August 10, 2005

Profits At The Pump

Oil prices were at $45 in September of 2004.

Oil prices rise to $62, because the Saudi King dies.

The next day, oil prices rise to $64, because of "widespread security and supply concerns."

You can be certain of one thing: there will always be good reasons why oil prices go up.

But don't worry, the four big oil conglomerates (there used to be many more) are not having a hard time making money during this critical period. Here are their most recent profits:

BP – up 165%
Chevron-Texaco - up 294%
Conoco-Phillips - up 44%
ExxonMobil - up 125%

I wonder if there is any connection between these enormous profits and all the "good" reasons oil prices go up? I know there are, indeed, many reasons why oil prices do actually go up, but it is truly obscene how the oil companies profit so hugely from other people's losses, struggles, and budget crunches.


Sarah said...

For more on how these companies make their money, look to our foreign policy, namely the new Asia-Pacific Partnership for Clean Development and Climate (snazzy title, huh?). Read about it here, and expect an update this week.

jmcmaster said...

It would be interesting to see how those profit increases are compared to other industries/ the stock market. Clearly we are in the wrong business