Big Oil, big trouble

Profits are plunging at major oil companies, with Shell cutting back on exploration and extraction.

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Shell's got nothing to smile about

Last year was a tough one for the giant oil companies. BP made an annual loss of $5.2bn, while its four major rivals saw their profits plunge by anything from 18% (in the case of Total) to 80% (in the case of Royal Dutch Shell). As a result, they are drastically cutting back on investment in exploration and extraction, with just nine out of 230 potential projects likely to be approved this year.

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Dr Matthew Partridge
Shares editor, MoneyWeek

Matthew graduated from the University of Durham in 2004; he then gained an MSc, followed by a PhD at the London School of Economics.

He has previously written for a wide range of publications, including the Guardian and the Economist, and also helped to run a newsletter on terrorism. He has spent time at Lehman Brothers, Citigroup and the consultancy Lombard Street Research.

Matthew is the author of Superinvestors: Lessons from the greatest investors in history, published by Harriman House, which has been translated into several languages. His second book, Investing Explained: The Accessible Guide to Building an Investment Portfolio, is published by Kogan Page.

As senior writer, he writes the shares and politics & economics pages, as well as weekly Blowing It and Great Frauds in History columns He also writes a fortnightly reviews page and trading tips, as well as regular cover stories and multi-page investment focus features.

Follow Matthew on Twitter: @DrMatthewPartri