Exxon reports $982.5B profit for 2025

…as lower oil prices dip EMGL earnings – VP John Colling

Despite increased oil production following the start-up of the Yellowtail Project in the Stabroek Block, ExxonMobil Guyana Limited (EMGL) reported $982.5 billion in profit after tax for the 2025 financial year. This figure is slightly below the previous year and was largely driven by lower global crude oil prices.
In its 2025 income statement, EMGL reported revenues of $1.71 trillion. Operating expenses totaled $498.5 billion, while income tax expenses amounted to $231.6 billion, resulting in a comprehensive income of $982.5 billion for the year.
This reflects a slight reduction when compared to 2024, when the United States oil major reported $995.1 billion in profits and $1.73 trillion in revenues.
This reflects a slight decline compared to 2024, when the US oil major reported $995.1 billion in profit and $1.73 trillion in revenue.
EMGL Vice President and Business Services Manager John Colling explained during a press conference on Tuesday morning that the reduction was mainly due to lower oil prices, along with increased production costs associated with the start-up of the ONE GUYANA Floating Production, Storage and Offloading (FPSO) vessel last August.
“The revenue…in 2025 was largely consistent with 2024, although slightly less. That was driven by higher production with the start-up ONE GUYANA, offset by lower crude prices with the realisation of crude being…US$68 a barrel in 2025 versus US$82 a barrel in 2024,” Colling stated.
With the start-up of the ONE GUYANA FPSO, Exxon’s oil production increased significantly towards the end of last year by an additional 250,000 barrels per day (bpd), bringing total output from the four Stabroek Block developments to over 900,000 bpd.
With this increase, EMGL’s oil lifts from the Stabroek Block rose to 102 in 2025, compared to 82 the previous year. However, the gains were dampened by the decline in global oil prices.
However, given the current surge in global oil prices due to the Middle East conflict, Colling suggested that higher prices could boost the company’s revenues this year.
“We don’t project the price of oil, but clearly higher oil prices result in higher revenues and higher earnings for EMGL as well as higher earnings and higher revenues for the government… What you will see is a reflection of how high oil prices are ] in the financials as we move forward, but we can’t predict what those will be as we look beyond current events,” the EMGL’s Vice President and Business Services Manager indicated.

Conflict in the Middle East
The conflict in the Middle East over the past few months has driven up global oil prices. The Strait of Hormuz, a critical shipping route for oil and gas from the region, has been effectively disrupted since the start of the US-Israel-Iran war more than 100 days ago.
In March, EMGL President Alistair Routledge told reporters that Guyana was already seeing increased revenues from crude sales due to the surge in global oil prices.
If prices are sustained, which Routledge has indicated is likely, Guyana could receive a larger share of oil profits as historical investment costs in the Stabroek Block are fully recovered.
ExxonMobil and its co-venturers, Hess and CNOOC, had committed US$60 billion in the Stabroek Block operations, of which Routledge said approximately US$40 billion has been spent.
Under the 2016 Production Sharing Agreement (PSA), Stabroek Block partners can recover costs – including historical expenditures – from up to 75 per cent of gross revenues from offshore oil sales. The remaining 25 per cent is shared between ExxonMobil, Hess, CNOOC, and the Government of Guyana. In addition to its roughly 12.5 per cent share of profits, the government also receives a two per cent royalty on total revenues.
Routledge had told reporters they have managed to bring down the cost bank to approximately US$5 billion, which could be fully recovered this year rather than in 2027, as was initially anticipated.
Meanwhile, the ongoing Iran war has seen massive disruptions to oil supply from the Gulf region, which supplies about 20 per cent of the global oil – nearly 60 per cent of which goes to Asia. As such, there has been a surge in oil demand from Asian countries.
According to the ExxonMobil Guyana president, “The signal that we’re seeing is there’s a perceived shortage of supply. It’s becoming a real shortage of supply, and hence prices are going up. And what that’s intended to do in any market is say, ‘Okay, let’s try and reduce demand, but also signal if there is any other supply available in the world, then we’d really like to have it.’ And so, I wouldn’t say that we’re specifically being asked to send our individual cargoes anywhere, but our traders are in the market, and they’re addressing where that demand is… It’s very dynamic… What we are seeing is clearly, as… most of the flows from the Gulf went to the east, there is more growing demand from the east – from Asia.”
Already, ExxonMobil has recorded a strong start to 2026 with production in the prolific Stabroek Block offshore Guyana, peaking in January with 916,000 bpd. Against this backdrop, Routledge had pointed out that in selling Guyana’s oil, the traders will have to ascertain which market they can maximise the value for in the country in the face of the rising global demand.
“Our trading organisations based in Houston, in the States…they’re handling that, but what it typically does is there will be a lot of people calling because they’re seeing all price going up, and they’re all scrambling to secure volumes. So, the traders will be super busy, and then what they’re trying to do is match up ‘Okay, we have these cargos coming available. Who is it spending the highest price when you factor in shipping costs and availability of vessels, which is another factor in all of this…? At the end of the day, you know, that’s the business. We want to maximise the revenue for Guyana,” the EMGL head had explained.