Oil majors ExxonMobil and Chevron also posted gains

Major US oil and gas companies ExxonMobil and Chevron posted second-quarter profits on the back of higher energy prices. In doing so, they are following the example of the likes of Shell and Total Energies, which have set records due to high oil and fuel prices.

Exxon, America’s largest oil company, had a net profit of $17.9 billion and total revenue of $115.7 billion. This means profits tripled the previous year and beat the previous record from 2008. The Texas-based company has embarked on a $30 billion share buyback program to allow shareholders to share in more profits.

Chevron posted a profit of $11.6 billion, more than four times what it was a year ago. Revenue was $68.6 billion. Chevron has engaged in multibillion-dollar share buybacks.

Oil companies have criticized US President Joe Biden for doing too little to tackle high fuel prices at the pump and increase oil production. Biden said they are making billions off the backs of consumers.

Exxon CEO Darren Woods said that billions of dollars were lost in 2020 as oil prices fell during the coronavirus pandemic, and that the company is now making huge investments to increase production and refining capacity. CEO Mike Wirth echoed similar sentiments. For example, Exxon and Chevron are ramping up oil production in the oil-rich Permian Basin shale field, which is mostly located in West Texas.