BP profits more than double as oil prices soar in Iran war

BP has provoked outrage by revealing its profits more than doubled in the first quarter of this year after its oil traders reaped the benefit of the war in Iran, Report informs via The Guardian.

The energy company capitalised on a surge in global oil market prices to report better than expected profits of $3.2 billion for the first quarter, more than double the $1.38 billion it made in the same period last year.

The company credited its "exceptional oil trading" for its highest quarterly profit since 2023, triggering an immediate backlash from campaign groups and calls for tougher windfall taxes on fossil fuel companies.

In her first results as BP's new chief executive, Meg O"Neill, said that, despite facing "an environment of conflict and complexity", the company was playing its part to "keep oil, gas and refined products flowing."

The global energy market has faced its greatest supply crisis in history since Iran throttled exports of oil and gas from the Gulf by seizing control of the Strait of Hormuz, leading to record market price surges in recent weeks.

The international benchmark reached highs of almost $119 a barrel in March before a record release of emergency stockpiles helped to cool the market. Brent crude rose 3% on Tuesday to $111.42 a barrel, its highest level since 7 April, the day the US-Iran ceasefire was agreed.

The conflict has also resulted in damage to vital Gulf energy infrastructure, including BP's Rumaila oilfield in southern Iraq, which was targeted by drone attacks. The multibillion-dollar repair bills are expected to keep a lid on profits for big oil companies in the future.

O"Neill said BP's employees had been working "relentlessly to keep our assets producing safely, reliably and efficiently" and was "working with customers and governments to get fuel where it's needed, helping minimise disruption and the impact it can have on people's lives."

Campaigners said the "horrifying" profits had come at the expense of millions of energy consumers who have little choice over their reliance on fossil fuels.