Oil Majors Stockpile Record Cash Amid Hormuz Tensions

The world's largest oil companies are generating record cash reserves amid ongoing tensions in the Strait of Hormuz. According to The Kobeissi Letter, ExxonMobil, Chevron, Shell, TotalEnergies, and BP generated almost $70 billion in free cash flow in Q2 2026, surpassing the previous peak of about $60 billion in Q2 2022 during Russia-Ukraine tensions.

This marks a 600% increase from the prior quarter and exceeds the roughly $60 billion peak recorded in Q2 2022. Net income across the group has also jumped more than 160% year-over-year to $47 billion, the third-largest on record.

The price of Brent crude oil is rising amid the ongoing U.S.-Iran conflict, reaching near about $89 per barrel. Meanwhile, last week's data from the U.S. Department of Energy showed that crude oil reserves in the Strategic Petroleum Reserve had fallen below 300 million barrels, reaching their lowest level in more than four decades.