Why are oil companies posting record profits amid Iran war disruption?

The closure of the critical Strait of Hormuz in the Middle East has disrupted global energy flows, causing oil prices to spiral for months and impacting energy markets worldwide.

Thousands of miles away from the Persian Gulf, household prices have soared in the United States and Europe, as the so-called Big Oil companies bag astonishing profits from the fallout of the war on Iran.

Companies like ExxonMobil, Chevron, Shell, and BP have climbed the ladder amid chaos, netting billions in profits as the war drags on with no end in sight, and with hostilities widening into the Red Sea.

So, how much money have Big Oil companies made due to the Iran war?

The companies, most of whose majority of production and supply are far from the Strait of Hormuz, have been bagging huge profits.

ExxonMobil: The US’s biggest oil company reported second-quarter earnings of $14.5bn, with adjusted earnings of $14.7bn, and marked its highest quarterly profits in four years.

Its results were driven by elevated oil prices and stronger refining margins amid the war in Iran, even as those earnings actually fell short of Wall Street expectations due to production disruptions in Qatar.

Chevron: The US’s second-biggest company reported second-quarter earnings of $12bn, its highest quarterly profit in six years, beating analysts’ estimates.