US oil majors report record profits

Exxon and Chevron report strong Q3 profits, fueled by record US oil output, despite pressures from falling margins.

NEW YORK:

US oil producers Exxon Mobil and Chevron posted better-than-expected third-quarter profits on Friday, outperforming their European rivals, as record US oil production cushioned the blow from a plunge in fuel margins.

The two focused on expanding oil and gas production as rivals BP and Shell spent heavily on wind, solar and renewables that have yet to pay off. Both US oil firms have meanwhile benefited from acquisitions of smaller oil producers.

Still, their surging production could soon face a challenge from uncertain demand, especially in top oil importer China, and the potential for OPEC to lift production curbs as soon as next month. The group is expected to delay a plan to add 180,000 barrels per day amid concerns over weak demand and oversupply. Exxon pumped a record 4.6 million barrels of oil equivalent per day (boepd) in the third quarter, up more than 24% from a year ago, as its $60 billion bet on Pioneer Natural Resources and purchase of Denbury paid dividends.