Supermajors Bet Big on Long-Term Oil Demand

Core Insights - The world's largest international oil firms are increasing production despite weakened crude prices and a potential supply glut in the coming months [1] - U.S. supermajors, ExxonMobil and Chevron, are achieving record oil production levels, particularly in the Permian region, while expanding internationally [2] - European supermajors, including TotalEnergies, Shell, and BP, are also ramping up production, shifting focus back to oil and gas after previous investments in low-carbon projects [4] Production Trends - ExxonMobil and Chevron reported record-high production in the Permian and globally, following significant acquisitions [2] - TotalEnergies anticipates that increased oil and gas production will enhance earnings for the third quarter, despite a decline in oil prices [3] - Shell and BP are experiencing rising production levels as they prioritize their core oil and gas operations [4] Market Outlook - Supermajors are optimistic about their ability to manage current lower prices and market surplus, planning to invest more in oil and gas to meet demand through at least the mid-2030s [5] - Unlike the International Energy Agency, which predicts peak oil demand by the end of the decade, major oil companies do not foresee a peak until the 2030s [6] - All major oil firms expect oil and gas to remain crucial for global economic growth and development through 2050 [7]