Europe's Fuel Crisis Fuels Record Share Price Gains for Oil Giants

Europe's fuel crisis has driven a surge in oil and gas company shares, with some stocks rising as much as 87% in value. The crisis is causing a shortage of diesel, petrol, and jet fuel, pushing the gap between crude oil prices and refined fuel prices to record levels.

The European Central Bank has taken notice, with President Christine Lagarde saying that refining margins are now a major concern. Energy inflation rose to 14.3% in August, partly due to higher refining margins on liquid fuels.

Some of the biggest gainers this year include Repsol, which has risen by 87.2%, and Neste, which has surged by 76.4%. The companies with the highest gains are not just oil producers but also refiners, who are benefiting from the widening gap between crude oil prices and refined fuel prices.

Equinor, a Norwegian state-backed group, reported adjusted operating income of $11.48bn in the second quarter, while TotalEnergies earned $6 billion in adjusted net income in the same period.