Profits at Norway’s state oil company nearly doubled to $11.5bn (£8.6bn) in the three months to the end of June, as earnings were boosted by the jump in oil and gas prices caused by the US-Israel war on Iran. Equinor benefited from a decision to ramp up oil and gas production since the start of the conflict, filling a gap in the market after a slump in oil flows from the Gulf amid the throttling of shipping traffic through the strait of Hormuz. Equinor also profited from the jump in oil prices. Fears over a drop in global supplies left Brent crude prices swinging between $75 and more than $100 a barrel between April and June this year. That compares with roughly $60 to $70 during the same period last year. Oil prices, after falling following the signing of the memorandum of understanding between the US and Iran last month, have begun rising again amid the resumption and intensification of hostilities. Brent crude prices were up about 3.3% on Wednesday morning, London time, to roughly $94.30 per barrel. Equinor’s president and chief executive, Anders Opedal, said in a statement: “Strong production in the second quarter enabled us to capture value from higher prices, contributing to strong cashflow and financial results. “Reliable energy is important in a volatile world marked by heightened geopolitical tension. Our role is to deliver energy safely and efficiently every day,” he added. Increased production and higher energy prices pushed Equinor’s adjusted profits to $11.5bn for the April to June period, up from $6.5bn during the same period last year. The company also beat analysts’ expectations, having predicted profits of $11.37bn. The rising oil price on Wednesday came after the US military launched its 11th night of strikes on Iran, including on aircraft hangars and drone storage sites. The attacks have undermined hopes that diplomatic efforts can salvage an interim ceasefire deal. Yemen’s Iran-aligned Houthis, who control the coast at the mouth of the Red Sea, announced a naval blockade on Saudi Arabia, which has been relying on a pipeline to the Red Sea to get millions of barrels of oil out to market, given the Hormuz route remains restricted. The news had led to further spikes in energy prices. “Brent crude has raced upwards again to trade around $93 a barrel, the highest level in six weeks,” Susannah Streeter, chief investment strategist at the investment platform Wealth Club, said. “Risks to supplies are mounting again, with the effective blockage of the strait of Hormuz remaining a chokehold as tankers are stranded in and around the waterway, while risks to other crude routes are also intensifying.”
Profits at Norway’s state oil company nearly doubled to $11.5bn (£8.6bn) in the three months to the end of June, as earnings were boosted by the jump in oil and gas prices caused by the US-Israel war on Iran. Equinor benefited from a decision to ramp up oil and gas production sin…
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US President Donald Trump stated on July 13 and July 22 that the United States was considering strikes on an Iranian underground facility referred to as Pickaxe Mountain. These remarks were made during an ongoing US-Iran conflict that began February 28, involving reported US strikes on Iranian nuclear sites and Iranian actions in the Strait of Hormuz.
Some details, including specific targets and outcomes, remain unverified.
Oil prices rose to a near six-week high on Wednesday, with Brent crude surpassing $95 a barrel, on mounting concerns about disruptions to Middle Eastern supply routes because of escalating hostilities between the U.S. and Iran and threats to shipping by the Iran-backed Houthi militia in Yemen.
Brent crude futures were up $3.82, or 4.2%, at $94.83 a barrel at 0938 GMT after hitting a session high of $95.24. U.S. West Texas Intermediate crude climbed $3.65, or 4.33%, to $87.99. Both benchmarks touched their highest levels since June 11. The U.
S. military said it carried out an 11th consecutive night of attacks on Iran. The U.S. attacks came a short while after the Kuwaiti army said its air defences were intercepting Iranian drones. As well as the renewed conflict over control of the Strait of Hormuz, the Iran-aligned Houthis have opened a new front in the war by threatening to target vessels carrying Saudi oil in the Bab el-Mandeb strait and announced a naval blockade of Saudi Arabia.
"The energy market now has the dual-strait worry, with the Bab el-Mandeb Strait looking like it could join the Strait of Hormuz as a hot spot, as traders closely watch shipping numbers in the Red Sea," said Tim Waterer, chief market analyst at KCM Trade.
Bab el-Mandeb at the southern entrance to the Red Sea has become an increasingly important route for Saudi Arabian crude exports as traffic through the Strait of Hormuz has fallen sharply again since a ceasefire between the United States and Iran collapsed earlier this month.
Three oil tankers loaded with Saudi crude for China and India made U-turns in the Red Sea on Tuesday, heading towards the Suez Canal rather than braving the Yemeni coast. "The (Houthi) threat has led tankers to divert which could further pressure the physical market and Saudi exports, contributing to push prices to the upside," said Frank Walbaum, market analyst at trading platform Naga.
com. In response to the Houthi warnings, Asian refiners are seeking to ship crude oil from Saudi Arabia's Red Sea port of Yanbu through the Suez Canal and around Africa. While global oil stockpiles have drawn amid the conflict, the latest U.S. data is showing some building of inventories.
Data from the American Petroleum Institute showed that U.S. crude and distillate inventories rose last week, while gasoline stockpiles fell, market sources said. The inventory data comes ahead of official figures from the U.S. Energy Information Administration on Wednesday.
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Listen to this article in summarized format Brent crude futures were up $4.04 or 4.44% at $95.05 a barrel after hitting a session high of $95.24. U.S. West Texas Intermediate crude climbed $3.65, or 4.33%, to $87.99. Both benchmarks touched their highest levels since June 11.
The U.S. military said it carried out an 11th consecutive night of attacks on Iran. The U.S. attacks came a short while after the Kuwaiti army said its air defences were intercepting Iranian drones. As well as the renewed conflict over control of the Strait of Hormuz, the Iran-aligned Houthis have opened a new front in the war by threatening to target vessels carrying Saudi oil in the Bab el-Mandeb strait and announced a naval blockade of Saudi Arabia.
"The energy market now has the dual-strait worry, with the Bab el-Mandeb Strait looking like it could join the Strait of Hormuz as a hot spot, as traders closely watch shipping numbers in the Red Sea," said Tim Waterer, chief market analyst at KCM Trade.
Bab el-Mandeb at the southern entrance to the Red Sea has become an increasingly important route for Saudi Arabian crude exports as traffic through the Strait of Hormuz has fallen sharply again since a ceasefire between the United States and Iran collapsed earlier this month.
Three oil tankers loaded with Saudi crude for China and India made U-turns in the Red Sea on Tuesday, heading towards the Suez Canal rather than braving the Yemeni coast. "The (Houthi) threat has led tankers to divert which could further pressure the physical market and Saudi exports, contributing to push prices to the upside," said Frank Walbaum, market analyst at trading platform Naga.
com. In response to the Houthi warnings, Asian refiners are seeking to ship crude oil from Saudi Arabia's Red Sea port of Yanbu through the Suez Canal and around Africa. While global oil stockpiles have drawn amid the conflict, the latest U.S. data is showing some building of inventories.
Data from the American Petroleum Institute showed that U.S. crude and distillate inventories rose last week, while gasoline stockpiles fell, market sources said. The inventory data comes ahead of official figures from the U.S. Energy Information Administration on Wednesday.
(You can now subscribe to our ETMarkets WhatsApp channel) (What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .
) Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today. Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price (You can now subscribe to our ETMarkets WhatsApp channel) (What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets.
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Iran's Khatam al-Anbiya Central Headquarters stated that any US strike on Iranian nuclear facilities would be treated as an escalation, resulting in attacks on US and allied interests across the region. The statement references a June 18 memorandum of understanding that ended an earlier conflict and notes subsequent US strikes beginning July 8, which the US Central Command attributed to Iranian interference with shipping in the Strait of Hormuz while Iran described them as violations prompting its own responses.