Oil Majors Cash in on Iran War with Record Windfall of $93 Billion

The recent war between the US and Iran has led to a significant increase in oil prices, resulting in a windfall of $93 billion for major oil companies. The closure of the Strait of Hormuz, a key trade corridor connecting Asia and Europe, has caused a shortage of fossil fuels, driving up prices and profits for oil majors.

The eight largest oil firms, including Aramco, BP, Shell, Equinor, TotalEnergies, Eni, Chevron, and ExxonMobil, have seen their combined profits almost double to over $90 billion in the three months from April to June. This is a significant increase from just below $50 billion in the second quarter of 2025.

The price of oil rose to nearly $100 a barrel in May, with Saudi Arabia's Aramco benefiting the most from the price increase, reporting a 34% rise in its quarterly net income to over $33 billion. BP and Chevron also reported significant profits, with BP seeing its highest quarterly net profit since the third quarter of 2022.

Environmentalists are criticizing the record profits made by oil companies, arguing that they come at a time when consumers are facing rising inflation and other economic challenges. The discussion around windfall tax has reignited, with governments considering introducing or increasing levies on higher-than-normal earnings to help subsidize energy bills and address environmental damage.