The world’s largest energy companies are reporting record profits in the third quarter. Energy giants, including European ones, earned good money on sales in the EU, which is actively buying oil and gas from alternative sources, sinking deeper into the energy crisis.
In the third quarter, U.S. Exxon Mobil and Chevron had total net income of about $30 billion, Dutch-British Shell had $9.5 billion, and French TotalEnergies had $6.6 billion.
“Exxon recorded its largest profit in all 152 years of its existence. The annual forecast is $50 billion, which is more than Amazon, Procter & Gamble and Tesla put together,” writes Bloomberg reporter Stephen Stapzynski.
The lion’s share of profits came from gas and LNG sales, mainly in Europe. TotalEnergies made more than half of its profits in the gas, renewable energy and generation segment. By 2020, the French company has accumulated LNG contracts worth 55 billion cubic meters a year, including at least 12 billion from the U.S. And it has been selling its volumes well in Europe this year.
The lion’s share of the energy giant’s profit will go to dividends to its shareholders. As the head of Exxon Mobil said, this is the very direct return of funds to the American people. Which neither Washington nor European capitals will agree with.
Joe Biden has already criticized the policy of the energy companies saying that funds should be used to increase production in order to reduce prices for energy resources.
While the U.S. authorities are not considering additional taxes for the energy giants, the European Union plans to limit excess profits so that governments can direct the proceeds to support consumers.