Well-known company in oil and gas BP’s annual profit more than double after Russia’s invasion in Ukraine.
Despite households being hit with surging energy bills, oil companies have seen remarkable increases in profits. Last year, ExxonMobil recorded a 123% jump to $27.7bn (£23bn), while Shell reported record earnings of almost $40bn just last week; this has sparked demands that these firms should pay more taxes.
After their record-breaking net profit of $26.3 billion in 2008, BP surpassed expectations with a 4th quarter total of nearly $5 billion and an overall projected annual gain hitting the high mark of $27.6 billion for 2022 – joining other Big Oil giants to be part of this remarkable year’s industrywide success story written across Wall Street! The share value has seen modest growth throughout 2021 as well, rising by 0.8% since January 1st.
Despite the disruption in global energy markets from the Ukraine conflict, Western fossil fuel companies’ profits are expected to reach nearly $200 billion this year. This has prompted criticism of their high revenues and calls for increased taxation. In response, Big Oil executives have argued that rising earnings prove the necessity of finding a solution to “the energy trilemma” – an issue which is critical for our continued progress forward as an industry.
Last year, BP CEO Bernard Looney announced the company’s commitment to providing a future with secure, affordable energy that minimizes its carbon footprint.
BP recently made projections for how the global energy mix will shift by 2050. The company predicted that fossil fuels as a primary energy source would decrease substantially, from 80% to between 55-20%. Simultaneously, its outlook suggested renewable sources of power could grow significantly—from 10% up to 35%-65%. This reflects BP’s ambition posted in 2020: reaching net zero by 2050 or sooner.
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