Discrete-fracture modeling and simulation of two-phase flow in realistic representations of fractured reservoirs can now be used for the design of improved-oil-recovery (IOR) and enhanced-oilrecovery (EOR) strategies. Thus far, however, discrete-fracture simulators usually do not include a third compressible gaseous phase. This hinders the investigation of the performance of gas gravity drainage, water alternating gas injection, and blowdown in fractured reservoirs.We present a new numerical method that expands the capabilities of existing black-oil models for three-component, three-phase flow in three ways: (a) It uses a finite-element/finite-volume discretization generalized to unstructured hybrid element meshes. (b) It employs higher-order accurate representations of the flux terms. (c) Flash calculations are carried out with an improved equation of state allowing for a more realistic treatment of phase behavior.We illustrate the robustness of this numerical method in several applications. First, quasi-1D simulations are used to demonstrate grid convergence. Then, 2D discrete-fracture models are used to illustrate the effect of mesh quality on predicted production rates in discrete-fracture models. Finally, the proposed method is used to simulate three-component, three-phase flow in a realistic 2D model of fractured limestone mapped in the Bristol Channel, UK, and create a 3D stochastically generated discretefracture model.