The increase in oil prices due to demand recovery has helped to record a rapid surge in Saudi Arabia’s oil giant Aramco. The contributing factors behind this is the vaccination drive, lifting of COVID-19 restrictions and stimulus measures.
Crude oil prices have seen an increase of more than 30% since the start of the year. Aramco’s chief executive also gave an upbeat assessment for the rest of 2021.
The firm, which is the world’s biggest oil producer, said net income rose by 288% to $25.5bn (£18.4bn) for the second quarter.
“Our second-quarter results reflect a strong rebound in worldwide energy demand and we are heading into the second half of 2021 more resilient and more flexible, as the global recovery gains momentum,” Amin Nasser said in a statement.
Aramco is the latest major energy firm to report strong results in recent weeks.
Last month, US energy giant Exxon Mobil posted a rise in income of $4.7bn in the second quarter, compared to a loss of more than $1bn for the same period last year.
European rival Royal Dutch Shell reported its highest quarterly profit in more than two years.
With economies easing Covid restrictions and opening up, global demand seems to be recovering, boosting the price of oil.
Brent crude has also been boosted to around $70 a barrel after the Organization of the Petroleum Exporting Countries and its allies, a group known as Opec+, agreed to cut oil production.
However, higher crude oil prices will have a knock-on effect on drivers as they push up the cost of petrol.
Last week the UK motoring body, the RAC, said that country’s petrol prices were at an eight-year-high after nine straight months of rises.
“Prices really are only going one way at the moment – and that’s not the way drivers want to see them going,” warned RAC fuel spokesman Simon Williams.