Oil giant Shell has reported a significant profit increase for the first quarter of the year, driven by elevated oil prices stemming from the Iran war.

• Shell reported profits of $6.92bn in the first three months of the year, exceeding analyst expectations and up from $5.58bn a year prior.
• The key factor contributing to this rise is the sharp increase in oil prices, largely due to the closure of the Strait of Hormuz, which normally handles about 20% of global oil and LNG supplies.
• Despite overall profit growth, Shell noted a 4% fall in its oil and gas output due to the conflict impacting its Qatari Pearl gas plant.

Holidaymakers are being reassured that flights to and from the UK are largely unaffected by soaring jet fuel prices, despite a global cut of 13,000 flights in May.

• The Department for Transport (DfT) stated there is “no need” for people to change their travel plans and that UK airlines maintain fuel stocks.
• Airlines have cut only 1% of global flights due to rising jet fuel costs, which have more than doubled since the conflict in the Middle East began.
• The government is implementing contingency plans, allowing airlines to cancel flights in advance without losing take-off and landing slots, and to merge flights to save fuel.

A recent conflict involving Iran has severely impacted Gulf economies, with an attack on Qatar's main LNG complex causing significant disruption and financial loss.

• An estimated 17% of global LNG supply was knocked out, with repairs expected to take three to five years.
• Key actors include QatarEnergy, led by CEO Saad Al Kaabi, and Iran, whose actions stem from an earlier Israeli strike on its South Pars gas field.
• The overall damage across the Gulf states is estimated at up to $58bn, with the World Bank cutting its Middle East growth forecast.