One of the most important and significant sectors of the world economy, the oil and gas industry shapes geopolitical environments, powers society, and fuels economic expansion. Certainly, the oil and gas industry is a dominant source of energy across the globe, and several oil companies supply billions of barrels of petroleum products daily to power transportation and industry.
This industry has continuously evolved to meet the demands of the market, emerging technologies and environmental concerns. The global oil and gas market is likely to touch $8,917.40 billion by 2031, as per a report by Kings Research.
Let’s take a look at some of the biggest oil and gas companies in the world by market capitalization as of March 2025, as per the report by Straits Research.
1. Saudi Aramco (Market cap: $1.648 trillion)
Far ahead of the competition is energy behemoth Saudi Aramco. The world’s largest oil producer is the cornerstone of the Saudi Arabian economy. With operations spanning exploration, production, refining and distribution, Aramco’s influence extends far beyond its home country. Its IPO in 2019 was the largest in history, solidifying its status as a financial powerhouse.
Aramco traces its beginnings to 1933 when a concession agreement was signed between Saudi Arabia and the Standard Oil Company of California (SOCAL). A subsidiary company, the California Arabian Standard Oil Company (CASOC), was created to manage the agreement.
After surveying the Saudi desert for oil, drilling began in 1935. Following years of effort with little to show for it, in 1937 SOCAL executives sought advice from their chief geologist, Max Steineke. Drawing on years of fieldwork, Steineke told them to keep on drilling. In 1938, the efforts finally paid off with the commencement of commercial oil production from Dammam No. 7 — the aptly named ‘Prosperity Well’, the company says.
2. ExxonMobil Corporation (Market cap: $493.62 billion)
ExxonMobil ranks second with a market capitalization of $493.62 billion, having achieved a record net production of 4.3 million barrels of oil equivalent per day (BOE/d) by the end of 2024. The company is one of the largest publicly traded international energy and petrochemical companies. It creates solutions that improve quality of life and meet society’s evolving needs.
The corporation’s primary businesses – upstream, product solutions and low carbon solutions – provide products that enable modern life, including energy, chemicals, lubricants and lower emissions technologies. ExxonMobil holds an industry-leading portfolio of resources. It is one of the largest integrated fuels, lubricants and chemical companies in the world.
ExxonMobil also owns and operates the largest CO2 pipeline network in the United States. In 2021, ExxonMobil announced Scope 1 and 2 greenhouse gas emission-reduction plans for 2030 for operated assets, compared to 2016 levels. The company’s plans are to achieve a 20-30 percent reduction in corporate-wide greenhouse gas intensity; a 40-50 percent reduction in greenhouse gas intensity of upstream operations; a 70-80 percent reduction in corporate-wide methane intensity; and a 60-70 percent reduction in corporate-wide flaring intensity.
With advancements in technology and the support of clear and consistent government policies, ExxonMobil aims to achieve net-zero Scope 1 and 2 greenhouse gas emissions from its operated assets by 2050.
3. Chevron Corporation (Market cap: $279.44 billion)
In third place comes Chevron, with a market cap of $279.44 billion. Chevron primarily operates in some of the world’s most important oil and gas regions. It leverages innovation and the effective use of technology to maximize mature fields, discover new resources and meet the world’s growing demand for energy. It aims to continue making progress in reducing upstream greenhouse gas intensity through technology development and partnerships.
The company’s upstream portfolio is anchored by key assets, including oil in Kazakhstan, LNG in Australia, shale and tight oil onshore U.S. and Argentina, deepwater assets in the U.S. Gulf of Mexico, and natural gas in the Eastern Mediterranean. These assets are complemented by other competitive assets globally.
According to the report, the company predicts a 6-8 percent growth in output in 2025, mostly due to a 10 percent increase in the Permian Basin and more than 1 million BOE/d from Kazakhstan. By the end of 2025, the continuous growth of the Mediterranean’s Leviathan field is expected to reach a daily production of 1.4 billion cubic feet.
4. Shell plc (Market cap: $210.03 billion)
Shell is a global group of energy and petrochemical companies. It employs 103,000 people and has operations in more than 70 countries. The company uses advanced technologies and takes an innovative approach as it seeks to help the world build a sustainable energy future. The company is a customer-focused organization. It serves more than one million commercial and industrial customers, and around 33 million customers daily at more than 47,000 Shell-branded retail service stations.
Shell’s target is to become a net-zero emissions energy business by 2050. This implies reducing emissions from its operations and from the fuels and other energy products. These are electricity, which the company sells to its customers. It also means capturing and storing any remaining emissions using technology, protecting natural carbon sinks and providing high-quality carbon credits to its customers to compensate for hard-to-abate emissions.
5. PetroChina (Market cap: $196.17 billion)
PetroChina is one of the major oil and gas producers and distributors in China, as well as a significant player in the global oil and gas industry. It is engaged in a wide range of activities related to oil, gas and new energy, and sustainably provide energy and oil products for economic and social development.
Technological innovation is an important support and powerful driving force for the company to promote high-quality development and build a world-class, comprehensive international energy enterprise. With innovation as its top strategy, PetroChina continues to invest in science and technology, and enhance its competency in research and development. The company has built innovation capabilities along the industrial chain to create value for now and the future.
6. TotalEnergies (Market cap: $139.20 billion)
TotalEnergies is a global integrated energy company that produces and markets energies. These are oil and biofuels, natural gas and green gases, renewables and electricity. The company has more than 100,000 employees and is active in about 120 countries. TotalEnergies places sustainability at the heart of its strategy, its projects and its operations.
In affirming its ambition to be a major player in the energy transition and to achieve carbon neutrality by 2050, TotalEnergies has committed to profoundly transforming its production and sales. Though it continues to work towards meeting the energy needs of a growing population. To do that, the company is reinventing and diversifying our energy offering to promote renewable and decarbonized energies, as well as sparing, well-considered use of fossil energies.
7. ConocoPhillips Company (Market cap: $126.42 billion)
ConocoPhillips is one of the world’s largest independent E&P companies based on production and proved reserves. Its technical capabilities, asset quality and scale, and financial strength are unmatched among independent exploration and production companies and uniquely position the firm to compete around the world.
ConocoPhillips is committed to the efficient and effective exploration and production of oil and natural gas. Producing oil and natural gas and getting them to market takes ingenuity, technology and investment. Its innovative, collaborative efforts yield products that improve quality of life globally. And, it also produces economic benefits with far-reaching influence.​ It has been on a journey to integrate sustainability into planning and decision making for decades. Before its first sustainable development (SD) report was published in 2005, the company had implemented a process to identify and manage environmental and social issues and to assess performance.
8. China National Offshore Oil Corporation (Market cap: $115.72 billion)
China National Offshore Oil Corporation (CNOOC) is one of the largest offshore oil and gas producers in China. It was established as a state-owned mega company with the approval of the state council on February 15, 1982. The company’s registered capital is RMB 113.8 billion, with five listed companies. The main business covers oil & gas exploration and development, professional technical services, refining product sales and fertilizers. It also covers natural gas production and power generation. Also, it covers financial services, new energy business like offshore wind power.
The company was ranked 42nd in 2023 Fortune Global 500. The main business performance remains at the forefront of central enterprises, and was rated as A-level by the SASAC for 19 consecutive years. Moody’s and Standard & Poor’s rated the company with credit ratings of A1 and A+, and the outlook is stable.
9. Southern Company (Market cap: $99.3 billion)
The ninth-largest oil and gas company in the world is U.S.-based Southern Company. The Southern Company’s gas segment distributes natural gas through natural gas distribution facilities in the states of Illinois, Georgia, Virginia, New Jersey, Florida, Tennessee and Maryland. Southern Company Gas is also involved in several other businesses that are complementary to the distribution of natural gas. The company was founded on November 9, 1945, and is headquartered in Atlanta, GA.
Through its subsidiaries, it serves 9 million gas and electric utility customers in 6 states. It has approximately 31,300 employees. Southern Company subsidiaries are operating or developing renewable solar, wind and biomass facilities across the U.S. and the first new nuclear units in the U.S.
10. TAQA (Market cap: $95.82 billion)
With a market cap of $95.82 billion, TAQA emerges as the 10th largest oil and gas company in the world. Established in 2005, TAQA is a diversified utilities and energy group headquartered in Abu Dhabi, the capital of the UAE, and listed on the Abu Dhabi Securities Exchange.
TAQA is a fully integrated utility company, with significant power and water generation, transmission and distribution assets, as well as upstream and midstream oil and gas operations. The company’s assets are located in Canada, Ghana, India, Morocco, Oman, Saudi Arabia, the UAE, the Netherlands, the United Kingdom and the United States
Key factors driving the oil and gas industry
There are various elements that drive the oil and gas sector across the globe, below are some:
Total number of wells planned at a location
The sheer number of wells that are planned for a site and the market as a whole is one of the major drivers in the business. The industry will be able to supply natural gas and oil to those who genuinely need it as long as the number of wells keeps growing,
Superior equipment
Perhaps the most important aspect driving this commercial business is the quality of the equipment used in rigs and production facilities. A production facility must include secure natural gas storage equipment, natural gas coolers, and other items in addition to the apparent requirement for strong rig equipment. The greatest way for a facility to thrive in the present market is to choose facility equipment from a reliable and effective source, even though there are many possibilities available.
The strength of the demand for oil and gas products
In today’s economy, natural gas and oil have many applications. It should thus come as no surprise that there is a steady increase in demand for these resources. There has been a significant increase in demand from the general public as a result of recent decreases in the cost of these items for consumers. But prices change all the time, so depending just on demand is quite risky.
Shifting to generate income
Revenue generation is crucial to a business’s success in any sector, and the oil and gas producing sectors are no exception. The owners of these companies must keep in mind not to become too used to their current situation. Everything evolves with time. Numerous factors might change, including the opening of new wells and the requirement for updated equipment. A facility’s only option for keeping up with the times is to agree to change with them. These are the companies that are now dominating their respective markets.
Economic and geopolitical impact on oil sector
Geopolitical shocks can have an impact on oil prices through lower economic activity or higher risks to commodity supply. In principle, geopolitical risk can affect commodity and oil prices through two main channels. First, higher geopolitical tensions act as a negative global demand shock, because these tensions increase uncertainty about the economic outlook, which negatively affects consumption and investment and potentially disrupts international trade. Combined, these forces lead to a contraction in global economic activity, ultimately dampening global oil demand and prices, according to European Central Bank.
This is known as the economic activity channel. Second, the risk channel involves financial markets potentially pricing in higher risks to future oil supply over and above the current geopolitical shock. This increases the cash value of holding oil contracts, also known as the convenience yield, and puts upward pressure on Brent prices. These two channels move oil markets in opposite directions, and the channel that prevails is an empirical question. Additional confounding factors include oil producers potentially deciding to adjust their oil production to stabilise prices.
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