Over the past year, the global energy market has seen significant fluctuations, with factors such as the Russia-Ukraine war and increased gas prices impacting the industry. As a result, Big Oil CEOs have seen a boost in their earnings. Here is a breakdown of how much money some of the major oil company CEOs made in a year:
- ExxonMobil: Darren Woods, the CEO of ExxonMobil, earned $35.9 million in 2022, which is a 50% increase compared to his previous year’s pay. He received more than $11 million in extra stock awards, his 2023 bonus doubled, and his salary increased by 10% year over year to $1.9 million. This news was surprising to many, given that ExxonMobil has faced criticism from shareholders and activists for its climate change policies and lack of adaptation to clean energy transition.
- Chevron: Mike Wirth, the Chief Executive Officer of Chevron Corp., received a raise of about 10%, bringing his 2023 base salary to $1.85 million. This increase came as the company experienced bigger profits and cash flow due to higher energy prices. Chevron’s board justified the raise by considering Wirth’s performance in 2022 and comparing his compensation to CEOs of both oil and non-oil industry peer companies. However, the figure mentioned does not represent Wirth’s actual realized compensation, as it includes equity-based awards whose value is determined when options are exercised or stocks are sold.
- BP: BP CEO Bernard Looney saw his pay packet more than double to around $12 million in 2022, attributed to the company’s bumper profits amid soaring energy prices. BP reported a record profit of $28 billion for 2022, but faced criticism from climate activists for scaling back on plans to reduce oil and gas output and carbon emissions by 2030. Looney’s base salary was supplemented by retirement benefits and performance-related elements, including an annual bonus and shares, totaling $11.99 million.
- Shell: London-based Shell paid its former CEO Ben van Beurden $11.5 million in 2022, as the company’s annual profits doubled to an all-time high of $40 billion due to the surge in oil and gas prices after Russia’s invasion of Ukraine. Van Beurden’s pay included a $3 million bonus and approximately $5.8 million worth of stock, as per the company’s annual report. Van Beurden stepped down at the end of 2022 and was succeeded by Wael Sawan, who is expected to receive a base salary of about $1.7 million, along with a potentially larger bonus, according to a company report.
- TotalEnergies: The Chairman and CEO of TotalEnergies, Patrick Pouyanné, saw his compensation increase from $6.50 million in 2021 to $8.02 million in 2022, according to a financial document. The board of TotalEnergies has indicated that it will propose a 10% increase in the CEO’s remuneration for this year. TotalEnergies has faced criticism over its environmental impact and calls for higher taxes, while many households and businesses struggle with high energy prices. Pouyanné defended his compensation, stating that it is determined by the board of directors and approved by shareholders and is comparable to his peers in the CAC40 index and lower than other European and American majors.
Overall, the compensation figures indicate that Big Oil CEOs have received substantial pay increases, despite some of their companies facing criticism for environmental policies and high energy prices.
