Exxon Mobil CEO sees ‘more to come’ on price spikes from Iran war as Exxon, Chevron beat on earnings despite plunging profits

Exxon Mobil CEO Darren Woods predicted that crude oil and fuel prices will continue to surge higher in the weeks ahead if the Strait of Hormuz remains blockaded. Both Exxon and Chevron are projecting big profit gains in the ongoing second quarter because of higher prices, even with some of their Middle Eastern operations remaining disrupted.

Exxon and Chevron reported first-quarter profits on Friday that beat market expectations, but they both saw their net incomes dip precipitously year-over-year because of lower oil prices early in the year, poorly timed financial hedges, and operational woes in the Middle East and beyond. Chevron, for instance, had to recover from a major fire in January at its massive Kazakhstan operations.

Exxon CEO Woods said that oil prices—even above $100 per barrel—don’t come close to matching the “historically unprecedented disruption” of almost 20% of the world’s oil and liquefied natural gas (LNG) which flows through the Strait of Hormuz from the ongoing war in Iran.

“If you look at the unprecedented disruption in the world’s supply of oil and natural gas, th...