Oil Giants Reap Billions as Iran-US Conflict Drives Prices Higher

Oil companies are raking in massive profits due to ongoing conflict between the US and Iran. The six-month-old dispute has halted most shipping through the Strait of Hormuz, a narrow waterway that supplies a fifth of the world's oil and natural gas.

With global supplies constrained, prices for Brent crude soared from about $70 to above $100 a barrel in March, April, and May. Exxon Mobil reported doubling its second-quarter profits to $14.53 billion, up 105% from the same time last year, while Chevron nearly quadrupled its profits to $12.07 billion, up 385%.

Six of Europe's largest oil companies posted first-quarter profits of $22 billion, a total that was 43% higher than the same time last year, according to Global Witness. Patrick Galey, fossil fuels lead at Global Witness, stated: 'There are constituencies around the world who are having a very good crisis, and the oil producers are one of them.'

Lawmakers have proposed taxing major oil producers for war windfalls, as prices for gasoline, diesel, and jet fuel continue to climb. The average price for a gallon of regular gasoline in the US reached $4.11, up from $3 before the US launched attacks on Iran.