LONDON (AP) 鈥� Shell鈥檚 earnings more than doubled in the third quarter, fueling the debate over taxes on energy producers鈥� windfall profits as they have benefited from following .
Adjusted earnings, which exclude one-time items and fluctuations in the value of inventories, jumped to $9.45 billion from $4.13 billion in the same period last year, Shell said Thursday. The London-based energy giant also announced a $4 billion share buyback and plans to increase its fourth-quarter dividend by 15%.
鈥淲e are delivering robust results at a time of ongoing volatility in global energy market,鈥� Chief Executive Ben van Beurden said in a statement. 鈥淎t the same time we are working closely with governments and customers to address their short and long-term energy needs.鈥�
as Western governments imposed sanctions on Russia and the , fueling inflation that has spread pain across economies. Brent crude, a benchmark for European oil prices, averaged $100.84 a barrel in the third quarter, 37% higher than a year earlier. Wholesale natural gas prices in Europe more than tripled in the same period.
The U.K., Spain and Italy have already imposed taxes on the windfall profits of energy producers as high oil and gas prices 鈥� which have fallen from summer highs 鈥� squeeze homes and businesses. The last month.
Britain in May imposed an additional 25% tax on profits earned from oil and gas extraction in the U.K. The temporary tax is designed to raise about 5 billion pounds ($5.8 billion) through the end of 2025. The tax cost Shell $361 million in the third quarter, the company said.
Opposition parties are pressuring Prime Minister Rishi Sunak, who took office this week, to increase the windfall profits tax as with new tax and spending plans. The government is scheduled to to Parliament on Nov. 17.
Rachel Reeves, the opposition Labour Party鈥檚 spokeswoman on Treasury issues, renewed that call Thursday.
Despite 鈥渂ooming oil profits,鈥� the government still refuses to impose a 鈥減roper windfall tax on energy producers,鈥� she tweeted after Shell reported earnings.
Danica Kirka, The Associated Press
