US oil giants reap windfall as Gulf shipping crisis deepens

ExxonMobil and Chevron reported combined second-quarter earnings exceeding $26.6bn, boosted by a 22% rise in Brent crude to $88 a barrel since the Strait of Hormuz closure. The waterway remains largely shut to commercial traffic, though Iran and Oman agreed on a temporary route. Analysts expect US firms' oil and gas supplies from the region to fall by 30-40% this year, potentially delaying major projects.

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The earnings gap between the two firms reflects their differing regional footprints. Chevron draws only 5 percent of its global output from the Arab Gulf, insulating it from supply shocks, while ExxonMobil sources roughly one-fifth of its equity upstream supply from Qatar and the UAE, leaving it more exposed to Iranian strikes on US-linked infrastructure. ExxonMobil's first-half upstream earnings fell about $1.3 billion year-on-year, though higher prices covered the shortfall.

Rystad Energy projects US companies' regional gas supplies will decline roughly 40 percent this year, with oil down 30-35 percent. The Strait of Hormuz remains