Exxon Says Iran War Will Curb 1Q Production by 6%

By Connor Hart

Exxon Mobil said ongoing conflict in the Middle East is expected to dent its global oil-and-gas production by 6% in the first quarter compared with the fourth quarter of 2025.

The oil giant said Wednesday that assets in Qatar and the United Arab Emirates make up about 20% of the company's worldwide output, "but a smaller percentage of upstream earnings."

Assets in the Middle East represent about 5% of Exxon's global refining and chemical capacity, and the company said disruptions across the region, coupled with reduced crude availability at Asia Pacific operations, will lower first-quarter global energy products throughput by about 2% from the fourth quarter.

Exxon also warned that negative timing effects associated with its trading program will pressure first-quarter earnings by $3.5 billion to $4.9 billion. The midpoint of that range is equivalent to about 93 cents per share, the company said.

Supply disruptions in the Middle East additionally prevented physical shipments during the first quarter, expected to result in a one-time earnings impact of up to $800 million, Exxon said.

The company noted it will increase Permian production to help offset disruption across the Middle East.

Exxon's disclosure came as Shell warned that its first-quarter natural-gas production would be lower than anticipated. The U.K. energy company lowered its expected first-quarter production in its integrated gas segment to range from 880,000 to 920,000 barrels of oil equivalent a day, compared with a prior outlook of between 920,000 and 980,000 barrels of oil equivalent a day.

Shares of Exxon were recently at $154.78, down 5.6%, in premarket trading.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

April 08, 2026 08:00 ET (12:00 GMT)