Posted on May 7, 2022
The good times are rolling for Big Oil. 3 things to know about their surging profits
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https://www.npr.org/2022/05/07/ [login to see] /big-oil-exxon-earnings-gasoline-prices-crude
It's a good time to be an oil company – and an even better time to be an oil investor.
Over the past couple of weeks, Big Oil companies have reported a surge in profits for the first three months of the year. In fact, earnings would have been even bigger had they not booked charges from exiting Russia.
But that boom is bound to raise scrutiny from Democrats who believe Big Oil's profits are coming at the expense of American consumers saddled with high prices at the gas pump.
Here are three things to know about the earnings in the oil sector.
It's a good time to be an oil company – and an even better time to be an oil investor.
Over the past couple of weeks, Big Oil companies have reported a surge in profits for the first three months of the year. In fact, earnings would have been even bigger had they not booked charges from exiting Russia.
But that boom is bound to raise scrutiny from Democrats who believe Big Oil's profits are coming at the expense of American consumers saddled with high prices at the gas pump.
Here are three things to know about the earnings in the oil sector.
The good times are rolling for Big Oil. 3 things to know about their surging profits
Posted from npr.orgPosted in these groups: 
Oil and Energy
Oil and Energy
Posted 2 y ago
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PO1 William "Chip" Nagel
,,,"At the same time, Big Oil is also under pressure to increase production by the Biden administration, which is looking for a solution to high gasoline prices.
Oil companies are increasing production, but they are doing so measuredly, given the pressure they are under from investors and given that they are constrained by supply chain and staffing challenges.
Chevron said it increased oil and gas production by 10% during the first quarter from a year earlier, and is on pace to boost output for the year.
Leggate, at Bank of America, thinks the criticism being leveled at oil companies is ultimately unfair.
Although oil companies are enjoying bumper profits, he points out that hasn't always been the case.
"Obviously we hear a lot about the level of profitability for the industry," he said. "But remember this industry lost a lot of money over the last 5, 6, 7, 10 years. And so if you look at it on a ten-year basis, the industry is still just moving its head above break even."
,,,"At the same time, Big Oil is also under pressure to increase production by the Biden administration, which is looking for a solution to high gasoline prices.
Oil companies are increasing production, but they are doing so measuredly, given the pressure they are under from investors and given that they are constrained by supply chain and staffing challenges.
Chevron said it increased oil and gas production by 10% during the first quarter from a year earlier, and is on pace to boost output for the year.
Leggate, at Bank of America, thinks the criticism being leveled at oil companies is ultimately unfair.
Although oil companies are enjoying bumper profits, he points out that hasn't always been the case.
"Obviously we hear a lot about the level of profitability for the industry," he said. "But remember this industry lost a lot of money over the last 5, 6, 7, 10 years. And so if you look at it on a ten-year basis, the industry is still just moving its head above break even."
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