Chevron has reported a net profit of $6.1bn for the third quarter of 2021 against a loss of $207m a year ago, driven by a rebound in oil and gas prices.

The firm’s refining margins were also boosted due to a recovery in motor fuel demand.

In Q3, the firm generated total sales and other operating revenues of $44.7bn, up from $24.45bn a year earlier.

Adjusted earnings stood at $5.7bn for the quarter that ended 30 September 2021, up from $340m in the same year-ago quarter.

Chevron chairman and CEO Mike Wirth said: “Third-quarter earnings were the highest since first quarter 2013 largely due to improved market conditions, strong operational performance and a lower cost structure.

“Our free cash flow during the quarter was the best ever reported by the company.

“We paid dividends of $2.6bn, reduced debt by $5.6bn, and repurchased $625m of shares during the quarter.”

The company’s worldwide net oil-equivalent production for the quarter was 3.03 million barrels per day.

Earnings from the company’s upstream and downstream operations surged to $5.1bn and $1.3bn respectively.

Chevron also reported net oil-equivalent production of 1.13 million barrels per day in the third quarter of 2021, which represents an increase of 145,000 barrels per day from the year-ago period.

In a press statement, the firm said: “The increase was due to an additional 224,000 barrels per day of production following the Noble Energy acquisition, partially offset by a 69,000 barrels per day decrease related to the Appalachian asset sale.”

The company’s total debt stood at $37.34bn by the end of third quarter of 2021.