(Bloomberg) — Exxon Mobil Corp (NYSE:). signaled its highest revenue since 2008 as Russia’s warfare in Ukraine upended international commodity markets.

Exxon’s announcement that first-quarter outcomes might have reached nearly $11 billion augurs booming earnings throughout the oil trade as commerce sanctions, delivery disruptions and surging demand pressure provide strains. 

The windfall doesn’t come with out dangers, nonetheless. Political leaders are beneath stress to alleviate sky-high power costs and the specter of shortages, and a few have already got accused oil drillers of gouging and profiteering. 

U.S. President Joe Biden final week pleaded with the trade to reinvest earnings in new wells to assist plug the availability hole from shunned Russian crude. On the identical time, he warned of punishing monetary penalties for firms slow-walking tasks involving federally owned oil prospects.   

Exxon mentioned Monday that first-quarter outcomes might have been as a lot as $2 billion greater than earnings throughout the last three months of 2021, when the corporate raked in $8.8 billion, based on a submitting. 

Surging oil costs have been the principle driver, with and fatter refining margins additionally contributing. Worldwide crude futures touched a 14-year excessive of just about $140 a barrel throughout the quarter. 

Individually, Exxon formally accepted the $10 billion Yellowtail improvement off the coast of Guyana after receiving authorities and regulatory approvals. The mission is the fourth and largest in an space often known as the Stabroek Block, and is predicted to pump about 250,000 barrels a day beginning in 2025.

Exxon additionally disclosed that exiting the Sakhalin-1 oil improvement in Russia’s Far East might set off a writedown of as a lot as $4 billion. The corporate lately pledged to give up Russia as a consequence of worldwide sanctions and what the corporate’s Chief Govt Officer Darren Woods described because the nation’s “unnecessary destruction” in Ukraine. 

Exxon shares fell 0.7% to at $82.55 11:23 a.m. in New York.

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