Vitol's turnover fell to $331bn in 2024 from $403bn a year earlier, even as volumes held nearly steady at 537 million tonnes of oil equivalent. Prices softened and trading remained the group's earnings backbone as physical deliveries proved resilient.

Stable volumes amid softer prices

Vitol delivered 537 million tonnes of oil equivalent (mTOE) last year, only marginally below the 545mTOE recorded in 2023. Turnover fell to $331bn from $403bn as energy prices eased and markets became less volatile. Trading activity remained the firm's backbone, while physical deliveries held up despite a more balanced market.

There was a subtle shift in the mix of fuels the group moves: crude, gasoline and gasoil deliveries dipped, while growth in naphtha and jet helped offset the fall. Demand for petrochemicals and aviation supported replacements for some road fuels that are showing longer-term decline.

Assets and acquisitions reshape the portfolio

Last year Vitol broadened its footprint through purchases and internal investment, increasing owned refining capacity to about 850,000 barrels per day and expanding its retail network to around 10,000 service stations. Those moves emphasise a long-term strategy: keep trading at the centre, while adding complementary assets that stabilise earnings through different market cycles. The additional refining capacity provides a strategic hub in the Mediterranean and retail outlets can act as a buffer when trading margins compress.

Gas and power: measured growth

  • LNG volumes rose 10% to 19.4mTOE as global demand picked up and prices eased from recent peaks.
  • LPG volumes increased, with the largest gains in Asia where demand is growing in developing economies.
  • Power volumes were broadly flat: gains in the Americas were offset by weaker volumes in Europe. Vitol is building a stronger presence in key Asian power markets.

Diversification into metals trading

In 2024 Vitol began building a metals trading desk, hiring senior personnel in iron ore, aluminium and copper. The purchase of Noble Resources strengthened exposure to metals and coking coal in Asia, tying Vitol more closely to industrial demand centres. Adding metals aims to smooth cash flows across commodity cycles, since metals can move differently to oil and gas and offer alternative margin sources when energy markets shrink.

Market outlook and demand forecasts

Vitol's outlook expects global oil demand to peak in the early 2030s at about 110 million barrels per day before easing back to roughly today's level of 105mbpd by 2040. That trajectory assumes reduced demand for road fuels while aviation and petrochemical sectors keep growing. Vitol said strategically placed refining assets will remain useful to complement trading through the next decade or more.

This combination of steady volumes, added refining and retail assets, and expansion into metals shows Vitol positioning to stabilise earnings as oil markets shift. The firm's forecast of a peak in the early 2030s is the strategic milestone shaping those investments.

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Vitol delivered 7.2 million barrels per day of crude oil and products in 2024; it expects global oil demand to peak in the early 2030s at about 110mbpd before easing back to roughly today's level by 2040.

This article was created with AI assistance.