Current News in the Fuel and Energy Sector as of 28 September 2025: Oil Products, Oil, Gas, Coal, Electricity, and Renewable Energy Sources. An Overview of Key Events in the Energy Sector for Investors and Market Participants.
Current events in the fuel and energy sector (FES) as of 28 September 2025 demonstrate a simultaneous stability in the main commodity markets alongside persistent geopolitical tensions. Oil prices remain close to recent peak levels due to supply disruption risks and stringent Western sanctions, while the European gas market enters winter with a comfortable level of reserves.
In Russia, authorities are prolonging emergency measures to combat fuel shortages by restricting the export of oil products. Meanwhile, the global energy sector continues its course towards a "green" transition – investments in renewable energy are reaching record levels, and major companies are revising their strategies in light of new demand forecasts.
Oil Market: Prices at Peak Levels Amid Supply Risks
By the end of the week, global oil prices are sustaining elevated levels. The North Sea Brent crude is trading around $68 per barrel (after peaking at approximately $69 mid-week), while American WTI is in the range of $64–65. These values are several percent higher than at the start of the month. The market situation is influenced by several factors:
- Unexpected Drawdown in US Inventories: According to the Energy Information Administration (EIA), commercial oil inventories in the U.S. fell by about 0.6 million barrels in the last week. This unexpected inventory drawdown signals limited supply and has supported prices.
- Geopolitical Risks: Instability persists in Eastern Europe, affecting oil infrastructure. Recently, there has been an increase in drone attacks on facilities in southern regions of Russia, damaging pipeline nodes and port terminals. This intensifies concerns over potential disruptions in the supply of Russian crude to the global market.
- Resumption of Some Shipments: A dampening factor for prices is news of an agreement in Iraq to resume oil exports from the Kurdistan region (after a months-long hiatus). Additionally, the peak of summer demand has passed, and with the onset of autumn, fuel consumption is decreasing seasonally.
In recent days, a slight correction has been observed in the oil market: some players have taken profits after the rally, and Brent prices retreated below $69. Nevertheless, prices remain close to recent highs. The market balance is fragile: participants fear supply shortages amid further tightening of sanctions or new disruptions, while they are optimistic about supply increases in the fourth quarter due to planned OPEC+ production boosts and the resumption of Kurdish oil on the market.
Gas Market: Comfortable Reserves in Europe Keeping Prices Stable
The situation in the natural gas market is relatively stable. European countries have preemptively accumulated significant gas reserves ahead of the heating season: underground gas storage (UGS) in the EU is over 90% full, providing a solid reserve in case of a cold winter. High stock levels and diversified supplies are mitigating significant price fluctuations. Additional factors impacting the gas market include:
- Successful Summer Injecting: Mild weather and conservation measures allowed Europeans to fill UGS without a rush. According to Gas Infrastructure Europe, by the end of September, the average filling level of storage facilities in the EU exceeds last year's figure for the same date.
- Increase in LNG Imports: Weak demand for liquefied natural gas (LNG) in Asia has freed up additional volumes for Europe. As a result, LNG deliveries remain high, partially compensating for the decline in pipeline supplies from Russia and planned maintenance at North Sea fields.
- Moderate Prices: Wholesale gas prices in Europe (TTF index) are being maintained within the range of €30–35/MWh—significantly lower than peak levels in 2022. A balanced supply-demand ratio, combined with full storage, keeps prices at a comfortable level.
Thus, Europe enters winter relatively insulated from gas upheavals. Even in the event of severe weather, the stockpile reduces the risk of shortages, although much will depend on the duration of the cold and the situation in the global LNG market.
Russian Market: Fuel Shortages and Extension of Export Restrictions
In autumn, Russia is experiencing an exacerbation of automobile fuel shortages (both petrol and diesel). This is due to a simultaneous surge in seasonal demand (the harvest campaign has increased fuel consumption) and a reduction in supply from refiners. Some refineries have been forced to reduce output due to emergency shutdowns linked to increased drone attacks.
To stabilise the situation, the Russian government has extended and tightened measures to restrict fuel exports:
- Complete Ban on Petrol Exports: The temporary measure introduced at the end of August has been extended at least until the end of 2025. The ban covers the export of automotive petrol for all producers and traders, except for supplies under intergovernmental agreements.
- Partial Ban on Diesel Exports: Until the end of the year, the export of diesel fuel by independent traders is prohibited. Oil companies with their own refineries are allowed limited exports to maintain incentives for high processing levels.
According to Deputy Prime Minister Alexander Novak, the resulting deficit is of a local nature and will be covered by releasing reserve volumes into the domestic market. Authorities are optimistic that strict export restrictions will allow them to saturate the domestic market with fuel and curb the increase in wholesale prices at filling stations. For Moscow, internal stability is currently the priority—preventing a fuel crisis ahead of winter has become a strategic objective for the government.
Sanctions and Geopolitics: Standoff Without Easing
Western countries continue to ramp up sanctions pressure on the Russian energy sector. The U.S. is urging Europe to expedite its exit from Russian energy resources to reduce Moscow's revenues. The European Union, meanwhile, is preparing a new package of restrictions aimed at closing remaining loopholes: among the measures under discussion is a complete ban on the re-export of Russian petroleum products through third countries and enhanced monitoring of compliance with the oil price cap.
Diplomatic efforts to resolve the conflict have yet to yield results—the fighting continues, and all previously imposed sanctions remain in effect. The export of energy resources from Russia remains limited, and Western businesses are avoiding new projects in Russia.
Asia: India and China Focus on Energy Security
India and China—the largest Asian consumers of energy resources—are continuing to increase their imports of oil, gas, and coal in 2025, placing energy security at the forefront of their economies. More than half of the increase in global oil demand is currently being supplied by India.
- India: Taking advantage of discounts on Russian Urals oil, Delhi is ramping up its purchases to record levels. Indian refineries are processing the incoming crude, fully covering domestic needs and exporting the surplus of petroleum products.
- China: Despite an economic slowdown, Beijing remains a key player in the global energy market. China is diversifying its supply channels: it is signing new long-term contracts for LNG imports (including with Qatar and the U.S.) and investing in oil and gas extraction abroad. At the same time, the country is gradually increasing its hydrocarbon production, though it is still insufficient to fully meet demand.
Both nations are actively investing in the development of renewable energy sources as well, but in the coming years, they are unlikely to abandon traditional hydrocarbons—oil, gas, and coal—which continue to form the backbone of their energy balance.
Renewable Energy: Record Investments and New Initiatives
The global transition to clean energy is gaining momentum. According to the IEA, in 2025, worldwide investments in "green" energy will exceed $2 trillion, more than double the expenditures in the oil and gas sector. The principal flow of capital is directed towards the development of solar and wind generation, as well as the supporting infrastructure—electric grids and energy storage systems.
During the September Climate Week in New York, world leaders reaffirmed their commitments to substantially increase renewable energy capacity by 2030. A comprehensive set of measures has been proposed to achieve this:
- Acceleration of Permitting Procedures: Reducing timelines and simplifying approvals for the construction of wind and solar power plants.
- Expanding Support for Clean Energy: Introducing additional incentives—“green” tariffs, tax benefits, and government guarantees for investors.
- Financing Renewables in Developing Countries: Increasing funding for projects in economies with rapidly growing energy consumption, where the share of "green" investments is still low.
The explosive growth of renewables is already altering the global energy balance: the share of solar and wind in electricity production is reaching record levels, and the cost of these technologies has significantly decreased over the past decade. "Green" energy enhances energy independence and reduces costs, allowing countries to lessen their dependence on fuel imports. However, the mass introduction of renewable sources requires robust energy storage systems and modernised power grids to maintain balance during periods without sunlight or wind. Major oil and gas companies are already responding to these trends by directing part of their profits from traditional business toward the development of renewables, hydrogen projects, and storage systems to remain competitive under the new conditions.
