Analysts expect the sector’s profits to remain strong. According to Oxfam, the six largest companies, Chevron, Shell, BP, ConocoPhillips, ExxonMobil and TotalEnergies, will earn an additional $37 million (31.5 million euros) a day in 2026 compared to 2025.
Volatility fuels profits
Price fluctuations have particularly benefited European oil and gas giants BP, Shell and TotalEnergies, which have large trading divisions. They have benefited not only from high oil prices, but also from the market turbulence itself.
Their American competitors ExxonMobil and Chevron are more dependent on oil and gas production.
Such high profits have re-energized calls to impose an excess profits tax on energy companies’ earnings, similar to measures introduced after Russia’s invasion of Ukraine in 2022.
UK pays Energy Profits Levy
In early April, Germany, Austria, Italy, Portugal, Spain and Italy jointly called on the European Commission to introduce a similar pan-European levy to fund programs to support households, curb inflation and reduce the strain on public finances.
In the UK, North Sea companies pay the Energy Profits Levy, a temporary excess profits tax introduced in 2022. Its rate is now 38% and will remain in force until 2030, in addition to existing sectoral taxes.
But it only applies to profits from offshore oil and gas production in the UK. The new jump in profits for Shell and BP has prompted further calls in London to raise the rate.
And in France, Socialist and Green MPs have introduced a bill to introduce a tax on the excess profits of energy companies.
French President Emmanuel Macron, for his part, called for a pan-European response to “excessive profits” and speculative behavior in this market.
