logo
Please note!
This fact brief was originally published as an experiment to test the concepts behind fact briefs.
Readers should be aware that while there is still a lot of useful information in fact briefs like this one, not all of them reflect Gigafact's current methods and standards for fact briefs. If you come across any that you feel are out of date, don't hesitate to contact us at support@gigafact.org.

Did the COVID-19 pandemic reduce profits in the fossil fuel industry?

By Lisa Freedland
YES

In 2020, U.S. fossil fuel consumption reached its lowest level in 30 years, brought on by pandemic restrictions to travel and commerce and warmer weather that decreased demand for heating fuels. As a result, many fossil fuel companies experienced reduced profits: Exxon Mobil, Chevron, and BP saw losses of $22.4 billion, $5.5 billion, and $5.7 billion, respectively.

In 2021, as pandemic restrictions were lifted and the economy reopened, fossil fuel demand rebounded, causing steady increases in gas prices. This netted many oil companies the highest profits they've seen in years: Exxon, Chevron, and BP reported respective profits of $23 billion, $15.6 billion, and $12.85 billion.

Twenty five of the top oil companies announced a combined $205 billion in profits in 2021, according to watchdog group Accountable.US.

This fact brief is responsive to conversations such as this one.
ABOUT THE CONTRIBUTOR
Between 2020 and 2022, under close editorial supervision, Gigafact contracted a group of freelance writers and editors to test the concepts for fact briefs and provide inputs to our software development process. We call this effort Gigafact Foundry. Over the course of these two years, Gigafact Foundry writers published over 1500 fact briefs in response to claims they found online. Their important work forms the basis of Gigafact formats and editorial guidelines, and is available to the public on Gigafact.org. Readers should be aware that while there is still a lot of relevant information to be found, not all fact briefs produced by Gigafact Foundry reflect Gigafact's current methods and standards for fact briefs. If you come across any that you feel are out of date and need to be looked at with fresh eyes, don't hesitate to contact us at support@gigafact.org.
FACT BRIEF BY
facebook
twitter
email
email