XOM · 10-Q · 2026Q1 · Full report
Middle East Supply Disruptions
EXXON MOBIL CORP · 2026-05-04 · Importance 53 · Surprise 60 · No source text
The filing attributes lower base volumes (decreased earnings by $260 million) and an identified-item loss of $706 million to supply disruptions in the Middle East that prevented physical shipments. These disruptions reduced Energy Products’ base volumes and also prevented delivery of physical cargoes associated with hedges, producing a separate identified loss. The disruptions therefore affected both physical throughput and the effectiveness/settlement of hedging programs in the quarter. The company calls these Middle East supply disruptions out as a specific regional operational risk influencing quarterly results.
Key facts
- Energy Products base volume decreased earnings by $260 million, mainly driven by Middle East supply disruptions. source
- Reported that supply disruptions driven by geopolitical events in the Middle East impacted market conditions during the first quarter, and March experienced the largest ever monthly gain in oil prices driven by reduced global oil supply. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | negative | realized | -0.3% | Energy Products base volume decreased earnings by $260 million, mainly driven by Middle East supply disruptions. |