Big Oil is the name used to describe the six or seven largest oil and gas companies traded in the world, also known as supermajor . The supermajors are considered BP plc, Chevron Corporation, ExxonMobil Corporation, Royal Dutch Shell plc, Total SA and Eni SpA, with Phillips 66 Company also sometimes described in the past as part of the group.
This term, analogous to others, such as Big Steel, which describes an industry dominated by several giant corporations, was popularized in print from the late 1960s. Today it is often used to refer specifically to seven supermajors . The use of the term in popular media often excludes national producers and OPEC oil companies that have a much larger role in price than supermajors. Two state-owned Chinese oil companies, CNPC and Sinopec, have more revenue in 2013 than any supermajor except Royal Dutch Shell.
In the maritime industry, six to seven major oil companies decide the majority of the crude oil tanker business is called "Oil Majors" .
Video Big Oil
History
The history of the supermajors traces back to the "Seven Sisters", the seven oil companies that formed the "Consortium for Iran" cartel and dominated the global petroleum industry from the mid-1940s to the 1970s. The Seven Sisters are:
- The Anglo-Persian Oil Company (now BP);
- Gulf Oil, Standard Oil of California (Socal) and Texaco (now Chevron);
- Royal Dutch Shell; and
- New Jersey Oil Standard (Esso) and New York Standard Oil Company (Socony) (now ExxonMobil).
Before the 1973 oil crisis members of the Seven Sisters controlled about 85% of the world's oil reserves. The supermajors began to emerge in the late 1990s, in response to the collapse of oil prices. Major oil companies began to join, often in an effort to scale up the economy, protect against oil price fluctuations, and reduce large cash reserves through reinvestment. The main merger and acquisition of the following oil and gas companies took place between 1998 and 2002:
- Merger of Exxon with Mobil in 1999, forming ExxonMobil;
- Total merger with Petrofina in 1999 and with Elf Aquitaine in 2000, with the resulting company subsequently renamed Total S.A;
- The acquisition of BP over Amoco in 1998 and ARCO in 2000;
- Chevron's takeover of Texaco in 2001;
- merging of Conoco Inc. and Phillips Petroleum Company in 2002, formed ConocoPhillips.
This consolidation process created some of the largest global companies as defined by the ranking of Forbes Global 2000, and in 2007 all were in the top 25. Between 2004 and 2007, earnings from six supermarkets totaled US $ 494.8 billion.
Maps Big Oil
Composition
Trading under various names around the world, supermajors are considered:
- BP plc (United Kingdom)
- Chevron Corporation (United States)
- Eni SpA (Italian)
- ExxonMobil Corporation (United States)
- Royal Dutch Shell plc (Dutch and English)
- Total SA (French)
ConocoPhillips Company (United States) is also sometimes described as part of a group, before Downstream activities begin. In 2011, ExxonMobil ranked first among supermarkets measured by market capitalization, cash flow and earnings.
As a group, supermajors control about 6% of global oil and gas reserves. In contrast, 88% of global oil and gas reserves are controlled by the OPEC cartel and state-owned oil companies, mainly located in the Middle East. The increasing trend of the OPEC cartel influence, the state-owned oil company in emerging market economies is shown and the Financial Times has used the label "The New Seven Sisters" to refer to what groups it argues is the most influential national oil and gas company which is based in countries outside the OECD, namely CNPC (China) , Gazprom (Russia) , Iran National Oil Company (Iran) , Petrobras (Brazil) , PDVSA (Venezuela) , Petronas (Malaysia) , Saudi Aramco (Saudi Arabia) .
The largest oil and gas company by USD 2015 revenues
* Revenue in 2013 ** Revenue in 2012
"Big oil"
Supermajor oil and gas are sometimes collectively referred to as "Big Oil", a term that emphasizes their economic strength and perceived influence on politics, especially in the United States. Major oils are often associated with fossil fuel fuels.
Usually used to refer to the industry as a whole in a demeaning or patronizing way, "Big Oil" has come to cover the huge impact of crude oil it has on the world-first industrial society.
Maritime "Oil Majors"
In the maritime industry, a group of six companies that control the leasing of the majority of oil tankers worldwide are collectively referred to as "Oil Majors" . These are: Royal Dutch Shell, BP, Exxon Mobil, Chevron Texaco, Total Fina Elf, and ConocoPhillips. Charter parties such as "Shelltime 4" often refer to the phrase "oil major".
See also
- Large media
- Big Tobacco
- Big Pharma
- Energy development
- Fossil fuels
- Military-industrial complex
References
Further reading
- Black, Brian C. Raw Reality: Petroleum in World History . New York: Rowman & amp; Littlefield, 2012. ISBNÃ, 0742556549 Blair, John Malcolm (1976). Oil Control . Pantheon Books. ISBN 0-394-49470-9.
- Painter, David S. (1986). Oil and the American Century: Political Economy of US Foreign Oil Policy, 1941-1954 . Baltimore, MD: Johns Hopkins University Press. ISBN: 978-0-801-82693-1.
- Yergin, Daniel (1993). Prizes: The Epic Quest for Oil, Money & amp; Strength . New York, NY: Free Press. ISBN 0-671-79932-0.
External links
- "Crude Awakening", NOW , the week of June 16, 2006.
- "Big Oil Big Loot", editorial from Boston Globe , September 2, 2005.
- "Big Oil bears the burden of gas prices", Reuters, Oct. 23, 2005.
- "In a heated hearing, the oil boss defends the big profits", Associated Press (via CNN), November 9, 2005.
- List of the World's Largest Oil and Gas Companies with Reserves
- Who are the major players that supply the world oil market?
Source of the article : Wikipedia
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