Exxon Warns of Oil Price Impact on Q3 Earnings

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Exxon News

Earnings,Oil Prices,Refining Margins

Exxon expects lower oil prices and refining margins to negatively impact its third-quarter earnings by up to $2 billion.

Exxon has warned that its third-quarter earnings would likely be affected by lower oil prices, with the impact in the range of $600 million to $1 billion. In an SEC filing, the supermajor also estimated the effect of lower refining margins on its third-quarter earnings at up to $1 billion. International crude oil prices were on average 17% lower during the third quarter of the year than the second, Reuters noted in a report on the Exxon update.

The Pioneer deal contributed $500 million to earnings in the first two months post-closing with record production, and integration and synergy benefits are exceeding expectations, the supermajor said in August. The transaction handed Exxon access to over 1.4 million net acres in the Delaware and Midland basins in the Permian.

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