Record oil company profits not bringing new capacity

Brandon, Hembree
March 2005
Southeast Farm Press;3/9/2005, Vol. 32 Issue 8, p4
Trade Publication
The article discusses the record high profits earned by oil companies in the year 2004. The oil companies had sales of more than US dollar 1 trillion, with profits of more than US dollar 100 billion, and they can't find enough places to invest it. Some are disposing a part of it in the form of dividends to their shareholders and in buybacks of their stock. The figures are staggering, even for a business accustomed to big numbers. Europe's largest oil company, was racking up a profit of US dollar 16.2 billion. Exxon Mobil earned US dollar 25 billion plus. Interestingly, in their zeal to justify their profits, not one announcement was made about spending some of the windfall on alleviating one of the major shortcomings of the industry that is inadequate refining capacity.


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