Current News in the Oil, Gas, and Energy Sectors as of December 8, 2025: Market Dynamics, Sanctions, Energy Security, Coal, Renewables, the Russian Fuel Market, and Key Energy Trends.
As of December 8, 2025, significant developments in the fuel and energy sector are unfolding amid ongoing tensions between Russia and the West, accompanied by relative stability in commodity markets as we enter the winter season. Recently, Western nations have intensified sanction pressures by imposing new restrictions on the Russian energy sector and closing loopholes to circumvent the embargo.
At the same time, global commodity markets are exhibiting relative stability. Oil prices remain near recent lows, with Brent stabilizing in the range of $60-65 per barrel after a brief dip below $60, aided by abundant supply. The European gas market is entering winter with very high reserves—EU storage facilities are over 90% full—which is keeping wholesale prices at comfortable levels (TTF around €30 per MWh).
Against this backdrop, the global energy transition is gaining momentum. Investments in renewable energy are breaking records and have already surpassed investments in fossil fuel extraction. The share of "green" sources in global electricity generation is steadily increasing. Nevertheless, oil, gas, and coal remain the backbone of the energy balance, meeting current demand and ensuring energy system security during the transition period.
In Russia, as December begins, the domestic fuel market has stabilized significantly due to emergency measures implemented by the government in the fall. The acute shortage of gasoline and diesel that emerged in late summer has mostly been resolved: wholesale prices have retreated from peak levels, independent gas stations have returned to normal operations, and regional supply has normalized. Authorities continue to maintain restrictions on the export of petroleum products and support measures for oil refining to prevent a repeat spike in prices and shortages during the winter period.
Below is an overview of key news and trends in the oil, gas, electricity, renewable energy, and coal sectors, as well as the Russian fuel market as of the current date.
Oil Market: Supply Surplus and Weak Demand Pressure Prices
Global oil prices remain subdued under the influence of supply surplus and moderate demand. The benchmark Brent is trading around $64-65 per barrel, while WTI is at approximately $60-61, about 10% lower than a year ago. Several factors are influencing this situation:
- OPEC+ Production Increases. The OPEC+ alliance is systematically increasing supply. In December, production quotas were raised by approximately 100,000 barrels per day, bringing the total increase since April to around 2.7 million barrels per day. This is leading to a rise in global oil and petroleum product inventories.
- Weak Demand Growth. Global oil consumption is increasing significantly more slowly than in previous years. The IEA projects a demand increase in 2025 of only about +0.7 million barrels per day (compared to over +2 million in 2023). This is influenced by a slowing global economy, the impact of high prices from previous years (energy conservation), and structural shifts such as the accelerated adoption of electric vehicles. A weak industrial growth in China also limits the appetite of the world's second-largest oil consumer.
Gas Market: High Reserves in Europe and Price Stability
The gas market is approaching winter in a favorable condition. EU storage facilities are over 90% full, providing a strong buffer that keeps prices at a low level. TTF quotes have stabilized around €30 per MWh, significantly below last winter’s peaks, indicating a balance of supply and demand within Europe.
- Europe is Prepared for Winter. Record gas reserves guarantee resilience even during extreme cold. Slow economic growth and high renewable energy generation are tempering gas consumption in the EU, meaning that even in colder weather much of the additional demand can be met from storage, minimizing the risk of shortages.
- Diversification of LNG Imports. Record shipments of liquefied gas from the U.S., Qatar, Africa, and other regions have helped fill European storage facilities. Over the summer, the EU took advantage of low spot prices and weak Asian demand to procure maximum LNG and prepare for winter.
Thanks to accumulated reserves and diversified imports, Europe is entering the heating season without signs of fuel shortages, while prices remain comfortable for consumers. Despite a reduction in domestic production and a near-complete halt of Russian pipeline gas supplies, coordinated procurement, energy conservation, and accelerated deployment of renewables are bolstering Europe’s energy security.
International Politics: Sanction Confrontation Without De-escalation
- New Western Restrictions. In recent months, a series of additional sanctions have been imposed on the Russian energy sector. The U.S. has blacklisted leading Russian oil and gas companies. The EU has approved a new package aimed at closing remaining loopholes for circumventing the embargo. The UK has added several foreign companies that assist in trading Russian oil to its sanctions list.
- Pressure on India and China. Under Western pressure, Russia's largest Asian clients have been urged to limit cooperation. India has expressed readiness to gradually reduce imports of Russian oil (a slight decline is expected to commence in December), while China has also received signals to cut its imports. So far, neither Delhi nor Beijing is rushing to take decisive steps, emphasizing that their policies depend on national interests. Nevertheless, the prospect of reduced Asian demand adds uncertainty, prompting Russia to redirect supplies to alternative markets.
Asia: India and China Strengthen Energy Security
The Asian giants remain key drivers of global energy consumption growth. Despite external pressures, China and India prioritize the availability and reliability of energy supplies, increasing their imports of oil, gas, and coal on advantageous terms.
- China and India. China is receiving record volumes of Russian gas and remains one of the primary buyers of discounted Russian oil and coal. India has also ramped up its imports of Russian oil to meet its needs. Both countries are not rushing to reduce cooperation with Moscow, placing energy security above external pressure.
Overall, the high demand from Asian countries compensates for stagnation in consumption in the West, maintaining global usage of oil, gas, and coal at elevated levels. The pursuit of energy security is prompting Asian economies to diversify their sources and enter into long-term agreements. While China and India are gradually investing in clean energy, their purchases of traditional resources currently play a significant role in defining the dynamics of the global energy market.
Electricity and Renewables: Record Demand and New Challenges
Global electricity consumption in 2025 is reaching an all-time high, for the first time exceeding 30,000 TWh. Renewable sources now account for approximately 30% of this electricity. The primary contribution to demand growth comes from developing countries in Asia (especially China and India), as well as the expansion of electric transportation and electric heating.
- Infrastructure Upgrades. There is a global acceleration in the modernization of power grids and generating capacities. Significant investments are being directed towards "smart" grids, energy storage solutions, and strengthening transmission lines. These initiatives enhance the reliability of electricity supply and prepare grids for the increasing share of renewable generation.
Coal Sector: High Demand in Asia and Accelerated Phase-Out in the West
The global coal market in 2025 remains close to record levels of consumption, though the dynamics vary by region. High demand persists in Asia, allowing global coal usage to remain elevated, while in the West, consumption of this fuel is swiftly declining.
- East and West. In Asia (China, India), demand for coal remains strong: these countries are increasing production and imports to meet energy and industrial needs. Major exporters (Australia, Indonesia, South Africa, Russia) are maintaining high volumes of supply to the East. Concurrently, in the West, coal is rapidly being phased out: stringent environmental regulations have reduced its share to minimal levels (in the EU, this is just a few percent of generation, while in the U.S., consumption has reverted to 1970s levels). Until Asian economies significantly reduce their dependence on coal, global coal consumption will remain close to record highs.
Russian Fuel Market: Stabilization After the Crisis and Internal Market Prioritization
By autumn 2025, the domestic market for petroleum products in Russia has gradually stabilized following an acute supply crisis that occurred in late summer. Thanks to emergency measures taken by the government, the situation with gasoline and diesel has been brought under control: shortages in most regions have been eliminated, and price growth has halted.
- Export Restrictions and Stabilization. The ban on the export of automotive gasoline, imposed at the end of September, has been extended until December 31, 2025; restrictions on diesel fuel exports remain (independent traders are not exporting, while oil companies are permitted only limited exports). These measures, along with subsidies to refiners, have had a positive effect: wholesale prices have retreated from peak levels, and independent gas stations have resumed normal operations without supply disruptions even in remote regions.
The government intends to maintain control over the fuel market at least until the end of winter, while simultaneously working on long-term solutions to enhance the industry's resilience.
