Movie Theater Hub World Edit
In the hub world there are two shotgun shells to can find. One is in a spider web in the woman's washroom. Use the Plunger in the Red Toolbox to unclog the very clogged toilet underneath the web. Sit for a moment on the toilet to shake off the shotgun shell. The other is found behind the Sewer Killer and can't be obtained until the killer is out of the way.
Lakeview Cabin III Edit
One Shell can be found in Cabin 2 in the drawer. You may have to rifle through some dirty underwear before you find it.
The second one can be found in Cabin A near the bunkbeds. Smash this with the axe, Kitchen Knife or Hammer, or throw it at an enemy to break it open. Inside are three flares and shotgun shell number 2.
Lighting a shotgun shell with a match results in the player dying, or a killer injured, if close to the shell.
Last Christmas Edit
There is only one shot gun shell hidden in the wooden box found in the shed. Use the hammer to break the box and set the shell red side towards the killer and use the hammer again to blow it open, killing the killer.