.47    0.47    0.47    - Dividend per share ($)                   1.88    1.88    -
                                                                                          
     1. Q4 on Q4 change                                                                   
     2. Attributable to shareholders                                                      
     3. CCS earnings are defined in Note 3 and CCS earnings attributable to               
        shareholders in Definition A.                                                     
     4. See page 7 and Definition B. Comparative information has been restated.           

      * Royal Dutch Shell's fourth quarter 2016 CCS earnings attributable to
        shareholders were $1.0 billion compared with $1.8 billion for the same
        quarter a year ago. Full year 2016 CCS earnings attributable to
        shareholders were $3.5 billion compared with $3.8 billion in 2015.
      * Fourth quarter 2016 CCS earnings attributable to shareholders excluding
        identified items were $1.8 billion compared with $1.6 billion for the
        fourth quarter 2015, an increase of 14%. Earnings were impacted by charges
        of $0.5 billion related to deferred tax reassessments which were not
        included as identified items.
      * Full year 2016 CCS earnings attributable to shareholders excluding
        identified items were $7.2 billion compared with $11.4 billion in 2015.
      * Compared with the fourth quarter 2015, CCS earnings attributable to
        shareholders excluding identified items benefited from higher contributions
        from Upstream and Chemicals, partly offset by lower contributions from
        Refining & Trading. Operating expenses were lower, more than offsetting the
        impact of the consolidation of BG. Depreciation and net interest expense
        increased, mainly resulting from the BG acquisition. Earnings also
        reflected higher taxation.
      * Fourth quarter 2016 basic CCS earnings per share excluding identified items
        decreased by 12% versus the fourth quarter 2015. Full year 2016 basic CCS
        earnings per share excluding identified items decreased by 49% versus 2015.
      * Cash flow from operating activities for the fourth quarter 2016 was $9.2
        billion, which included negative working capital movements of $0.6 billion,
        compared with $5.4 billion in the fourth quarter 2015, which included
        favourable working capital movements of $1.6 billion.
      * Gearing at the end of 2016 was 28.0% (2015 14.0%). There was an increase of
        9.7% on acquisition of BG.
      * A fourth quarter 2016 dividend has been announced of $0.47 per ordinary
        share and $0.94 per American Depositary Share ("ADS").
      * Royal Dutch Shell is expected to announce a dividend of $0.47 per ordinary
        share and $0.94 per ADS in respect of the first quarter 2017.

    Royal Dutch Shell Chief Executive Officer Ben van Beurden commented:

    "We are reshaping Shell and delivered a good cash flow performance this quarter
    with over $9 billion in cash flow from operations. Debt has been reduced and,
    for the second consecutive quarter, free cash flow more than covered our cash
    dividend.

    Production and LNG volumes included delivery from new projects, with ramp-up
    continuing in 2017 and 2018. Meanwhile we are operating the company at an
    underlying cost level that is $10 billion lower than Shell and BG combined only
    24 months ago. We are gaining momentum on divestments, with some $15 billion
    completed in 2016, announced, or in progress, and we are on track to complete
    our overall $30 billion divestment programme as planned.  

    Looking ahead, we will further focus the portfolio and strengthen the company's
    financial framework in 2017. Our strategy is starting to pay off and in 2017 we
    will be investing around $25 billion in high quality, resilient projects. I'm
    confident 2017 will be another year of progress for Shell to become a
    world-class investment."

    SUMMARY OF CCS EARNINGS EXCLUDING IDENTIFIED ITEMS                                    
                                                                                          
             Quarters                         $ million                    Full year      
                                                                                          
      Q4   Q3 2016 Q4 2015  %1                                         2016    2015    %  
     2016                                                                                 
                                                                                          
     1,032   1,448   1,840  -44 CCS earnings attributable to            3,533   3,842   -8
                                shareholders                                              
                                                                                          
                                Of which:                                                 
                                                                                          
        28     614   1,125  -98 Integrated Gas                          2,529   3,170  -20
                                                                                          
        35   (385) (1,458) +102 Upstream                              (3,674) (8,833)  +58
                                                                                          
     1,575   1,596   2,502  -37 Downstream                              6,588  10,243  -36
                                                                                          
     1,081   1,075   2,324  -53   Oil Products                          4,940   8,654  -43
                                                                                          
       494     521     178 +178   Chemicals                             1,648   1,589   +4
                                                                                          
     (606)   (377)   (329)  -84 Corporate and Non-controlling         (1,910)   (738) -159
                                interest                                                  
                                                                                          
     (763) (1,344)     268      Identified items2                     (3,652) (7,604)     
                                                                                          
                                Of which:                                                 
                                                                                          
     (879)   (317)   (120)      Integrated Gas                        (1,171) (1,887)     
                                                                                          
      (19)   (389)   (449)      Upstream                                (970) (6,578)     
                                                                                          
       236   (482)     978      Downstream                              (655)     495     
                                                                                          
       258   (461)     982        Oil Products                          (620)     592     
                                                                                          
      (22)    (21)     (4)        Chemicals                              (35)    (97)     
                                                                                          
     (101)   (156)   (141)      Corporate and Non-controlling           (856)     366     
                                interest                                                  
                                                                                          
     1,795   2,792   1,572  +14 CCS earnings attributable to            7,185  11,446  -37
                                shareholders excluding identified                         
                                items                                                     
                                                                                          
                                Of which:                                                 
                                                                                          
       907     931   1,245  -27 Integrated Gas                          3,700   5,057  -27
                                                                                          
        54       4 (1,009) +105 Upstream                              (2,704) (2,255)  -20
                                                                                          
     1,339   2,078   1,524  -12 Downstream                              7,243   9,748  -26
                                                                                          
       823   1,536   1,342  -39   Oil Products                          5,560   8,062  -31
                                                                                          
       516     542     182 +184   Chemicals                             1,683   1,686    -
                                                                                          
     (505)   (221)   (188) -169 Corporate and Non-controlling         (1,054) (1,104)   +5
                                interest                                                  
                                                                                          
     1. Q4 on Q4 change                                                                   
     2. See page 7. Comparative information has been restated.                            

    FOURTH QUARTER 2016 PORTFOLIO DEVELOPMENTS

    Integrated Gas

    During the quarter, Shell was appointed by the Energy Market Authority of
    Singapore as one of the importers for the next tranche of LNG supply into
    Singapore, expected to commence from 2017. Shell and another importer will each
    have exclusivity for three years to market up to 1 million tonnes of LNG per
    annum.

    In January, Shell agreed to the sale of Shell Integrated Gas Thailand Pte Ltd
    and Thai Energy Company which hold a 22.222% interest in the Bongkot field, and
    adjoining acreage offshore Thailand consisting of Blocks 15, 16 and 17 and
    block G12/48, for $900 million.

    Upstream

    During the quarter, the non-operated Lapa production system started up with the
    interconnection of the first production well to FPSO Cidade de Caraguatatuba
    (Shell interest 30%) offshore Brazil. This is the ninth FPSO in the Santos
    Basin pre-salt and has a processing capacity of 100 thousand barrels of oil per
    day.

    In Kazakhstan, first export of crude oil was reached at the non-operated
    Kashagan development (Shell interest 17%).

    In Malaysia, Shell announced first production from the Malikai Tension Leg
    Platform ("TLP") (Shell interest 35%), located 100 kilometres off the coast of
    the state of Sabah. Malikai is expected to have a peak production of 60
    thousand barrels of oil equivalent per day ("boe/d").

    Shell continued to divest non-strategic Upstream positions during the fourth
    quarter 2016, with divestments completed in the quarter totalling $1.2 billion.
    This included the following transactions:

      * In Canada, Shell completed the divestment of its 100% interest in 145
        thousand net acres in the Deep Basin acreage and 61 thousand net acres in
        the Gundy acreage.
      * In the United States, Shell completed the divestment of its 100% interest
        in the Brutus TLP, the Glider subsea production system, and the oil and gas
        lateral pipelines used to evacuate the production from the TLP in the Gulf
        of Mexico for a consideration of $425 million plus royalty interests and
        subject to closing adjustments. The consideration includes cash, a $44
        million preferred equity investment, and incremental royalty interests.
      * Also in the United States, Shell completed the dilution of 20% of its
        interest in the Kaikias development in the Gulf of Mexico. Shell retains an
        80% interest.

    In January, Shell agreed to sell its interest in a package of United Kingdom
    North Sea assets for a total cash consideration of up to $3.8 billion,
    including an initial consideration of $3.0 billion and a payment of up to $600
    million between 2018-2021 subject to commodity price, with potential further
    payments of up to $180 million for future discoveries. The transaction is
    subject to partner and regulatory approvals, with completion expected in the
    second half 2017.

    On January 27, 2017, Shell Nigeria Exploration and Production Company Limited
    ("SNEPCo") became aware of an Interim Order of Attachment ("Order") issued by
    the Federal High Court, sitting in Abuja, attaching the property known as Oil
    Prospecting License 245 ("OPL 245") which is held jointly by SNEPCo and
    Nigerian Agip Exploration Ltd pending the conclusion of the investigation into
    alleged corruption, bribery, and money laundering in respect of the 2011
    settlement related to OPL 245. SNEPCo made an application on January 31, 2017
    to discharge the Order on constitutional and procedural grounds.

    Downstream

    During the quarter, Shell completed the Scotford HCU debottleneck project
    (Shell interest 100%) in Canada, increasing hydrocracking capacity by 20%.

    In the United States, Shell Midstream Partners, L.P. acquired a 49% interest in
    Odyssey Pipeline L.L.C. and an additional 20% interest in Mars Oil Pipeline for
    $350 million.

    As part of Shell's stated intention to concentrate its Downstream operations
    where it can be most competitive, the following agreements were reached:

      * Shell signed an agreement to divest its 20% interest in Vivo Energy, the
        Shell licensee in 16 markets in Africa, for $250 million. Completion of
        this transaction is expected during the first half 2017, subject to
        regulatory approval.
      * Shell signed an agreement for the sale of its aviation business in
        Australia for a total transaction value of around $250 million. The sale is
        subject to regulatory approval and is expected to complete in the first
        half 2017.
      * In January, Shell agreed to sell its 50% interest in the SADAF
        petrochemicals joint venture with SABIC in the Kingdom of Saudi Arabia for
        a consideration of $820 million. The joint venture's production was around
        four million metric tonnes in 2016. The transaction is expected to complete
        in mid-2017.

    Shell continued to divest non-strategic Downstream positions during the fourth
    quarter 2016, with divestments completed in the quarter totalling $1.7 billion.
    This included the following transactions:

      * In Japan, Shell completed the sale of a 31.2% interest in Showa Shell
        Sekiyu KK. Completion followed receipt of anti-trust approval from the
        Japan Fair Trade Commission.
      * In Malaysia, Shell completed the sale of its 51% interest in the Shell
        Refining Company (Federation of Malaya) Berhad, which includes the 125
        thousand barrel per day refinery in Port Dickson.
      * In the Philippines, Pilipinas Shell Petroleum Corporation ("PSPC"), a
        subsidiary of Shell, priced its initial public offering ("IPO") at PHP67
        per share. Shell remains the majority shareholder of PSPC with over 55%
        interest. PSPC listed on the Philippine Stock Exchange on November 3, 2016.

    KEY FEATURES OF THE Fourth QUARTER 2016

      * Fourth quarter 2016 CCS earnings attributable to shareholders were $1,032
        million, 44% lower than for the same quarter a year ago. Full year 2016 CCS
        earnings attributable to shareholders were $3,533 million, 8% lower than in
        2015.
      * Fourth quarter 2016 CCS earnings attributable to shareholders excluding
        identified items were $1,795 million compared with $1,572 million for the
        fourth quarter 2015, an increase of 14%. Full year 2016 CCS earnings
        attributable to shareholders excluding identified items were $7,185 million
        compared with $11,446 million in 2015, a decrease of 37%.
      * Basic CCS earnings per share for the fourth quarter 2016 decreased by 55%
        versus the same quarter a year ago. Full year 2016 basic CCS earnings per
        share decreased by 26% versus 2015.
      * Basic CCS earnings per share excluding identified items for the fourth
        quarter 2016 decreased by 12% versus the same quarter a year ago. Full year
        2016 basic CCS earnings per share excluding identified items decreased by
        49% versus 2015.
      * Cash flow from operating activities for the fourth quarter 2016 was $9.2
        billion, which included negative working capital movements of $0.6 billion,
        compared with $5.4 billion for the same quarter last year, which included
        favourable working capital movements of $1.6 billion.

    Full year 2016 cash flow from operating activities was $20.6 billion, which
    included negative working capital movements of $6.3 billion, compared with
    $29.8 billion for the full year 2015, which included favourable working capital
    movements of $5.5 billion.

      * Capital investment (see Definition C) for the fourth quarter 2016 was $6.9
        billion. Full year 2016 organic capital investment was $26.9 billion, which
        included $2.3 billion in non-cash items, some $20 billion below 2014 Shell
        and BG levels. Capital investment in 2017 is expected to be around $25
        billion.
      * Divestments (see Definition D) for the fourth quarter 2016 were $3.0
        billion. Full year 2016 divestments were $4.7 billion.
      * Underlying operating expenses (see Definition G) for the fourth quarter
        2016 decreased by $0.7 billion versus the same quarter a year ago, to $9.8
        billion.

    Full year 2016 underlying operating expenses decreased by $1.3 billion versus
    2015, to $38.3 billion.

      * Total dividends distributed to shareholders in the fourth quarter 2016 were
        $3.8 billion, of which $1.5 billion were settled by issuing 58.9 million A
        shares under the Scrip Dividend Programme. Total dividends distributed in
        the full year 2016 were $15.0 billion, of which $5.3 billion were settled
        by issuing some 219.3 million A shares under the Scrip Dividend Programme.
      * Return on average capital employed on a reported income basis was 3.0% for
        2016 compared with 1.9% for 2015. Return on average capital employed on a
        CCS basis excluding identified items was 2.9% for 2016 compared with 5.2%
        for 2015. (See Definition E)
      * Gearing (see Definition F) was 28.0% at the end of 2016 (2015 14.0%). There
        was an increase of 9.7% on acquisition of BG.
      * Global liquids realisations were $44.54/bbl compared with $38.81/bbl for
        the fourth quarter 2015, an increase of 15%. Global liquids realisations
        for the full year were $38.64/bbl compared with $46.46/bbl for 2015, a
        decrease of 17%.
      * Global natural gas realisations were $4.03/mmscf compared with $4.23/mmscf
        for the fourth quarter 2015, a decrease of 5%. Global natural gas
        realisations for the full year were $3.65/mmscf compared with $4.85/mmscf
        for 2015, a decrease of 25%.
      * Oil and gas production for the fourth quarter 2016 was 3,905 thousand boe/
        d, an increase of 28% compared with the fourth quarter 2015. This included
        824 thousand boe/d from BG assets. Excluding the impact of divestments,
        curtailment and underground storage utilisation at NAM in the Netherlands,
        PSC price effects, the Woodside accounting change (see page 14), and
        security impacts in Nigeria, fourth quarter 2016 production increased by
        31% compared with the same period last year, or by 4% excluding BG.

    Full year 2016 oil and gas production was 3,668 thousand boe/d, an increase of
    24% compared with 2015. Excluding the impact of divestments, curtailment and
    underground storage utilisation at NAM in the Netherlands, a Malaysia PSC
    expiry, PSC price effects, the Woodside accounting change (see page 14), and
    security impacts in Nigeria, 2016 production increased by 27% compared with the
    same period last year, or by 2% excluding BG.

      * LNG liquefaction volumes of 8.57 million tonnes for the fourth quarter
        2016, of which BG contributed 2.37 million tonnes, were 51% higher than for
        the same quarter a year ago. Full year 2016 LNG liquefaction volumes were
        30.88 million tonnes, of which BG contributed 8.56 million tonnes, compared
        with 22.62 million tonnes in 2015.
      * LNG sales volumes of 15.34 million tonnes for the fourth quarter 2016 were
        51% higher than for the same quarter a year ago, mainly reflecting Shell's
        enlarged portfolio following the acquisition of BG. Full year 2016 LNG
        sales volumes were 57.11 million tonnes, compared with 39.24 million tonnes
        in 2015, mainly reflecting Shell's enlarged portfolio following the
        acquisition of BG.
      * Oil products sales volumes for the fourth quarter 2016 were 3% higher than
        for the fourth quarter 2015. Full year 2016 oil products sales volumes were
        1% higher than in 2015.
      * Chemicals sales volumes for the fourth quarter 2016 increased by 6%
        compared with the same quarter a year ago. Full year 2016 chemicals sales
        volumes increased by 1% compared with 2015.
      * When final volumes are reported in the 2016 Annual Report and Form 20-F,
        Shell expects that SEC proved oil and gas reserves additions before taking
        into account production will be around 2.9 billion boe, of which 2.4
        billion boe is related to the consolidation of BG.

    With 2016 production of 1.4 billion boe, the proved Reserves Replacement Ratio
    for the year on an SEC basis is expected to be 208%. The 3-year average proved
    Reserves Replacement Ratio on an SEC basis is expected to be 81%.

    At the end of 2016, total proved reserves on an SEC basis are expected to be
    13.2 billion boe, after taking into account 2016 production.

    Further information will be provided in our 2016 Annual Report and Form 20-F,
    which is expected to be filed in March 2017.

      * Supplementary financial and operational disclosure for this quarter is
        available at www.shell.com/investor.

    SUMMARY OF IDENTIFIED ITEMS

    With effect from 2016, identified items include the impact of exchange rate
    movements on certain deferred tax balances, as set out in Definition B. The
    comparative information in this Report has been restated following this change.

    CCS earnings attributable to shareholders for the fourth quarter 2016 reflected
    the following items, which in aggregate amounted to a net charge of $763
    million (compared with a net gain of $268 million for the fourth quarter 2015),
    as summarised below:

      * Integrated Gas earnings included a net charge of $879 million, primarily
        reflecting a charge of some $430 million related to the impact of the
        weakening Australian dollar on a deferred tax position and some $420
        million related to changes in deferred tax positions as a result of a
        reclassification of project expenditures in Australia. Integrated Gas
        earnings for the fourth quarter 2015 included a net charge of $120 million.
      * Upstream earnings included a net charge of $19 million, mainly reflecting
        divestment gains of some $450 million, partly offset by a charge of some
        $200 million related to reassessment of deferred tax positions in Malaysia,
        impairments of some $180 million, and a net charge on fair value accounting
        of certain commodity derivatives and gas contracts of some $100 million.
        Upstream earnings for the fourth quarter 2015 included a net charge of $449
        million.
      * Downstream earnings included a net gain of $236 million, primarily
        reflecting divestment gains of some $610 million, partly offset by
        redundancy and restructuring charges of some $120 million, a net charge on
        fair value accounting of commodity derivatives of some $110 million, and
        impairments of some $110 million. Downstream earnings for the fourth
        quarter 2015 included a net gain of $978 million.
      * Corporate results and Non-controlling interest included a net charge of
        $101 million, primarily reflecting the impact of the devaluation of the
        Egyptian pound on cash balances. Earnings for the fourth quarter 2015
        included a net charge of $141 million.

    EARNINGS BY SEGMENT

    INTEGRATED GAS                                                                      
                                                                                        
              Quarters                        $ million                   Full year     
                                                                                        
    Q4 2016 Q3 2016 Q4 2015  %1                                        2016   2015   %  
                                                                                        
        907     931   1,245  -27 Integrated Gas earnings excluding     3,700  5,057  -27
                                 identified items                                       
                                                                                        
         28     614   1,125  -98 Integrated Gas earnings               2,529  3,170  -20
                                                                                        
      2,419   1,326   1,929  +25 Integrated Gas cash flow from         9,132  7,728  +18
                                 operating activities                                   
                                                                                        
      1,145   1,092   1,357  -16 Integrated Gas capital investment     4,441  5,178  -14
                                 excluding BG acquisition impact                        
                                                                                        
          -       -       -      Integrated Gas BG                    21,773      -     
                                 acquisition-related capital                            
                                 investment                                             
                                                                                        
        222     225     201  +10 Liquids production available for        223    204   +9
                                 sale (thousand b/d)                                    
                                                                                        
      3,979   3,982   2,486  +60 Natural gas production available for  3,832  2,469  +55
                                 sale (million scf/d)                                   
                                                                                        
        908     912     633  +43 Total production available for sale     884    631  +40
                                 (thousand boe/d)                                       
                                                                                        
       8.57    7.70    5.68  +51 LNG liquefaction volumes (million     30.88  22.62  +37
                                 tonnes)                                                
                                                                                        
      15.34   15.23   10.14  +51 LNG sales volumes (million tonnes)    57.11  39.24  +46
                                                                                        
     1. Q4 on Q4 change                                                                 

    Fourth quarter Integrated Gas earnings excluding identified items were $907
    million compared with $1,245 million a year ago. Identified items were a net
    charge of $879 million, compared with a net charge of $120 million for the
    fourth quarter 2015 (see page 7).

    Compared with the fourth quarter 2015, earnings excluding identified items were
    impacted by the depreciation step-up resulting from the BG acquisition and an
    increase associated with the start-up of Gorgon. Earnings were also impacted by
    higher taxation, and higher operating expenses, mainly due to the consolidation
    of BG. The impact of higher oil prices was more than offset by the decline in
    LNG prices. Earnings benefited from higher production volumes related to the
    contribution of BG assets, start-up of Gorgon and improved operational
    performance which more than offset the impact of the accounting
    reclassification of Woodside.

    Fourth quarter 2016 earnings included the negative impact of some $120 million
    related to deferred tax reassessments.

    Fourth quarter 2016 production was 908 thousand boe/d compared with 633
    thousand boe/d a year ago. Liquids production increased by 10% and natural gas
    production increased by 60% compared with the fourth quarter 2015.

    LNG liquefaction volumes of 8.57 million tonnes increased by 51% compared with
    the same quarter a year ago, reflecting the impact of the acquisition of BG,
    including an increase associated with Queensland Curtis LNG in Australia,
    Atlantic LNG in Trinidad and Tobago, and the start-up of Gorgon in Australia.

    LNG sales volumes of 15.34 million tonnes increased by 51% compared with the
    same quarter a year ago, mainly reflecting Shell's enlarged portfolio following
    the acquisition of BG.

    Full year Integrated Gas earnings excluding identified items were $3,700
    million compared with $5,057 million for 2015. Identified items were a net
    charge of $1,171 million, compared with a net charge of $1,887 million for
    2015.

    Compared with 2015, earnings excluding identified items were impacted by the
    decline in oil and LNG prices, and higher taxation. The consolidation of BG
    resulted in higher operating expenses and a step-up in depreciation. These
    effects were partly offset by increased production volumes mainly as a result
    of the contribution of BG assets, and lower well write-offs.

    Full year 2016 production was 884 thousand boe/d compared with 631 thousand boe
    /d in 2015. Liquids production increased by 9% and natural gas production
    increased by 55% compared with 2015.

    LNG liquefaction volumes of 30.88 million tonnes were 37% higher than in 2015,
    mainly reflecting the impact of the acquisition of BG, including an increase
    associated with Queensland Curtis LNG in Australia and Atlantic LNG in Trinidad
    and Tobago.

    LNG sales volumes of 57.11 million tonnes increased by 46% compared with 2015,
    mainly reflecting Shell's enlarged portfolio following the acquisition of BG.

    UPSTREAM                                                                             
                                                                                         
             Quarters                        $ million                    Full year      
                                                                                         
      Q4     Q3   Q4 2015  %1                                         2016    2015    %  
     2016   2016                                                                         
                                                                                         
        54      4 (1,009) +105 Upstream earnings excluding           (2,704) (2,255)  -20
                               identified items                                          
                                                                                         
        35  (385) (1,458) +102 Upstream earnings                     (3,674) (8,833)  +58
                                                                                         
     3,904  3,607     987 +296 Upstream cash flow from operating       7,662   5,453  +41
                               activities                                                
                                                                                         
     3,490  5,279   4,463  -22 Upstream capital investment excluding  16,376  18,349  -11
                               BG acquisition impact                                     
                                                                                         
         -      -       -      Upstream BG acquisition-related        31,131       -     
                               capital investment                                        
                                                                                         
     1,732  1,645   1,331  +30 Liquids production available for sale   1,615   1,305  +24
                               (thousand b/d)                                            
                                                                                         
     7,336  6,022   6,255  +17 Natural gas production available for    6,781   5,911  +15
                               sale (million scf/d)                                      
                                                                                         
     2,997  2,683   2,406  +25 Total production available for sale     2,784   2,323  +20
                               (thousand boe/d)                                          
                                                                                         
     1. Q4 on Q4 change                                                                  

    Fourth quarter Upstream earnings excluding identified items were $54 million
    compared with a loss of $1,009 million a year ago. Identified items were a net
    charge of $19 million compared with a net charge of $449 million for the fourth
    quarter 2015 (see page 7).

    Compared with the fourth quarter 2015, earnings excluding identified items
    benefited from increased production volumes mainly from BG assets and improved
    operational performance, and higher oil prices. Operating expenses were lower,
    more than offsetting the impact of the consolidation of BG. Earnings were
    impacted by higher depreciation resulting from the BG acquisition and higher
    taxation.

    Fourth quarter 2016 earnings included the negative impact of some $190 million
    related to deferred tax reassessments.

    Fourth quarter 2016 production was 2,997 thousand boe/d compared with 2,406
    thousand boe/d a year ago. Liquids production increased by 30% and natural gas
    production increased by 17% compared with the fourth quarter 2015, driven by
    the impact of BG.

    New field start-ups and the continuing ramp-up of existing fields, in
    particular the Corrib gas field in Ireland, Sabah Gas Kebabangan in Malaysia,
    and Kashagan in Kazakhstan, contributed some 109 thousand boe/d to production
    compared with the fourth quarter 2015, which more than offset the impact of
    field declines.

    Full year Upstream earnings excluding identified items were a loss of $2,704
    million compared with a loss of $2,255 million in 2015. Identified items were a
    net charge of $970 million compared with a net charge of $6,578 million in
    2015.

    Compared with 2015, earnings excluding identified items were impacted by lower
    oil and gas prices, and increased depreciation mainly related to a step-up
    resulting from the BG acquisition. This was partly offset by increased
    production volumes mainly from BG assets. Earnings also benefited from lower
    operating expenses, which more than offset the impact of the consolidation of
    BG, and lower exploration expense.

    Full year 2016 production was 2,784 thousand boe/d compared with 2,323 thousand
    boe/d in 2015. Liquids production increased by 24% and natural gas production
    increased by 15% compared with 2015.

    New field start-ups and the continuing ramp-up of existing fields, in
    particular the Corrib gas field in Ireland and Erha North ph2 in Nigeria,
    contributed some 69 thousand boe/d to production compared with 2015.

    DOWNSTREAM                                                                         
                                                                                       
            Quarters                        $ million                    Full year     
                                                                                       
      Q4     Q3     Q4    %1                                         2016   2015    %  
     2016   2016   2015                                                                
                                                                                       
     1,339  2,078  1,524  -12 Downstream earnings excluding          7,243  9,748   -26
                              identified items2                                        
                                                                                       
                              Of which:                                                
                                                                                       
       823  1,536  1,342  -39   Oil Products                         5,560  8,062   -31
                                                                                       
       516    542    182 +184   Chemicals                            1,683  1,686     -
                                                                                       
     1,575  1,596  2,502  -37 Downstream earnings2                   6,588 10,243   -36
                                                                                       
     2,286  2,133  2,101   +9 Downstream cash flow from operating    3,556 14,076   -75
                              activities                                               
                                                                                       
     2,251  1,325  1,974  +14 Downstream capital investment          6,057  5,119   +18
                                                                                       
     2,698  2,812  2,630   +3 Refinery processing intake (thousand   2,701  2,805    -4
                              b/d)                                                     
                                                                                       
     6,464  6,647  6,297   +3 Oil products sales volumes (thousand   6,483  6,432    +1
                              b/d)                                                     
                                                                                       
     4,414  4,580  4,178   +6 Chemicals sales volumes (thousand     17,292 17,148    +1
                              tonnes)                                                  
                                                                                       
     1. Q4 on Q4 change                                                                
     2. Earnings are presented on a CCS basis.                                         

    Fourth quarter Downstream earnings excluding identified items were $1,339
    million compared with $1,524 million for the fourth quarter 2015. Identified
    items were a net gain of $236 million, compared with a net gain of $978 million
    for the fourth quarter 2015 (see page 7).

    Compared with the fourth quarter 2015, earnings excluding identified items were
    mainly impacted by lower trading and refining margins and higher taxation.
    Earnings benefited from lower operating expenses and stronger underlying
    marketing margins, more than offsetting the impact of adverse exchange rate
    effects and divestments. Earnings also benefited from stronger chemicals
    industry conditions and improved operational performance.

    Fourth quarter 2016 earnings included the negative impact of some $50 million
    related to deferred tax reassessments.

    Oil Products

      * Refining & Trading earnings excluding identified items were $77 million in
        the fourth quarter 2016 compared with $711 million for the same period last
        year. Fourth quarter 2016 earnings were impacted by lower trading and
        refining margins and higher taxation, partly offset by lower operating
        expenses.

    Refinery intake volumes were 3% higher compared with the same quarter last
    year. Refinery availability increased to 87% from 83% in the fourth quarter
    2015, mainly as a result of lower unplanned maintenance.

      * Marketing earnings excluding identified items were $746 million in the
        fourth quarter 2016 compared with $631 million for the same period a year
        ago. Fourth quarter 2016 earnings benefited from lower operating expenses
        and stronger underlying margins, more than offsetting the impact of
        divestments and adverse exchange rate effects.

    Oil products sales volumes increased by 3% compared with the same period a year
    ago, reflecting higher trading volumes partly offset by lower marketing
    volumes, mainly as a result of divestments.

    Chemicals

      * Chemicals earnings excluding identified items were $516 million in the
        fourth quarter 2016 compared with $182 million for the same period last
        year. Fourth quarter 2016 earnings benefited from stronger industry
        conditions driven by tight supply in Asia and improved operating
        performance, and lower operating expenses.

    Chemicals sales volumes increased by 6% compared with the same quarter last
    year, mainly as a result of improved operating performance in Europe, partly
    offset by weaker intermediates demand. Chemicals manufacturing plant
    availability increased to 93% from 81% in the fourth quarter 2015, mainly
    reflecting recovery at the Moerdijk chemical site in the Netherlands.

    Full year Downstream earnings excluding identified items were $7,243 million
    compared with $9,748 million in 2015. Identified items were a net charge of
    $655 million, compared with a net gain of $495 million in 2015.

    Compared with 2015, earnings excluding identified items were mainly impacted by
    weaker refining industry conditions, lower trading margins, and higher
    taxation. Earnings benefited from lower operating expenses and stronger
    underlying marketing margins, more than offsetting the impact of divestments
    and adverse exchange rate effects.

    Oil Products

      * Refining & Trading earnings excluding identified items were $1,469 million
        in 2016 compared with $4,330 million in 2015. Full year 2016 earnings were
        impacted by lower realised refining margins, reflecting the weaker global
        refining industry conditions due to oversupply and high inventory levels,
        and lower trading margins.

    Refinery intake volumes were 4% lower compared with 2015. Excluding portfolio
    impacts, refinery intake volumes were 3% lower compared with 2015. Refinery
    availability was in line with 2015.

      * Marketing earnings excluding identified items were $4,091 million in 2016
        compared with $3,732 million in 2015. Full year 2016 earnings benefited
        from stronger underlying unit margins and lower operating expenses, more
        than offsetting the impact of divestments and adverse exchange rate
        effects.

    Oil products sales volumes increased by 1% compared with 2015, reflecting
    higher trading volumes partly offset by lower marketing volumes, mainly as a
    result of divestments.

    Chemicals

      * Chemicals earnings excluding identified items were $1,683 million in 2016
        compared with $1,686 million in 2015. Full year 2016 earnings were
        primarily impacted by unit shutdowns at the Bukom chemical site in
        Singapore and weaker intermediates industry conditions, partly offset by
        recovery at Moerdijk and tight supply conditions in Asia. This was offset
        by lower operating expenses.

    Full year Chemicals sales volumes increased by 1% compared with 2015. Chemicals
    manufacturing plant availability increased to 90% from 85% in 2015, mainly
    reflecting recovery at Moerdijk, partly offset by unit shutdowns at Bukom.

    CORPORATE AND NON-CONTROLLING INTEREST                                            
                                                                                      
           Quarters                         $ million                     Full year   
                                                                                      
      Q4     Q3     Q4                                                  2016    2015  
     2016   2016   2015                                                               
                                                                                      
     (505)  (221)  (188) Corporate and Non-controlling interest        (1,054) (1,104)
                         earnings excl. identified items                              
                                                                                      
                         Of which:                                                    
                                                                                      
     (465)  (154)  (154) Corporate                                       (784)   (788)
                                                                                      
      (40)   (67)   (34) Non-controlling interest                        (270)   (316)
                                                                                      
     (606)  (377)  (329) Corporate and Non-controlling interest        (1,910)   (738)
                         earnings                                                     
                                                                                      

    Fourth quarter Corporate results and Non-controlling interest excluding
    identified items were a loss of $505 million, compared with a loss of $188
    million for the same quarter a year ago. Identified items for the fourth
    quarter 2016 were a net charge of $101 million, compared with a net charge of
    $141 million for the fourth quarter 2015 (see page 7).

    Compared with the fourth quarter 2015, Corporate results excluding identified
    items mainly reflected higher net interest expense driven by increased debt
    following the acquisition of BG, partly offset by higher tax credits and
    favourable exchange rate effects.

    Fourth quarter 2016 earnings included the negative impact of some $110 million
    related to deferred tax reassessments.

    Full year Corporate results and Non-controlling interest excluding identified
    items were a loss of $1,054 million, compared with a loss of $1,104 million
    last year. Identified items for 2016 were a net charge of $856 million,
    compared with a net gain of $366 million in 2015.

    Compared with 2015, Corporate results excluding identified items mainly
    reflected favourable exchange rate effects, almost fully offset by higher net
    interest expense driven by increased debt following the acquisition of BG.

    OUTLOOK FOR THE FIRST QUARTER 2017

    Compared with the first quarter 2016, Integrated Gas earnings are expected to
    be negatively impacted by a reduction of some 100 thousand boe/d. This includes
    the impact of operational issues in and a controlled shutdown of Pearl GTL in
    Qatar, the accounting reclassification of Woodside, partly offset by the full
    quarter of production from BG assets (first quarter 2016 included two months),
    and the start-up of Gorgon.

    Compared with the first quarter 2016, Upstream earnings are expected to be
    negatively impacted by a reduction of some 40 thousand boe/d associated with
    increased maintenance and 45 thousand boe/d associated with divestments.
    Earnings are expected to be positively impacted by production from BG assets
    for the full quarter (first quarter 2016 included two months).

    Refinery availability is expected to increase in the first quarter 2017 as a
    result of lower maintenance compared with the same period a year ago.

    Chemicals manufacturing plant availability is expected to increase in the first
    quarter 2017 as a result of improved operational performance at Bukom compared
    with the first quarter 2016.

    As a result of divestments in Malaysia and Denmark, oil products sales volumes
    are expected to decrease by some 35 thousand barrels per day compared with the
    first quarter 2016.

    Corporate results, excluding the impact of currency exchange rate effects and
    interest rate movements, are expected to be a net charge of $350 - 450 million
    in the first quarter and around $1.4 - 1.6 billion for the full year.

    BG will be fully consolidated within Shell's results for the full first quarter
    2017, compared with the first quarter 2016 when BG was consolidated within
    Shell's results for two months.

    FORTHCOMING EVENTS

    The Annual General Meeting will be held on May 23, 2017.

    First quarter 2017 results and first quarter 2017 dividend are scheduled to be
    announced on May 4, 2017. Second quarter 2017 results and second quarter 2017
    dividend are scheduled to be announced on July 27, 2017. Third quarter 2017
    results and third quarter 2017 dividend are scheduled to be announced on
    November 2, 2017.

    UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

    CONSOLIDATED STATEMENT OF INCOME                                                   
                                                                                       
           Quarters                         $ million                     Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
     64,767  61,855  58,146 Revenue1                                   233,591  264,960
                                                                                       
        982     828     793 Share of profit of joint ventures and        3,545    3,527
                            associates                                                 
                                                                                       
      1,343     255   1,237 Interest and other income2                   2,897    3,669
                                                                                       
     67,092  62,938  60,176 Total revenue and other income             240,033  272,156
                                                                                       
     45,528  43,398  43,166 Purchases                                  162,574  194,644
                                                                                       
      6,703   6,890   7,515 Production and manufacturing expenses3      28,434   28,095
                                                                                       
      2,912   2,856   3,090 Selling, distribution and administrative    12,101   11,956
                            expenses3                                                  
                                                                                       
        280     248     297 Research and development3                    1,014    1,093
                                                                                       
        568     548     549 Exploration                                  2,108    5,719
                                                                                       
      6,558   6,191   5,281 Depreciation, depletion and amortisation4   24,993   26,714
                                                                                       
      1,115     948     519 Interest expense                             3,203    1,888
                                                                                       
     63,664  61,079  60,417 Total expenditure                          234,427  270,109
                                                                                       
      3,428   1,859   (241) Income/(loss) before taxation                5,606    2,047
                                                                                       
      1,820     425 (1,183) Taxation charge/(credit)                       829    (153)
                                                                                       
      1,608   1,434     942 Income/(loss) for the period1                4,777    2,200
                                                                                       
         67      59       3 Income/(loss) attributable to                  202      261
                            non-controlling interest                                   
                                                                                       
      1,541   1,375     939 Income/(loss) attributable to Royal Dutch    4,575    1,939
                            Shell plc shareholders                                     
                                                                                       
       0.19    0.17    0.15 Basic earnings per share5                     0.58     0.31
                                                                                       
       0.19    0.17    0.15 Diluted earnings per share5                   0.58     0.30
                                                                                       
     1. See Note 3 "Segment information"                                               
     2. Included net gains on sale and revaluation of non-current assets and           
        businesses of $2,141 million in 2016 (of which $1,238 million in the fourth    
        quarter), compared with net gains of $3,460 million in 2015 (of which          
        $1,107 million in the fourth quarter).                                         
     3. Included redundancy and restructuring charges of $1,870 million in total       
        for the full year 2016.                                                        
     4. Included a net impairment charge of $1,901 million in 2016 (of which $211      
        million in the fourth quarter), compared with a net charge of $9,326           
        million in 2015 (of which $816 million in the fourth quarter).                 
     5. See Note 4 "Earnings per share"                                                

       

    CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME                                              
                                                                                                
           Quarters                           $ million                       Full year         
                                                                                                
    Q4 2016 Q3 2016 Q4 2015                                                 2016     2015       
                                                                                                
      1,608   1,434     942 Income/(loss) for the period                     4,777    2,200     
                                                                                                
                            Other comprehensive income net of tax:                              
                                                                                                
                            Items that may be reclassified to income in                         
                            later periods:                                                      
                                                                                                
    (1,484)     302 (1,249)   * Currency translation differences               703  (7,121)     
                                                                                                
        120   (194)   (119)   * Unrealised gains/(losses) on securities      (214)    (707)     
                                                                                                
      (201)   (202)   (202)   * Cash flow hedging gains/(losses)             (617)       61     
                                                                                                
      (785)   (512)       -   * Net investment hedging gains/(losses)1     (2,024)        -     
                                                                                                
         66    (25)    (41)   * Share of other comprehensive income/          (28)     (40)     
                                (loss) of joint ventures and associates                         
                                                                                                
    (2,284)   (631) (1,611) Total                                          (2,180)  (7,807)     
                                                                                                
                            Items that are not reclassified to income in                        
                            later periods:                                                      
                                                                                                
      2,610 (1,998)   3,140   * Retirement benefits remeasurements         (3,817)    4,951     
                                                                                                
        326 (2,629)   1,529 Other comprehensive income/(loss) for the      (5,997)  (2,856)     
                            period                                                              
                                                                                                
      1,934 (1,195)   2,471 Comprehensive income/(loss) for the period     (1,220)    (656)     
                                                                                                
          8      46    (16) Comprehensive income/(loss) attributable to        154      155     
                            non-controlling interest                                            
                                                                                                
      1,926 (1,241)   2,487 Comprehensive income/(loss) attributable to    (1,374)    (811)     
                            Royal Dutch Shell plc shareholders                                  
                                                                                                
     1. See Note 1 "Basis of preparation"                                                       
                                                                                                
    CONDENSED CONSOLIDATED BALANCE SHEET                                                        
                                                                                                
                                                                    $ million                   
                                                                                                
                                                  Dec 31, 20161   Sep 30, 20161   Dec 31, 2015  
                                                                                                
    Assets                                                                                      
                                                                                                
    Non-current assets                                                                          
                                                                                                
    Intangible assets                                     23,967          23,871           6,283
                                                                                                
    Property, plant and equipment                        236,098         241,059         182,838
                                                                                                
    Joint ventures and associates2                        33,255          33,975          30,150
                                                                                                
    Investments in securities2                             5,952           5,422           3,416
                                                                                                
    Deferred tax                                          14,425          16,709          11,033
                                                                                                
    Retirement benefits                                    1,456             785           4,362
                                                                                                
    Trade and other receivables3                           9,553          10,729           8,717
                                                                                                
                                                         324,706         332,550         246,799
                                                                                                
    Current assets                                                                              
                                                                                                
    Inventories                                           21,775          20,562          15,822
                                                                                                
    Trade and other receivables3                          45,664          46,552          45,784
                                                                                                
    Cash and cash equivalents                             19,130          19,984          31,752
                                                                                                
                                                          86,569          87,098          93,358
                                                                                                
    Total assets                                         411,275         419,648         340,157
                                                                                                
    Liabilities                                                                                 
                                                                                                
    Non-current liabilities                                                                     
                                                                                                
    Debt4                                                 82,992          86,637          52,849
                                                                                                
    Trade and other payables3                              6,925           4,602           4,528
                                                                                                
    Deferred tax                                          15,274          15,090           8,976
                                                                                                
    Retirement benefits                                   14,130          17,672          12,587
                                                                                                
    Decommissioning and other provisions                  29,618          31,981          26,148
                                                                                                
                                                         148,939         155,982         105,088
                                                                                                
    Current liabilities                                                                         
                                                                                                
    Debt                                                   9,484          11,192           5,530
                                                                                                
    Trade and other payables3                             53,417          49,882          52,770
                                                                                                
    Taxes payable                                          6,685           8,454           8,233
                                                                                                
    Retirement benefits                                      455             373             350
                                                                                                
    Decommissioning and other provisions                   3,784           5,036           4,065
                                                                                                
                                                          73,825          74,937          70,948
                                                                                                
    Total liabilities                                    222,764         230,919         176,036
                                                                                                
    Equity attributable to Royal Dutch Shell plc         186,646         186,886         162,876
    shareholders                                                                                
                                                                                                
    Non-controlling interest                               1,865           1,843           1,245
                                                                                                
    Total equity                                         188,511         188,729         164,121
                                                                                                
    Total liabilities and equity                         411,275         419,648         340,157
                                                                                                
     1. The Condensed Consolidated Balance Sheet at September 30, 2016 has not been             
        revised to reflect the adjustments made to the provisional fair value                   
        amounts in the fourth quarter 2016. Note 2 "Acquisition of BG Group plc"                
        sets out the adjustments made in the fourth quarter to the previously                   
        published provisional fair values of the net assets acquired and the                    
        resulting increase in goodwill.                                                         
     2. During the second quarter 2016, management concluded that a change in                   
        Shell's level of involvement over Woodside's financial and operating policy             
        decisions resulted in Shell no longer having significant influence. Its                 
        classification was therefore changed from an associate to an investment in              
        securities. The consequential revaluation and related release of cumulative             
        currency translation differences were reported in interest and other income             
        in the Consolidated Statement of Income.                                                
     3. See Note 7 "Derivative contracts and debt excluding finance lease                       
        liabilities"                                                                            
     4. During 2016, debt of $13,996 million was issued under the US shelf                      
        registration programme, $2,514 million under the Euro medium-term note                  
        (EMTN) programme and $1,009 million under the US commercial paper                       
        programme. No debt was issued in the fourth quarter 2016 under these                    
        programmes.                                                                             
                                                                                                

       

    CONSOLIDATED STATEMENT OF CHANGES IN EQUITY                                              
                                                                                             
                           Equity attributable to Royal Dutch Shell plc                      
                                           shareholders                                      
                                                                                             
          $ million         Share    Shares    Other   Retained  Total      Non-      Total  
                           capital1 held in  reserves2 earnings          controlling  equity 
                                     trust                                interest           
                                                                                             
    At January 1, 2016          546    (584)  (17,186)  180,100  162,876       1,245  164,121
                                                                                             
    Comprehensive income/         -        -   (5,949)    4,575  (1,374)         154  (1,220)
    (loss)                                                                                   
    for the period                                                                           
                                                                                             
    Dividends paid                -        -         - (14,959) (14,959)       (180) (15,139)
                                                                                             
    Scrip dividends              17        -      (17)    5,282    5,282           -    5,282
                                                                                             
    Shares issued3              120        -    33,930        -   34,050           -   34,050
                                                                                             
    Share-based                   -    (317)       520      141      344           -      344
    compensation4                                                                            
                                                                                             
    Other changes in              -        -         -      427      427         646    1,073
    non-controlling                                                                          
    interest                                                                                 
                                                                                             
    At December 31, 2016        683    (901)    11,298  175,566  186,646       1,865  188,511
                                                                                             
    At January 1, 2015          540  (1,190)  (14,365)  186,981  171,966         820  172,786
                                                                                             
    Comprehensive income/         -        -   (2,750)    1,939    (811)         155    (656)
    (loss)                                                                                   
    for the period                                                                           
                                                                                             
    Dividends paid                -        -         - (11,972) (11,972)       (117) (12,089)
                                                                                             
    Scrip dividends               7        -       (7)    2,602    2,602           -    2,602
                                                                                             
    Repurchases of shares       (1)        -         1        1        1           -        1
                                                                                             
    Share-based                   -      606      (65)       48      589           -      589
    compensation                                                                             
                                                                                             
    Other changes in              -        -         -      501      501         387      888
    non-controlling                                                                          
    interest                                                                                 
                                                                                             
    At December 31, 2015        546    (584)  (17,186)  180,100  162,876       1,245  164,121
                                                                                             
     1. See Note 5 "Share capital"                                                           
     2. See Note 6 "Other reserves"                                                          
     3. See Note 2 "Acquisition of BG Group plc"                                             
     4. Includes a reclassification of $534 million between shares held in trust             
        and other reserves, with no impact on total equity, in order to                      
        appropriately reflect the carrying amount of shares held in trust at cost.           


     

    CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS                                      
                                                                                        
           Quarters                         $ million                      Full year    
                                                                                        
    Q4 2016 Q3 2016 Q4 2015                                              2016     2015  
                                                                                        
      1,608   1,434     942 Income/(loss) for the period                  4,777    2,200
                                                                                        
                            Adjustment for:                                             
                                                                                        
      1,241     618   1,212 - Current tax                                 2,731    7,058
                                                                                        
        980     829     405 - Interest expense (net)                      2,752    1,529
                                                                                        
      6,558   6,191   5,281 - Depreciation, depletion and amortisation   24,993   26,714
                                                                                        
    (1,238)   (193) (1,108) - Net (gains)/losses on sale and            (2,141)  (3,460)
                            revaluation of non-current assets and                       
                            businesses1                                                 
                                                                                        
      (648)     742   1,598 - Decrease/(increase) in working capital    (6,289)    5,521
                                                                                        
      (982)   (828)   (793) - Share of (profit)/loss of joint ventures  (3,545)  (3,527)
                            and associates                                              
                                                                                        
      1,466     702   1,440 - Dividends received from joint ventures      3,820    4,627
                            and associates                                              
                                                                                        
      1,078     387 (1,827) - Deferred tax, retirement benefits,          (823)  (5,827)
                            decommissioning and other provisions                        
                                                                                        
      (153)   (435)     (3) - Other                                     (1,226)    2,648
                                                                                        
      (740)   (955) (1,724) Tax paid                                    (4,434)  (7,673)
                                                                                        
      9,170   8,492   5,423 Cash flow from operating activities          20,615   29,810
                                                                                        
    (5,714) (5,282) (7,299) Capital expenditure                        (22,116) (26,131)
                                                                                        
          -       -       - Acquisition of BG Group plc, net of cash   (11,421)        -
                            and cash equivalents acquired2                              
                                                                                        
      (527)   (255)     (5) Investments in joint ventures and           (1,330)    (896)
                            associates                                                  
                                                                                        
      1,306     204   1,398 Proceeds from sale of property, plant and     2,072    4,720
                            equipment and businesses                                    
                                                                                        
      1,411     115      26 Proceeds from sale of joint ventures and      1,565      276
                            associates                                                  
                                                                                        
        176      65      91 Interest received                               470      288
                                                                                        
       (81)    (15)   (397) Other                                         (203)    (664)
                                                                                        
    (3,429) (5,168) (6,186) Cash flow from investing activities        (30,963) (22,407)
                                                                                        
         23 (3,126)     (9) Net increase/(decrease) in debt with          (360)    (586)
                            maturity period                                             
                            within three months                                         
                                                                                        
                            Other debt:                                                 
                                                                                        
        189   8,219   5,213 - New borrowings                             18,144   21,500
                                                                                        
    (3,327)   (442) (1,818) - Repayments                                (6,710)  (6,023)
                                                                                        
    (1,073)   (606)   (484) Interest paid                               (2,938)  (1,742)
                                                                                        
        291       -     177 Change in non-controlling interest            1,110      598
                                                                                        
                            Cash dividends paid to:                                     
                                                                                        
    (2,323) (2,660) (1,782) - Royal Dutch Shell plc shareholders        (9,677)  (9,370)
                                                                                        
       (72)    (39)    (45) - Non-controlling interest                    (180)    (117)
                                                                                        
          -       -       - Repurchases of shares                             -    (409)
                                                                                        
      (175)      13       7 Shares held in trust: net sales/              (160)     (39)
                            (purchases) and dividends received                          
                                                                                        
    (6,467)   1,359   1,259 Cash flow from financing activities           (771)    3,812
                                                                                        
      (128)      79   (590) Currency translation differences relating   (1,503)  (1,070)
                            to cash and                                                 
                            cash equivalents                                            
                                                                                        
      (854)   4,762    (94) Increase/(decrease) in cash and cash       (12,622)   10,145
                            equivalents                                                 
                                                                                        
     19,984  15,222  31,846 Cash and cash equivalents at beginning of    31,752   21,607
                            period                                                      
                                                                                        
     19,130  19,984  31,752 Cash and cash equivalents at end of period   19,130   31,752
                                                                                        
     1. Includes the increase to fair value in the carrying amount of Woodside in       
        the second quarter 2016 (see page 14).                                          
     2. See Note 2 "Acquisition of BG Group plc"                                        

    NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

    1.    Basis of preparation

    These unaudited Condensed Consolidated Financial Statements of Royal Dutch
    Shell plc ("the Company") and its subsidiaries (collectively referred to as
    "Shell") have been prepared on the basis of the same accounting principles as,
    and should be read in conjunction with, the Annual Report and Form 20-F for the
    year ended December 31, 2015 (pages 120 to 125) as filed with the U.S.
    Securities and Exchange Commission. In addition to those accounting policies,
    following the acquisition of BG Group plc, Shell accounts for net investment
    hedges where the effective portion of gains and losses arising on hedging
    instruments that are used to hedge net investments in foreign operations are
    recognised in other comprehensive income until the related investment is
    disposed of.

    The financial information presented in the unaudited Condensed Consolidated
    Financial Statements does not constitute statutory accounts within the meaning
    of section 434(3) of the Companies Act 2006 ("the Act"). Statutory accounts for
    the year ended December 31, 2015 were published in Shell's Annual Report and a
    copy was delivered to the Registrar of Companies in England and Wales. The
    auditors' report on those accounts was unqualified, did not include a reference
    to any matters to which the auditors drew attention by way of emphasis without
    qualifying the report and did not contain a statement under sections 498(2) or
    498(3) of the Act.

    2.    Acquisition of BG Group plc

    On February 15, 2016, the Company acquired all the voting rights in BG Group
    plc ("BG") by means of a Scheme of Arrangement under Part 26 of the Act for a
    purchase consideration of $54,034 million. This included cash of $19,036
    million and the fair value ($34,050 million) of 218.7 million A shares and
    1,305.1 million B shares issued in exchange for all BG shares. The fair value
    of the shares issued was calculated using the market price of the Company's A
    and B shares of 1,545.0 and 1,538.5 pence respectively on the London Stock
    Exchange at its opening of business on February 15, 2016.

    BG's activities mainly comprised exploration, development, production,
    liquefaction and marketing of hydrocarbons, the development and use of LNG
    import facilities, and the purchase, shipping and sale of LNG and regasified
    natural gas. The acquisition was to accelerate Shell's growth strategy in
    global LNG and deep water, with material additions to proved oil and gas
    reserves and production volumes, and to provide Shell with enhanced positions
    in competitive new oil and gas projects, particularly in Australia LNG and
    Brazil deep water.

    The fair values of the net assets acquired were provisionally recognised in the
    Condensed Consolidated Balance Sheet in the first quarter 2016, together with
    goodwill arising on acquisition of $9,024 million, being the excess of the
    purchase consideration over the fair value of net assets acquired. The fair
    values were adjusted in the third quarter 2016, resulting in an increase in
    goodwill to $10,587 million, and were finalised in the fourth quarter 2016,
    resulting in a further increase in goodwill of $410 million to $10,997 million
    and in reclassifications mainly between decommissioning and other provisions
    and trade and other payables. The adjustments in the third and fourth quarters
    reflect the circumstances existing at acquisition date from a market
    participant's view. The final fair values of the net assets acquired are set
    out in the table below.

    The net asset fair values, in line with accounting standards, were determined,
    where applicable, by reference to oil and gas prices as reflected in the
    prevailing market view on the day of completion. Oil and gas prices were based
    on the forward price curve for the first two years, and subsequent years based
    on the market consensus price view.

    FAIR VALUE OF NET ASSETS ACQUIRED                                                
                                                                                     
    $ million                               As previously  Adjustment   As finalised 
                                             published1                              
                                                                                     
    Assets                                                                           
                                                                                     
    Non-current assets                                                               
                                                                                     
    Intangible assets                               7,765             -         7,765
                                                                                     
    Property, plant and equipment                  56,089          (22)        56,067
                                                                                     
    Joint ventures and associates                   4,551             -         4,551
                                                                                     
    Investment in securities                          182             -           182
                                                                                     
    Deferred tax                                    3,281           (3)         3,278
                                                                                     
    Retirement benefits                               301          (65)           236
                                                                                     
    Trade and other receivables                     1,550             -         1,550
                                                                                     
                                                   73,719          (90)        73,629
                                                                                     
    Current assets                                                                   
                                                                                     
    Inventories                                       712             -           712
                                                                                     
    Trade and other receivables                     4,094           (9)         4,085
                                                                                     
    Cash and cash equivalents                       6,803             -         6,803
                                                                                     
                                                   11,609           (9)        11,600
                                                                                     
    Total assets                                   85,328          (99)        85,229
                                                                                     
    Liabilities                                                                      
                                                                                     
    Non-current liabilities                                                          
                                                                                     
    Debt                                           19,719          (29)        19,690
                                                                                     
    Trade and other payables                          902           974         1,876
                                                                                     
    Deferred tax                                    8,385            56         8,441
                                                                                     
    Retirement benefits                                64          (64)             -
                                                                                     
    Decommissioning and other provisions            6,261         (719)         5,542
                                                                                     
                                                   35,331           218        35,549
                                                                                     
    Current liabilities                                                              
                                                                                     
    Debt                                            1,544             -         1,544
                                                                                     
    Trade and other payables                        4,088           285         4,373
                                                                                     
    Taxes payable                                     646            80           726
                                                                                     
    Decommissioning and other provisions              272         (272)             -
                                                                                     
                                                    6,550            93         6,643
                                                                                     
    Total liabilities                              41,881           311        42,192
                                                                                     
    Total                                          43,447         (410)        43,037
                                                                                     
     1. In more condensed form in Note 2 to the unaudited Condensed Consolidated     
        Interim Financial Statements for the third quarter 2016.                     

    Income for the third quarter 2016 included a credit of $254 million after
    taxation relating to the first half 2016 in respect of fair value adjustments,
    primarily reflecting lower depreciation charges as a result of a change to
    depreciate certain property, plant and equipment over proved reserves rather
    than proved developed reserves.

    Acquisition costs of $391 million ($47 million in 2015 and $344 million in the
    first quarter 2016) were recognised in the Consolidated Statement of Income in
    production and manufacturing and selling, distribution and administrative
    expenses.

    The acquired activities of BG are now integrated with those of other Shell
    entities and therefore it is impracticable to identify separately either the
    amounts of revenue and income since the date of acquisition that BG has
    contributed to the Consolidated Statement of Income, or the revenue and income
    of Shell for 2016 had the acquisition date been January 1, 2016.

    3.    Segment information

    Segmental reporting has been changed with effect from 2016, in line with a
    change in the way Shell's businesses are managed. Shell now reports its
    business through the segments Integrated Gas (previously part of Upstream),
    Upstream, Downstream and Corporate. Comparative information has been
    reclassified.

    Integrated Gas is engaged in the liquefaction and transportation of gas, and
    the conversion of natural gas to liquids to provide fuels and other products,
    as well as projects with an integrated activity from producing to
    commercialising gas. Upstream combines the operating segments Upstream, which
    is engaged in the exploration for and extraction of crude oil, natural gas and
    natural gas liquids, the transportation of oil, and Oil Sands, which is engaged
    in the extraction of bitumen from oil sands that is converted into synthetic
    crude oil. These operating segments have similar economic characteristics
    because their earnings are significantly dependent on crude oil and natural gas
    prices and production volumes, and because their projects generally require
    significant investment, are complex and generate revenues for many years.

    Segment earnings are presented on a current cost of supplies basis (CCS
    earnings), which is the earnings measure used by the Chief Executive Officer
    for the purposes of making decisions about allocating resources and assessing
    performance. On this basis, the purchase price of volumes sold during the
    period is based on the current cost of supplies during the same period after
    making allowance for the tax effect. CCS earnings therefore exclude the effect
    of changes in the oil price on inventory carrying amounts. Sales between
    segments are based on prices generally equivalent to commercially available
    prices.

    INFORMATION BY SEGMENT                                                             
                                                                                       
           Quarters                         $ million                     Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
                            Third-party revenue                                        
                                                                                       
      7,031   7,199   5,210 Integrated Gas                              25,282   21,741
                                                                                       
      1,418   1,361   1,502 Upstream                                     6,412    6,739
                                                                                       
     56,300  53,279  51,410 Downstream                                 201,823  236,384
                                                                                       
         18      16      24 Corporate                                       74       96
                                                                                       
     64,767  61,855  58,146 Total third-party revenue                  233,591  264,960
                                                                                       
                            Inter-segment revenue                                      
                                                                                       
      1,087   1,181     917 Integrated Gas                               3,908    4,248
                                                                                       
      8,218   7,221   5,955 Upstream                                    26,524   26,824
                                                                                       
        796     259     386 Downstream1                                  1,727    1,362
                                                                                       
          -       -       - Corporate                                        -        -
                                                                                       
                            CCS earnings                                               
                                                                                       
         28     614   1,125 Integrated Gas                               2,529    3,170
                                                                                       
         35   (385) (1,458) Upstream                                   (3,674)  (8,833)
                                                                                       
      1,575   1,596   2,502 Downstream                                   6,588   10,243
                                                                                       
      (566)   (306)   (295) Corporate                                  (1,751)    (425)
                                                                                       
      1,072   1,519   1,874 Total CCS earnings                           3,692    4,155
                                                                                       
     1. Amounts for the first nine months of 2016 have been revised to exclude         
        intra-segment revenue previously accounted for as inter-segment revenue (Q3    
        from $1,784 million to $259 million; Q2 from $1,993 million to $341            
        million; and Q1 from $1,455 million to $331 million).                          
                                                                                       
    RECONCILIATION OF CCS EARNINGS TO INCOME FOR THE PERIOD                            
                                                                                       
           Quarters                         $ million                     Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
      1,072   1,519   1,874 Total CCS earnings                           3,692    4,155
                                                                                       
                            Current cost of supplies adjustment:                       
                                                                                       
        633   (109) (1,122) Purchases                                    1,284  (2,278)
                                                                                       
      (173)      32     320 Taxation                                     (344)      646
                                                                                       
         76     (8)   (130) Share of profit/(loss) of joint ventures       145    (323)
                            and associates                                             
                                                                                       
      1,608   1,434     942 Income/(loss) for the period                 4,777    2,200
                                                                                       

    4.    Earnings per share

    EARNINGS PER SHARE                                                                 
                                                                                       
           Quarters                                                       Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
      1,541   1,375     939 Income/(loss) attributable to Royal Dutch    4,575    1,939
                            Shell plc shareholders                                     
                            ($ million)                                                
                                                                                       
                            Weighted average number of shares used as                  
                            the basis for determining:                                 
                                                                                       
    8,101.8 8,054.3 6,356.0 Basic earnings per share (million)         7,833.7  6,320.3
                                                                                       
    8,170.1 8,107.7 6,416.1 Diluted earnings per share (million)       7,891.7  6,393.8
                                                                                       

    5.    Share capital

    ISSUED AND FULLY PAID ORDINARY SHARES OF €0.07 EACH1                                
                                                                                        
                                    Number of shares         Nominal value ($ million)  
                                                                                        
                                     A             B           A         B       Total  
                                                                                        
    At January 1, 2016         3,990,921,569 2,440,410,614       340       206       546
                                                                                        
    Scrip dividends              219,253,936             -        17         -        17
                                                                                        
    Shares issued2               218,728,308 1,305,076,117        17       103       120
                                                                                        
    Repurchases of shares                  -             -         -         -         -
                                                                                        
    At December 31, 2016       4,428,903,813 3,745,486,731       374       309       683
                                                                                        
    At January 1, 2015         3,907,302,393 2,440,410,614       334       206       540
                                                                                        
    Scrip dividends               96,336,688             -         7         -         7
                                                                                        
    Repurchases of shares       (12,717,512)             -       (1)         -       (1)
                                                                                        
    At December 31, 2015       3,990,921,569 2,440,410,614       340       206       546
                                                                                        
          1. Share capital at December 31, 2016 and 2015 also included 50,000 issued and
                                         fully paid sterling deferred shares of £1 each.
                                             2. See Note 2 "Acquisition of BG Group plc"

    At Royal Dutch Shell plc's Annual General Meeting on May 24, 2016, the Board
    was authorised to allot ordinary shares in Royal Dutch Shell plc, and to grant
    rights to subscribe for or to convert any security into ordinary shares in
    Royal Dutch Shell plc, up to an aggregate nominal amount of €185 million
    (representing 2,643 million ordinary shares of €0.07 each), and to list such
    shares or rights on any stock exchange. This authority expires at the earlier
    of the close of business on August 24, 2017, and the end of the Annual General
    Meeting to be held in 2017, unless previously renewed, revoked or varied by
    Royal Dutch Shell plc in a general meeting.

    6.    Other reserves

    OTHER RESERVES                                                                         
                                                                                           
            $ million           Merger   Share    Capital    Share    Accumulated   Total  
                               reserve  premium  redemption   plan       other             
                                        reserve   reserve   reserve  comprehensive         
                                                                        income             
                                                                                           
    At January 1, 2016            3,398      154         84    1,658      (22,480) (17,186)
                                                                                           
    Other comprehensive income        -        -          -        -       (5,949)  (5,949)
    /(loss) attributable to                                                                
    Royal Dutch Shell plc                                                                  
    shareholders                                                                           
                                                                                           
    Scrip dividends                (17)        -          -        -             -     (17)
                                                                                           
    Shares issued1               33,930        -          -        -             -   33,930
                                                                                           
    Share-based compensation          -        -          -     (14)           534      520
                                                                                           
    At December 31, 2016         37,311      154         84    1,644      (27,895)   11,298
                                                                                           
    At January 1, 2015            3,405      154         83    1,723      (19,730) (14,365)
                                                                                           
    Other comprehensive income        -        -          -        -       (2,750)  (2,750)
    /(loss) attributable to                                                                
    Royal Dutch Shell plc                                                                  
    shareholders                                                                           
                                                                                           
    Scrip dividends                 (7)        -          -        -             -      (7)
                                                                                           
    Repurchases of shares             -        -          1        -             -        1
                                                                                           
    Share-based compensation          -        -          -     (65)             -     (65)
                                                                                           
    At December 31, 2015          3,398      154         84    1,658      (22,480) (17,186)
                                                                                           
     1. See Note 2 "Acquisition of BG Group plc"                                           

    The merger reserve and share premium reserve were established as a consequence
    of Royal Dutch Shell plc becoming the single parent company of Royal Dutch
    Petroleum Company and The "Shell" Transport and Trading Company, p.l.c., now
    The Shell Transport and Trading Company Limited, in 2005. The increase in the
    merger reserve in 2016 in respect of the shares issued represents the
    difference between the fair value and the nominal value of the shares issued
    for the acquisition of BG. The capital redemption reserve was established in
    connection with repurchases of shares of Royal Dutch Shell plc. The share plan
    reserve is in respect of equity-settled share-based compensation plans.

    7.    Derivative contracts and debt excluding finance lease liabilities

    The table below provides the carrying amounts of derivatives contracts held,
    disclosed in accordance with
    IFRS 13 Fair Value Measurement.

    DERIVATIVE CONTRACTS                                                             
                                                                                     
                    $ million                  Dec 31, 2016 Sep 30, 2016 Dec 31, 2015
                                                                                     
    Included within:                                                                 
                                                                                     
    Trade and other receivables - non-current           405        1,054          744
                                                                                     
    Trade and other receivables - current             5,957        7,898       13,114
                                                                                     
    Trade and other payables - non-current            3,315        1,804        1,687
                                                                                     
    Trade and other payables - current                6,418        7,771       10,757
                                                                                     

    As disclosed in the Consolidated Financial Statements for the year ended
    December 31, 2015, presented in the Annual Report and Form 20-F for that year,
    Shell is exposed to the risks of changes in fair value of its financial assets
    and liabilities. The fair values of the financial assets and liabilities are
    defined as the price that would be received to sell an asset or paid to
    transfer a liability in an orderly transaction between market participants at
    the measurement date. Methods and assumptions used to estimate the fair values
    at December 31, 2016 are consistent with those used in the year ended December
    31, 2015, and the carrying amounts of derivative contracts measured using
    predominantly unobservable inputs have not changed materially since that date.

    The table below provides the comparison of the fair value with the carrying
    amount of debt excluding finance lease liabilities, disclosed in accordance
    with IFRS 7 Financial Instruments: Disclosures.

    DEBT EXCLUDING FINANCE LEASE LIABILITIES                                         
                                                                                     
                    $ million                  Dec 31, 2016 Sep 30, 2016 Dec 31, 2015
                                                                                     
    Carrying amount                                  77,617       83,279       52,194
                                                                                     
    Fair value1                                      81,311       87,907       53,480
                                                                                     
     1. Mainly determined from the prices quoted for these securities                
                                                                                     

    DEFINITIONS

    A.    Earnings on a current cost of supplies basis attributable to shareholders

    Segment earnings are presented on a current cost of supplies basis (CCS
    earnings), which is the earnings measure used by the Chief Executive Officer
    for the purposes of making decisions about allocating resources and assessing
    performance. On this basis, the purchase price of volumes sold during the
    period is based on the current cost of supplies during the same period after
    making allowance for the tax effect. CCS earnings therefore exclude the effect
    of changes in the oil price on inventory carrying amounts. The current cost of
    supplies adjustment does not impact cash flow from operating activities in the
    Condensed Consolidated Statement of Cash Flows. The reconciliation of CCS
    earnings to net income is as follows.

           Quarters                         $ million                     Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
      1,072   1,519   1,874 Earnings on a current cost of supplies       3,692    4,155
                            basis (CCS earnings)                                       
                                                                                       
       (40)    (71)    (34) Attributable to non-controlling interest     (159)    (313)
                                                                                       
      1,032   1,448   1,840 Earnings on a current cost of supplies       3,533    3,842
                            basis attributable to Royal Dutch Shell                    
                            plc shareholders                                           
                                                                                       
        536    (85)   (932) Current cost of supplies adjustment          1,085  (1,955)
                                                                                       
       (27)      12      31 Non-controlling interest                      (43)       52
                                                                                       
      1,541   1,375     939 Income/(loss) attributable to Royal Dutch    4,575    1,939
                            Shell plc shareholders                                     
                                                                                       
         67      59       3 Non-controlling interest                       202      261
                                                                                       
      1,608   1,434     942 Income/(loss) for the period                 4,777    2,200

    B.    Identified items

    Identified items are shown to provide additional insight into segment earnings
    and income attributable to shareholders. They include the full impact on
    Shell's CCS earnings of the following items: divestment gains and losses,
    impairments, fair value accounting of commodity derivatives and certain gas
    contracts (see below), and redundancy and restructuring. Further items may be
    identified in addition to the above.

    Impacts of accounting for derivatives

    In the ordinary course of business Shell enters into contracts to supply or
    purchase oil and gas products as well as power and environmental products.
    Derivative contracts are entered into for mitigation of resulting economic
    exposures (generally price exposure) and these derivative contracts are carried
    at period-end market price (fair value), with movements in fair value
    recognised in income for the period. Supply and purchase contracts entered into
    for operational purposes are, by contrast, recognised when the transaction
    occurs (see also below); furthermore, inventory is carried at historical cost
    or net realisable value, whichever is lower.

    As a consequence, accounting mismatches occur because: (a) the supply or
    purchase transaction is recognised in a different period; or (b) the inventory
    is measured on a different basis.

    In addition, certain UK gas contracts held by Upstream are, due to pricing or
    delivery conditions, deemed to contain embedded derivatives or written options
    and are also required to be carried at fair value even though they are entered
    into for operational purposes.

    The accounting impacts of the aforementioned are reported as identified items
    in this Report.

    Impacts of exchange rate movements on deferred tax balances

    With effect from 2016, identified items include the impact on deferred tax
    balances of exchange rate movements arising on:

    The conversion to dollars of the local currency tax base of non-monetary assets
    and liabilities, as well as losses. This primarily impacts the Integrated Gas
    and Upstream segments.

    The conversion of dollar-denominated inter-segment loans to local currency.
    This primarily impacts the Corporate segment.

    The comparative information presented in this Report has been restated for this
    definition change. The following table sets out the impact of the definition
    change on the identified items for the year 2015.

    RESTATED IDENTIFIED ITEMS BY SEGMENT                                            
                                                                                    
               $ million                                Quarters                    
                                                                                    
                                       Q1 2015     Q2 2015     Q3 2015     Q4 2015  
                                                                                    
    Identified items as previously                                                  
    reported                                                                        
                                                                                    
    Integrated Gas                            15       (117)       (878)       (347)
                                                                                    
    Upstream                               1,849       (146)     (7,340)       (479)
                                                                                    
    Downstream                             (132)       (215)       (136)         978
                                                                                    
    Corporate and Non-controlling          (217)           4         464       (137)
    interest                                                                        
                                                                                    
    Impact of definition change                                                     
                                                                                    
    Integrated Gas                         (367)          49       (469)         227
                                                                                    
    Upstream                               (254)          54       (292)          30
                                                                                    
    Downstream                                 -           -           -           -
                                                                                    
    Corporate and Non-controlling            129        (28)         155         (4)
    interest                                                                        
                                                                                    
    Identified items as restated                                                    
                                                                                    
    Integrated Gas                         (352)        (68)     (1,347)       (120)
                                                                                    
    Upstream                               1,595        (92)     (7,632)       (449)
                                                                                    
    Downstream                             (132)       (215)       (136)         978
                                                                                    
    Corporate and Non-controlling           (88)        (24)         619       (141)
    interest                                                                        
                                                                                    

    C.    Capital investment

    Capital investment is a measure used to make decisions about allocating
    resources and assessing performance. It is defined as the sum of capital
    expenditure, acquisition of BG, exploration expense (excluding well
    write-offs), new investments in joint ventures and associates, new finance
    leases and other adjustments. The reconciliation of capital investment to
    capital expenditure is as follows.

           Quarters                         $ million                      Full year    
                                                                                        
    Q4 2016 Q3 2016 Q4 2015                                              2016     2015  
                                                                                        
                            Capital investment:                                         
                                                                                        
      1,145   1,092   1,357 Integrated Gas                               26,214    5,178
                                                                                        
      3,490   5,279   4,463 Upstream                                     47,507   18,349
                                                                                        
      2,251   1,325   1,974 Downstream                                    6,057    5,119
                                                                                        
         27       9     100 Corporate                                        99      215
                                                                                        
      6,913   7,705   7,894 Total                                        79,877   28,861
                                                                                        
          -       -       - Capital investment related to the          (52,904)        -
                            acquisition of BG Group plc                                 
                                                                                        
      (527)   (255)     (5) Investments in joint ventures and           (1,330)    (896)
                            associates                                                  
                                                                                        
      (416)   (298)   (281) Exploration expense, excluding exploration  (1,274)  (2,948)
                            wells written off                                           
                                                                                        
      (215) (1,723)    (29) Finance leases                              (2,343)     (91)
                                                                                        
       (41)   (147)   (280) Other                                            90    1,205
                                                                                        
      5,714   5,282   7,299 Capital expenditure                          22,116   26,131

    Organic capital investment includes capital expenditure and new finance leases
    of existing subsidiaries, investments in existing joint ventures and
    associates, and exploration expense (excluding well write-offs). Inorganic
    capital investment includes investments related to the acquisition of
    businesses, investments in new joint ventures and associates, and new acreage.

           Quarters                         $ million                     Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
      6,913   7,705   7,748 Organic capital investment                  26,913   28,403
                                                                                       
          -       -     146 Inorganic capital investment                52,964      458
                                                                                       
      6,913   7,705   7,894 Total capital investment                    79,877   28,861
                                                                                       

    D.    Divestments

    Divestments is a measure used to monitor the progress of Shell's divestment
    programme. This measure comprises proceeds from sale of property, plant and
    equipment and businesses, joint ventures and associates, and other Integrated
    Gas, Upstream and Downstream investments, adjusted onto an accruals basis, and
    proceeds from sale of interests in entities while retaining control (for
    example, proceeds from sale of interest in Shell Midstream Partners, L.P.). As
    a result of our divestment programme, we expect gearing to reduce over time,
    and depending on terms and conditions of transactions there is the potential
    for gains as well as the potential for impairments with regards to certain
    assets.

           Quarters                         $ million                     Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
      1,306     204   1,398 Proceeds from sale of property, plant and    2,072    4,720
                            equipment and businesses                                   
                                                                                       
      1,411     115      26 Proceeds from sale of joint ventures and     1,565      276
                            associates                                                 
                                                                                       
       (81)    (15)   (397) Other (in Cash flow from investing           (203)    (664)
                            activities)                                                
                                                                                       
        289       -     297 Proceeds from sale of interests in           1,108      595
                            entities while retaining control                           
                                                                                       
         78    (85)     380 Other1                                         167      613
                                                                                       
      3,003     219   1,704 Total                                        4,709    5,540
                                                                                       
                            Of which:                                                  
                                                                                       
         47      20     (6) Integrated Gas                                 352      269
                                                                                       
      1,205     166     280 Upstream                                     1,451    2,478
                                                                                       
      1,747      24   1,425 Downstream                                   2,889    2,282
                                                                                       
          4       9       5 Corporate                                       17      511
                                                                                       
     1. Mainly changes in non-current receivables included within Other (in Cash       
        flow from investing activities), which are not considered to be                
        divestments.                                                                   

    E.     Return on average capital employed

    Return on average capital employed (ROACE) measures the efficiency of Shell's
    utilisation of the capital that it employs. In this calculation, ROACE is
    defined as income for the period, adjusted for after-tax interest expense, as a
    percentage of the average capital employed for the period. Capital employed
    consists of total equity, current debt and non-current debt.

                         $ million                               2016         2015    
                                                                                      
    Income for the period                                           4,777        2,200
                                                                                      
    Interest expense after tax                                      2,730        2,030
                                                                                      
    Income before interest expense                                  7,507        4,230
                                                                                      
    Capital employed - opening                                    222,500      218,326
                                                                                      
    Capital employed - closing                                    280,988      222,500
                                                                                      
    Capital employed - average                                    251,744      220,413
                                                                                      
    ROACE                                                            3.0%         1.9%
                                                                                      

    Return on average capital employed on a CCS basis excluding identified items is
    defined as the sum of CCS earnings attributable to shareholders excluding
    identified items for the period, as a percentage of the average capital
    employed for the period.

                         $ million                               2016         2015    
                                                                                      
    CCS earnings excluding identified items for the                 7,185       11,446
    period                                                                            
                                                                                      
    Capital employed - opening                                    222,500      218,326
                                                                                      
    Capital employed - closing                                    280,988      222,500
                                                                                      
    Capital employed - average                                    251,744      220,413
                                                                                      
    ROACE on a CCS basis excluding identified items                  2.9%         5.2%
                                                                                      

    F.     Gearing

    Gearing, defined as net debt (total debt less cash and cash equivalents) as a
    percentage of total capital (net debt plus total equity), is a key measure of
    Shell's capital structure.

                    $ million                  Dec 31, 2016 Sep 30, 2016 Dec 31, 2015
                                                                                     
    Current debt                                      9,484       11,192        5,530
                                                                                     
    Non-current debt                                 82,992       86,637       52,849
                                                                                     
    Total debt                                       92,476       97,829       58,379
                                                                                     
    Less: Cash and cash equivalents                (19,130)     (19,984)     (31,752)
                                                                                     
    Net debt                                         73,346       77,845       26,627
                                                                                     
    Add: Total equity                               188,511      188,729      164,121
                                                                                     
    Total capital                                   261,857      266,574      190,748
                                                                                     
    Gearing                                           28.0%        29.2%        14.0%
                                                                                     
                    $ million                  Dec 31, 2016 Sep 30, 2016 Dec 31, 2015
                                                                                     
    Total debt, of which:                            92,476       97,829       58,379
                                                                                     
    Finance leases                                   14,859       14,550        6,185
                                                                                     

    G.   Operating expenses

    Operating expenses comprise production and manufacturing expenses; selling,
    distribution and administrative expenses; and research and development
    expenses. Underlying operating expenses exclude identified items.

           Quarters                         $ million                     Full year    
                                                                                       
    Q4 2016 Q3 2016 Q4 2015                                             2016     2015  
                                                                                       
      6,703   6,890   7,515 Production and manufacturing expenses       28,434   28,095
                                                                                       
      2,912   2,856   3,090 Selling, distribution and administrative    12,101   11,956
                            expenses                                                   
                                                                                       
        280     248     297 Research and development                     1,014    1,093
                                                                                         9,895   9,994  10,902 Operating expenses                          41,549   41,144
                                                                                       
                            Less identified items:                                     
                                                                                       
       (51)   (359)   (113) Redundancy and restructuring charges       (1,870)    (430)
                                                                                       
          -   (390)   (319) Provisions                                   (915)  (1,150)
                                                                                       
          -       -       - BG acquisition costs                         (422)        -
                                                                                       
       (51)   (749)   (432)                                            (3,207)  (1,580)
                                                                                       
      9,844   9,245  10,470 Underlying operating expenses               38,342   39,564
                                                                                       

    H.    Free cash flow

    Free cash flow is used to evaluate cash available for financing activities,
    including dividend payments, after investment in maintaining and growing our
    business. It is defined as follows:

           Quarters                         $ million                      Full year    
                                                                                        
    Q4 2016 Q3 2016 Q4 2015                                              2016     2015  
                                                                                        
      9,170   8,492   5,423 Cash flow from operating activities          20,615   29,810
                                                                                        
    (3,429) (5,168) (6,186) Cash flow from investing activities        (30,963) (22,407)
                                                                                        
      5,741   3,324   (763) Free cash flow                             (10,348)    7,403
                                                                                        

    CAUTIONARY STATEMENT

    All amounts shown throughout this announcement are unaudited. All peak
    production figures in Portfolio Developments are quoted at 100% expected
    production.

    The companies in which Royal Dutch Shell plc directly and indirectly owns
    investments are separate legal entities. In this announcement "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
    announcement refer to companies over which Royal Dutch Shell plc either
    directly or indirectly has control. Entities and unincorporated arrangements
    over which Shell has joint control are generally referred to as "joint
    ventures" and "joint operations" respectively. Entities over which Shell has
    significant influence but neither control nor joint control are referred to as
    "associates". The term "Shell interest" is used for convenience to indicate the
    direct and/or indirect ownership interest held by Shell in a venture,
    partnership or company, after exclusion of all third-party interest.

    This announcement 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'',
    ''goals'', ''intend'', ''may'', ''objectives'', ''outlook'', ''plan'',
    ''probably'', ''project'', ''risks'', "schedule", ''seek'', ''should'',
    ''target'', ''will'' 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 announcement, 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) reserves estimates; (f) loss of market share 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 regulatory measures addressing climate change; (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. There can be no assurance that future dividend payments
    will match or exceed previous dividend payments. All forward-looking statements
    contained in this announcement 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. Additional risk factors
    that may affect future results are contained in Royal Dutch Shell's Form 20-F
    for the year ended December 31, 2015 (available at www.shell.com/investor and
    www.sec.gov). These risk factors also expressly qualify all forward-looking
    statements contained in this announcement and should be considered by the
    reader. Each forward-looking statement speaks only as of the date of this
    announcement, February 2, 2017. Neither Royal Dutch Shell plc 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 announcement.

    This Report contains references to Shell's website. These references are for
    the readers' convenience only. Shell is not incorporating by reference any
    information posted on www.shell.com

    We may have used certain terms, such as resources, in this announcement that
    the United States Securities and Exchange Commission (SEC) strictly prohibits
    us from including in our filings with the SEC. U.S. investors are urged to
    consider closely the disclosure in our Form 20-F, File No 1-32575, available on
    the SEC website www.sec.gov. You can also obtain this form from the SEC by
    calling 1-800-SEC-0330.

    This announcement contains inside information.

    February 2, 2017

    The information in this Report reflects the unaudited consolidated financial
    position and results of Royal Dutch Shell plc. Company No. 4366849, Registered
    Office: Shell Centre, London, SE1 7NA, England, UK.

    Contacts:

    - Linda Szymanski, Company Secretary

    - Investor Relations: International + 31 (0) 70 377 4540; North America +1 832
    337 2034

    - Media: International +44 (0) 207 934 5550; USA +1 713 241 4544

    LEI number of Royal Dutch Shell plc: 21380068P1DRHMJ8KU70

    Classification: Inside Information