Current Global News in the Oil, Gas, and Energy Sector as of December 24, 2025: Oil, Gas, Electricity, Renewables, Coal, Refining, and Key Trends in the Global Energy Market.
On the diplomatic front, negotiations for resolving the protracted conflict in Eastern Europe continue without concrete results. The stringent sanctions regime in the energy sector remains unchanged.
The global oil market remains under pressure from excess supply and weakened demand. The prices of the benchmark Brent crude are holding near $60 per barrel — the lowest levels since approximately 2021. This indicates a surplus of crude on the market. The European gas market is demonstrating relative resilience: even at the peak of winter demand, underground gas storage in the EU is filled to about 67%, which virtually eliminates the risk of shortages. Stable supplies of liquefied natural gas (LNG) and alternative pipeline fuels are keeping prices at moderate levels, significantly below the peaks of 2022, easing the burden for consumers.
Meanwhile, the global energy transition is gaining momentum. In many countries, new records for electricity generation from renewable energy sources (RES) are being established, although traditional coal and gas plants still play a crucial role in ensuring system reliability. Below is a detailed overview of the key news and trends in the oil, gas, electricity, and raw materials sectors as of this date.
Oil Prices and OPEC+ Strategy
The oil market is experiencing downward pressure on prices: Brent is trading around $60 per barrel, while WTI is approximately $55. These are the lowest levels in nearly four years. The main reasons for this price decline are:
- Increased Supply. OPEC+ member countries have ramped up production by millions of barrels per day, leading to an oversupply of crude and additional pressure on prices.
- Expectations for Peace. Progress in conflict resolution negotiations has fueled hopes for an easing of sanctions and the return of Russian oil to the market, which is also weighing on prices.
- OPEC+ Policy. After months of increasing production, alliance members decided to halt further supply growth in the first quarter of 2026 to avoid overproduction. At the December meeting, the alliance agreed on only a symbolic increase in quotas (+137,000 barrels/day). Major exporters indicate their readiness to cut production again if prices fall below acceptable levels.
Under the influence of these factors, a moderate surplus continues in the global oil market. Even geopolitical incidents and new restrictions are only causing short-term price fluctuations, without altering the overall downward trend. Market participants are looking for new signals — both from diplomatic efforts and from OPEC+ actions — that could change the risk balance for oil prices.
Natural Gas and LNG Market
Europe has entered the winter season relatively confidently: gas storage in the EU is filled to more than two-thirds of capacity, significantly reducing the likelihood of shortages even during peak demand periods. Furthermore, record LNG supplies have compensated for the loss of Russian pipeline gas. As a result, gas prices have stabilized at levels substantially below the crisis peaks of 2022, providing significant relief for consumers.
- Record LNG Imports. In 2025, Europe imported approximately 284 billion cubic meters of liquefied gas — a historic high. The key supplier was the United States (making up to 60% of the volume).
- Disengagement from Russian Gas. The European Union plans to halt purchases of Russian gas completely by 2027. Starting in early 2026, a ban on purchasing Russian LNG on the spot market will come into effect, forcing EU countries to finally shift to alternative supply sources.
On a global scale, demand for natural gas remains stable, particularly due to Asian countries. However, competition among exporters is intensifying: countries in the Middle East and North Africa are actively investing in new LNG projects, hoping to capture a share of the growing market. At the same time, the expansion of gas exports from the US and Australia is creating a surplus of supply, keeping global prices within moderate bounds.
Renewable Energy: Record Growth
The year 2025 has been marked by unprecedented growth in "green" energy. According to industry reports, during the first half of 2025, the volumes of newly established solar and wind power plants increased by more than 60% compared to the same period a year earlier, and for the first time, electricity generation from RES surpassed that from coal plants (when calculated over the half-year). However, even this record growth is currently insufficient to achieve long-term climate goals — further investment and upgrades of electrical grids are needed.
Coal Sector: Demand Peak
Global coal consumption in 2025 reached a record level (with growth of about 0.5%). A prolonged plateau in consumption is projected, followed by a gradual decline by 2030. Coal remains the largest source of electricity, but its share has begun to decrease due to competition from alternative sources.
Regional dynamics of coal demand vary. In China, the largest consumer (over 50% of the global volume), coal use stabilized in 2025; a gradual decline is expected by the end of the decade as RES capacities come online. In India, thanks to record hydropower generation, coal burning has decreased for the first time in many years, while in the US, there has been a slight increase in the use of this fuel against a backdrop of expensive gas and extended operation of coal plants.
Refined Products and Processing: High Margins
By the end of 2025, the refined products market is showing high profitability for refineries. Global refinery margins (known as crack spreads) have risen to multi-year highs. The reasons for this include sanctions that have reduced the export of refined products from Russia; the closure for repairs of several major refineries in Europe and the US; and delays in the commissioning of new refining capacities in the Middle East and Africa. The profitability of the European diesel market, in particular, is very high: diesel refining margins in Europe have risen to levels not seen since 2023.
In response, refiners are striving to maximize their benefits from this favorable situation. Major oil companies report a sharp increase in refining profits due to high gasoline and diesel prices. Reports indicate that European refineries increased oil processing by several hundred thousand barrels per day in the latter half of 2025. Analysts warn that without new capacity coming online, fuel shortages could persist, and high margins may continue into 2026.
Geopolitics and Sanctions: Market Impacts
Geopolitical factors continue to significantly influence global commodity markets. Sanction restrictions in the oil and gas sector remain strict and are rigorously enforced. In December, the US intercepted a tanker carrying oil off the coast of Venezuela and increased pressure on the "shadow fleet" transporting Iranian oil. Despite the bans, Iran's exports in 2025 reached a multi-year high due to shipments to Asia. Russian oil and refined products are completely redirected to alternative markets (China, India, the Middle East), but price caps and EU embargoes continue to diminish industry revenues. Additionally, starting in early 2026, the EU will implement a ban on the import of Russian LNG, effectively completing Europe's energy severance with Russia.
Against this backdrop, market participants are pricing in elevated political risks and price premiums. Any signals of sanction relief or diplomatic progress significantly impact the market. Meanwhile, companies are adapting to the new conditions by diversifying logistics and distribution channels.
Investments and Projects: Looking Ahead
Despite volatility, significant investments continue to flow into the energy sector, both in traditional oil and gas operations and in green energy. Middle Eastern countries are expanding oil and gas production (for example, ADNOC has attracted approximately $11 billion to boost gas production), and leading exporters like Qatar and the US are increasing LNG export capacities. Simultaneously, global corporations are investing in the construction of new solar and wind power plants, as well as in promising technologies, including hydrogen energy and energy storage systems. A wave of new mergers and acquisitions is expected in 2026, alongside the launch of major projects in both the traditional segment and the RES sector.
