"The deadly conflict in Iran has created a historic energy shock due to attacks on fossil fuel facilities and the blockage of the crucial strait of Hormuz trade route. Amid the chaos, energy prices and oil companies' earnings have soared. ConocoPhillips last week reported $2.3bn in profits for the first three months of 2026, up 84% from before the war began."
"Windfall profits from Trump's war will allow big oil to build a wall of money around its Trump-era political victories, said Lukas Shankar-Ross, a deputy director at the green group Friends of the Earth. The billions in profits big oil is reaping due to the Iran war may stymie the energy transition, experts and advocates fear, incentivizing oil and gas expansion and boosting the sector's funds for political lobbying."
"As oil companies rake in billions, Americans are suffering at the pump. On Wednesday, the US average price of gasoline soared to $4.52 per gallon, the highest price since July 2022. Consensus estimates shows ExxonMobil's second-quarter earnings will more than double from a year ago, while Chevron profits are expected to increase by 56% for the year."
The Iran conflict has triggered an energy crisis through attacks on fossil fuel infrastructure and blockade of the Strait of Hormuz, causing oil prices and company profits to surge dramatically. Major oil corporations including ConocoPhillips, Valero Energy, BP, and Shell reported exceptional first-quarter 2026 earnings, with some profits doubling or increasing by over 80%. These windfall profits enable oil companies to expand operations, increase political lobbying efforts, and entrench their market position. Meanwhile, American consumers face record gasoline prices exceeding $4.52 per gallon. Analysts project continued profit growth for major firms like ExxonMobil and Chevron in subsequent quarters, raising concerns that abundant capital will fund opposition to renewable energy policies and slow the transition away from fossil fuels.
#oil-industry-profits #iran-conflict-energy-crisis #energy-transition-delay #political-lobbying #gasoline-prices
Read at www.theguardian.com
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