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 to resolve the protracted conflict in Eastern Europe continue without concrete results. The strict sanction regime in the energy sector remains unchanged.
The global oil market remains under pressure from oversupply and weakened demand. Prices for the benchmark Brent crude are hovering around $60 per barrel—a minimal level not seen since approximately 2021. This indicates the formation of a surplus of raw materials in the market. The European gas market is demonstrating relative resilience: even at the peak of winter consumption, gas storage facilities in the EU are filled to approximately 67%, which practically 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 on consumers.
Meanwhile, the global energy transition is gaining momentum. Many countries are setting new records in electricity generation from renewable sources, although traditional coal and gas power plants still play a crucial role in ensuring the reliability of energy systems. Below is a detailed overview of 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 continues to face downward pressure on prices: Brent crude is trading around $60 per barrel, while WTI is at approximately $55. These are the lowest levels seen in almost four years. The primary reasons for this decline in prices include:
- Increased supply. OPEC+ countries have ramped up production by millions of barrels per day, creating a surplus of crude oil and added pressure on prices.
- Hopes for peace. Progress in negotiations to resolve the conflict has created expectations of easing sanctions and the return of Russian oil to the market, which is also exerting downward pressure on prices.
- OPEC+ policy. After months of increasing production, members of the agreement decided to halt any further supply growth in Q1 2026 to avoid overproduction. At the December meeting, the alliance agreed to a nominal increase in quotas (+137 thousand barrels/day). Major exporters have expressed a willingness to cut production again if prices fall below acceptable levels.
Under the influence of these factors, a moderate surplus persists in the global oil market. Even geopolitical incidents and new restrictions cause only temporary fluctuations in prices, without altering the overall downward trend. Market participants are awaiting new signals—both from diplomatic efforts and from OPEC+ actions—that could shift the balance of risks for oil prices.
Natural Gas and LNG Market
Europe entered the winter season relatively confidently: gas storage in the EU is more than two-thirds full, significantly reducing the likelihood of shortages even during peak demand periods. Additionally, record supplies of LNG have compensated for the loss of Russian pipeline gas. As a result, gas prices have stabilized at levels significantly lower than the crisis peaks of 2022, greatly alleviating consumer costs.
- Record LNG imports. In 2025, Europe imported approximately 284 billion cubic meters of liquefied gas—an all-time high. The key supplier was the USA (accounting for up to 60% of the volume).
- Withdrawal from Russian gas. The European Union aims to completely cease purchases of Russian gas by 2027. Starting in early 2026, a ban on purchasing Russian LNG on the spot market will come into effect, compelling EU countries to finally switch to alternative supply sources.
On a global scale, demand for natural gas remains stable, primarily due to Asian countries. At the same time, competition among exporters is intensifying: Middle Eastern and North African states are actively investing in new LNG projects, aiming to capture a share of the growing market. Concurrently, the expansion of gas exports from the USA and Australia is creating a surplus of supply, keeping global prices within moderate ranges.
Renewable Energy: Record Growth
The year 2025 has marked unprecedented growth in "green" energy. According to industry reports, in the first half of 2025, the capacities of installed solar and wind power plants increased by more than 60% compared to the same period last year, and for the first time, electricity generation from renewables exceeded generation from coal-fired power plants (annualized figures). However, even this record growth is still insufficient to meet long-term climate goals—further investments and modernization of power grids are necessary.
Coal Sector: Peak Demand
Global coal consumption in 2025 reached a record volume (growth of approximately 0.5%). A prolonged plateau in consumption is forecasted, followed by a gradual decline by 2030. Coal remains the largest source of electricity, but its share is beginning to decrease due to competition from alternative sources.
Regional dynamics of coal demand vary. In China, the largest consumer (over 50% of global volume), coal use in 2025 stabilized; a gradual decline is expected by the end of the decade as renewables are integrated. In India, record hydropower generation has led to a reduction in coal burning for the first time in many years, while in the USA, a slight increase in coal use has been observed amid costly gas prices and prolonged operation of coal-fired power plants.
Oil Products and Refining: High Margins
By the end of 2025, the oil products market is showing high profitability for refineries. Global refining margins (the so-called crack spreads) have risen to multi-year highs. The reasons for this include sanctions that have reduced oil product exports from Russia, maintenance closures of several major refineries in Europe and the USA, as well as delays in bringing new refining capacities online in the Middle East and Africa. The profitability of the European diesel market is particularly high, with diesel refining margins in Europe soaring to levels unseen since 2023.
In response, refiners are striving to maximize their advantage in this favorable market conditions. Major oil companies reported a sharp increase in profits from refining due to high gasoline and diesel prices. It is estimated that European refineries boosted crude oil processing by several hundred thousand barrels per day in the second half of 2025. Analysts caution that without the introduction of new capacities, 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 stringent and strictly enforced. In December, the USA intercepted an oil tanker off the coast of Venezuela and increased pressure on the “shadow fleet” transporting Iranian oil. Despite the bans, Iranian exports in 2025 reached their highest level in recent years due to shipments to Asia. Russian oil and oil products have been entirely redirected to alternative markets (China, India, Middle East), yet pricing restrictions and EU embargoes continue to diminish industry revenues. Additionally, from the beginning of 2026, the EU is introducing a ban on the import of Russian LNG, effectively marking the end of Europe's energy reliance on Russia.
Against this backdrop, market participants are incorporating increased political risks and price premiums. Any signals regarding eased sanctions or diplomatic progress have a substantial impact on the market. So far, companies are adapting to the new realities—diversifying their logistics and sales channels.
Investments and Projects: Looking Ahead
Despite volatility, the energy sector continues to attract significant investments in both traditional oil and gas frameworks as well as in "green" energy. Middle Eastern countries are expanding oil and gas production (for instance, ADNOC raised about $11 billion to boost gas extraction), while leading exporters such as Qatar and the USA are enhancing their 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 and the launch of large projects are expected in 2026 in both traditional segments and the renewable energy sector.
