Shell under fire from fuel campaigners as it rakes in extra £1bn as a result of soaring petrol prices
Shell suffered a backlash from fuel campaigners after it revealed it could rake in up to £1billion in extra cash as a result of soaring petrol prices.
The FTSE100 energy firm’s refining business, which turns crude oil into different petroleum products such as car fuel, was expected to see earnings rise by £667million to £1billion in the second quarter of 2022 compared to the first.
The increase was driven by a huge expansion in the division’s profit margin, which more than doubled to £23.37 per barrel of oil compared to £8.53 in the first quarter of the year.
Shell’s refining business, which turns crude oil into different petroleum products such as car fuel, was expected to see earnings rise by £667m to £1bn in the second quarter of 2022
Shell shares rose 3 per cent, or 59.3p, to 2033.5p in response. But fuel campaigners and motoring groups condemned the revelation as Shell and other energy firms face accusations of making massive profits at the expense of consumers suffering from spiralling petrol prices and fuel bills.
‘The foul stench of profiteering rears its ugly head yet again,’ said Howard Cox, founder of FairFuelUK.
‘There is no doubt rip-off pump pricing is controlled by businesses further up the fuel supply chain and it’s the big oil company infrastructures who are the main orchestrators.’
Jack Cousens, head of roads policy at the AA, said yet more bumper earnings for oil firms would leave ‘a bad taste’ in the mouths of motorists.
Shell’s surge in earnings came as UK petrol prices hit a record of 191.53p per litre over the weekend, piling further pressure on motorists.
The war in Ukraine has caused crude oil and natural gas costs to surge this yea