Current Energy Sector News as of 29 September 2025: Intense Western Sanctions Pressure, Oil Prices Nearing Peaks, Stability in the Gas Sector, Emergency Measures in the Russian Fuel Market, and Record Investments in Renewable Energy. A Comprehensive Overview of Key Developments for Investors and Market Participants.
The latest events in the fuel and energy sector (FES) as of 29 September 2025 reveal a simultaneous stabilisation of major raw material markets alongside ongoing geopolitical tensions. Western countries continue to enforce a stringent sanctions regime with no visible easing, preparing new restrictions against the Russian energy sector. Meanwhile, the global oil market remains relatively stable, with prices close to recent peaks due to supply disruption risks and persistent sanctions pressure. The European gas market is entering winter with a comfortable level of stocks—underground gas storage is nearly full, ensuring a high level of energy security and curbing prices.
In Russia, following a recent spike in petrol prices, authorities are extending and tightening emergency measures to stabilise the domestic fuel market—imposing additional export restrictions on petroleum products. Meanwhile, the global energy sector continues to pursue a "green" transition: investments in renewable energy are setting records, and major companies are revising strategies in light of new demand forecasts. Below is a detailed overview of key events and trends in the oil, gas, energy, and raw materials sectors as of the current date.
Oil Market: Prices at Peaks Amid Supply Risks
By the end of the week, global oil prices are holding at elevated levels. The North Sea Brent blend is trading around $69 per barrel—slightly below the psychological barrier of $70, which prices reached during last week's peak; American WTI is hovering around $64-65.
Several factors are influencing the situation:
- Unexpected stock draw in the USA: According to the Energy Information Administration (EIA), US commercial oil stocks fell by approximately 0.6 million barrels last week. The unexpected drawdown in stocks signalled limited supply, supporting prices.
- Geopolitical risks: Unrest persists in Eastern Europe, affecting oil infrastructure. Recent days have seen an increase in drone attacks on facilities in southern regions of Russia—damaging pipeline nodes and port terminals. This heightens concerns over potential supply disruptions of Russian crude to the global market.
- Resumption of some supplies: A dampening factor for prices was the news of an agreement in Iraq to resume oil exports from the Kurdistan region (after several months of pause). Additionally, the peak summer demand has passed, and with autumn's arrival, fuel consumption is decreasing seasonally.
By week's end, a slight correction emerged in the oil market: some players realised profits after the rally, leading Brent prices to retreat below $69. Nevertheless, prices remain close to recent peaks. The market balance remains fragile: participants are wary of supply shortages due to further sanctions tightening or new disruptions but are optimistic about increased supplies in the fourth quarter, attributed to scheduled production hikes by OPEC+ and the return of Kurdish oil to the market.
Gas Market: Full Storage in Europe Ensures Price Stability
On the natural gas market, the situation remains relatively stable. European countries have proactively accumulated significant gas reserves ahead of the heating season. Underground storage in the EU is over 90% full, substantially higher than in previous years at the same time. These reserves create a solid safety cushion for a cold winter and mitigate the risk of sharp price spikes.
Additional factors impacting the gas market include:
- Successful summer injections: Mild weather and conservation measures have allowed European countries to fill their gas storage facilities without emergencies. Data from Gas Infrastructure Europe shows that by the end of September, the average filling level of storage in the EU exceeds last year's figure for the same date.
- Increase in LNG imports: Soft demand for liquefied natural gas in Asia has freed up additional volumes for Europe. As a result, LNG supplies remain high, partially offsetting the decline in pipeline supplies from Russia and planned maintenance at North Sea fields.
- Moderate prices: Wholesale gas prices in Europe (TTF index) are holding in the range of €30-35/MWh—significantly below the peak levels of 2022. A balanced supply-and-demand ratio with full storage maintains prices at a comfortable level.
Thus, Europe is approaching winter relatively insulated from gas shocks. Even in the event of severe weather, the accumulated reserves reduce the risk of shortages, although much will depend on the duration of the cold spells and the situation on the global LNG market.
Russian Fuel Market: Fuel Shortage and Extension of Export Restrictions
This autumn in Russia, a sharp shortage of automotive fuel (petrol and diesel) has emerged. This is due to a combination of a seasonal demand surge (harvest season has increased fuel consumption) and reduced supply from refiners. Several refineries have been forced to cut output due to emergency shutdowns related to heightened drone attacks.
To stabilise the situation, the Russian government has extended and tightened measures on fuel export restrictions:
- A complete ban on petrol exports: The temporary measure introduced in late August has been extended at least until the end of 2025. The ban covers petrol exports for all producers and traders, with the exception of deliveries under intergovernmental agreements.
- A partial ban on diesel exports: The export of diesel fuel by independent traders is prohibited until the end of the year. Oil companies with their own refineries retain the opportunity for limited exports to maintain incentives for high refining 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. The authorities anticipate that stringent export restrictions will allow the domestic market to be saturated and curb the rise in petrol station prices. Ensuring internal stability is currently a priority for Moscow—the prevention of a fuel crisis ahead of winter has become a strategic task for the government.
Sanctions and Geopolitics: Ongoing Confrontation Without Easing
Western countries continue to intensify sanctions pressure on the Russian energy sector. The USA is urging Europe to expedite the phase-out of Russian energy sources to reduce Moscow’s revenues. The European Union, meanwhile, is preparing a new package of restrictions aimed at closing remaining loopholes: measures being discussed include a complete ban on the re-export of Russian petroleum products through third countries and enhanced controls on compliance with the oil price cap.
Diplomatic efforts to resolve the conflict have so far yielded no results—the hostilities continue, and all previously imposed sanctions remain in effect. The export of energy resources from Russia is still limited.
Asia: India and China Focus on Energy Security
India and China—the largest Asian consumers of energy resources—continue to increase their imports of oil, gas, and coal in 2025, with a primary focus on the energy security of their economies, with over half of the increase in global oil demand now accounted for by India.
- India: Taking advantage of discounts on Russian Urals oil, Delhi is ramping up its purchases to record levels. Indian refineries process the received raw materials, fully covering domestic needs and exporting excess petroleum products.
- China: Despite an economic slowdown, Beijing remains a key player in the global energy market. China is diversifying supply channels: signing new long-term contracts for LNG imports (including with Qatar and the USA) and investing in oil and gas production abroad. Simultaneously, the country is gradually increasing hydrocarbon production, although this is still insufficient to fully meet demand.
Both nations are also actively investing in renewable energy, but in the coming years are unlikely to abandon traditional hydrocarbons—oil, gas, and coal—which still form the backbone of their energy balance.
Renewable Energy: Record Investments and New Initiatives
The global transition to clean energy is accelerating. According to estimates from the International Energy Agency (IEA), global investments in "green" energy will exceed $2 trillion in 2025, more than double that of the oil and gas sector. The main stream of capital is directed towards the development of solar and wind generation, as well as the accompanying infrastructure—power grids and energy storage systems.
During the September Climate Week in New York, world leaders reaffirmed their intentions to multiply the installation of renewable energy capacities by 2030. Proposed measures include:
- Accelerating permitting processes: shortening timelines and simplifying approvals for the construction of wind and solar power plants.
- Expanding support for clean energy: introducing additional incentives—“green” tariffs, tax preferences, and government guarantees for investors.
The rapid growth of renewable energy is already altering the global energy balance: the share of solar and wind in electricity generation has reached record levels, and the cost of these technologies has significantly declined. However, the mass adoption of renewable sources requires robust energy storage systems and modernisation of power grids to maintain balance during periods of low sun or wind. Major oil and gas companies are already responding to these trends by redirecting a portion of their profits from traditional businesses towards the development of renewable energy, hydrogen projects, and storage systems—to maintain competitiveness in new conditions.
