Current News in the Oil, Gas, and Energy Sector as of December 8, 2025: Market Situation, Sanctions, Energy Security, Coal, Renewable Energy Sources, the Russian Fuel Market, and Key Trends in the Fuel and Energy Complex.
The key events in the fuel and energy complex as of December 8, 2025, are unfolding against the backdrop of a sustained hard confrontation between Russia and the West, as well as relative stability in commodity markets at the beginning of the winter season. Western countries have recently intensified sanctions pressure by introducing new restrictions against the Russian energy sector and closing loopholes for circumventing the embargo.
Concurrently, global commodity markets are demonstrating relative stability. Oil prices are hovering near recent lows: Brent has stabilized in the range of $60–65 per barrel after a brief dip below $60, fueled by an abundance of supply. The European gas market enters winter with very high reserves — underground gas storage in the EU is over 90% full, which keeps wholesale prices at a comfortable level (TTF around €30 per MWh).
Against this backdrop, the global energy transition is gaining momentum. Investments in renewable energy are hitting records and are already exceeding those in fossil fuel extraction. The share of "green" sources in global electricity generation is steadily increasing. However, oil, gas, and coal still remain the backbone of the energy balance, satisfying current demand and ensuring the security of energy systems during the transition period.
In Russia, by early 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 that emerged in late summer has mostly been resolved: wholesale prices have retreated from peak values, independent gas stations have resumed normal operations, and supply to regions has returned to normal. Authorities maintain restrictions on the export of petroleum products and measures to support oil refining to prevent a recurrence of price surges 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 Russian fuel market as of the current date.
Oil Market: Oversupply and Weak Demand Weigh on Prices
Global oil prices remain at depressed levels under the influence of oversupply and moderate demand. The benchmark Brent trades around $64–65 per barrel, while WTI is around $60–61, approximately 10% lower than a year ago. Several factors are influencing the situation:
- OPEC+ Production Increase. The OPEC+ alliance is methodically increasing supply. In December, production quotas were raised again by about 100,000 barrels per day, bringing the total increase since April to approximately 2.7 million barrels per day. This leads to a rise in global oil and petroleum product stocks.
- Weak Demand Growth. Global oil consumption is growing significantly slower than in previous years. The IEA forecasts demand growth in 2025 at only around +0.7 million barrels per day (compared to over +2 million in 2023). Factors such as global economic slowdown, the effect of high prices from previous years (energy saving), and structural shifts like the accelerated spread of electric vehicles are influencing this. 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 enters winter in a favorable condition. Underground gas storage in the EU is over 90% full, providing a strong buffer and keeping prices low. Prices at the TTF hub have stabilized around €30 per MWh, significantly down from last winter's peaks, indicating a balance of supply and demand in Europe.
- Europe is Ready for Winter. Record gas reserves guarantee a buffer even in severe cold. Lackluster economic growth and high renewable energy generation are restraining gas consumption in the EU, so even if temperatures drop, much of the additional demand can be met from storage — the risk of shortage is minimal.
- Diversification of LNG Imports. Record deliveries of liquefied gas from the USA, Qatar, Africa, and other regions have helped fill European storage. This summer, the EU took advantage of low spot prices and weak Asian demand to purchase maximum LNG and prepare for winter.
Thanks to accumulated reserves and diversified imports, Europe enters the heating season without signs of fuel shortages, and prices remain comfortable for consumers. Despite the reduction of its own production and nearly complete cessation of Russian pipeline gas supplies, joint purchases, energy conservation, and accelerated adoption of renewables strengthen Europe's energy security.
International Politics: Sanctions Standoff Without Easing
- New Western Restrictions. In recent months, a range of additional sanctions has been introduced against the Russian fuel and energy complex. The US has blacklisted leading Russian oil and gas companies. The EU has approved a new package aimed at closing remaining avenues for circumventing the embargo. Britain has added a number of foreign companies involved in the trade of 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 its purchases of Russian oil (a slight decline is expected starting in December), while China has also received signals to cut imports. However, neither Delhi nor Beijing is rushing to take concrete steps, emphasizing that their policies depend on national interests. Nonetheless, the prospect of reduced Asian demand intensifies uncertainty, and Russia is redirecting supplies to alternative markets.
Asia: India and China Strengthen Energy Security
The Asian giants remain key drivers of global energy consumption growth. Despite external pressure, China and India prioritize the availability and reliability of energy supplies, increasing imports of oil, gas, and coal under favorable conditions.
- China and India. China is receiving record volumes of Russian gas and remains one of the main buyers of discounted Russian oil and coal. India has also increased its import of Russian oil to meet its needs. Both countries are not hurrying to reduce cooperation with Moscow, placing energy security above external pressure.
Overall, high demand from Asian countries compensates for stagnation in consumption in the West, keeping global oil, gas, and coal usage at high levels. The drive for energy security is prompting Asian economies to diversify sources and enter into long-term contracts. Although China and India are gradually investing in clean energy, it is their purchases of traditional resources that currently largely dictate global energy market conditions.
Electricity and Renewables: Record Demand and New Challenges
Global electricity consumption in 2025 reaches a historic peak, first surpassing 30,000 TWh. Renewable sources now provide about 30% of this electricity. The main contribution to demand growth is coming from developing countries in Asia (primarily China and India), as well as the proliferation of electric transport and electric heating.
- Infrastructure Upgrades. Globally, modernization of electrical grids and generating capacities is accelerating. Significant investments are being directed towards "smart" grids, energy storage, and strengthening transmission lines. These efforts enhance the reliability of electricity supply and prepare grids for the growing 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, although dynamics vary by region. Asia maintains high demand, allowing global coal usage to remain at maximum levels, while in the West, the usage of this fuel is rapidly decreasing.
- East and West. In Asia (China, India), demand for coal remains high: these countries are increasing production and imports to support energy and industry. Major exporters (Australia, Indonesia, South Africa, Russia) maintain high volumes of deliveries to the East. Simultaneously, in the West, coal is being rapidly displaced: strict environmental regulations have reduced its share to minimal levels (in the EU to mere percentages of generation, while in the US, consumption has fallen back to 1970s levels). As long as Asian economies do not begin to significantly reduce their reliance on coal, global coal consumption will remain close to record highs.
Russian Fuel Market: Stabilization After the Crisis and Priority for the Domestic Market
In fall 2025, the internal market for petroleum products in Russia gradually stabilized after the 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 have been eliminated in most regions, and price increases have been halted.
- Export Restrictions and Stabilization. The ban on the export of automotive gasoline, introduced in late September, has been extended until December 31, 2025; restrictions on the export of diesel fuel also remain (independent traders are not exporting, while oil companies are permitted only limited exports). These measures and subsidies to oil refiners have had an effect: wholesale prices have retreated from peaks, 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 developing long-term solutions to enhance the resilience of the industry.
