Current Oil, Gas, and Energy Industry News for Saturday, December 6, 2025: Oil and Gas Price Dynamics, Stocks, Sanctions, Renewable Energy, Coal, Exports, Production, Analysis for Investors and Energy Companies.
The current events in the fuel and energy complex (FEC) on December 6, 2025, reflect a diverse dynamic in global markets amid ongoing geopolitical tensions. Global oil prices remain around multi-month lows: Brent crude is hovering around $62–63 per barrel, while U.S. WTI is around $59. These levels are significantly lower than mid-year figures, attributed to a combination of factors ranging from expectations for progress in peace negotiations to signs of oversupply in the market. In contrast, the European gas market is entering winter quite confidently: underground gas storage (UGS) facilities in EU countries are filled to over 85%, providing a solid buffer, and wholesale prices (TTF index) are maintained below €30 per MWh, which is several times lower than peak levels of previous years.
Meanwhile, the geopolitical confrontation over energy is not easing. The collective West continues to intensify sanctions pressure on the Russian energy sector — the European Union recently legally confirmed a phased rejection of imports of Russian pipeline gas by 2027 and an accelerated reduction of remaining oil supplies from Russia. Attempts at diplomatic resolution of the conflict have yet to yield significant results, thus restrictions and risks of supply disruptions remain. Within Russia, authorities are extending emergency measures to stabilize the domestic fuel market after an autumn shortage of gasoline and diesel by tightly limiting petroleum product exports. At the same time, global energy is accelerating its "green" transition: investments in renewable sources are reaching record levels, new incentives are being implemented, although traditional resources — oil, gas, and coal — still play a key role in the energy balance of most countries. Below is a detailed overview of key news and trends in the oil, gas, electricity, and raw materials sectors as of this date.
Oil Market: Prices at Lows Amid Oversupply and Hopes for Peace
By early December, global oil prices are under pressure and fluctuating near local lows. The North Sea Brent blend has fallen to around $62 per barrel after relative stability in the autumn, while WTI futures are at $59. Current prices are approximately 15% lower than levels a year ago. The market is partially pricing in a scenario of eased sanctions on Russian oil in case of successful peace negotiations between Moscow and Washington, reducing the geopolitical premium in prices. Simultaneously, concerns about oversupply are intensifying: industry data is recording a rise in global stocks of crude oil and fuels, while seasonal demand declines at the year's end and a slowing Chinese economy limit consumption. The OPEC+ oil alliance reaffirmed at its meeting on November 30 that it will maintain current production quotas at least until the end of 2026, signaling a reluctance to increase supply and risk a price collapse. As a result, the cumulative influence of these factors has shifted the market balance towards oversupply. Prices remain at low levels as market participants assess the prospects for a possible peace agreement and OPEC+'s further steps in response to changing market conditions.
An additional indication of oversupply was Saudi Arabia's decision to lower the official selling price of Arab Light crude for Asian customers to a minimum level in the last five years. This step aims to strengthen Saudi competitiveness in the Asian market; however, the simultaneous maintenance of limited OPEC+ production somewhat mitigates the oversupply pressure, preventing further price declines.
Gas Market: Europe Enters Winter with Comfortable Stockpiles and Stable Prices
The European natural gas market is approaching the heating season peak without significant shocks. Thanks to timely fuel injections and a mild start to winter, EU countries are entering December with record-filled gas storage facilities and relatively low prices, reducing the risk of a repeat of the 2022 crisis. The key factors determining the current situation in the European gas market include:
- High UGS Fill Levels: According to sector monitoring, the average fill level of gas storage facilities in the EU exceeds 85%, significantly ahead of usual figures for the beginning of winter. Accumulated reserves create a reliable "safety cushion" in the event of prolonged cold spells or supply disruptions.
- Record LNG Imports: European consumers continue to actively purchase liquefied natural gas on the global market. Reduced demand for LNG in Asia has freed up additional volumes for Europe, partially compensating for the cessation of pipeline supply from Russia. As a result, LNG inflow remains high, helping to keep prices at moderate levels.
- Moderate Demand and Diversification: Mild weather at the start of winter and energy-saving measures are restraining gas consumption growth. At the same time, the EU is diversifying supply sources: gas imports from Norway, North Africa, and other regions have increased, strengthening energy security and reducing dependency on Russian resources.
- Price Stabilization: Wholesale gas prices are currently several times lower than extreme peaks of last year. The Dutch TTF index is holding at around €28–30 per MWh. High storage utilization and market balancing have helped avoid new price spikes even amid a sharp reduction in gas imports from Russia.
Thus, Europe is entering winter with a substantial safety margin in the gas market. Even in the event of cold weather, accumulated reserves and flexible LNG supply chains are likely to cushion potential shocks. However, in the long term, the situation will depend on weather conditions and dynamics of global demand — especially if energy needs in Asia begin to rise again with economic recovery.
Russian Market: Fuel Shortages and Extension of Export Restrictions
In the autumn of 2025, Russia faced an intensified issue of motor fuel (gasoline and diesel) shortages in the domestic market due to the imposition of several factors. The rise in seasonal demand (harvest campaigns increased fuel consumption) coincided with a decrease in supply from refineries (some refineries reduced production due to unplanned repairs and drone attacks on fuel infrastructure). In several regions, gasoline supply disruptions occurred, forcing the state to intervene rapidly to stabilize the situation. Authorities introduced emergency measures that are still in effect:
- Ban on Gasoline Exports: The Russian government imposed a full temporary ban on the export of automotive gasoline by all producers and traders (with the exception of supplies under intergovernmental agreements) at the end of August. Initially, this measure was intended to last until October, but its validity has been extended at least until December 31, 2025, due to ongoing tensions in the domestic fuel market.
- Export Restrictions on Diesel: Simultaneously, the export of diesel fuel by independent traders has also been banned until the end of the year. Oil companies that own refineries are allowed limited diesel exports to avoid halting processing. This partial ban is aimed at ensuring sufficient domestic supplies of petroleum products and preventing a recurrence of shortages.
According to officials, the fuel crisis that arose in autumn is local and temporary. Reserves have been used to overcome it, and refining is gradually recovering from unplanned downtimes. By the beginning of winter, the situation has stabilized somewhat: wholesale prices for gasoline and diesel have retreated from September peaks (including in early December, gasoline market quotes dropped another 5-7% compared to the previous week's level). Although fuel remains more expensive on the domestic market than a year ago, the government’s priority is to fully meet the country’s needs and prevent a new spike in prices. If necessary, strict export restrictions may be extended into 2026 if required to maintain stability.
Sanctions and Politics: Escalating Western Pressure Amid Attempts at Dialogue
Western countries continue to tighten their policy towards the Russian FEC, showing no readiness to ease sanctions. On December 4, EU leaders finalized a plan for a complete and indefinite rejection of imports of Russian pipeline gas by the end of 2026 (with cessation of purchases of Russian LNG by 2027) as part of a new sanctions package. This move is intended to deprive Moscow of a significant portion of export revenues in the medium term. Hungary and Slovakia, dependent on Russian gas, traditionally opposed the initiative, but their objections could not block the overall EU decision.
At the same time, the United States is increasing its own pressure. The Trump administration is taking a hard line against countries cooperating with Russia in the energy sector. In particular, Washington imposed increased 25% tariffs on a number of Indian goods in 2025, partially in response to New Delhi's purchases of Russian oil, and signaled a review of the easing of sanctions against Venezuela. These steps amplify uncertainty surrounding future Venezuelan oil supplies to the global market.
Meanwhile, direct negotiations between Moscow and Washington aimed at halting the conflict have not yielded significant progress — consultations held in Moscow with the participation of American emissaries concluded without breakthroughs. Hostilities in Ukraine continue, and all previously imposed restrictions on Russian energy exports remain in place. Western energy companies continue to avoid new investments in Russia. Thus, geopolitical tensions surrounding energy remain, adding long-term risks and uncertainties to the market.
Asia: India and China Strengthen Energy Security
The largest developing economies in Asia — India and China — continue to focus on ensuring their own energy security while balancing the benefits of cheap imports and external pressures. The countries in the region are actively taking advantage of opportunities to purchase energy resources on favorable terms while simultaneously developing domestic projects and international cooperation. The current situation in the two key countries is as follows:
- India: Under pressure from the West, New Delhi temporarily reduced its purchases of Russian oil in late autumn; however, India remains one of Moscow's main clients. Indian refineries continue to process available discounted Urals oil, covering domestic fuel needs and directing surplus petroleum products for export. President Vladimir Putin's state visit to India on December 4-5 emphasized the close ties between the countries. At the summit on December 5 in New Delhi, the parties discussed and highly appreciated extensive cooperation in the energy sector, signing an "important package" of documents aimed at further deepening the partnership. The joint statement confirmed Russia's commitment to ensuring uninterrupted fuel supplies for India's rapidly growing economy and to expand cooperation in the areas of oil, gas, petrochemicals, coal generation, and nuclear energy. Additionally, Russia seeks to increase imports of Indian goods to balance trade despite U.S. sanctions pressure (including high tariffs on Indian exports due to cooperation with Russia in the oil sector).
- China: Despite an economic slowdown, Beijing maintains a key role in the global energy market. Chinese companies are diversifying their import channels: new long-term contracts for liquefied natural gas purchases (including from Qatar and the U.S.) are being signed, pipeline gas supplies from Central Asia are expanding, and investments in foreign oil and gas production are increasing. Concurrently, China is gradually increasing its own hydrocarbon production, although this is still insufficient to fully meet domestic demand. The country also continues large coal purchases to secure its energy system during the transition period. Both India and China are actively investing in the development of renewable energy; however, in the coming years, they do not intend to abandon traditional sources — oil, gas, and coal — which still underpin their energy balance.
Renewable Energy: Record Investments Supported by Governments
The global transition to clean energy continues to accelerate, setting new investment and capacity installation records. According to the International Energy Agency (IEA), global investments in renewable sources exceeded $2 trillion in 2025 — more than double the total investments in the oil and gas sector for the same period. The primary capital flow is directed towards the construction of solar and wind power plants and related infrastructure — high-voltage networks and energy storage systems. At the COP30 climate summit, world leaders reaffirmed their commitment to accelerate greenhouse gas emission reductions and significantly expand renewable energy capacities by 2030. To achieve these goals, a comprehensive set of initiatives was proposed:
- Accelerating Permitting Procedures: Shorten review times and simplify the issuance of permits for the construction of renewable energy facilities, modernization of networks, and implementation of other low-carbon projects.
- Expanding Government Support: Introduce additional incentives for "green" energy — special tariffs, tax breaks, subsidies, and government guarantees to attract more investments and reduce risks for businesses.
- Funding Transition in Developing Countries: Increase the volume of international financial assistance to emerging market economies for the accelerated adoption of renewables where domestic resources are insufficient. Targeted funds are being created to reduce the cost of "green" projects in the most vulnerable regions.
The rapid growth of renewable energy is already leading to noticeable changes in the global energy balance. According to research centers, non-carbon sources (including renewables together with nuclear generation) now account for over 40% of electricity generation worldwide, and this share is steadily increasing. Experts note that while short-term fluctuations may occur due to weather factors or spikes in consumption, the long-term trend is clear: clean energy is gradually displacing fossil fuels, bringing the onset of a new low-carbon era closer.
Coal: High Demand Supports the Market, but Peak Has Been Passed
Despite efforts at decarbonization, the global coal market in 2025 remains close to record levels. Global coal consumption is sustained at historically high levels — around 8.8–8.9 billion tons a year, slightly exceeding last year's figure. Demand continues to grow in developing economies in Asia (primarily in India and Southeast Asian countries), offsetting the reduction in coal use in Europe and North America. According to the IEA, global coal consumption even slightly declined in the first half of 2025 due to increased electricity generation from renewables and mild weather; however, a slight increase (~1%) is expected by the end of the year. Therefore, 2025 will be the third consecutive year with near-record coal consumption levels.
Coal production is also increasing — particularly in China and India, which are ramping up domestic production to reduce import dependence. Prices for thermal coal generally remain stable as high Asian demand maintains market balance. Nevertheless, analysts believe that global coal demand has reached a "plateau" and will gradually transition to a decline in the coming years as the development of renewable energy accelerates and climate policies tighten.
