Middle East Conflict Drives Oil Majors to Americas for Growth

The ongoing Middle East conflict has disrupted oil production, prompting major oil companies to prioritize projects in the Americas. According to a report by Platts, global energy producers saw strong profit growth in the second quarter of 2026, driven by the US-Iran conflict that hampered trade through the Strait of Hormuz and boosted oil and gas prices.

The Dated Brent crude benchmark reached an all-time high of $144 per barrel in April, with refining margins ranging from $12 to $30 per barrel in the second quarter. BP and Shell both doubled their profits compared to 2025, while ExxonMobil and Chevron reported double-digit billion-dollar returns.

However, these gains were largely due to price effects rather than increased production, and companies have been cautious about assuming a sustained upturn. In their latest earnings reports, some producers avoided the full extent of projected losses, with ConocoPhillips exceeding its guidance and TotalEnergies reporting a smaller-than-expected decline.