Current News in the Oil, Gas, and Energy Sector as of December 8, 2025: Market Situations, Sanctions, Energy Security, Coal, Renewable Energy Sources, the Russian Fuel Market, and Key Trends in the Fuel and Energy Complex.
Current developments in the fuel and energy complex as of December 8, 2025, are unfolding against the backdrop of an ongoing severe confrontation between Russia and the West, as well as relative stability in commodity markets at the start of the winter season. Western nations have recently intensified sanctions pressure by introducing new restrictions against the Russian energy sector and closing loopholes for bypassing the embargo.
At the same time, global commodity markets are demonstrating relative stability. Oil prices remain near recent lows: Brent has stabilized in the range of $60–65 per barrel after a brief dip below $60, supported by an abundance of supply. The European gas market enters winter with very high reserves—EU underground gas storage is over 90% full, keeping wholesale prices at a comfortable level (TTF around €30 per MWh).
Against this backdrop, the global energy transition is gaining momentum. Investment in renewable energy is breaking records and has already exceeded investments in fossil fuel extraction. The share of “green” sources in global electricity generation is steadily increasing. However, oil, gas, and coal are still the backbone of the energy balance, meeting current demand and ensuring the security of energy systems during this transitional period.
In Russia, by the beginning of December, the domestic fuel market has noticeably stabilized thanks to emergency measures taken by the government in the fall. The acute shortage of gasoline and diesel, which emerged in late summer, has mostly been eliminated: wholesale prices have retreated from peak values, independent gas stations have resumed normal operations, and supply to regions has returned to normal. Authorities are maintaining restrictions on the export of petroleum products and support measures for oil refining to prevent a recurrence of price spikes and shortages during the winter period.
Below is an overview of key news and trends in the oil, gas, electricity, renewable, and coal sectors, as well as the current state of the Russian fuel market.
Oil Market: Oversupply and Weak Demand Pressuring Prices
Global oil prices remain low under the influence of oversupply and moderate demand. The benchmark Brent is trading around $64–65 per barrel, with WTI at $60–61, about 10% lower than a year ago. Several factors are influencing the situation:
- OPEC+ Production Increases. The OPEC+ alliance is systematically increasing supply. In December, production quotas have been raised by approximately 100,000 barrels per day, bringing the cumulative increase since April to around 2.7 million barrels per day. This has led to an increase in global inventories of oil and oil products.
- Weak Demand Growth. Global oil consumption is growing significantly slower than in previous years. The IEA forecasts an increase in demand in 2025 of only about +0.7 million barrels per day (compared to over +2 million in 2023). This is influenced by the slowdown in the global economy, the effects of high prices in previous years (energy conservation), and structural shifts like the accelerated spread of electric vehicles. Weak industrial growth in China is also limiting appetite from 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 underground gas storage facilities are over 90% full, providing a solid buffer and keeping prices low. TTF hub prices have stabilized around €30 per MWh, which is significantly lower than last winter's peaks and indicates a balance between supply and demand in Europe.
- Europe is Ready for Winter. Record gas reserves guarantee resilience even in the face of severe cold. Tepid economic growth and high renewable energy generation are suppressing gas consumption in the EU, so even during colder weather, a significant portion of any additional demand can be met from storage—risk of shortages is minimal.
- Diversification of LNG Imports. Record deliveries of liquefied natural 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 quantities and prepare for winter.
Thanks to accumulated reserves and diversified imports, Europe enters the heating season without signs of fuel shortage, and prices remain comfortable for consumers. Despite a reduction in domestic production and an almost complete halt of Russian pipeline gas supplies, joint purchases, energy savings, and accelerated introduction of renewables bolster 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 fuel and energy complex. The U.S. has blacklisted leading oil and gas companies in Russia. The EU has approved a new package aimed at closing remaining loopholes for bypassing the embargo. The UK has included several foreign companies aiding in the trade of Russian oil in its sanctions list.
- Pressure on India and China. Under pressure from the West, major Asian clients of Moscow have been offered to limit cooperation. India has expressed readiness to gradually reduce its purchases of Russian oil (a slight decrease is expected starting in December), and China has also been signaled to cut imports. So far, neither Delhi nor Beijing are rushing into actual steps, emphasizing that their policies depend on national interests. Nevertheless, the prospect of reduced Asian demand increases uncertainty, and Russia is redirecting supplies to alternative markets.
Asia: India and China Strengthening Energy Security
Asian giants remain key drivers of global energy consumption growth. Despite external pressure, China and India prioritize the availability and reliability of energy supply, increasing imports of oil, gas, and coal on favorable terms.
- China and India. China is receiving record volumes of Russian gas and remains one of the leading buyers of discounted Russian oil and coal. India has also ramped up its imports of Russian oil to meet its needs. Both countries are in no hurry to reduce cooperation with Moscow, putting energy security above external pressures.
Overall, the high demand from Asian countries compensates for stagnation in consumption in the West, keeping global use of oil, gas, and coal at elevated levels. The drive for energy security is prompting Asian economies to diversify sources and enter into long-term contracts. While China and India are gradually investing in clean energy, their purchases of traditional resources currently largely define the dynamics of the global energy market.
Electricity and Renewable Energy: Record Demand and New Challenges
Global electricity consumption in 2025 reaches a historic high, surpassing 30,000 TWh for the first time. Renewable sources now contribute around 30% of this electricity. The main drivers of demand growth are developing Asian countries (primarily China and India), as well as the spread of electric transport and electric heating.
- Infrastructure Upgrades. Worldwide, there is an acceleration in the modernization of power grids and generating capacities. Significant investments are directed toward "smart" grids, energy storage, and enhancing transmission lines. These efforts improve the reliability of power supply and prepare networks 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 consumption levels, although dynamics vary by region. High demand persists in Asia, allowing global coal use to remain at maximum levels, while in the West, consumption of this fuel is rapidly declining.
- East and West. In Asia (China, India), demand for coal remains high: these countries are increasing production and imports to meet energy and industrial needs. Major exporters (Australia, Indonesia, South Africa, Russia) maintain high volumes of supplies to the East. Meanwhile, in the West, coal is quickly being phased out: strict environmental regulations have reduced its share to minimal levels (in the EU this is just a few percent of generation, and in the U.S., consumption has retreated to 1970s levels). As long as Asian economies do not significantly reduce their dependence on coal, global coal consumption will remain close to record levels.
Russian Fuel Market: Stabilization After Crisis and Priority for the Domestic Market
By fall 2025, the Russian market for petroleum products has gradually stabilized following an acute supply crisis that occurred in late summer. Thanks to emergency government measures, 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, introduced in late September, has been extended to December 31, 2025; restrictions on the export of diesel fuel also remain in place (independent traders are not exporting, and oil companies are allowed only limited exports). These measures and subsidies to oil refiners have had an effect: wholesale prices have retreated from peaks, 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 resilience of the industry.
