Global Oil, Gas, and Energy Sector News for Friday, February 6, 2026: Oil and Gas, Electricity, Renewable Energy, Coal, Oil Products, and Key Trends in the Energy Market
The global fuel and energy complex is demonstrating high dynamism ahead of the weekend. Oil prices have reacted with declines to diplomatic signals, the gas market is adjusting to new supply realities, and the energy transition is gaining momentum worldwide. These processes are impacting investors and companies in the fuel and energy sector, defining development strategies for the industry. Below are key news and trends in the oil, gas, and energy sectors for February 6, 2026.
Oil Price Drop Ahead of US-Iran Talks
Oil prices have declined in anticipation of dialogue between Washington and Tehran. Following two days of growth, the price of WTI crude oil has adjusted to approximately $64, while the North Sea Brent is trading around $69 per barrel. Investors note that the willingness of the US and Iran to conduct negotiations in Oman on February 6 has partially removed the geopolitical risk premium from oil prices. Previously, the market had factored in escalation risks—fears of strikes on Iranian oil infrastructure kept prices elevated. Now, diplomatic signals from the Trump administration and Iran's agreement to discuss its nuclear program have alleviated traders’ anxiety.
However, volatility remains in the oil market, as the outcome of the talks is uncertain. The US insists on an expanded agenda, including security matters, while Iran wants to limit discussions to sanctions and nuclear aspects. Uncertainty regarding the achievement of actual agreements at this initial stage of the talks is keeping market participants from excessive optimism. Additionally, new data from the US indicates that crude oil stocks have decreased less than expected (approximately 3.5 million barrels according to the EIA), which has limited the potential for a new price rally. Overall, oil companies and investors are closely monitoring the Washington–Tehran dialogue, recognizing its significance for the supply balance in the oil market.
Sanctions, Conflicts, and Redirection of Oil Supplies
Geopolitical factors continue to affect global oil and gas markets. The war in Ukraine remains in the spotlight: the ongoing strikes on energy infrastructure are heightening market nervousness. President Volodymyr Zelensky recently emphasized that the escalation of the conflict directly reflects on oil prices and has called for the US to strengthen support for Ukraine. Any intensification or, conversely, easing of the sanctions standoff between Russia and the West immediately impacts the global prices of oil and gas.
Meanwhile, the pressure of sanctions is leading to a redistribution of oil flows in the global market. The White House is seeking ways to eliminate Russian oil from key sales markets. President Trump has stated that he secured a promise from India to gradually reduce its imports of Russian energy resources. As an incentive, the US is prepared to lower trade tariffs for New Delhi—this move aims to increase the supply of American and Venezuelan oil to India. Although the Indian side has yet to officially confirm the cessation of imports of Russian crude, pressure is being felt: Indian refineries have reported difficulties with payments and fears of secondary sanctions, resulting in the scaling back of purchases of premium grades from Russia. Previously, Indian refiners were making significant profits due to substantial discounts on Russian oil, supplied at prices significantly below global levels.
According to analysts' estimates, the Russian budget is facing serious challenges due to falling oil and gas revenues. Key reasons for the decline in Russia's export income include:
- Reduction of Russian oil purchases by major importers (primarily India).
- Increase in discounts on Russian crude (over 20% off global market prices).
- High domestic interest rates hindering the development of the sector.
- Labor shortages in the oil and gas sector.
In January alone, revenue in the Russian budget from oil and petroleum product exports decreased by almost half, hitting the lowest level since summer 2020. Western sanctions against Russian oil and petroleum products (including price caps and restrictions on tanker fleets) are increasingly affecting sales volumes. Russian oil exports at the beginning of 2026 dropped to about ~1.2–1.3 million barrels per day (down from a record ~1.7 million b/d in 2024–2025), and experts believe that Moscow will have to sell smaller volumes to Asia while continuing to offer discounts. As a result, global oil flows are being redirected: an increasing share of imports by India and other Asian countries is being occupied by Middle Eastern grades and crude from Africa and Latin America. SEC market participants are preparing for a prolonged adjustment period stemming from the sanctions standoff.
Oil Production and Supply: Risks and Forecasts
Fundamental market indicators for oil are attracting close attention. Global oil demand in 2026 continues to rise and is estimated to reach a record 106.5 million barrels per day (an increase of +1.4 million b/d compared to the previous year). However, supply-side limitations are becoming apparent. In Europe, the largest oil field Johan Sverdrup (Norway) has peaked and is starting to see declines in output. According to Equinor's management, production at Sverdrup is expected to decrease by 10-20% this year. As Norway has become the main supplier of oil to the EU following Russia's exit (accounting for up to 15% of the European market), the decline at this key North Sea field is raising concerns among buyers. Experts note that the surplus period observed in recent years may shift to a deficit unless production declines at aging fields are offset by new projects. The International Energy Agency (IEA) has previously indicated that approximately $540 billion needs to be invested annually worldwide in exploration and development of new oil and gas fields to replenish natural declines in production and meet growing demand.
Meanwhile, OPEC+ countries continue to adhere to a cautious policy, keeping the market balanced. Additional barrels could come to the market if successful sanctions relief negotiations with Iran are achieved—these negotiations are precisely aimed at this. However, the potential for rapid supply increases from other regions is limited. US oil production, having reached record export levels since sanctions were imposed on Russia, may soon stabilize. Industry data reveal that American producers have already achieved significant increases over the past three years, and further export growth faces infrastructure and geological constraints. Thus, the investment activity of oil companies is becoming a priority; without investments in new projects in the coming years, the global market risks facing supply shortages.
Gas Market: European Winter and Global Trends
The natural gas market is also undergoing structural changes reflecting the new reality of energy security. European countries are closing the winter season with noticeably depleted storage facilities: gas reserves in the EU have dropped to about 44% of total capacity by the end of January—one of the lowest levels in recent years. Nonetheless, gas prices in Europe remain relatively stable, without panic spikes. Contributing factors include mild weather, energy-saving measures, and most notably, record volumes of liquefied natural gas (LNG) imports. In 2025, Europe increased its LNG purchases by approximately 30%, to a historical high of over 175 billion cubic meters, compensating for the cessation of pipeline supplies from Russia.
At the beginning of February, the European Union legally secured its course towards ceasing all purchases of Russian gas. A new regulation requires EU countries to prepare national plans by March for phasing out gas from Russia and diversifying sources. In effect, by 2027, Europe plans to completely eliminate its dependence on Russian pipeline gas and even LNG, closing the window for the return of Russian fuel to its market. The missing volumes (estimated by the IEA to be around 33 billion cubic meters during 2025–2028) will be replaced by alternatives: primarily through increased LNG imports from North America, the Middle East, and Africa.
The global gas market is prepared to support Europe and meet demand in Asia. Forecasts indicate that global LNG production will increase by approximately 7% in 2026—the fastest rate since 2019. New export terminals are being launched in the US, Canada, and Mexico, significantly boosting supplies. Major importers in Asia, such as China, are also increasing purchases to support their economic recovery. As a result, despite the decrease in European stocks over the winter, traders do not anticipate acute fuel shortages: additional LNG cargoes on the market are sufficient to replenish storage by summer. However, experts warn that Europe must not lose vigilance. To reliably pass through the next winter, the EU will need to actively inject gas, and price signals (such as the current "contango" price structure or the levels of spot quotes) will influence the speed of stock replenishment. Nevertheless, at present, energy companies in the region are confident in their ability to ensure energy systems through global gas supply and diversification measures.
Coal and the Energy Transition: Regional Disparities
Oil and gas are not the only strategic resources undergoing change. The coal industry is experiencing a sharp contrast across regions in the context of the global energy transition. Europe is rapidly phasing out coal: Czech Republic has completely ceased coal mining from February 1, 2026, closing its last mine after 250 years of operation. Now Poland remains the only country in Europe where coal mining is still taking place. European energy companies are transitioning power plants to gas and renewable energy, while coal mines are deemed unprofitable and depleted. The decision by the Czech Republic was driven by the fact that the national electricity sector is no longer dependent on coal, and production costs exceed market prices by more than double. Conversely, outside of Europe, many countries continue to actively use coal to ensure energy supply and stability of electricity:
- China: Coal production reached a record 4.83 billion tons in 2025. Coal still covers over half of China's electricity needs. To avoid power shortages, Beijing is building new coal-fired power plants until 2027, while simultaneously developing renewable energy.
- India: The government is simultaneously expanding coal production and investing in renewables. State support measures have allowed 32 previously closed mines to open, and production is increasing. The target is to reach about 1.5 billion tons of coal per year and move towards exporting surplus fuel. At the same time, coal helps reduce imports of energy resources and ensures the operation of power plants for grid stability.
- Japan: About 30% of electricity generation in 2026 is provided by coal. Authorities officially cite coal-fired power as necessary for the reliability of the energy system—as a backup in case of interruptions in the supply of solar and wind energy and for reducing dependence on expensive imported gas. Despite plans for gradual emissions reduction, coal remains a strategic reserve for the Japanese economy.
- USA: After a prolonged decline in the role of coal, demand unexpectedly increased by ~8% in 2025. The reason was high natural gas prices and rising energy consumption (such as from data centers and other energy-intensive industries). US authorities even temporarily suspended the decommissioning of old coal-fired power plants, and coal production received a boost as part of the strategy to strengthen energy independence.
Thus, the global energy balance in terms of coal varies significantly. While European fuel companies accelerate their exit from coal to meet climate commitments, Asian economies and other countries continue to rely on this type of fuel for energy security challenges. The transition to clean energy is uneven: regions rich in renewable resources are actively adopting green technologies, while others are forced to retain coal in their energy mix to guarantee stable electricity supply and acceptable electricity prices.
Growth in Renewable Energy and Technological Trends
Renewable energy sources (RES) continue to gain weight in the global fuel and energy complex, as evidenced by investment indicators. In particular, China is demonstrating unprecedented growth in the green sector: recent data show that over 90% of investment growth in the Chinese economy over the past year has been provided by developments in clean energy and electric transportation. The production and export of solar panels, wind turbines, batteries, and electric vehicles brought China approximately 15.4 trillion yuan in revenue in 2025—over a third of the country's GDP growth. Factually, renewable energy and related high-tech industries have become a driver of economic development, compensating for the slowdown in the traditional industrial sector.
Similar trends are observed in other regions. Governments around the world are concluding new cooperation agreements in the RES field, creating supply chains for hydrogen energy, and striving to ensure access to critically important minerals (lithium, copper, rare earth elements) for battery and electronics production. Energy companies are actively seeking opportunities to develop these resources and investing in raw material processing. Technological developments are also opening new opportunities: efficient sodium batteries are emerging as alternatives to lithium-ion, which could, in the long run, reduce dependence on scarce lithium. Interest in geothermal installations is growing in the energy generation sector—modern methodologies allow for extracting geothermal heat in unconventional regions, and the application of artificial intelligence is reducing risks in exploratory drilling. Several innovative geothermal projects are already close to commercial stage, indicating diversification in clean energy directions.
Against the backdrop of accelerated development of renewables, integrating these resources into the energy system becomes increasingly relevant. Countries are investing in energy storage systems and “smart” grids to balance the uneven output of solar and wind stations. For example, excess solar and wind generation in China is planned to be directed towards the production of “green” hydrogen, which can then serve as an energy carrier or raw material in industry. Such projects, along with advances in battery and hydrogen technologies, are attracting the attention of investors worldwide. Energy and oil companies are increasingly engaging in green initiatives globally, aiming to adapt to the evolving structure of energy demand. As a result, renewable energy is ceasing to be niche; it is transforming into a full-fledged sector of the economy that creates jobs, stimulates innovations, and allows for a reduction in the carbon footprint of energy.
International Deals and Corporate Initiatives in Energy
Major energy and fuel companies continue to forge partnerships to strengthen their positions in the global market. This week, a landmark agreement in the oil and gas industry was announced: the Turkish national oil company TPAO signed a memorandum of understanding with American oil giant Chevron. The parties intend to jointly explore oil and natural gas opportunities both in Turkey and abroad. According to Energy Minister Alparslan Bayraktar, this collaboration aims to support the development of new projects—from the Gabar field in Turkey to initiatives in the Black Sea—and transform TPAO into a global company. Earlier, in January, TPAO concluded a similar agreement with ExxonMobil to search for oil and gas on the continental shelves of the Black and Mediterranean Seas. These deals reflect a general warming of relations between Ankara and Washington, as well as Turkey’s strategy to reduce its nearly complete dependence on energy imports. By expanding TPAO’s activities abroad and attracting international expertise, Turkey is systematically enhancing its energy security.
Other countries are also betting on partnerships. In the context of the energy transition and geopolitical instability, joint projects allow for sharing risks and attracting investments. For example, Middle Eastern countries continue to collaborate with Asian consumers on LNG and oil projects, entering into long-term contracts for energy supply. At the same time, companies from various segments—from oil and gas to electricity—are coming together to develop electric vehicle charging infrastructure, carbon capture projects, and other promising areas. In nuclear energy, Rosatom is actively participating in international forums and concluding new agreements to build reactors (including projects for nuclear power plants in Egypt and other countries), ensuring the export of Russian technologies and loading its enterprises. Wind and solar companies are forming consortia to develop offshore RES parks, and multinational energy corporations are investing in energy storage startups.
The global energy market is vast, and close collaboration between companies from different countries is becoming the norm. For investors, this is a signal that the industry is striving for resilience through diversification and technology exchange. International deals, whether in oil, gas, electricity, or RES, help strengthen supply chains and prepare for future challenges. Ultimately, global energy security increasingly depends on joint efforts rather than isolated actions of individual states or companies.
