The children of James Sheils & Mary Ann Ramsey that I know about at the moment are-
Francis Sheilds (1 Mar.1869 at 42 Long Lane) m.(1889) Elizabeth Creswell
John Shiels (26 Mar.1871 at 31 Fountain Pl.)
Margaret “Maggie” Shiels (5 Mar.1873 Fountain St.)
Robert Shiels (1 Mar.1875 Fountain St.) m.(1904) Mary Jane (Givens) McLeod
Elizabeth “Lizzie” Shiels (21 May 1877 at 35 Fountain St.)
Sarah Shiels (9 Oct.1878 at 3 Fountain St.) m.(1902) William McElroy
If your Daniel Shiels died in 1907 age 32 then he was born c1875. So, there should be a birth registration. Marriage certificate should list his father's name & occupation.
Based on location of family in 1900s this is one possibility for Daniel's birth- but makes the Derry (city) connection less likely-
https://civilrecords.irishgenealogy.ie/churchrecords/images/birth_returns/births_1875/03117/2143042.pdfCan you give us more details about these old 'papers/pictures'? or ask other members of the family if they know anything else to help sort this all out?