Rising prices have proved a boon for Exxon, Chevron

The two companies are making bigger profits as global conflicts push fuel prices higher.

Both US oil giants reported stronger-than-expected third-quarter earnings yesterday, as geopolitical tensions in Iran and Ukraine drove prices up.

Chevron’s profit surged nearly 200% year over year to $9.9 billion, while Exxon’s doubled to $15.4 billion. Both companies’ stocks reached record highs yesterday.

Interestingly, refining has become a major profit engine for both companies. Exxon earned more from turning crude oil into fuel than from exploring and producing oil for the first time in at least six years.

Both companies now plan to increase fuel production and strengthen their finances. Exxon aims to expand refinery operations, while Chevron is exploring ways to boost capacity. They are also using their strong earnings to reduce debt and maintain long-term financial stability.