Global News in the Oil, Gas, and Energy Sector for Monday, February 2, 2026: Oil and Gas, Electricity, Renewable Energy, Coal, Refineries, Key Events in the Commodities and Energy Markets for Investors and Industry Participants.
The global news from the fuel and energy complex for Monday, February 2, 2026, covers key events in the oil and gas sector and electricity production. Trends in oil and gas markets, the impact of geopolitics and sanctions, extreme winter conditions, the transition to renewable sources, the coal market situation, and internal measures for stabilizing fuel prices are discussed. These events create a complex backdrop for investors and companies, reflecting the intricacies of the global energy market.
Oil Market: Winter Demand Supports Prices Amid Overproduction Concerns
Global oil prices have stabilized at relatively high levels due to several factors, although further growth is constrained by expectations of overproduction later in the year. The North Sea Brent blend is hovering around $64–66 per barrel, and West Texas Intermediate (WTI) is around $60–62, recovering from five-month lows at the end of 2025. Prices remain below last year's peaks, and investors are cautious due to mixed signals regarding supply and demand.
- Seasonal Demand and Weather: The cold winter in the Northern Hemisphere is driving increased demand for heating fuel. Higher consumption of petroleum products, especially diesel, supports oil prices, partially offsetting the slowdown in the global economy.
- Geopolitical Risks: Tensions in the Middle East are pushing prices upwards. The U.S. administration has resumed tough rhetoric towards Iran, increasing the risk premium in oil pricing due to supply disruption threats.
- Financial Factors: The weakening of the U.S. dollar has made commodities cheaper for holders of other currencies, stimulating investor interest in oil. Hedge funds have increased long positions, signaling a return of speculative optimism to the market.
- OPEC+ Policy: The oil alliance maintains a cautious approach to production. Voluntary limitations from several participants have been extended until the end of the first quarter of 2026 to avoid market saturation. Maintaining quotas supports prices and prevents them from falling during the seasonal lull in demand.
The cumulative influence of these factors keeps oil prices stable compared to recent lows. However, forecasts from the International Energy Agency warn that global oil inventories may begin to rise by millions of barrels per day in the second half of 2026 if demand does not accelerate. The risk of overproduction limits the potential for further increases in oil prices, with markets factoring in cautious expectations for the coming months.
Gas Market: Europe Rapidly Depleting Supplies Amid Cold Weather
The global gas market situation exhibits varying trends across regions. In Europe, extreme cold has led to a surge in gas consumption and record withdrawals from storage, while North America is experiencing a localized pricing crisis, and Asia remains relatively balanced for now.
- Europe: EU countries entered February with sharply reduced gas supplies. Underground storage is only filled to approximately 45% of capacity (compared to around 55% a year ago), which is significantly lower than the peaks of 2022. Nevertheless, active imports of liquefied natural gas (LNG) and stable pipeline supplies from Norway and North Africa keep prices at relatively moderate levels. TTF hub prices have stabilized around €40 per MWh after a January spike, considerably below the peaks of 2022.
- The U.S.: In North America, gas prices have increased significantly. In January, Henry Hub exceeded $5 per million BTU, more than 50% higher than the previous year's level. This is due to record LNG exports from the U.S. and the extreme cold, which has led to freezing wells and production disruptions. The gas shortage in the domestic market has forced energy companies to temporarily switch to coal generation to prevent outages and curb price increases for consumers.
- Asia: In major Asian economies (China, Japan, South Korea), gas prices remain relatively stable. A mild start to winter and long-term LNG contracts have shielded the region from fuel shortages. Moderate economic growth in China and India suppresses increases in demand, leading to limited competition with Europe for spot LNG cargoes.
Weather conditions are already causing power supply disruptions: January storms resulted in widespread electricity outages in the U.S. and Northern Europe. In the coming weeks, weather will remain a key factor: persistent freezing temperatures in February may complicate the situation with supplies in Europe and cause further price fluctuations in the global gas market.
International Politics: Sanction Pressure and Geopolitical Risks
Geopolitical factors continue to influence the energy sector. The collective West maintains a strict sanctions regime against Russia. By the end of 2025, the European Union approved its 19th package of sanctions, closing the remaining loopholes for circumventing the oil embargo, and as of January 1, 2026, instituted a full ban on purchases of Russian pipeline gas, completing Europe’s withdrawal from Russian energy sources. The United States has expanded its own restrictions, imposing sanctions on Russia's largest oil companies and 25% tariffs on a range of Indian goods—a signal to New Delhi regarding the importation of Russian oil. Russian oil and gas are now sold to a limited number of countries—primarily China and India—at substantial discounts.
At the same time, cautious signals of dialogue have emerged. According to insiders, the U.S. is discussing scenarios for a gradual normalization of relations with Russia in the event of resolving the Ukrainian crisis during closed discussions with allies. No easing of sanctions has occurred yet, but the mere existence of these consultations indicates a search for diplomatic solutions for the future. Moreover, Washington has left open the possibility of canceling new tariffs on India after it reduced purchases of Russian oil. These targeted steps have yet to significantly alter the situation, but markets respond positively to any hints of de-escalation. Conversely, if peace negotiations stall, sanction pressure may intensify, creating long-term risks for the oil and gas sector.
Reconstructing Energy Trade and New Alliances
Sanctions and shifting global political priorities are forcing countries to realign their energy supply chains. New trading routes and partnerships are emerging, altering the landscape of the global energy sector:
- Russia – China: Moscow is redirecting oil, gas, coal, and electricity exports eastward, increasing supplies to China to compensate for lost European markets.
- Europe and New Partners: The EU is diversifying its supplies: increasing gas imports from Norway and Algeria, oil from the Middle East and Africa, and encouraging the purchase of petroleum products from India instead of Russia. European refineries have already adapted logistics to accommodate new feedstocks, reducing dependency on Russia.
New agreements also encompass advanced technologies. Partners are investing in hydrogen energy, biofuels, and energy storage systems, laying the foundation for the future resilience of global energy.
Renewable Energy and the Global Energy Transition
At the IRENA assembly in Abu Dhabi in January, leaders reaffirmed their commitment to accelerating the transition to renewable sources. Major oil and gas nations are announcing large-scale investments in solar and wind power plants, while the European Union, under its REPowerEU program, is introducing new renewable energy capacities to replace gas and achieve climate goals.
Oil and gas corporations are also adapting to the new realities. Part of the windfall from high hydrocarbon prices is being directed towards "green" projects—from offshore wind farms to green hydrogen production. Many companies have set goals for achieving carbon neutrality by 2050 and are increasing their presence in the renewable energy sectors, biofuels, and energy storage to maintain their competitiveness in the future.
At the same time, the energy transition faces challenges. In certain countries, changes in political direction (for example, in the U.S.) are temporarily weakening state support for clean energy, yet the private sector continues to actively invest in renewable energy. Thus, the "green" trend remains a strategic direction, even if short-term fluctuations due to political circumstances are possible.
Coal Market: Demand Close to Historical Maximums
Global coal consumption reached a record level in 2025, primarily driven by Asian countries, where rising electricity demand and high gas prices have led to increased coal burning. The coal market remains tight, with prices holding at high levels. However, as renewable energy is rapidly implemented, global demand is expected to plateau soon, followed by a decline. For now, coal remains an essential source for baseload generation, particularly in developing economies.
Russian Oil Product Market: Price Stabilization through State Efforts
By the beginning of 2026, retail prices for gasoline and diesel in Russia stabilized after a sharp rise last year caused by tax changes and increased exports. The government intervened in the situation, temporarily restricting the export of oil products and providing subsidies to refineries to saturate the domestic market. These measures halted the price surge.
Authorities express readiness to extend regulation to prevent a new fuel crisis. At the same time, a phased lifting of the gasoline export ban is being considered to avoid storage overflow and refinery surpluses. Thus, the balance of interests between consumers and fuel producers is maintained through manual methods—the government continues to play a crucial role in ensuring price stability in the domestic market.
