BP has reported an 18-year high in quarterly profits, reaching $8.46 billion, as the ongoing conflict in the Middle East significantly inflated oil and gas prices. The energy giant, which characterized the period as a “banner quarter,” saw its underlying replacement cost profit nearly quadruple compared to the $2.2 billion recorded during the same period last year. This figure marks the company’s most profitable quarter since it posted $8.9 billion in 2008. BP’s quarterly profits have been labelled “obscene” after they hit an 18-year high of $8.46bn (£6.3bn), as the war in the Middle East drove up oil and gas prices. With its underlying replacement cost profit – a key measure of its income – almost quadrupling in the three months to the end of September, from $2.2bn in the sam, the energy company hailed a “banner quarter” on Friday. The jump meant BP’s quarterly profits hit their highest level since the $8.9bn recorded in 2008. With an average price of 172.92p a litre, compared with 132.83p in late February, before the latest conflict in the Middle East began, the cost of petrol has also risen.
Chief executive Meg O’Neill attributed the performance to strong refining margins and underlying operational success, telling Bloomberg TV that the company effectively capitalized on market opportunities. The earnings windfall was primarily bolstered by the refining sector, where the gap between crude oil costs and the price of refined products like gasoline and diesel widened, allowing BP to earn approximately $47 for every barrel produced. We were able to capture the opportunity provided by the market.”.
This financial growth mirrors similar reports from rivals Shell and TotalEnergies, both of which recently posted their strongest earnings since 2022 due to the same refining trends. Despite global oil prices remaining below the peaks observed during the 2022 energy crisis, consumers in the UK, Europe, and the US are facing record-high fuel prices driven by severe refinery disruptions across the Gulf region and Russia. BP’s strong results also come as motorists in the UK face high fuel prices, with diesel now at 198.79p a litre, according to estimates from the RAC.
The announcement has sparked intense backlash from climate campaigners, who denounced the profits as “obscene” given the backdrop of global environmental strain and civilian suffering. Jonathan Noronha-Gant of Global Witness argued that the company is profiting from the fallout of the war in Iran while households across Europe struggle to cover basic living and heating costs. According to however, climate crisis campaigners, It was outrageous that BP was profiting so handsomely on commodities causing serious damage to the environment. “These massive profits come as ordinary people across Europe are struggling with the rising cost of living, with many struggling to afford to heat their homes as winter arrives,” he said. Danny Gross, of Friends of the Earth, said: “As millions of households brace themselves for a cold winter, huddling under blankets and clutching hot-water bottles as they struggle to pay their bills, BP is raking in huge. Infernos tore through forests and brush in parched rural areas, as people in cities sweltered.
Adding to the criticism, Danny Gross of Friends of the Earth accused BP of prioritizing fossil fuel expansion while simultaneously reducing investments in renewable energy. These comments arrive just over a week before the Cop31 UN climate summit in Antalya, Turkey, where delegates are expected to address increasing tensions regarding the transition to clean energy.
Environmental activists emphasized that the climate crisis is an immediate reality rather than a future concern. Clémence Dubois of 350.org noted that governments are currently under immense fiscal pressure to protect populations from deadly heatwaves and climate-linked disasters, such as recent catastrophic flooding in Nepal, while fossil fuel corporations continue to report extraordinary earnings. According to “The climate crisis is not an abstract future threat,”, Clémence Dubois, head of global campaigns at 350.org. “People are facing deadly heat, destroyed livelihoods and growing insecurity now.
Scientific evidence continues to link major fossil fuel companies to carbon emissions contributing to extreme weather events. Over the past year, research has directly connected these emissions to dozens of deadly heatwaves, including those this summer that resulted in an estimated 50,000 excess deaths. Extreme weather has also left a visible mark on the landscape, with record-breaking wildfires occurring in France and traditionally cooler regions like Scotland’s Cairngorms.
Meteorologists are also tracking a supercharged El Niño in the Pacific, with water temperatures exceeding typical levels by 3C. Experts anticipate this could be the most extreme instance in a millennium, further destabilizing an atmosphere already burdened by climate change. The weather phenomenon is likely to be the most extreme of its kind in at least 1,000 years, dumping vast amounts of extra heat into an atmosphere already warmed by climate breakdown.
Amid these concerns, the UK government is currently deciding on the future of North Sea drilling. UK energy secretary Miatta Fahnbulleh is weighing approval for the Rosebank oilfield project, following the recent authorization of a license for the Jackdaw gasfield earlier in October.
