Texas Energy Report NewsClips
Tuesday December 30, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices retreated a touch early on Tuesday after rising more than 2% in the previous session, partly driven by spillover from a pullback in precious metals even as escalating Russia–Ukraine tensions left markets grappling with supply disruption fears.
U.S. West Texas Intermediate crude eased 20 cents, or 0.3%, at $57.88.
Brent crude futures for February delivery , which expires on Tuesday, were down 21 cents, or 0.3%, at $61.73 a barrel as of 0150 GMT. The more active March contract was at $61.30, down 19 cents or 0.3%.
Both contracts settled more than 2% higher in the previous session after Moscow accused Kyiv of targeting President Vladimir Putin’s residence, stoking fears of supply disruptions.
“The selling you are seeing now is probably some spillover weakness generated by the significant correction we saw in precious metals that is bound to impact pretty much every other commodity,” Marex analyst Ed Meir said.
Top Stories
Oil Price – December 19, 2025
Oil Executives Brace For Another Tough Year Ahead
Oil executives expect oil markets to remain depressed, with respondents projecting West Texas Intermediate (WTI) oil prices to finish 2026 at $62 per barrel, lower than the average of $65.32 per barrel that the EIA has projected for 2025. For some context, the EIA projects Brent crude to average $55.08 per barrel in 2026 while WTI is expected to average $51.42 per barrel.
Oil executives expect oil markets to be oversupplied in 2026 if the Trump administration succeeds in ending the Ukraine conflict and Russian sanctions are lifted; however, if Russian sanctions continue, along with reduced oil volumes from Iran and Venezuela, markets may approach a balanced position. The energy leaders are more bullish about longer-term expectations, predicting WTI prices to average $69 per barrel in 2027 and $75 per barrel by 2029/2030.
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Fortune – December 26, 2025
Little-known underground salt caverns could slow the AI boom and its thirst for power: Jason Blum
A slow-starting race to build underground salt caverns could hamper the AI data center boom and weaken power delivery for the massive computing facilities that typically require 99.999% reliability. About half as much new gas storage is planned than will be needed in the future, industry sources estimate.
Yes, you read that correctly, salt caverns. Manmade reservoirs thousands of feet below the surface are ideal storage structures for the volume of natural gas required to power AI data centers being built by hyperscalers and to feed the rapid growth of gas-exporters along the U.S. Gulf Coast.
U.S. natural gas output is projected to spike another 15-25% from 2024 through 2030—and continue rising—because of a doubling of gas exports and a surge in domestic demand from the data center construction wave, ongoing electrification, and manufacturing onshoring.
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Energy Now – December 29, 2025
Frontera Signs Deal to Supply Crude Oil to Chevron Unit for Up to $120 Million
Frontera Energy’s Colombian unit has signed a prepayment and commercial agreement worth up to $120 million with a unit of U.S. oil major Chevron to supply crude oil over two years, the Canadian oil producer said on Monday. Under the deal, Frontera will receive an initial $80 million advance and supply a portion of its crude output to Chevron Products Company.
Frontera may seek an additional $40 million advance for up to six months on a fully committed basis. The agreement replaces an existing prepayment arrangement set to expire at the end of January 2026, Frontera said.
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Bloomberg – December 19, 2025
Russian Oil Tankers Cleave to Turkish Coast to Cut Drone Risks*
Oil tankers hauling Russian crude across the Black Sea are taking a roundabout route along the coastlines of Georgia and Turkey — a measure that might help them to reduce the risk of being targeted by Ukrainian sea drones. Vessel tracking data compiled by Bloomberg shows at least two tankers that recently loaded cargoes at Russia’s Black Sea port of Novorossiysk taking a coastal route to the Bosphorus, rather than making the more normal trip straight across the middle of the sea. The detour adds about 350 miles, or 70%, to the journey from the port to the Turkish straits.
There’s a chance that the ships are providing false digital positions — something that’s become increasingly common on Russian shipments as the war continues. However, satellite imagery reviewed by Bloomberg showed at least one of the vessels on a detour on Wednesday. The image puts the ship about 4.4 nautical miles away from its digital position signal 20 minutes earlier, adding weight to identification based on the tanker’s dimensions, color and deck layout. That ship is the Jumbo. Its insurer and beneficial owner are unknown and it sails under the flag of Sierra Leone, according to data compiled by Bloomberg.
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El Pais – December 29, 2025
80,000 barrels of Mexican oil sent to Cuba: Havana drawn into the US–Mexico clash
While Mexico was calling for a peaceful solution to the crisis between the United States and Venezuela at the United Nations, two oil tankers flying the Liberian flag were sailing near Cuba. Both vessels had departed from the port of Coatzacoalcos in the Mexican state of Veracruz, specifically from the Pajaritos terminal owned by the Mexican state oil company Petróleos Mexicanos (Pemex), which is tasked with delivering barrels of oil to the island to help alleviate the energy crisis that Cuba has been facing for months.
The United States quickly viewed the shipment as a sign of support for the Cuban regime, intensifying the already strained and complex relations between Mexico and the U.S.
The Latest TERse Tips
Saudi Arabia Bombs Yemeni Port City Over Weapons Shipment from the U.A.E. — the airstrikes escalate tensions between two longtime Persian Gulf allies and create a headache for the Trump administration — The Wall Street Journal*
Amplify Energy Corp. said Monday that it closed the previously announced transaction to sell its interests in Oklahoma for a contract price of $92.5 million — see the press release
Pipeline & Gas Journal notes Energy Transfer plans to upsize the Transwestern Desert Southwest expansion after strong open season demand, increasing pipeline capacity and reinforcing natural gas supply to fast-growing markets in Arizona and New Mexico
The Trump administration on Wednesday issued emergency orders to keep two set-to-be-shuttered coal plants in Indiana running through the end of the year, providing a lifeline to a favored industry while arguing it would ensure people with secure and affordable electricity — The Hill
Data centers are increasingly using jet engine-based turbines and fossil fuel generators to meet electricity demands due to grid connection delays and supply chain bottlenecks. Companies like GE Vernova and ProEnergy are seeing a rise in orders for these power solutions. While on-site power costs are higher, they provide immediate electricity, allowing data centers to operate without waiting for grid access. This trend may change as tech companies adjust infrastructure spending — Financial Times*
The Bureau of Land Management has approved a multistate power line project originally planned to carry renewable energy across the desert Southwest but now being billed as a necessary upgrade to an aging and increasingly overstressed regional power grid — Politico*
The Trump administration announced sanctions on Russian oil giants, including Lukoil PJSC, which has affected small American business owners who operate Lukoil-branded gas stations in the US — Bloomberg*
Oil & Gas Texas
Midland Reporter-Telegram – December 27, 2025
Permian gas seen driving U.S. LNG growth as pipelines expand, report says*
Global thirst for U.S. liquefied natural gas is expected to be met by Permian Basin natural gas finding its way to the Gulf Coast via pipelines. A new report from Enverus Intelligence Research lays out just how critical Permian Basin natural gas will be. EIR projects U.S. LNG feed gas demand will rise to 33 billion cubic feet a day by 2030, with the potential to approach 50 Bcf a day if planned expansions move forward. To support this growth, approximately 9 Bcf a day of new Permian pipeline capacity is expected to be added eastward toward the Gulf Coast.
The additions would connect West Texas output with the Agua Dulce and Katy hubs, along with 12.25 Bcf a day of additional pipeline capacity along the coast dedicated to supplying LNG facilities and mitigating bottlenecks. “While there is ample pipeline capacity from the Permian Basin and along the Gulf Coast to supply incremental LNG feed gas to 2030, the challenge lies in ensuring long-term natural gas supply for additional LNG expansion,” said Alex Ljubojevic, a director at EIR, in the report. The Haynesville play is expected to peak at 19 Bcf a day in 2033 before declining, limiting its ability to support future LNG expansions.
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Midland Reporter-Telegram – December 29, 2025
Permian Basin operators brace for tough 2026, eye 2027 rebound*
Permian Basin oil and gas operators are ending 2025 in an economic downcycle as oil prices sank below $60 a barrel, activity declined and uncertainty gripped the industry. Those conditions are not expected to change in 2026, with a number of analysts predicting oil prices could fall further, resulting in U.S. oil production levels remaining flat to slightly lower for the year. However, those same analysts say that, while 2026 could be a rough year economically, the stage is being set for prices to rebound in 2027.
Analysts explain that the slowdown amid weak prices is resulting in underinvestment in drilling while global oil demand continues to grow. That shortfall between supply and demand could send prices higher by the end of 2026 into 2027.
Permian Basin operators are also expected to continue pivoting towards natural gas amid strong demand for Permian Basin gas for liquefied natural gas exports overseas and to power artificial intelligence data centers being planned for the region. That demand is expected to result in higher natural gas prices, which will be a boon to producers who have seen prices at the Waha hub in Reeves County go negative numerous times in the last two years.
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Bloomberg – December 29, 2025
Chevron Ships Unload Venezuelan Oil in US Ports Amid Blockade*
At least two vessels chartered by Chevron Corp. that picked up oil from Venezuela since the Trump administration launched a partial maritime blockade have successfully unloaded cargoes at US ports, according to data reviewed by Bloomberg.
Chevron, which holds a US license to drill and export oil from the sanctioned country, has finished discharging a cargo from the vessel Searuby and is in the process of unloading ship Canopus Voyager, according to Bloomberg tanker tracking. A ship called Nave Neutrino also off-loaded Venezuelan crude in the US Gulf Coast over the past few days, data from maritime intelligence firm Kpler show, though its unclear whether it’s chartered by Chevron.
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Oil Price – December 29, 2025
The Permian Is Drowning in Its Own Wastewater
The first signs of serious trouble emerged earlier this year, when the Texas Railroad Commission sent out notices to companies applying for licenses for wastewater disposal wells in the basin, stating that there were ground pressure issues caused by wastewater disposal. The number of new ones was to be restricted. Wastewater disposal, the Railroad Commission wrote in the letters sent out in May, “has resulted in widespread increases in reservoir pressure that may not be in the public interest and may harm mineral and freshwater resources in Texas.” The RRC added that “Drilling hazards, hydrocarbon production losses, uncontrolled flows, ground surface deformation, and seismic activity have been observed.”
It is difficult to find a solution to this problem without compromising oil production, and while local communities may not have a big problem with that, the industry will. So decision-makers in relevant positions are considering options. One of these, per a recent Bloomberg report, is releasing the water—after treating it—into local rivers.
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Yahoo! News – December 29, 2025
‘Expect higher prices in 2026.’ Texas energy professor weighs in on cheap gas
Low demand and too much supply: these basic economic principles are what University of Texas Energy Professor Michael Webber said are behind the current drop in prices. AAA reports the current national average for regular gas as $2.83, which is the lowest price in more than four years. Locally, gas is even cheaper, averaging $2.37 in the Austin area. Webber talked with KXAN about what’s impacting the oil and gas market, the impact it’s having on Texas, and his expectation for future pricing. …
Tom Miller: How do low prices affect jobs, state revenue, and businesses connected to energy production here in Texas?
Webber: It’s a mixed bag because a lot of us are consumers. If you consume gasoline for a fleet of cars or trucks for your business, or for commuting, this is good news because you’ll spend less money and that can be economically advantageous. But for producers, it’s really rough. They can’t sell gasoline for as much, and low oil prices mean less production, less drilling, and other economic consequences. Texas is more exposed because as a state, we benefit when prices are higher. When prices are high, there’s more production, more jobs, and more economic activity. It also means more tax payments to the state. Texas makes a lot of money from oil and gas, both directly and indirectly. That revenue supports schools, parks, libraries, county governments, and courthouses.
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Albuquerque Journal – December 24, 2025
NM AG files lawsuit against Texas oil, gas well operators
Three Texas men used shell companies to pocket revenues from hundreds of New Mexico oil and gas wells while leaving the state with cleanup costs for abandoned properties, Attorney General Raúl Torrez alleges in a new lawsuit.
The suit describes a complex asset-stripping scheme in which profitable wells were placed in certain companies while non-productive wells remained in other companies that filed for bankruptcy. The lawsuit was filed Tuesday in 1st Judicial District Court in Santa Fe on behalf of New Mexico and the state Energy, Minerals & Natural Resources Department.
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Texas Standard – December 15, 2025
The three stories that defined Texas energy in 2025
Exports have hit a record for LNG. So we’ve seen new LNG terminals such as Plaquemines just pushing out a lot of LNG. There’s also the demand for it, right? I think about 70% of it is going to Europe because Europe’s trying to pivot away from Russia. But on the oil side of things, we haven’t hit a record actually. So Europe has been pulling back a little bit, but we’ve had increasing competition into Europe. But one reason, actually, it’s been lower to Asia is because of tariffs. And so China’s purchasing has basically all but dropped off there.
Q: You know, in any other year that might have been your No. 1, but let’s let’s now shift from No. 3 to No. 2. What’s your second-biggest energy story?
A: I think we’ve got to go with Texas power, and there’s a few bits here.
So the main one is really just the expectations of AI and data centers there. They’re going to be the largest component driving energy demand growth in Texas in the coming years here.
Oil & Gas National & International
Oil Price – December 29, 205
Why Saudi Arabia Just Moved Into Syria’s Oil And Gas Fields
Saudi Arabia’s recent agreements with the Syrian Petroleum Company to help revive and develop Syria’s long-neglected oil and gas fields are not a benevolent Gulf gesture but the latest step in a carefully sequenced post-Assad strategy shaped in Washington and London. The removal of Bashar al-Assad last December — driven as much by Syria’s pivotal geography and Mediterranean frontage as by the desire of the new U.S. administration to demonstrate its willingness to unseat entrenched autocrats — created a vacuum that Western planners were determined not to fill with another Iraq-style occupation.
Instead, they have opted for a reconstruction model fronted by powerful Arab states, with Western firms embedded behind them. The UAE’s early lead in resuscitating Syria’s gas sector was the first signal of this shift; Riyadh’s move into that sector – and its vital oil space too — is the second, and it aligns neatly with Washington’s broader effort to re-anchor regional influence and revive the architecture of Arab?Israeli normalisation that defined Donald Trump’s first term.
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December 29, 2025
You deserve to know why Trump wants war with Venezuela: Houston Chronicle*
America’s war in Vietnam, we should remember, only really took off with the Gulf of Tonkin incident, when American ships became frightened of hostile torpedoes that didn’t actually exist, giving President Lyndon B. Johnson the perfect pretext to escalate the conflict. And the blockade of Cuba during the Missile Crisis almost resulted in a hot war between the United States and the Soviet Union. There’s also the fact that the Constitution mandates that Congress debate and approve a decision to begin a military conflict. This is a responsibility that Congress has too often tried to duck. Last week, the House failed to pass a narrow measure which would have barred military strikes in Venezuela by a vote of 211 to 213.
Congress should affirmatively debate what is happening in the Caribbean more broadly and make clear its preferences, putting itself on the record. And Texans should ask their candidates for Congress — especially Rep. Wesley Hunt, Texas Attorney General Ken Paxton and Sen. John Cornyn in the Republican primary for Senate — what they would support in office. Perhaps the crisis around Venezuela will pass, as other foreign policy crises have passed in the first and second Trump administration. But we may be muddling through an inflection point. Houston has long been shaped by the geopolitics of oil as well as our deep ties with Latin America. We understand that the foreign entanglements Washington warned against are inevitable in the 21st century, but war should be a last resort.
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Financial Times/Aberdeen Business News – December 29, 2025
North Sea oil suffers worst year since production began as drillers freeze investment
The UK North Sea oil and gas industry endured its most challenging year for exploration in 2025, with future investment projected to plummet significantly. Companies halted new drilling activities amid profound uncertainty surrounding the government’s evolving tax policies, leading to a historic low.
According to energy consultancy Wood Mackenzie, no exploration wells were drilled in UK waters throughout 2025. This marks the first year without fresh exploration activity in the North Sea since oil and gas discoveries began in the 1960s. The financial outlook is equally stark, with investment, which stood at £4.4 billion in 2025, expected to fall by over 40 per cent to just above £2.5 billion in 2026. This would represent the lowest investment level since the tumultuous early 1970s, a period characterised by high costs, industrial unrest, and rampant inflation within the UK oil sector.
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NPR – December 25, 2025
Why some U.S. oil companies aren’t interested in returning to Venezuela
…[A]ccording to Politico, some American oil companies have already told Trump that they are not interested in returning to the country, even if there is a regime change. Venezuela has the world’s largest oil reserves, so why wouldn’t America’s oil giants want to do business there? Well, to help us answer that question, we’re joined now by Scott Modell, CEO of the energy consulting firm Rapidan. Welcome.
CHANG: Well, are you having those conversations with board members? Like, do you have any sense of how the heads of oil companies have been reacting to the developments in Venezuela right now?
MODELL: I think they’re looking at it with caution. I don’t think that they’re eager to jump in. I know the president is eager to see Conoco back in and Exxon back in, and for us to quickly follow a regime change of sort, with inflow of U.S. companies, back to the way things were. But the boards are going to be very reluctant. Until you have a stabilizing of above-ground political risk in Venezuela – and that’s going to take years – I don’t think you’re going to see them rushing back in.
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S&P Global Platts – December 29, 2025
Commodities 2026: Asian refiners drawn to US crude imports for economic and diplomatic gains
Major East Asian refiners are expected to continue purchasing light sweet US crude in 2026 as they seek to diversify feedstock suppliers to mitigate geopolitical risks and improve margins, while maintaining strong diplomatic relations with Washington.
Most East Asian refiners rely primarily on sour crude supplies. However, by purchasing light sweet US crude grades, such as WTI Midland and West Texas Light, they seek to enhance energy security and stabilize supply chains, according to feedstock and inventory managers at state-run and major private-sector refiners in South Korea, Japan, Thailand and Taiwan, including PTT and ENEOS.
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World Oil – December 29, 2025
Woodside signs long-term LNG supply agreement with Türkiye’s BOTAŞ
Woodside has executed a binding long-term LNG sale and purchase agreement with Türkiye’s state-owned natural gas company Boru Hatları ile Petrol Taşıma A.Ş., converting a non-binding heads of agreement signed in September into a firm contract.
Under the terms, Woodside will supply BOTAŞ approximately 0.5 million tonnes per annum of LNG—equal to about 5.8 Bcm of natural-gas equivalent—over a period of up to nine years beginning in 2030. LNG will be sourced primarily from the under-construction Louisiana LNG project in the U.S., complemented by volumes from Woodside’s global portfolio.
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The New York Times – December 27, 2025
How Oil, Drugs and Immigration Fueled Trump’s Venezuela Campaign*
On a spring night in the Oval Office, President Trump asked Secretary of State Marco Rubio how to get tougher on Venezuela. It was just before Memorial Day, and anti-leftist Cuban American lawmakers whose votes Mr. Trump needed for his signature domestic policy bill were urging him to tighten a vise on Venezuela by stopping Chevron’s oil operations there. But Mr. Trump did not want to lose the only U.S. foothold in Venezuela’s oil industry, where China is the biggest foreign player. The president was considering allowing Chevron to continue. But he told Mr. Rubio, a longtime hawk on Venezuela and Cuba, that they had to show the lawmakers and other doubters they could bring the hammer down on Nicolás Maduro, the leftist autocratic leader of Venezuela, whom Mr. Trump had tried to oust in his first term.
Another aide in the room, Stephen Miller, said he had ideas. As Mr. Trump’s homeland security adviser, he had been talking with other officials about Mr. Trump’s campaign vow to bomb fentanyl labs. For various reasons, that notion had faded, and in recent weeks Mr. Miller had turned to exploring attacks on boats suspected of carrying drugs off the shores of Central America.
Mr. Miller’s deliberations had not focused on Venezuela, which does not produce fentanyl. But three separate policy goals began merging that night — crippling Mr. Maduro, using military force against drug cartels and securing access to Venezuela’s vast oil reserves for U.S. companies. Two months later, Mr. Trump signed a secret directive ordering the Pentagon to carry out military operations against Latin American drug cartels and specifically calling for maritime strikes. Though the justification was drugs in general, the operation would concentrate enormous naval firepower off the coast of Venezuela. The result has been an increasingly militarized pressure campaign intended to remove Mr. Maduro from power.
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Energy Now – December
Five Energy Market Trends to Track in 2026, the Year of the Glut: Ron Bousso
Energy markets enter 2026 in a downbeat mood as geopolitical uncertainty clouds the outlook and increasing signs of swelling oil and gas supplies threaten to sink prices.This past year was a wild one for the oil and gas industry, punctuated by the 12-day Israel-Iran war in June, U.S. President Donald Trump’s trade wars, the intensified targeting of energy infrastructure in Russia in its war against Ukraine, OPEC’s often perplexing production decisions and the recently threatened U.S. blockade of Venezuela.
So what’s in store for next year? Here are five trends likely to shape the energy landscape in 2026 and beyond. Investors will keep a razor-sharp focus on signs of swelling oil inventories next year after crude prices fell nearly 20% in 2025 to about $60 a barrel on fears of significant oversupply. Global oil output has surged over the past year. The U.S. – the world’s biggest oil producer – ramped up production, as did Canada and Brazil, while the Organization of the Petroleum Exporting Countries and its allies including Russia, a group known as OPEC+, reversed years of cuts.
Utilities, Electricity & Renewables
Utility Dive – December 23, 2025
Energy industry dealmaking soared in 2025 on large utility, IPP mergers
Energy sector mergers and acquisitions totaled nearly $142 billion from November 2024 to November 2025, up from just under $28 billion during the same time period last year, according to an analysis from PwC. The sharp increase was driven more by growth in the scale and value of deals than by the total number of mergers and acquisitions in 2025, the firm said. It tallied 35 deals in 2025 compared to 30 in 2024. “Smaller and mid-tier utilities increasingly sought combinations to strengthen balance sheets and capture scale ahead of rising reliability and electrification needs,” the report said.
PwC attributed the surge to “load growth opportunities” from electrification and data center demand, “continued portfolio rationalization among regulated utilities, the return of large, regulated utility mergers, and deployment of infrastructure fund capital into long-duration yield oriented assets.” It predicted sustained deal momentum into 2026.
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pv magazine – December 19, 2025
US battery market faces a make-or-break year in 2026
2025 was a tumultuous year for the energy storage industry, and it left market forces tugging the industry in different directions. AI and data center-driven energy demand is skyrocketing while electricity prices are hitting highs; battery costs are shifting unevenly, project economics are under strain and a suite of policies set to come into effect in the New Year will cause even more shake-up.
ESS News spoke with leaders from around the energy storage industry to learn more about what they expect for the year ahead. Rising electricity prices will push storage further into the spotlight as a cost and reliability solution.
“Everything is getting more expensive for families (groceries, household goods, gas) but electricity doesn’t have to be. We’re entering what I see as a twin crisis: the need for a more reliable electricity supply and relief for ratepayers facing rising costs. In 2026, the real test for the energy industry will be whether we can move fast enough to tackle both. Speed to market will be the single biggest driver of energy deployment next year, and energy storage can scale fast and cost effectively.” – Arvin Ganesan, CEO, Fourth Power
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Politico – December 25, 2025
Data centers fight uphill battle on energy messaging*
Data centers are facing a significant backlash from the public and some policymakers over their energy usage, but the companies backing the projects may not be doing enough to push back. Technology giants fueling the data center boom like Google, Meta and Amazon have been active in state utility regulatory proceedings and local government fights where they want to build facilities. They’ve also bolstered their Washington lobbying on the issue.
The companies argue projects are paying their fair share for electricity and any burdens they bring to the electric grid, and can even reduce prices for other customers. But as the industry increasingly faces charges that data centers are harmful to the electric grid, are the main cause of skyrocketing electricity bills and use polluting energy sources, the companies’ rebuttals don’t seem to be getting through. “Whatever they’re doing right now is clearly not working from a communications and lobbying perspective,” said Nate Mason, a former energy analyst at the State Department who has studied the effects of data centers on the electric grid and argued that they can bring numerous benefits.
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Utility Dive – December 23, 2025
The biggest roadblock to the energy transition is neither technology nor finance, nor is it a lack of ambition; it is uncertainty. We are operating on limited information and trying to make an educated guess for a better, cleaner future. The transition requires answers to essential questions, such as when electric vehicles and heat pumps will be scaled up?
How much energy will data centers require? When will we reach net-zero emissions? These are not technical or financial questions; instead, they are questions about the future, and the most crucial tool we use for answering them is forecasting and scenario modeling.
Regulatory
Bloomberg – December 24, 2025
The Climate Stories Bloomberg Green Most Admired This Year
In the dark, chilly winter months, it’s not uncommon to walk down one of London’s more affluent residential streets without noticing the smell of wood smoke. Bittersweet and pungent, the odor typically comes from an appliance that has become the epitome of British middle-class aspiration: the wood-burning stove. These squat metal burn boxes have become a must-have for the city’s affluent homeowners. Between 2009 and 2024, the number of stoves in single-family homes, typically occupied by wealthier people in the UK, rose by more than 25%.
Their appeal is easy to understand. They slot into the old fireplaces ubiquitous in houses built before World War II, but heat more cleanly and efficiently than open hearths. The sight of flames flickering behind glass front panels makes a room effortlessly cozy. For those who prefer their pleasures seasoned with virtue, they can be carbon neutral if fueled with sustainably sourced wood. This year, however, the conversation around wood burners has darkened — particularly in London. The government is considering tightening standards on new stoves in order to meet pollution targets. And activists’ placards have begun appearing on fences and lampposts, highlighting that wood burners release potentially carcinogenic particulates into London’s already polluted winter air.
Meanwhile, stove owners are complaining that what they see as a harmless, traditional way to brighten the long winter months is being discussed as a pollutant alongside private jets or coal-fired power plants. Appliances once seen as a double-win — making your neighbors jealous and reducing your carbon footprint — are now dividing people. Stoves have become popular partly because they meet a very contemporary hunger for cozy domesticity during troubled times. “Wood burners are just one of those aspirational middle-class things nowadays,” says Tabitha Tew of north London fireplace and stove merchants Amazing Grates. “It’s like only eating red meat once a week, and having a crossbreed dog that doesn’t molt,” she says.
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Texas Border Business – December 24, 2025
Proposed Changes to Greenhouse Gas Reporting Requirements: What Texas Businesses Need to Know
Texas has long been the backbone of America’s energy economy, and that leadership is stronger than ever today. Texas is the nation’s top producer of crude oil and natural gas, accounting for roughly 43 percent of U.S. crude oil production and 28 percent of natural gas production, while also leading the country in wind electricity generation. This all-of-the-above energy leadership reflects decades of investment in infrastructure, innovation, and workforce development programs to meet the evolving needs of our dynamic energy industry.
But all of those investments share a common requirement that every business operation across every sector desperately needs: stability. For Texas businesses making multi-decade, capital-intensive decisions, predictable rules and consistent data – at both the state and federal levels – are critical regardless of political leadership in Austin or Washington.
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The New York Times – December 22, 2205
How Trump’s First Year Reshaped U.S. Energy and Climate Policy*
In his first year back in office, President Trump has rapidly reshaped America’s climate and energy landscape. His administration dismantled a wide range of climate and pollution regulations, began to overhaul how the federal government responds to disasters and gave a boost to fossil fuel production and nuclear power while attempting to curtail the growth of wind and solar energy. The changes have reverberated far beyond the United States, as the administration has pressured other countries to abandon their own efforts to tackle global warming. Here’s a look at some of the biggest changes in U.S. energy and climate policy in 2025:
Over the past year, the Environmental Protection Agency has moved to delay, ease or eliminate more than a dozen regulations governing air pollution, water contamination and planet-warming greenhouse gas emissions, a New York Times analysis found. The Times analysis, based on research from Harvard Law School, Columbia Law School and other sources, counted four proposed rollbacks of air pollution rules. In June, for instance, the E.P.A. moved to repeal a Biden-era regulation that required coal-burning power plants to cut emissions of mercury, a neurotoxin.
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Bloomberg – December 22, 2025
Here’s the Bad Climate News You Missed This Year: Dave Fickling*
It might have seemed in 2025 that every piece of bad news for the global climate and energy transition had some sort of connection to President Donald Trump. If only it were so simple. In fact, there are plenty of negative factors well away from the White House that have damaged our chances of tackling global warming, and many might have been ignored amid the drumbeat of more high-profile news. For the past few years, I’ve been trying to highlight some of these neglected issues that we should be worrying more about. Here’s my summary of three troubling developments that flew below the radar:
One huge success for the environment in recent years has been the reduction in emissions of particulates in many parts of the world — in China, from shipping, and in urban areas of developed countries. Right? Well, kinda. While the fall in sulfur dioxides, nitrogen oxides, and ozone has been an unquestioned benefit for human health, more evidence has emerged over the past year pointing to how it’s accelerated the pace of global warming and contributed to more volatile rainfall.
Such particulates help to reflect sunlight back into space and effect the formation of water droplets in clouds. With fewer of them about, more sunlight reaches the ground to warm the planet, and storms can become more violent. Changes in cloud brightness driven by fewer particulates over the past two decades may have contributed about half as much to the world’s climate imbalance as carbon dioxide emissions, according to one study published in November. That means that we may be underestimating how much the planet will warm in response to carbon pollution.
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Texas Energy Report NewsClips
Monday December 29, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices rose on Monday as investors weighed the outcome of talks between the U.S. and Ukrainian presidents on a potential deal to end the war in Ukraine, as well as Middle East tensions that could disrupt supply.
West Texas Intermediate crude was up 58 cents, or 1.02%, to $57.32.
Brent crude futures rose 63 cents, or 1.04%, to $61.27 per barrel at 0443 GMT.
Top Stories
The New York Times – December 28, 2025
Trump Says the U.S. Struck a ‘Big Facility’ in Campaign Against Venezuela*
President Trump said in a radio interview that the United States had knocked out “a big facility” last week as part of his administration’s campaign against Venezuela, an apparent reference to an American attack on a drug trafficking site. American officials said that Mr. Trump was referring to a drug facility in Venezuela and that it was eliminated, but provided no details. Military officials said they had no information to share, and the Central Intelligence Agency declined to comment. The White House declined to comment.
Mr. Trump made his statement on Friday during an interview with John Catsimatidis, the Republican billionaire and supporter of the president who owns the WABC radio station in New York. The two men were discussing the U.S. military campaign to disrupt drug trafficking from Latin America by striking boats suspected of carrying narcotics. “They have a big plant or a big facility where the ships come from,” Mr. Trump said, without saying where it was or explicitly identifying Venezuela as the target. “Two nights ago we knocked that out.”
If Mr. Trump’s suggestion that the United States had struck a site in the region proves accurate, it would be the first known attack on land since he began his military campaign against Venezuela. U.S. officials declined to specify anything about the site the president said was hit, where it was located, how the attack was carried out or what role the facility played in drug trafficking. There has been no public report of an attack from the Venezuelan government or any other authorities in the region.
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Texas Tribune – December 24, 2025
Texas comptroller GOP primary attracts big money from donors with business before the agency
The GOP primary for Texas comptroller of public accounts is shaping up to be an expensive one, with candidates hauling in millions in contributions from donors whose businesses will be affected by the decisions of the state’s next chief financial officer.
The three candidates in the race had collectively raised nearly $10 million as of early September, even as two of the contenders were under a fundraising moratorium for the first half of the year, while the Legislature was in session. Former state Sen. Don Huffines leads the pack, followed by Railroad Commission Chair Christi Craddick and Interim Comptroller Kelly Hancock. In comparison, former comptroller Glenn Hegar and his primary opponents had raised a combined $674,000 around at the same point in the 2014 cycle, the last time the office was open.
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Dallas Morning News – December 4, 2025
Texas grid operator sees calmer winter, low blackout risk this season*
The weather outside is far from frightful this Christmas week, but winter still carries echoes Texans haven’t forgotten. Nearly five years after a devastating, nearly weeklong freeze, grid officials say the chances of blackouts this season are low, though not eliminated. ERCOT, the state’s power grid operator, has projected about a 1% chance of ordering rolling blackouts in January and February, a last-resort move to keep the system from failing when demand overwhelms supply. The outlook is improved from recent winters, though a 2021-style freeze would again push outage risks sharply higher.
That’s when an extreme winter storm blanketed the state in snow and ice for days. It overwhelmed power plants, fuel supplies and equipment, forcing grid managers to cut electricity to prevent a grid collapse. Millions of Texans lost power, many for days. More than 200 deaths were later linked to the prolonged cold and loss of heat. Billions of dollars in economic damage were reported statewide.
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Midland Reporter-Telegraph – December 24, 2025
Diamondback, Granite Ridge invest in power generation*
Two oil companies are investing in efforts to develop new natural gas power generation in West Texas. Diamondback Energy and Granite Ridge have entered into financial agreements with Conduit Power as Conduit develops 100 megawatts of new generation for sale of energy and ancillary services to the Electric Reliability Council of Texas. Under the agreements, Conduit will build, own and operate a total of 200 MWs of distributed power generation capacity to be strategically located across ERCOT’s Load Zone West in West Texas. Diamondback and Granite Ridge will each commit to a fixed capacity payment to Conduit in exchange for a preferred share of power proceeds generated by Conduit. Following installation and grid interconnection, Conduit will operate and dispatch the power and related services in ERCOT through its qualified scheduling entity (“QSE”).
Matt Herpich, Conduit’s chief executive officer, told the Reporter-Telegram the agreement is for 200 megawatts consisting of 20 10-megawatt sites built at distribution substations in ERCOT’s Load Zone West. They will utilize reciprocating engines. “This agreement is under Conduit’s Edge program building 10 megawatts distributed generation plants and allowing E&P companies to participate in capacity payments in exchange for merchant power proceeds. Effectively, we act as a midstream gas-to-power play. This structure is commercially similar to the structure we have in our JV with Riley Permian. We have the ability to extend the partnership to other interested E&P companies, as the opportunity exists for more scale,” Herpich said.
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Houston Chronicle – December 24, 2025
Shell, subsidiary discover oil in new spot in Gulf of Mexico*
Like finding that extra present under the Christmas tree or picking out that travel bottle of Maker’s Mark deep down in your stocking, Shell and one of its subsidiaries just made a holiday time discovery in the Gulf of Mexico. UK-based INEOS Energy announced Monday that via an exploratory well called Nashville—which it partly operates alongside global energy behemoth Shell—it found “high-quality oil” in a Gulf deepwater formation. INEOS said it marks the company’s very first discovery in the Gulf.
“This is a good result for INEOS Energy and an important step in building our presences in the U.S. Gulf where world-class resources are to be found and developed responsibly,” said INEOS Energy David Bucknall in a statement. “We believe Nashville will help strengthen energy security and provide reliable supplies for many years to come.” Shell, which maintains U.S. headquarters in Houston, has a 79 percent interest and INEOS a 21 percent interest in the exploratory well (or test to see if there’s oil down there) Nashville. For the well, Shell and INEOS used the offshore rig Deepwater Proteus, which was built in 2016 and is doing work for Shell through May 2026.
The Latest TERse Tips
Prominent South Texas businessman, Abbott appointee shot dead in McAllen — Eddy Betancourt, 61, ran a construction company and was a board member of the Hidalgo County Appraisal District. He was found dead Saturday afternoon from a gunshot wound — San Antonio Express-News*
Million gallons of sulfuric acid released after walkway collapses at east Harris County plant — Houston Chronicle*
University of Houston researchers say they’ve developed an ultra-thin film that could help AI chips run faster and use far less energy—a potential breakthrough as the power demands behind artificial intelligence continue to skyrocket — Houston Chronicle*
New Era Energy & Digital Inc has secured a deal to buy Sharon AI Inc’s 50 percent stake in their equally owned Texas Critical Data Centers project, an under-development power and artificial intelligence data center project in Ector County — Rigzone
Austin Energy is seeking proposals from qualified and experienced companies for the development of local energy resources — see the press release
Oil & Gas Texas
Oil Price – December 23, 2025
US Oil Drillers See Increased Activity
The total number of active drilling rigs for oil and gas in the United States rose by 3 this week, according to new data that Baker Hughes published on Tuesday, bringing the total rig count in the US to 545 this week, down 44 from this same time last year.
The number of active oil rigs rose by 3 in the reporting period, according to the data, after US drillers saw an 8-rig decline in the week prior. Oil rigs are now at 409, which is 74 below this same time last year. The number of gas rigs stayed the same at 127, which is 25 more than this time last year. The miscellaneous rig count also stayed the same at 9. The latest EIA data showed that weekly U.S. crude oil production fell by 10,000 bpd in the week ending December 12 to 13.843 million bpd on average, just 9 million bpd under the all-time high.
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Energies Media – December 27, 2025
The rapid expansion of the US oil and gas market is set to reshape the global energy market in the new year. 2026 will see a surge in new pipelines and energy projects in the United States. The federal government has been opening up the market to new and existing pipeline expansions that will deliver vast amounts of natural gas to the regional, national, and international energy markets. The Rio Bravo Pipeline Project is one of many that will increase the US gas supply chain to reach new heights in 2026.
The US government has mandated a new surge in oil and gas developments. When Donald Trump was embroiled in his second Presidential campaign, he promised that the US would drastically increase output capacity from the conventional oil and gas sector. While most simply dismissed this as campaign rhetoric, the reality of what he meant has now become all too evident. The US has seen a significant surge in new oil and gas production since Trump took office and implemented a new executive order aimed directly at the US energy market.
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Rigzone – December 24, 2025
Kinder Morgan, Phillips 66 to Launch New Open Season for Western Gateway
Phillips 66 and Kinder Morgan Inc said they had closed the initial open season for a proposed refined products pipeline from Texas to Arizona and would launch another open season next month. The planned project, called Western Gateway Pipeline, includes a newbuild pipeline from Borger to Phoenix. This would be connected to Kinder Morgan’s existing SFPP pipeline from Colton, California, to Phoenix, Arizona, which would be reversed to flow to California, according to the partners.
The Phillips 66-operated Gold Pipeline, currently flowing from Borger to St Louis, would also be reversed to carry refined products from Mid-Continent refineries to Borger and supply Western Gateway, according to the Western Gateway partners.
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Energy Now – December 27, 2025
Freeport LNG Reports All Three Trains at Texas Export Plant Experienced a Trip
U.S. liquefied natural gas company Freeport LNG said all three trains at its LNG export plant in Texas experienced a trip due to an interruption of feed gas to the facility, according to a regulatory filing on Wednesday. “The plant operators managed the cooldown and restarts of train 1, train 2, and train 3 as efficiently as possible to minimize flaring,” the filing said.
Freeport’s three trains are capable of turning about 2.4 billion cubic feet per day (bcfd) of gas into LNG. One billion cubic feet of gas is enough to supply about five million U.S. homes for a day. … Freeport is one of the most closely watched U.S. LNG export facilities because fluctuations in its operations have the potential to cause swings in global gas prices.
The Wall Street Journal – December 26, 2025
America’s biggest oil field is turning into a pressure cooker
Shale drillers have turned the biggest oil field in the U.S. into a pressure cooker that is literally bursting at the seams. Producers in the Permian Basin of West Texas and New Mexico extract roughly half of the U.S.’s crude. They also produce copious amounts of toxic, salty water, which they pump back into the ground. Now, some of the reservoirs that collect the fluids are overflowing—and the producers keep injecting more.
It is creating a huge mess. A buildup in pressure across the region is propelling wastewater up ancient wellbores, birthing geysers that can cost millions of dollars to clean up. Companies are wrestling with drilling hazards that make it more costly to operate and complaining that the marinade is creeping into their oil-and-gas reservoirs. Communities friendly to oil and gas are growing worried about injection.
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Midland Reporter-Telegram – December 24, 2025
Texas Railroad Commission steps up winter gas inspections as storage hits record high*
Winter has arrived, and inspectors with the Railroad Commission are making sure energy facilities are prepared for the season. As mandated by legislation passed in the aftermath of Winter Storm Uri in 2021, the agency takes steps to ensure adequate natural gas supply to keep Texas homes and businesses safe during the winter season. Those steps include weatherization inspections of critical natural gas facilities currently being conducted throughout the state by the Critical Infrastructure Division. These inspections are expected to continue through the end of March 2026.
As part of the agency’s commitment to protecting Texans during extreme weather events, CID conducted more than 7,400 inspections of natural gas facilities for weatherization preparedness in FY25 and has already begun work on the FY26 Extreme Cold Inspection Schedule. For the new fiscal year, CID has inspected 100% of Tier One facilities, which are critical components of gas supply. Tier One facilities are oil and gas leases that produce more than 5 million cubic feet of gas daily, gas processing plants, underground gas storage facilities and natural gas pipelines that directly connect to electricity generation plants.
To further strengthen preparedness, CID recently hosted a tabletop exercise with operators. The session provided guidance on inspection readiness, emergency management practices and weather related resources to ensure operators have the tools and knowledge needed as Texas heads into the winter months.
Meanwhile, EV owners pull power from the grid, which relies heavily on natural gas — and, lately, coal-fired power plants. The Trump administration is fighting to keep coal plants online to stave off electricity shortages. And we will all need exponentially more electricity as power-hungry artificial intelligence transforms our world in the years to come. These fossil fuel-themed vanity plates seen around Houston display the swagger of EV drivers who seem to feel the future of fossil fuels is secure.
Oil & Gas National & International
Reuters – December 29, 2025
India is seeking over $30 billion in compensation from Reliance Industries and BP in an arbitration case for gas it says the companies failed to produce from offshore fields, according to three people with knowledge of the matter. A tribunal has been hearing the dispute in India since 2016 over gas produced from two deepwater fields, D1 and D3, in the D6 block of the Krishna Godavari basin, seven individuals with knowledge of the proceedings said. Final arguments took place on Nov. 7, they said.
The three-member tribunal is expected to deliver its verdict in mid-2026, two people aware of the hearing schedule said. The verdict can be challenged in Indian courts, several people said. Reuters is reporting the case and India’s $30 billion claim for the first time. The D1 and D3 fields, India’s first major deepwater gas project, were seen as key to bolstering the country’s energy independence when first developed. However, the high-profile project was plagued by production difficulties related to water ingress and reservoir pressure, as well as cost-recovery disputes with the government, and failed to live up to initial production hopes, previous public statements by Reliance and the government show.
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The Wall Street Journal – December 27, 2025
An Ounce of Silver Is Now Worth More Than a Barrel of Oil*
In a year in which precious metals shined, silver stole the show. Silver’s price blew through a 45-year-old record and has more than doubled in 2025. At $76.486, a troy ounce of silver is worth more than a barrel of oil in futures markets, where U.S. crude ended Friday at $56.74. Aside from two brief stretches in the chaos of 2020’s Covid crash, that hasn’t happened since West Texas Intermediate oil futures began trading in 1983. Neither investors nor industry can get enough of the precious metal, while a glut of oil has swamped energy markets and depressed fuel prices.
As with gold, which is up 72% this year and trading at its own record, silver is hoarded physically and on paper by investors hoping to store wealth and hedge against risks to the U.S. dollar and other currencies. Silver is also in demand from jewelers, medical-device makers, electric-vehicle manufacturers, data-center developers and especially solar-panel factories. The solar industry has been consuming nearly 30% of annual production from mining and recycling, Citigroup analysts estimate. “Even though there’s been a push away from solar in the United States, countries in Europe and China are not slowing down with solar capacity installation, and that’s consuming a lot of silver,” said John Ciampaglia, chief executive of Sprott Asset Management, which runs funds that hold silver bullion.
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The Wall Street Journal – December 24, 2025
BP Agrees to Sell Majority of Castrol Lubricants Unit to Stonepeak
BP said it has agreed to sell a majority stake in its Castrol lubricants business to investment firm Stonepeak, a deal that values the entire division at $8 billion.
The details — Under the deal, BP is set to receive roughly $6 billion in proceeds from the sale of a 65% stake to Stonepeak. The companies announced the deal early Wednesday after The Wall Street Journal reported that an agreement was near. It represents one of BP’s biggest moves yet to revive its fortunes after an ill-timed turn toward renewable energy that was unpopular with investors. BP is now working to reinvigorate its fossil-fuels business in an effort to boost profits and lift its languishing share price. As part of those plans, the energy company is targeting asset sales of $20 billion by 2027 to help cut debt and boost oil-and-gas production.
A sale of Castrol, which BP said it was reviewing back in February, would be the company’s largest single divestiture so far. Proceeds from the deal would boost BP’s proceeds this year to about $11 billion from announced and completed divestitures. Castrol is based in the U.K., and its fuel products and lubricants are available in more than 150 countries. It sells to consumers and businesses in a range of industries from aerospace to mining. In the U.S., the brand is widely used for oil changes.
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Bloomberg – December 25, 2025
Sanctions Delay Russia’s Plan to Triple LNG Output, Novak Says*
Russia’s ambitions to triple its annual liquefied gas production have been pushed back by several years amid international sanctions, according to Deputy Prime Minister Alexander Novak. “Our task has been to reach 100 million tons” per year of LNG output, Novak said in an interview to a state TV channel published Thursday. “Clearly, due to sanctions restrictions, there will be a delay of some years” in achieving this target, he said, without providing a deadline.
Russia earlier aimed to produce 100 million tons of super-chilled fuel by 2030, reaching a global market share of 20%. However, western nations, including the US, have imposed several rounds of energy sanctions, including on LNG, in a move to reduce the Kremlin’s revenues that are funding the war in Ukraine. The US has blacklisted all current and future Russian liquefied-gas projects, excluding the Yamal LNG led by Novatek PJSC, and sanctioned the fleet for shipments of the super-chilled fuel abroad. However, recently the discounted sanctioned cargoes have been finding home in China, which does not recognize the western restrictions. Last month Russia became the single largest LNG supplier to the Asian nation, overtaking Australia.
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MSN – December 27, 2025
Why China is driving short-term oil prices but OPEC still holds the lever
For most of the past decade, oil markets have treated decisions by OPEC as the primary signal for price direction. That hierarchy is being tested, but not overturned. What has changed is where traders look for short-term cues. Increasingly, those cues are coming from China, not because Beijing controls supply, but because its buying behavior now dominates marginal demand and near-term price discovery.
As reported by Reuters, China has overtaken OPEC as the most influential force in oil price formation, driven by the scale and timing of its crude purchases rather than any formal attempt to manage prices. The change shows us how oil markets have become increasingly demand-led, with China sitting right in the center. China is the world’s largest crude importer, but its influence extends beyond just the volumes that make headlines.
Utilities, Electricity & Renewables
Oil Price – December 26, 2025
Texas Launches $350 Million Nuclear Energy Initiative
Texas Governor Greg Abbott has congratulated the Texas Legislature for passing House Bill 14, saying it will help revolutionize Texas’ energy sector and cement the state’s role in leading a nuclear power renaissance in the United States.
“Texas is the energy capital of the world, and this legislation will position Texas at the forefront of America’s nuclear renaissance,” said Governor Abbott. “By creating the Texas Advanced Nuclear Energy Office and investing $350 million–the largest national commitment–we will jumpstart next-generation nuclear development and deployment. This initiative will also strengthen Texas’ nuclear manufacturing capacity, rebuild a domestic fuel cycle supply chain, and train the future nuclear workforce. I look forward to signing it into law.”
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Popular Mechanics – December 23, 2025
A Hidden Energy Source Was Found Underneath Texas
While Texas is known for its reserves of oil and gas, researchers from the University of Texas at Austin say that the state’s western border region is ripe for geothermal energy.This energy isn’t derived from access to hot water—instead, the project intends to take a strategy from the fracking industry’s playbook and inject water into hot subsurface rock to create low-emission energy.
While this approach can come with risks like earthquakes and tremors, local officials are still excited about the possibilities, and will discuss next steps later this year.
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KTRK – December 26, 2025
Electric bills to increase across Texas, per report from nonprofit
As temperatures drop across Texas, electric bills are going up. “Pretty upsetting. I would hope to see it go down because with our bill we just got, it was probably about 50 dollars more than the last month,” Sherly Hughes said.
It’s not only because more people stay in during the winter months. According to the nonprofit Texas Energy Poverty Research Institute, more of your electric bill will go toward the transmission and distribution of the electric grid infrastructure. Experts say about 40% of your bill already pays for that.
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Midland Reporter-Telegram – December 27, 2025
Transwestern invests in FrontierGen to speed AI data center campuses in South Texas*
FrontierGen, a Houston-based developer of “infrastructure nexus” campuses in South Texas, has received an investment from Transwestern, a real estate firm with expertise in investment, development and services. The partnership will accelerate the planning and build-out of infrastructure-ready, AI-focused data center and advanced manufacturing campuses across the region. FrontierGen brings to the partnership its expertise in infrastructure development and customized power delivery systems while Transwestern brings its diversified commercial real estate expertise and global network.
The combination is a tangible example of what Jason Jennaro, FrontierGen chief executive, calls Texas molecules becoming contracted megawatts that can support artificial intelligence compute and advanced industrial loads. “Hyperscalers require infrastructure that’s comparable to midsize cities,” said Jason Jennaro, FrontierGen chief executive officer.
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Washington Post/Yahoo! News – December 25, 2025
The U.S. may have a secret weapon against rising electricity prices
Imagine a restaurant open 24 hours a day, 7 days a week that always maintains a full staff. With the exception of weekend nights and the lunch rush, the restaurant will be empty a lot of the time. But the restaurant’s owner is paying to keep it open all the time – spending money on staffing and rent even when the number of customers is low. That’s the reality of the U.S. electricity grid. It is built to handle “peak demand” – moments of high electricity usage that often happen in the height of summer or in the frigid cold of winter. Power outages can be life-threatening, so utilities have to make sure that, at all costs, the power stays on.
That means that most of the time, the electricity grid – like the restaurant – is only running at about half of its overall capacity. It translates into higher rates for everyone, as most of the cost of electricity comes from building the grid in the first place. But some researchers say that it also presents an opportunity. In just the next five years, peak electricity demand is expected to grow by almost 24 percent, a dramatic shift after decades of stability. Prices in many areas are rising as utilities work to update ancient infrastructure and meet demand from AI data centers. That excess power, researchers say, could be tapped and sent to other customers. Including, in some cases, to data centers.
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Associated Press – December
Amid a battery boom, graphite mining gets a fresh look in the US
Graphite mines in the United States largely closed down seven decades ago. Mining the ubiquitous mineral found in everything from nuclear reactors to pencils seemed to make little sense when it could be imported inexpensively from other nations, especially China. That view is changing now.
Demand for graphite, a key material in the lithium-ion batteries that power everything from phones to electric cars, is surging as trade tensions with China persist. With federal officials concerned about the steady supply of a number of critical minerals, several companies have plans to mine graphite.
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The Wall Street Journal – December 28, 2025
Fusion Power Has a Bright Future, but It’s a Ways Off: Steven E. Koonin*
Will fusion reactors soon deliver emissions-free power? New investment momentum—underscored by TAE Technologies’ merger with Trump Media & Technology Group—has bolstered optimism. But a clear-eyed look at the science shows there are major hurdles between today’s excitement and practical fusion energy. Fusion would work by heating hydrogen to form a plasma where nuclei combine and release energy. In principle, such a plasma can act as an energy amplifier, producing far more energy than it takes to create and sustain it. But in practice, the plasma in a commercial reactor would need to multiply energy between 20 and 60 times, a threshold no system has approached.
The first challenge is confining the plasma. Magnetic confinement devices—whether the doughnut-shaped tokamaks used in the International Thermonuclear Experimental Reactor project or the linear configuration pursued by TAE—rely on intricate magnetic fields to hold the plasma together. Despite decades of effort, no magnetic confinement system has achieved a plasma energy gain greater than 1—that is, break-even. China has invested heavily in its own tokamak program, achieving record plasma temperatures and confinement times. Its rapid progress underscores the global stakes and the need for sustained U.S. leadership.
A second approach, inertial confinement, uses the plasma’s own inertia to slow its dispersal. The National Ignition Facility at Lawrence Livermore National Laboratory creates such plasmas by directing 192 powerful laser beams onto hydrogen-containing targets. NIF first demonstrated net fusion energy release in December 2022, with more recent experiments achieving a “target gain” of 4.1. But once the inefficiency of the laser system is accounted for, the overall gain relevant to power‑plant feasibility drops far below 1.
Increasing gain is only the first hurdle. Another major challenge is the “first wall problem.” Particles emitted from a fusion plasma will erode the reactor wall, contaminating the plasma and rendering most known materials brittle and porous within months. Identifying materials that can survive such extreme conditions remains a formidable task, and they can’t be fully tested without the plasma that future reactors aim to produce. Inertial confinement faces a less severe version of this issue, since its chamber walls can be placed farther from the target.
Regulatory
Politico – December 24, 2025
Trump efforts to throttle renewables draw more legal challenges*
Dominion Energy and a national coalition of regional wind and solar developers have filed separate lawsuits challenging the Trump administration’s efforts to kneecap the renewable energy sector. The moves represent the latest legal battle over the administration’s aggressive efforts to block offshore wind development and come days after President Donald Trump decided to pause construction of five offshore wind projects. The coalition of groups that represent regional wind and solar developers filed Tuesday in the U.S. District Court for the District of Massachusetts, taking aim at a wide swath of federal agencies and accusing them of “pursuing a concerted and illegal strategy” to prevent private developers from building energy projects.
The administration’s efforts, the lawsuit says, “place wind and solar technologies into second-class status without providing any rational justification for such disparate treatment or drastic policy shifts — unlawfully picking winners and losers among energy sources.” Dominion filed Tuesday in the U.S. District Court for the Eastern District of Virginia, challenging the administration decision this week to halt construction of five wind projects capable of powering nearly 2.7 million homes along the East Coast. The lawsuit seeks to vacate a Bureau of Ocean Energy Management directive ordering work to stop on the Coastal Virginia Offshore Wind Commercial Project.
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Texas Energy Report NewsClips
Tuesday December 23, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Merry Christmas and Happy Holidays! Texas Energy Report NewsClips return December 29th.
As we often do this time of year, we’ll be changing out our internet server during the holidays, so if you find, as we get into the new year, that you’re not receiving the regular email notices you’re used to, please go to one of our previous emails and hit “reply” and let us know or email us at TexasEnergyReport@gmail.com — we’ll get the message and take care of the problem. Of course you can always call at 713-785-4234. Thank you!
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices held steady on Tuesday after rising more than 2% in the previous session, as the U.S. said it might sell the Venezuelan crude it has seized, while Ukraine’s attacks on Russian vessels and piers heightened fears of supply disruption.
West Texas Intermediate (WTI) crude slipped 9 cents, or 0.16%, to $57.92.
Brent crude futures edged lower by 6 cents, or 0.1%, to $62.01 per barrel by 0440 GMT.
On Monday, Brent posted its best daily performance in two months and WTI climbed the most since November 14.
“Crude oil markets are grinding through the final weeks of 2025 with prices largely subdued, reflecting a tug-of-war between persistent bearish fundamentals and intermittent bullish headlines,” Priyanka Sachdeva, senior market analyst at brokerage Phillip Nova, said in a note.
While prices have shown modest rebounds on geopolitical headlines throughout 2025, the broader narrative points to a balance of sluggish demand and oversupply, she said.
Top Stories
Yahoo! News – December 22, 2025
Alphabet to buy clean energy developer Intersect in $4.75 billion deal amid AI push
Alphabet said on Monday it would buy clean energy developer Intersect for $4.75 billion in cash, plus assumed debt, as tech giants spend billions to expand the computing and power capacity necessary for developing artificial intelligence.
Big Tech has ramped up investments in energy firms as U.S. power grids struggle to keep pace with the soaring electricity demand of generative AI amid an intensifying race to capitalize on the booming technology.
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CNBC – December 22, 2025
The escalating U.S. campaign to seize tankers linked to Venezuelan oil could also escalate tensions between the U.S. government and China if more crude oil intended for the Chinese market is caught up in the U.S. military campaign. On Saturday, the Panama-flagged tanker Centuries was seized carrying sanctioned Venezuelan oil, a move condemned by China. The seizure was the latest in the President Donald Trump’s vow to block tankers carrying Venezuelan oil. Maritime experts say the move may have relied on a legal authority that suggests more seizures will be coming, and potentially target more oil intended for the Chinese market.
According to Dimitris Ampatzidis, senior risk and compliance analyst at Kpler, the seizure of the Panama-flagged Centuries may have been conducted under the 2002 Salas-Becker agreement, which allows U.S. authorities to board Panamanian-flagged vessels with just two hours’ notice.
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CNBC – December 22, 2025
Trump says U.S. will keep the crude oil and tankers seized near Venezuela
President Donald Trump on Monday said the U.S. will keep crude oil and tankers seized near Venezuela. “We’re going to keep it,” Trump told reporters in Palm Beach, Florida after unveiling a new class of battleships named after himself.
The U.S. seized a large tanker on Dec. 10 that was carrying more than 1 million barrels of oil, according energy consulting firm Kpler. It intercepted a second vessel over the weekend. Trump confirmed Monday that the U.S. is pursuing a third tanker.
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KVUE – December 22, 2025
ExxonMobil’s Rose carbon storage project heads to state prehearing
The Texas Railroad Commission has scheduled a public prehearing conference next month to consider ExxonMobil’s proposed Rose Carbon Capture and Storage Project in Jefferson County, a large-scale effort aimed at permanently storing carbon dioxide deep underground. The prehearing is set for Wednesday, Jan. 28, 2026, at 9 a.m. in Austin, and will focus on ExxonMobil’s application for a permit to inject carbon dioxide into geologic formations beneath the county, roughly 15 miles southwest of Beaumont.
According to the commission, the conference will be used to organize the case, set a procedural schedule and hear any formal concerns or protests from members of the public before a final permit decision is made. Individuals or groups wishing to participate must file a formal notice with the state at least five days before the meeting.
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KUHF (NPR Houston) – December 22, 2025
An oil tanker seized off the coast of Venezuela has arrived near Galveston. Now what?
An oil tanker seized by the United States near Venezuela earlier this month is now close to the Gulf Coast. An online marine traffic tracker on Monday showed the tanker located about 40 miles from Galveston, an island south of Houston. According to the Greater Houston Port Bureau, the tanker is too large to enter the Houston Ship Channel. Ed Hirs, an energy fellow at the University of Houston, said the tanker was likely sent to the Galveston area because of its oil infrastructure.
“It’s the closest harbor (that’s) closest to oil infrastructure on the Texas Gulf Coast,” he said. “It’s pretty easy to get that oil onto shore.” Hirs said the oil will have to be unloaded to smaller tankers, but what happens after that remains to be seen. The larger tanker, known as the Skipper, was seized on Dec. 10 amid escalating tensions between U.S. President Donald Trump’s administration and Venezuelan President Nicolás Maduro. It’s a conflict that has implications for the oil industry in Houston and beyond.
The Latest TERse Tips
The Interior Department confirmed Friday that Leslie Beyer, who has led the agency’s energy programs on public lands and waters since her Senate confirmation in September, has left the agency — the position will now be filled temporarily by Lanny Erdos, the department’s director of the Office of Surface Mining Reclamation and Enforcement — E&E News By Politico*
Russia evacuates diplomats’ families from Venezuela as US seizes oil tankers — Turkiye Today
Conservation groups buy more than 3,000 acres on Texas coast for whooping crane habitat — Inside Climate News/Texas Tribune
Ford canceled a 9.6 trillion won ($6.5 billion) battery agreement with LG Energy Solution after the U.S. automaker rolled back its electric vehicle ambitions — Bloomberg/Politico*
Blackstone is leading a $400 million investment in data-security firm Cyera that values the New York-based company at $9 billion, according to people familiar with the matter — The Wall Street Journal*
New York officials solidified a major shift toward energy affordability and reliability Tuesday — and moved away from a focus on achieving ambitious climate targets — Politico*
New York utility says queue for large power users has tripled — the demand surge has created a balancing act for National Grid as it invests in infrastructure to boost reliability while addressing cost — Politico*
Oil & Gas Texas
December 22, 2025
How can Democrats win? Try boiling Hitler in Texas oil again: Evan Mintz, Houston Chronicle*
If I had to sum up the ideal political posture for a Lone Star politician, it might be a black-and-white photo from the 1940s: members of a petroleum workers union in Baytown holding a banner that reads, “Boil Hitler in Texas Oil.” … As opinion writer Matt Yglesias noted recently in the New York Times, Democrats increasingly adopted rhetoric hostile to oil and gas, framing the future almost exclusively around a green transition. Ironically, the industry thrived anyway under Biden. But the shift made it harder for Democrats to credibly argue they were on the side of oil and gas workers — including many Hispanic Texans whose livelihoods depend on the industry. A course correction wouldn’t only be smart politics — it would be smart policy. …
To their credit, some Democrats are already trying to return their party to its roots. Houston’s own Rep. Lizzie Fletcher, for example, was one of only 11 House Democrats to support the Standardizing Permitting and Expediting Economic Development (SPEED) Act, which would reform federal permitting and make it easier to build energy infrastructure. She was also joined by two other Texas Democrats — Reps. Vicente Gonzalez and Henry Cuellar. The bipartisan bill lost more robust Democratic support because Republicans refused to include language that would limit the president’s ability to arbitrarily block solar and wind projects. Apparently neither party supports an “all-of-the-above” energy policy these days. …
A recent survey by the conservative Manhattan Institute found that more than one in six Republicans holds explicitly racist and antisemitic beliefs. The Republican Party of Texas has struggled to keep explicit Nazi sympathizers like Nick Fuentes and his fans from entering the tent. Up in Ohio, Republican Senate candidate Vivek Ramaswamy has found himself on the vanguard against the blood-and-soil wing of his own party. It’s not an easy battle. You know something is wrong when Ramaswamy is doing more to defend J.D. Vance’s wife from anti-Indian slurs than the vice president himself. … “Boil Hitler in Texas oil” still works as a slogan, but it could use an update for the modern world. “Cook Putin, Mohammad, and Xi in Texas LNG” has a certain ring to it. Maybe it’s time for Democrats to make another banner.
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Midland Reporter-Telegram – December 22, 2025
FireBird Energy II to add three oil wells in northwest Midland*
FireBird Energy II LLC will be installing three new wells at one of their wall-padded sites in northwest Midland. Located in an area around the intersection of Mockingbird Lane and Holiday Hill Road, FireBird Energy II has been drilling at the site since 2021. “They’re going to add three pads to this location that will start drilling in mid-March,” said Chris Hamilton, an agent representing FireBird Energy II. “They’ve been working with City Council on this for the last couple of years.”
A Fort Worth-based company, FireBird Energy II — which was founded in 2019 by CEO Travis F. Thompson — is dedicated to upstream oil and gas drilling in the Midland Basin. Its website touts more than 1,000 vertical and horizontal wells across the Permian Basin.
World Oil – December 19, 2025
Texas regulators levy $1.1 million in oil and gas enforcement penalties
The Railroad Commission of Texas assessed more than $1.1 million in enforcement penalties against operators and businesses at its open meeting this week, according to agency filings. The commission approved $1,132,258.50 in fines tied to violations across the state’s oil and gas sector and intrastate pipeline system. The agency has primary regulatory and enforcement authority over Texas oil and gas operations, including production, transportation and pipeline safety.
Of the total, $198,235.50 was assessed through master default orders involving operators that failed to appear at commission enforcement proceedings. An additional $934,023 was assessed through master agreed orders, which require operators to come into compliance with commission rules.
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The Wall Street Journal – December 22, 2025
Harbour Energy Pushes Into U.S. With $3.2 Billion Deal for LLOG Exploration*
Harbor Energy said it is buying LLOG Exploration for $3.2 billion, expanding into the U.S. as part of a strategy to bulk up its operations through dealmaking. London-listed Harbour said Monday that the deal allows it to deliver on a longstanding goal of entering into the Gulf of Mexico, which the U.S. now calls the Gulf of America, while adding oil-producing assets with growth potential. The U.K. oil-and-gas producer has pursued an expansion strategy fueled by acquisitions since it was founded in 2014. The company started as a U.K. North Sea producer after acquiring a package of assets from Shell for $3 billion in 2017 and bought its way into markets such as Norway, Argentina and Mexico.
Harbour Chief Executive Linda Cook last month told The Wall Street Journal that the company was exploring both offshore and onshore merger-and-acquisition opportunities in the U.S. after closing an $11 billion deal to buy oil-and-gas producer Wintershall Dea’s upstream assets about a year ago. With its latest deal, Harbour is buying Louisiana-based LLOG Exploration from LLOG Holdings for $2.7 billion in cash and an additional $500 million in stock, it said. The share component will give LLOG Holdings a stake of about 11% in Harbour on completion, Harbour added.
The acquisition is sizeable for Harbour, which had a market capitalization of nearly 3.5 billion pounds ($4.68 billion) as of Friday’s close, according to FactSet. Shares in Harbour were down more than 6% in European morning trading Monday. Privately held LLOG will bring in assets that produce 34,000 barrels of oil equivalent a day, with output forecast to double by 2028, Harbour said. Harbour said the deal supports its overall production at around 500,000 barrels of oil equivalent a day to the end of the decade.
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News from the States – December 19, 2025
Louisiana creates fast track to approve power plants for data centers, big electricity users
Louisiana regulators have adopted a new rule that suspends certain consumer protections if utility companies need to quickly build power plants for certain industrial developments, including data centers, that require massive amounts of electricity. The rule change also directs these large-scale customers to pay for half the cost of these new power plants, meaning regular ratepayers could be on the hook for the remaining cost.
In a 4-1 vote Wednesday, the Louisiana Public Service Commission adopted the rule, which creates a streamlined approval process that would drastically reduce the time it takes to greenlight utility projects primarily geared toward data centers.
Oil & Gas National & International
Tanker loading in Venezuela dwindled on Monday, with most ships moving oil cargoes only between domestic ports following U.S. action against two more ships and as state-run energy company PDVSA struggles to recover from a cyberattack, according to tracking data and sources. The U.S. Coast Guard this month seized a supertanker under sanctions carrying Venezuelan oil and tried to intercept two more Venezuela-related ships over the weekend, U.S. authorities said. One of them is an empty ship under U.S. sanctions, and the other is an unsanctioned, fully loaded tanker bound for China.
Washington has not provided updated information on the ships. However, U.S. President Donald Trump’s announced blockade of all oil tankers under sanctions entering and leaving Venezuela has kept vessel owners on alert. Later on Monday, Trump said Washington would maybe keep or maybe sell the oil it had seized off the coast of Venezuela in recent weeks, adding the United States would also keep the seized ships.
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Bloomberg – December 22, 2025
Uganda National Oil Secures $2 Billion Loan From Vitol Bahrain*
Uganda National Oil Co. said it secured a $2 billion loan from Vitol Bahrain E.C. to fund its strategic national infrastructure and investments over a seven-year period.
The loan will unlock key projects across the petroleum value chain, the Kampala-based company said in a statement on X. Key projects include the greenfield storage terminal in Mpigi District, near the capital; expansion of the petroleum terminal in Jinja, in the east; and products pipeline extension from neighboring Kenya, it said.
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S&P Global Platts – December 22, 2025
US EPA tentatively approves first carbon sequestration project in Kansas
The Trump administration has tentatively approved ethanol producer PureField Ingredients’ plan to bury its CO2 emissions in central Kansas, advancing what would become the first carbon sequestration project in the state. The US Environmental Protection Agency drafted a permit that would enable PureField Carbon Capture LLC to permanently store up to 1.8 million metric tons of CO2 beneath Russell County, Kansas.
The emissions would be injected into a Class VI well — drilled to a depth of about 3,500 feet — over the course of 12 years. Members of the public have until Feb. 1, 2026, to comment on the proposal, according to a Dec. 18 notice from the EPA.
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Bloomberg – December 16, 2025
Thought Gasoline Demand Peaked in 2019? Try 2030: Javier Blas*
Gasoline was meant to be Exhibit A of the energy transition. And it is — but not how the green intelligentsia ever anticipated. Rather than becoming the fuel to display the earliest and most pronounced peak in demand as the world embraced electric vehicles, gasoline is instead signaling the endurance of fossil-fuel consumption. The stronger-than-expected demand comes even before significant pro-gasoline regulatory changes announced in both the US and Europe in recent days take effect. In Washington, President Donald Trump has rolled back the fuel-economy targets set by his predecessor Joe Biden. Instead of achieving 50.4 miles per gallon by 2031, US cars will only need to meet 34.5 miles per gallon. Earlier, Trump hit the EV sector by removing federal subsidies.
European Commission President Ursula von der Leyen, meanwhile, this week bowed to intense pressure from Germany and Italy to abandon an effective ban on the sale of gasoline and diesel cars beyond 2035. Brussels, which initially mulled delaying the ban five years to 2040, ultimately decided to abandon it completely without setting a new target. In London, the UK government has announced a new tax on EVs starting in 2028 that could reduce sales by hundreds of thousands of vehicles. Put this all together and it means the energy market’s barrel counters will need to increase their gasoline forecasts for the rest of the decade. It’s an exercise they are getting used to.
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Oil Price – December 15, 2025
U.S. Wants EU to Exempt Its LNG from Methane Regulation
The United States insists that the European Union exempt it from obligations to report data under the EU Methane Regulation until 2035, Reuters reported on Monday, citing a U.S. document circulated to EU governments. The U.S. and its gas industry have lobbied this year for repeal or significant amendments of the EU’s climate laws and regulations which, the U.S. says, threaten Europe’s energy supply and security.
The EU Methane Regulation, effective from August 4, 2024, aims to reduce methane emissions from the energy sector. For imports, the next milestone in the regulation is the monitoring, reporting, and verification requirement.
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Politico – December 17, 2025
Top Dem accuses pipeline agency of catering to industry*
A top Senate Democrat is blasting the Trump administration’s management of pipeline safety, saying oil and gas industry insiders appointed to key government roles are gutting important regulations and failing to enforce those that are left. Sen. Maria Cantwell, the top Democrat on the Commerce, Science and Transportation Committee, sent letters to leaders at the Pipeline and Hazardous Materials Safety Administration, accusing them of “pursuing a reckless safety rollback agenda.”
“I am concerned by recent reporting indicating you personally spearheaded the rollback of several safety initiatives at PHMSA — and that you did so at the behest of your former employer,” the Washington state Democrat wrote in an open letter to PHMSA Deputy Administrator Ben Kochman. Kochman came to the agency after working for nearly four years for the Interstate Natural Gas Association of America, which represents gas transmission pipeline companies. He ran PHMSA until late September, when Administrator Paul Roberti was confirmed by the Senate and sworn in.
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Utilities, Electricity & Renewables
The Wall Street Journal – December 22, 2025
Unloved Energy Bet Is Set to Become Most Profitable Private-Equity Deal Ever*
When private-equity firm Energy Capital Partners struck a $5.6 billion deal in 2017 to buy natural-gas power producer Calpine, it was a decidedly contrarian bet. The fracking boom and growing production of renewable power had led to a glut of cheap natural gas, squeezing margins at the Houston-based company. Eight years later, Calpine is poised to become the most profitable private-equity deal of all time by dollar value. Including dividends, ECP and its co-investors will have earned more than $25 billion when the firm closes its deal to sell Calpine to Constellation Energy, expected in the next month, according to people familiar with the matter.
Around $18 billion of that will come in the form of Constellation stock, which ECP will have to sell over time to fully realize its investment. Still, shares of Constellation are up nearly 50% since the deal was announced in January, suggesting the windfall will easily surpass the $14 billion Blackstone made on its record-setting investment in Hilton Hotels.
At the time of its purchase, ECP saw Calpine as an undervalued asset that generated a lot of cash and could generate even more through targeted improvements, according to people close to the firm. The market viewed gas-fired plants as a bad bet as the world transitioned to renewable energy. ECP believed the transition would take a long time—three or four decades—and that gas would play a key role in providing reliable power to the grid in the meantime. What the firm couldn’t have foreseen was that demand for electricity, which had long been stagnant, would also surge. Driving the uptick were factors including the onshoring of manufacturing, more electric vehicles and crypto mining. Then came the artificial-intelligence boom and its insatiable need for power.
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Dallas Morning News – December 22, 2025
Which Dallas buildings have solar panels and do they really save money?*
The city of Dallas has been gradually installing solar panels on its buildings, but changes in federal renewable energy policies and tariffs might slow its momentum, officials say. In line with Dallas’ goal of utilizing and generating renewable energy, solar panels have been installed on 11 city-owned buildings. Dallas began installing panels on select buildings over 10 years ago, with some of the systems dating back to 2013. Around 2,000 solar panels have been installed on various buildings, including libraries, recreation centers, police stations and fire stations.
City officials note that federal programs that previously supported municipal solar have ended or been scaled back. “The funding that was available isn’t as available as it was previously… we’re having to look at ways we can pivot to different ideas, and perhaps looking at private funding,” said Angela Hodges, the city’s new director of environmental quality and sustainability. Solar project costs have also risen due to tariffs and supply constraints. “Solar projects are getting more expensive because the cost of components have increased and some of them just aren’t as available as they used to be,” Hodges added.
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Business Download – December 18, 2025
US to Own Nuclear Reactors Stemming From Japan’s $550 Billion Pledge
The US government plans to buy and own as many as 10 new, large nuclear reactors that could be paid for using Japan’s $550 billion funding pledge, part of a push to meet surging demand for electricity. The new details of the unusual arrangement were outlined in November by Carl Coe, the Energy Department’s chief of staff, about the non-binding commitment made by Japan in October to fund $550 billion in US projects, including as much as $80 billion for the construction of new reactors made by Westinghouse Electric Co.
“The role of having the government involved in private markets is sacrosanct — you just don’t do it,” Coe said at an energy conference hosted by the Tennessee Advanced Energy Business Council. “But this is a national emergency.”
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Yahoo! News – December 19, 2025
Georgia regulators approve huge electric generation increase for data centers
Georgia’s only private electric utility plans to increase power capacity by 50% after state regulators on Friday agreed 5-0 that the plan is needed to meet projected demand from data centers. It would be one of the biggest build-outs in the U.S. to meet the insatiable electricity demand from developers of artificial intelligence. The construction cost would be $16.3 billion, but staff members say customers will pay $50 billion to $60 billion over coming decades, including interest costs and guaranteed profit for the monopoly utility.
Georgia Power Co. and the Public Service Commission pledge large users will more than pay for their costs, and that spreading fixed costs over more customers, could help significantly cut residents’ power bills beginning in 2029. “Large energy users are paying more so families and small businesses can pay less, and that’s a great result for Georgians,” Georgia Power CEO Kim Greene said in a statement after the vote.
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Politico – December 16, 2025
For first time in months, BLM advances solar power project*
The Trump administration for the first time in months is advancing a major solar power project. The Bureau of Land Management on Monday issued a decision record authorizing a series of mostly minor revisions to the Libra Solar power project in southwestern Nevada that has been sitting in regulatory limbo for more than a year after its approval during the Biden administration.
The amended plan — the first move in months to advance one of the dozens of utility-scale solar power projects sitting in the permitting pipeline since President Donald Trump took office in January — means the project could begin construction next year, according to BLM. It’s in stark contrast to Interior Department moves in the past six months. In July, the department announced that Interior Secretary Doug Burgum or other top leaders must sign off on each step of a wind or solar project on federal lands. A couple weeks later, Interior said agencies must consider the “capacity density” of energy projects, which observers said could disadvantage certain renewable energy projects.
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Governing – December 16, 2025
New Yorkers Are Paying for a Massive Grid Rebuild. Who Benefits?
National Grid and other utilities are spending billions of dollars to prep New York’s electric grid for a generational shift. Renewable energy, manufacturing plants and AI data centers are popping up outside urban areas, often in regions with poor electrical infrastructure. New York utilities are spending more than $4 billion to modernize the grid for those facilities. They are investments for which New Yorkers — many of whom are already struggling with utility costs — will have to pay for in the coming years.
“Transmission is the enabler,” said Bart Franey, vice president of clean energy development for National Grid. A renewable energy or a manufacturing facility can’t just pop up and connect to the electric system. Transmission lines act as a freeway connecting the state’s urban cores. Then there’s the distribution system — the highway offramps — which send power from transmission lines to homes and businesses.
Regulatory
Politico – December 20, 2025
Lawmakers question clean energy group’s tactics on permitting*
The flip-flop on permitting legislation this week by the nation’s largest clean energy lobby group added to its difficulties in Republican-controlled Washington. Long before President Donald Trump returned to the White House, the American Clean Power Association worked to strengthen its relationship with the GOP and shed the perception of being in the Democratic corner. But its methods have since irked members on both sides of the aisle.
ACP was an early supporter of the “SPEED Act” from House Natural Resources Chair Bruce Westerman (R-Ark.) and Rep. Jared Golden (D-Maine) to overhaul the National Environmental Policy Act permitting process. But on Wednesday, CEO Jason Grumet said he could no longer endorse the legislation because of a change meant to appease offshore wind critics. The bill passed Thursday with 11 Democrats joining almost every Republican present in support. Golden, a moderate, called ACP’s about-face “awfully shortsighted,” noting that talks toward a final deal on permitting between the House and Senate will continue.
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Texas Energy Report NewsClips
Monday December 22, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices rose on Monday after officials said the U.S. had intercepted an oil tanker in international waters off the coast of Venezuela, raising fresh supply uncertainty.
West Texas Intermediate crude climbed 46 cents, or 0.8%, to $56.98.
Brent crude futures rose 46 cents, or 0.8%, to $60.93 per barrel by 0400 GMT.
“The market is waking up to the fact that the Trump administration is taking a hardline approach to the Venezuelan oil trade,” said June Goh, senior oil market analyst at Sparta Commodities.
“Oil prices have thus been supported by this geopolitical news alongside the simmering Russian-Ukraine tensions in the background in an otherwise very bearish market fundamentally,” said Goh.
The U.S. Coast Guard is pursuing an oil tanker in international waters near Venezuela, in what would be the second such operation over the weekend and the third in less than two weeks if successful, officials told Reuters on Sunday. The White House did not immediately respond to a request for comment.
Top Stories
The Wall Street Journal – December 21, 2025
U.S. Coast Guard Chasing Another Tanker Involved in Shipping Venezuela Oil*
The U.S. Coast Guard is pursuing an oil tanker involved in transporting oil from Venezuela, according to three U.S. officials, part of an accelerating effort by the Trump administration to block ships from moving the country’s crude. The attempted interdiction comes a day after the U.S. apprehended an oil tanker that wasn’t on its sanctions list and after President Trump in a social-media post last Tuesday ordered a “total and complete blockade” of sanctioned tankers going into and out of Venezuela. One of the officials said the tanker under pursuit was previously sanctioned and part of the so-called dark fleet of vessels involved in moving oil from Venezuela. The ship was flying a false flag to disguise the country where it is registered and is subject to a judicial seizure order, the official said.
Two other officials identified the ship as the Bella 1, a very large crude carrier, or VLCC, which was sanctioned by the U.S. in 2024. The flurry of moves against tankers signaled the Trump administration was escalating its pressure campaign against Venezuela. Trump has demanded President Nicolás Maduro stop sending gang members and migrants to the U.S., halt drug trafficking and the return of former U.S. assets nationalized decades ago. He has also privately pressured the Venezuelan leader to step down. Venezuela has rejected the U.S. demands, calling the moves against ships serving its oil sector illegal. About 70% of Venezuela’s oil exports rely on the fleet of sanctioned vessels that is increasingly being targeted by the Trump administration, and the U.S. actions strike at the heart of Maduro’s grip on power by threatening oil revenue vital to the regime.
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Rigzone – December 19, 2025
‘Significant’ Undiscovered Resources in GC Haynesville
n a statement sent to Rigzone late Wednesday, U.S. Geological Survey (USGS) Director Ned Mamula said there are “significant” undiscovered resources in the Gulf Coast’s Haynesville Formation. “The U.S. economy and our way of life depend on energy, and USGS oil and gas assessments point to resources that industry hasn’t discovered yet,” Mamula noted in the statement.
“In this case, we have assessed there are significant undiscovered resources in the Haynesville Formation of the Gulf Coast,” he added. A fact sheet posted on the USGS website on Wednesday stated that, “using a geology-based assessment methodology”, the USGS “estimated undiscovered, technically recoverable mean resources of 152 million barrels of oil and 47.9 trillion cubic feet of gas in reservoirs of the Haynesville Formation within the onshore United States and State waters of the Gulf Coast Basin”.
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Midland Reporter-Telegram – December 20, 2025
First hybrid natural gas-battery project in the Permian cuts fuel costs 96%*
A first-ever hybrid natural gas and battery project has been deployed in the Permian Basin. Aggreko recently completed the milestone deployment, a system that features a 350 kilowatt natural gas generator paired with a 500 kilowatt/250 kilowatt hour battery to power a remote water transfer operation. The project, located near Midland, achieved a 96% reduction in generator runtime, from 167 hours to just six hours, and 96% savings on fuel costs.
“We were looking for sustainable options. The batteries fill a need to provide reliable energy, and they’re a good fit moving forward with sustainability,” Casey McMullin, product lead, battery energy storage systems with Aggreko, told the Reporter-Telegram. Aggreko had designed and installed a dual generator solution — two natural gas units — that provided redundancy and reliable energy for about a year. But as energy storage technology evolved, the company saw an opportunity to enhance the system’s efficiency, reduce emissions and streamline operations. Fuel expenses were the customer’s largest complaint, according to Jeremy Hedrick, account manager.
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Politico – December 19, 2025
New lawsuits challenge Gulf Coast LNG terminals*
Environmental and Indigenous groups are heading back to the courtroom to oppose reissued state and federal approvals for planned liquefied natural gas export terminals in Louisiana and Texas. The two new legal challenges claim state and federal officials failed to comply with court orders instructing them to do a more thorough review of the environmental risks the projects pose to vulnerable local communities.
The latest challenge came on Thursday when the Sierra Club, Louisiana Bucket Brigade and Turtle Island Restoration Network filed a state court challenge opposing a newly reissued coastal use permit from the Louisiana Department of Conservation and Energy’s Office of Coastal Management for Commonwealth LNG. Eric Huber, a managing attorney at the Sierra Club, said Louisiana officials did not change the terms of the permit or mitigation measures after a state court struck it down. The earlier ruling prevented the project’s developer from beginning construction in Cameron Parish.
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The Latest TERse Tips
Bluebonnet Electric Cooperative will return more than $11 million in capital credits in 2025, an increase of $747,000 over last year — Bluebonnet’s members will see a reduction on their May electric bill as a result of the capital credits approved by the Board of Directors during its April meeting — Brenham Banner Press
Fitch Ratings has affirmed the Long- and Short-Term Issuer Default Ratings of CenterPoint Energy, Inc. (CNP) at ‘BBB’/’F2’, CenterPoint Energy Houston Electric, LLC at ‘BBB+’/’F2’, and CenterPoint Energy Resources Corp. (CERC) at ‘A-‘/’F2’. CEHE’s Rating Outlook has been revised to Stable from Negative — the Outlooks for CNP and CERC are Stable — Fitch
The House passed a bill Wednesday that would give the Federal Energy Regulatory Commission sweeping authority to review and potentially block energy-related rulemakings issued by other federal agencies — Politico*
The American Clean Power Association is yanking its support for a bill aimed at speeding up the federal permitting process after House GOP leaders acceded to demands from hard-liners who wanted more power to kill offshore wind projects — Politico*
The Trump administration has ordered another aging, costly coal plant to keep operating past its long-planned retirement date, this time in Centralia, Washington — Canary Media
PJM capacity prices hit record high as grid operator falls short of reliability target — a 6.6-GW shortfall could trigger a backstop procurement to bolster PJM’s reserve margin, according to Jefferies analysts — Utility Dive
Trump admin asking US oil industry to return to Venezuela but there are no takers — the administration’s outreach to the industry, previously unreported, is the latest sign the White House is dreaming of a post-Maduro future for Venezuela — Politico
Entergy Mississippi demolished key large structures at the retired Baxter Wilson Steam Electric Station near Vicksburg Dec. 17, and once cleared, the site will become the home of the new Vicksburg Advanced Power Station, an advanced natural gas power plant under construction and expected to be operational in August 2028 — see the press release
Oil & Gas Texas
Oil Price – December 19, 2025
US Oil Drillers Slow Activity In Tough Price Environment
The total number of active drilling rigs for oil and gas in the United States fell by 6 this week, according to new data that Baker Hughes published on Friday, bringing the total rig count in the US to 542 this week, down 47 from this same time last year. The number of active oil rigs fell by 8 in the reporting period, according to the data, after US drillers added 1 rig in the week prior.
Oil rigs are now at 406, which is 77 below this same time last year. The number of gas rigs stayed the same at 127, which is 25 more than this time last year. The miscellaneous rig count rose by 2 to reach 9. The latest EIA data showed that weekly U.S. crude oil production fell by 10,000 bpd in the week ending December 12 to 13.843 million bpd on average, just 9 million bpd under the all-time high.
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The Wall Street Journal – December 21, 2025
How Chevron Secured Its Place as Venezuela’s Largest Foreign Investor*
The oil company is clinging to its role as the largest foreign investor in Venezuela, where it has operated for more than a century, as President Trump ratchets up his effort to squeeze strongman Nicolás Maduro. The U.S. has amassed the biggest American military buildup in the Caribbean since the 1980s to exert pressure on Maduro, who Washington says is running a drug cartel financed by stolen oil. Trump ordered a blockade Tuesday of all sanctioned tankers moving crude in and out of Venezuela, leaving Chevron as one of last big shippers of the country’s oil.
Chevron and its chief executive, Mike Wirth, are familiar with the risks of operating in an authoritarian state in Washington’s crosshairs. Maduro’s regime has taken and released several American hostages over the years, including two Chevron executives for two months in 2018. Yet Wirth has calculated his company has the means and resilience to outlast changing governments—in Caracas and Washington alike. The potential reward is huge. Venezuela’s government says its proved oil reserves top 300 billion barrels, which, if true, would make its bounty the world’s largest.
“We play a long game,” Wirth said last month at the U.S.-Saudi investment summit in Washington. “We are committed to the people of the country and would like to be there as part of rebuilding Venezuela’s economy in time when circumstances change.” Even Venezuela’s democratic movement led by María Corina Machado—which has criticized Chevron’s presence in the country—says the oil pumped by the company will play an important role in the country’s future.
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Fox News – December 20, 2025
Trump’s Venezuela oil blockade puts Chevron in the middle of a high-stakes sanctions crackdown
The Trump administration’s escalating crackdown on Venezuela’s sanctioned oil shipments has thrust Chevron into an unusually precarious position. As the last U.S. oil company left in Venezuela, Chevron is operating in the high-tension space between Washington’s pressure campaign and the world’s largest oil reserves.
That campaign was on full display on Dec. 10, when U.S. authorities seized a nondescript tanker that had been quietly moving Venezuelan crude, just one ship in a shadow fleet that keeps sanctioned oil flowing. — And while Chevron isn’t the target of the blockade, the order still introduces fresh uncertainty for the company’s operations in Venezuela’s tightly controlled oil sector. “In the case of Chevron, the U.S. government allows that oil to move, but it’s certainly a very sensitive place to be,” explained Vanda Felbab-Brown, senior fellow at the Strobe Talbott Center for Security, Strategy and Technology at Brookings.
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Midland Reporter-Telegram – December 19, 2025
Vision Oil and Gas buys LDF Energy in 10th deal of the year*
Vision Oil and Gas has announced its most recent acquisition, the 10th operator buyout in 2025. Vision, which merged with Azure Holding Group this year, acquired LDF Energy, whose assets include 135 active wellbores in Winkler County, a fully rebuilt workover rig and more than 50 barrels of oil equivalent per day. “Our model is the opposite of private equity,” said Josh Cohen, chief executive officer.
“Our vision is to revitalize and rewrite the script to help emerging independent operators accomplish their dreams delayed by a lack of liquidity. By combining resources and expertise, we create purpose for anyone who wants to be their own oilman,” he told the Reporter-Telegram. “I want to provide professional help, encouragement and uplift people who have been beaten down.” Beyond that, he said he plans to support local nonprofits, beginning with childcare and hopefully expanding into supporting low-cost housing. The LDF acquisition brings Vision’s total producing and shut-in well count total to 1,062 oil wells. Cohen said it also brought Dwayne Forga from Kermit, whom he called a powerhouse foreman.
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Midland Reporter-Telegram – December 20, 2025
West Texas pilot project uses carbon credits to plug leaking well*
A pilot project in West Texas may open a new approach to plugging marginal and orphaned wells. Sendero Energy Solutions and BCarbon recently completed the pilot that used carbon credits to offset the cost of plugging a leaking well for Seaboard Operating Company. The two companies issued 10,475 verified methane elimination credits under BCarbon’s MEEWP protocol. The project gives Seaboard a path to close the well without divestiture or long-term idle status while reducing methane emissions and other future liabilities.
“We did this as a pilot project, dipping our toe into the water,” said David Stewart, president and co-founder of Sendero. The goal, he told the Reporter-Telegram, is to reduce liabilities and lower plugging costs. The carbon credits were issued by BCarbon, a nonprofit carbon registry, which would sell the credits to the buyer through its registry. The value of the credits will be issued to Sendero, which has an agreement to reimburse Seaboard a portion of the plugging costs. Stewart noted that carbon credits are used by a number of large companies like Microsoft and Meta. He also sees an emerging market from data centers, which want to be carbon neutral but can’t because they utilize natural gas to power their centers.
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Houston Chronicle – December 19, 2025
Big Oil lives here: These are Houston’s 10 largest energy firms*
If Houston’s title as the nation’s energy capital were ever disputed, it earned extra merit this year when Chevron Corp. called the city home. Previously based in California, the oil giant joined Exxon Mobil in migrating to Houston. Exxon moved its headquarters to Houston from Irving in 2023. But Exxon and Chevron are far from the only big oil companies in Houston. And after a steady stream of company takeovers, fluctuating oil prices, and layoffs, who makes the list of Houston’s biggest oil and gas companies?
The Houston Chronicle compiled a list of the city’s 10 largest public oil and gas companies based on their estimated market value. Market cap, short for market capitalization, is calculated by combining the number of shares and their stock price to determine the estimated value of a publicly-traded company. We cited values provided last week by S&P Global Market Intelligence.
1. Exxon Mobil ($493 billion) — Exxon is by far the largest American oil company and is the world’s second-largest oil company, trailing only Saudi Arabia’s state-owned Saudi Aramco. The Spring-based oil giant focused heavily in 2025 on deepening its portfolio off the coast of South America, accelerating operations off the coast of Guyana and exploring offshore drilling operations near Brazil and Trinidad and Tobago.
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Houston Chronicle – December 19, 2025
Trump’s offshore Gulf of Mexico drilling plans find political pushback*
Opposition is growing to the Trump administration’s plan to expand offshore drilling in the eastern Gulf of Mexico, including from some unlikely quarters. The conservationist nonprofit Friends of the Everglades sent a letter to the Bureau of Ocean Energy Management, the Interior Department agency that controls offshore energy leases, outlining the potential consequences of drilling so close to the nation’s largest wetlands ecosystem.
“After decades of pollution and alterations to the region’s hydrology, the Everglades already exist in an imperiled state, in need of ongoing work to restore the flow of abundant and clean water into the ecosystem’s wetlands. Oil drilling off the coast of the Everglades further threatens the restoration of this ecosystem,” the letter to acting BOEM chief Matthew Giacona said. The nonprofit news outlet National Parks Traveler first reported the news of the letter.
Oil & Gas National & International
The Wall Street Journal – December 21, 2025
U.S. Oil Blockade of Venezuela Pushes Cuba Toward Collapse*
Cubans are going hungry, suffering from spreading disease and sleeping outdoors with no electricity to power fans through the sweltering nights. A quarter of the population has fled during the island’s most prolonged economic crisis. And it’s about to get worse. The U.S. is ratcheting up pressure on Havana’s key benefactor, Venezuelan strongman Nicolás Maduro’s regime, which has kept the Communist-ruled nation afloat with cheap oil. Now Venezuelan oil exports are at risk thanks to a partial blockade targeting sanctioned tankers—the kind that carry about 70% of the country’s crude.
One tanker that the U.S. has already seized was en route with almost two million barrels of Venezuelan oil. The blockade adds to a U.S. pressure campaign on Maduro that also includes a major military buildup in the Caribbean, airstrikes on boats allegedly connected to Venezuelan drug trafficking and threats of bombing the country itself. Were Venezuela’s oil shipments to stop, or sharply decline, the Cubans know it would be devastating. “It would be the collapse of the Cuban economy, no question about it,” said Jorge Piñón, a Cuban exile who tracks the island’s energy ties to Venezuela at the University of Texas at Austin.
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S&P Global Platts – December 19, 2025
US tanker seizure in extraterritorial waters hinges on Venezuela’s terrorism designation: experts
The oil tanker the US seized near Venezuela was a unique test case for the Trump administration and could signal key considerations for future seizures, a pair of maritime experts said Dec. 19. The US’ seizure of the Skipper crude tanker on its way to Venezuela on Dec. 10 was unique, according to maritime lawyers Carmella O’Hanlon and David Tannenbaum, as it has the potential to enable broader enforcement actions against an estimated 150 tankers operating outside US sanctions licenses in Venezuelan waters, the lawyers said at an industry webinar.
“Absent the context, Skipper would just be a blip,” Tannenbaum said. “But given everything [else], it is a major escalation,” referring to a ramp up of US-applied pressure on Venezuelan President Nicolás Maduro by way of “designations, airstrikes, and seizures.” US President Donald Trump’s administration preceded the tanker seizure by designating Venezuela’s government as a foreign terrorist organization and, more recently, threatening a naval blockade, marking the most aggressive US action yet to oust Maduro.
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News from the States – December 19, 2025
US Army Corps says oil should keep flowing through Dakota Access Pipeline in long-awaited study
The U.S. Army Corps of Engineers on Friday issued a long-awaited Dakota Access Pipeline environmental impact statement, recommending that the pipeline keep operating but with some new conditions for its Missouri River crossing in North Dakota. The pipeline has been operating since June 2017, carrying crude oil from North Dakota’s Bakken oil field to Illinois. The Standing Rock Sioux Tribe has opposed the project and challenged it in court, citing concerns about impacts to the tribe’s Missouri River water supply.
A judge ordered the Army Corps to conduct the study in 2020 after he found the federal government unlawfully had granted an easement allowing the pipeline to pass underneath the Lake Oahe reservoir on the Missouri without taking a full account of the potential environmental impacts. The pipeline has been operating without the easement for the past five years.
Utilities, Electricity & Renewables
Dallas Innovates – December 18, 2025
Dallas’ DirectH2 To Bring Its Solar-to-Green Hydrogen Tech to India Market
Dallas-based hydrogen technology company DirectH2—a startup backed by HL Energy Ventures, the Hunt Energy spinout—has set its sights on expansion in India. DirectH2 is developing what it calls “game changing” modular direct solar-to-green hydrogen technology. The company holds exclusive rights to Rice University’s IP for modular hydrogen production, and aims to reshape clean energy in the U.S. and beyond with the solution.
It now plans to do that in India after signing a letter of intent with Shree Tuljabhavani Sugar Private Limited (STSPL) for India business development and early funding to enable “lowest cost, high-efficiency hydrogen production at the point of use.”
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Texas Monthly – December 19, 2025
In the yard behind her home, to the south of Laredo, Luz Castillo keeps a ’93 Chevy pickup in a tin-roofed shed. The truck has one job, and one job only: It hauls water. The pickup bed is filled with a five-hundred-gallon tank that Castillo refills once a week (or twice, when her kids visit), which is the only way she gets water to her house. Like almost all of her neighbors, Castillo has gone decades without running water. In the shed next to the truck is a pump system she and her husband built to pull water out of the tank and into their home’s pipes. As Castillo grabbed the inflow hose to show me how it worked, she gestured with her chin to a fence line at the end of her yard. “My neighbors have it worse,” she said. “They don’t have electricity.” I wiped my forehead; it was a September day in Laredo, over a hundred degrees. Castillo lives in a community known as La Presa, a neighborhood other South Texans call a colonia. While there’s no one good definition for colonias, they’re generally distinguished by what they don’t have: They lack reliable or universal running water, sewage, electricity, or trash pickup. About 500,000 Texans live in communities like this all along the border. In Webb County, home of La Presa, some 15,000 residents live in colonias.
A community like La Presa rewards self-sufficiency. Castillo and her husband built their handsome, high-ceilinged house with their own hands. But the colonia also has a strong culture of neighboring—residents help one another put up roofs or lay drainage. They’re also politically organized, thanks to neighbors like Castillo. It took Castillo more than a decade to get electricity in her house, and today, she’s still fighting Webb County and the state to get electric hookups for her neighbors. She collects signatures on petitions and shows up to county meetings. Local commissioners know her by name.
Yahoo! News – December 19, 2025
Major rate increases on the horizon for New Mexico-Texas utility
Significant energy expansions in Eastern and southeastern New Mexico to meet needs of data centers, electrification of Permian Basin oil, and gas drilling and other commercial endeavors could lead to major rate hikes for residential customers of the region’s electric utility, according to reports made to regulators.
In total, the resulting energy needs could increase the average monthly bills of residential customers of Southwestern Public Service Co. by almost $100 in the coming years, according to early calculations submitted to the New Mexico Public Regulation Commission.
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pv magazine – December 19, 2025
Rural electric co-ops form engineering group to evaluate smart inverter standards
More than 100 rural co-ops have joined an engineering standards interest group formed by the National Rural Electric Cooperative Association, focused on the IEEE 1547 series of standards that specify requirements for smart inverters for distributed solar and battery storage.
When distributed solar installations use smart inverters meeting the IEEE 1547-2018 standard, those inverters can regulate voltage on a distribution circuit, allowing more solar to be installed on each circuit without utility-supplied voltage regulation hardware.
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Associated Press – December 21, 2025
Power restored to most in San Francisco after massive outage
Power was restored Sunday to the bulk of the 130,000 homes and businesses in San Francisco impacted by a massive outage a day earlier that caused major disruptions in the city. About 17,000 customers remained without power as of noon Sunday, Pacific Gas and Electric Co. said. PG&E said earlier its crews were working to restore electricity in several neighborhoods and small areas of downtown San Francisco following Saturday’s outage.
PG&E in a statement said it expects to restore power to remaining customers no later than 2 p.m. Monday. “The damage from the fire in our substation was significant and extensive, and the repairs and safe restoration will be complex,” the utility said, referring to the substation at 8th and Mission streets. That fire has been blamed for some of the blackouts. The outage remains under investigation.
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CNBC – December 21, 2025
Alphabet-owned Waymo has resumed its driverless ride-hail service in the San Francisco Bay Area after a temporary pause during blackouts that plagued the city beginning on Saturday afternoon. “Yesterday’s power outage was a widespread event that caused gridlock across San Francisco, with non-functioning traffic signals and transit disruptions,” a Waymo spokesperson, Suzanne Philion, told CNBC in an e-mailed statement Sunday afternoon.
“While the failure of the utility infrastructure was significant, we are committed to ensuring our technology adjusts to traffic flow during such events,” she added. As power outages spread yesterday, videos shared on social media appeared to show multiple Waymo vehicles stalled in traffic in different parts of the city.
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Futurity – December 19, 2025
Batteries lose charge when they ‘breathe’
Researchers have identified a key reason why the batteries used to power everything from smartphones to electric vehicles deteriorate over time. The work is a critical step toward building faster, more reliable, and longer-lasting batteries.
The research team from The University of Texas at Austin, Northeastern University, Stanford University and Argonne National Laboratory found that every cycle of charge and discharge causes batteries to expand and contract, similar to human breathing. This action causes battery components to warp just a tiny amount, putting strain on the battery and weakening it over time. This phenomenon, known as “chemomechanical degradation,” leads to reduced performance and lifespan. The findings shed new light on an issue that has puzzled scientists and engineers worldwide.
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Politico – December 17, 2025
Most Americans know little about data centers, poll finds*
Data center politics are becoming inescapable across the country — but most ordinary people are barely paying attention, a new poll has found. The findings suggest that even as electricity costs turn into a major campaign issue for both parties, the politics around energy-hungry data centers remain fluid.
A majority of Americans have heard little to nothing about data centers, according to a nationwide poll released Tuesday by Navigator Research, a Democratic-aligned firm that focuses on message testing. And only about one-quarter of the public has heard even a little about a data center coming to their community. That has left the public split over whether to support more data center development. Data center development in people’s own communities even drew mixed opinions, with 36 percent supporting it, 32 percent opposed and 32 percent unsure. “The building of new data centers doesn’t yet evoke strong feelings nationally,” the Navigator Research pollsters wrote in a report analyzing their findings.
Regulatory
Politico – December 19, 2025
Bondi is urged to probe climate groups for China ties*
Republican attorneys general escalated their efforts to thwart an array of climate lawsuits against the oil and gas industry by asking the Department of Justice to investigate whether a group involved in the litigation is aiding China. In a letter Tuesday to Attorney General Pam Bondi, 26 attorneys general asked the department to investigate the Center for Climate Integrity and another group for “potential violations” of the Foreign Agents Registration Act. The 1938 law requires lobbyists and other advocates to notify the Justice Department if they’re working on behalf of foreign entities or governments to influence policy.
The attorneys general asserted that both groups are registered as U.S.-based charitable organizations focused on climate activism, and argued that there is “substantial evidence that both have acted within the United States as unregistered agents of foreign principals.” The Center for Climate Integrity, which supports lawsuits against the industry, called the complaint a “false and baseless smear.” Its president, Richard Wiles, said the group “has never received a single cent of foreign funding.”
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Politico – December 19, 205
FERC delivers firm guidance on electricity to AI industry*
Federal energy regulators on Thursday opened new pathways for data center developers to tap into electricity from “co-located” power plants — putting artificial intelligence companies on more sure footing as they seek to build infrastructure. The order approved unanimously by the five-member Federal Energy Regulatory Commission applies only to PJM Interconnection, the grid operator that coordinates electricity flows to 67 million customers in 13 states. Observers viewed FERC’s action as a critical start of a process designed to ease the way for electricity contracts to power the booming AI industry.
“It has become persistently difficult and expensive to build new grid infrastructure in this country, both generation and transmission,” said Commissioner David Rosner. “A business-as-usual approach will not work to meet growing demand while also keeping prices reasonable and power reliable.”
“Today’s order will help break the logjam,” Rosner said. The co-location issue erupted in November 2024, when FERC rejected PJM’s request to allow an Amazon data center in Pennsylvania to increase the power it pulls from the nearby Susquehanna nuclear plant. The proposal raised fears that major power plants will divert electricity to serve technology giants, shrinking supply available to the public and raising utility bills.
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Politico – December 19, 2025
Enviros sue Interior, alleging NEPA violations on energy projects*
Environmental groups sued the Trump administration Thursday over an interim Interior Department rule for implementing the National Environmental Policy Act, arguing that a hard look at environmental impacts required by the landmark 1970 law is being squelched as energy projects advance. The lawsuit filed by the Sierra Club and the Center for Biological Diversity in the U.S. District Court for the Northern District of California accuses the department of cutting public input long required under NEPA and violating the Administrative Procedure Act by advancing its interim rule for NEPA.
The White House Council of Environmental Quality unveiled an interim rule in February scrapping roughly a half-century of rules interpreting NEPA. The office’s voluntary guidelines shifted the responsibility for interpreting NEPA to the agencies to comply with an executive order President Donald Trump signed on Inauguration Day, directing the government to boost U.S. energy production and revoke a 1977 order authorizing CEQ to make NEPA rules
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Texas Energy Report NewsClips
Friday December 19, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices fell on Friday and were poised for a second straight weekly decline as a potential supply glut and prospects of a Russia-Ukraine peace deal offset concern over disruptions from a blockade of Venezuelan oil tankers.
West Texas Intermediate crude was down 31 cents, or 0.55%, at $55.84.
Brent crude futures lost 17 cents, or 0.28%, to $59.65 a barrel by 0915 GMT.
Analysts are widely projecting a global glut in oil supply next year, boosted by increased output from the OPEC+ producer group as well from the United States and other producers.
“That we’re staying down at these levels indicates that the market is awash with oil right now,” said Ole Hansen, head of commodity strategy at Saxo Bank. “There’s enough oil to mitigate any disruptions.”
Uncertainty over how the U.S. would enforce U.S. President Donald Trump’s intent to block sanctioned tankers from entering and leaving Venezuela tempered geopolitical risk premiums and weighed on oil prices on Friday, said IG analyst Tony Sycamore.
Top Stories
KUHF (NPR Houston) – December 18, 2025
Texas environmental agency struggles with backlogs after years of budget cuts, study finds
The Texas Commission for Environmental Quality has struggled to keep up with enforcement claims amid years of cuts to the state environmental agency’s budget, according to a recent study.When adjusted for inflation, TCEQ’s budget was cut by roughly one-third between 2010 and 2024, even as the number of regulated industrial facilities in the state increased, according to an analysis by the Environmental Integrity Project.
The agency in 2010 had a budget of $539 million. The agency most recently worked on a $407 million budget in 2024. That reduction coincides with a case backlog TCEQ faces. As of August, the agency reported a backlog of 1,480 enforcement cases. In some cases, claims remain untouched for several years, said Kathryn Guerra, a former TCEQ employee who now works as an agency watchdog with the nonprofit group Public Citizen.
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U.S. oil and gas producers in search of fresh drilling territory are looking to expand in Western Canada’s Montney basin, a remote yet massive shale play that is already a hotbed of M&A activity and could see more deals soon, according to executives, analysts and advisors. Extensive drilling in U.S. shale fields over the past 15 years or so has made the country the world’s biggest oil producer. Drilling prospects in the Permian, the largest U.S. oilfield extending across Texas and New Mexico, are becoming less attractive to oil producers after such a long period of expansion because the area left with potential for high production is shrinking. In contrast, the Montney is relatively untapped, prompting Texan shale pioneers to look to the Canadian play for future growth.
“Everyone is hunting for inventory,” said Clint Barnette, director of geology at Indigo Energy Advisors, a unit of advisory firm Efficient Markets. “Operators are broadening their horizons and trying to find inventory that can be secured for less.” The Montney, which spans 130,000 km across northeast British Columbia and northwest Alberta, is currently dominated by Canadian natural gas drillers such as ARC Resources and Tourmaline Oil.
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Trump move to dismantle climate agency blows up Senate funding deal
A potential deal to fund large swaths of the federal government, including the Departments of Defense and Health and Human Services, collapsed on Thursday night after Colorado senators demanded that Congress stop President Trump’s efforts to dismantle a key climate agency.
A Democratic senator involved in the negotiations over passing a five-bill package of appropriations bills before Christmas said that Trump’s attempt to dismantle a premier weather and climate center based in Boulder, Colo., was like a “stick of dynamite” that exploded any chance of a bipartisan breakthrough on spending.
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Argus – December 18, 2025
Energy Transfer halts plans for Lake Charles LNG
US midstream firm Energy Transfer is suspending development of its planned 16.5mn t/yr (2.2 Bcf/d) Lake Charles LNG export terminal in Louisiana to focus on natural gas pipeline expansions, the company said today. The pivot allows the company to reallocate capital to gas pipeline projects that provide “superior risk/return profiles”, Energy Transfer said. The company separately said it will increase the capacity of its planned Desert Southwest expansion of the Transwestern pipeline, allowing it to move more gas from west Texas’ Permian basin to the southwestern US.
The decision to scrap Lake Charles LNG follows a month of dissonance from company executives about moving forward with the facility. Energy Transfer co-chief executive Mackie McCrea told investors in early November that the company would not be able to reach a final investment decision (FID) until it sold off 80pc of equity shares in the project.
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Associated Press/KVUE – December 18, 2025
Feds pave the way for Big Tech to plug data centers right into power plants in scramble for energy
Federal regulators will allow tech companies to effectively plug massive data centers directly into power plants, issuing a long-awaited order Thursday, as the Trump administration urges it to help the U.S. lead the world in artificial intelligence and revive domestic manufacturing.
The Federal Energy Regulatory Commission’s unanimous order is designed to clear up pressing issues around so-called “colocation” agreements in the nation’s largest grid territory, which stretches across mid-Atlantic states to parts of Illinois and Indiana.
The Latest TERse Tips
US Natural Gas Prices Rebound Amid Robust LNG Flows — Oil Price
John Wood Group PLC has secured a 10 year contract with NextDecade to deliver maintenance solutions at Rio Grande LNG, the major natural gas liquefaction and export facility under development near Brownsville — Hydrocarbon Engineering
A new development in the battle over a huge solar farm in Bandera — the company behind the project has filed for Chapter 11 bankruptcy — a North Carolina company called Pine Gate Renewables is in the process of selling the solar farm it built — WOAI
Granbury’s City Council voted 4-0 Dec. 23 to adopt Resolution No. 24-20 denying Atmos Energy Corporation’s application filed on or about Dec. 16, 2024, to increase in-city residential natural gas delivery rates — Citizen Portal
US renewables developer and independent power producer Linea Energy has secured project debt financing for the 235-MW/470-MWh Duffy battery energy storage system project in Matagorda County — Renewables Now
“Texas should lead the drone revolution with Ukraine as our partner” — drones are moving from novelty to workhorse. In the next decade, they will inspect pipelines and power lines, map coasts, fight wildfires, secure plants and ports, and transform farming — opinion in the Dallas Morning News*
On Friday, December 12, the Public Utility Commission of Texas finally kept a promise they had made back in 2021 – assess and make changes to the energy efficiency and “load management” programs that the state’s eight private transmission and distribution utilities are required to run under Texas law — Sierra Club
The House passed bipartisan legislation by a 221-196 vote Thursday aimed at overhauling federal permitting reviews in a bid to accelerate the construction of new energy and infrastructure projects amid surging power demand and rising electricity prices — Politico*
On the heels of the Texas AG’s office suing Xcel, blaming it for having a part in the Smokehouse Creek fire in the Panhandle, Xcel Energy says a power shutoff in Colorado will begin Friday, Dec. 19, as early as 5 am MST because of high winds that risk fire — Boulder Reporting Lab
Oil & Gas Texas
Houston Chronicle – December 18, 2025
House passes bill to fast-track infrastructure permitting, despite loss of Democratic support*
House Republicans passed bipartisan legislation that would overhaul how federal agencies permit pipelines, highways and other large infrastructure projects on Thursday, despite little Democratic support after changes targeting wind and solar projects pushed by U.S. Rep. Chip Roy and other conservative members. Speeding up infrastructure projects has been a rare point of bipartisan agreement in Washington, with federal agencies sometimes taking as long as a decade to approve major projects. Pressure to act has increased over the past year as states like Texas rush to expand their power grids to serve a flood of new data centers powering artificial intelligence technology.
As recently as last week, many moderate Democrats seemed to be on board with the SPEED Act, which aims to overhaul 1970s-era environmental laws to get projects approved more quickly. But the bipartisan agreement fell apart this week as Roy and other members of the Freedom Caucus forced Republican leadership to remove a provision that would have prevented presidents from blocking projects that have already received their permits — as President Donald Trump has done with offshore wind farms and former Presidents Joe Biden and Barack Obama did with pipeline and mining projects. Roy and other members of the Freedom Caucus have long opposed the expansion of wind and solar energy in the United States.
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Natural Gas Intelligence – December 18, 2025
ExxonMobil Eyeing More Natural Gas Growth, CCS Deals and Push for Data Centers*
In a December 2025 investor update, ExxonMobil executives outlined an expansive growth strategy through 2030 centered on increasing earnings and cash flow from its “advantaged assets” in the Permian Basin, Guyana, and the liquefied natural gas (LNG) portfolio. The updated 2030 plan includes several key components:
- Financial Goals: ExxonMobil aims for $25 billion in earnings growth and $35 billion in cash flow growth by 2030 compared to 2024, a $5 billion increase for both metrics from the previous plan, without increasing capital spending.
- Production Targets: Total upstream production is expected to reach 5.5 million oil-equivalent barrels per day by 2030.
- Asset Development: This growth will be driven by doubling Permian production to 2.5 million oil-equivalent barrels per day by 2030, as well as production from offshore Guyana (over 1.7 million b/d capacity by 2030) and four major LNG projects globally.
- Cost Savings: The company increased its target for cumulative structural cost savings to $20 billion by 2030 compared to 2019 levels.
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Nasdaq – December 18, 2025
Chevron to Export 2 Billion Cubic Meters of LNG to Hungary
Chevron Corporation has reportedly reached a significant agreement with Hungary’s state-owned MVM Group through a landmark five-year liquefied natural gas (“LNG”) deal. According to Reuters, this agreement, which involves the supply of 2 billion cubic meters of LNG over the next five years, represents a significant step for Hungary in the ongoing efforts to diversify its energy sources. The deal, announced by Hungary’s foreign minister Peter Szijjártó, is a milestone not only for the country but also for broader European energy security, especially as the region seeks to reduce its dependence on Russian energy.
Chevron’s involvement in this deal is more than just a business transaction — this highlights its key role in supporting energy diversification across Europe. As countries like Hungary continue to reassess their energy policies in the wake of geopolitical shifts, particularly after Russia’s invasion of Ukraine, American LNG is becoming an increasingly vital part of the energy mix.
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Center Square – December 18, 2025
Apex expands, Comstock repositions in Haynesville shale
A series of recent deals are reshaping gas production in the Haynesville shale basin, with established companies repositioning themselves and a new player emerging. Apex Natural Gas, a Shreveport-based exploration and production company owned by hedge fund giant Citadel, bought assets in the Haynesville basin on both sides of the Texas-Louisiana border in two transactions in early December, and is fast becoming one of the leading operators in the region.
Citadel acquired Paloma Natural Gas for $1.2 billion in February 2025, renamed the company Apex Natural Gas and in December paid $430 million to buy Haynesville shale gas acreage in Louisiana and Texas from Comstock, majority-owned by Dallas Cowboys owner Jerry Jones, according to a report in Bloomberg.
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Pipeline & Gas Journal – December 18, 2025
Woodside’s Next CEO Must Steer Costly LNG Projects Through Glut Risk
Woodside Energy faces a leadership shake-up after chief executive Meg O’Neill’s surprise exit for the top job at BP, a move that comes as the Australian firm is striving to deliver key projects in a market braced for oversupply. The oil and gas producer is expected to press on with its global growth strategy, analysts say, requiring sustained investment in new assets and continuity in mature fields. Advancing its Louisiana LNG project will be crucial after project delays and escalating costs in the sector.
“The key project for Woodside will be the $17.5 billion Louisiana LNG project. The new CEO will need to manage construction risk,” said Joshua Runciman, analyst at the Institute for Energy Economics and Financial Analysis (IEEFA).
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Reuters – December 16, 2025
Mexico’s Pemex awards five contracts to boost oil output, fails to draw big players, document shows*
Mexican state oil company Pemex has awarded five of the 11 new joint venture contracts it had planned to ink before the end of the year, according to four sources familiar with the matter and a document seen by Reuters. But Pemex was unable to attract major companies, and the production the ventures may add looks too small to significantly help reverse Mexico’s declining crude oil output. Pemex has been trying to persuade reluctant investors to join a total of 21 new joint venture contracts that could add up to 450,000 barrels per day of crude oil, or a quarter of its forecast output by 2033.
“So far it hasn’t been successful at all, as anticipated,” said one source, adding that the contract model has not attracted the big players. “The production from those projects isn’t going to make a difference for Pemex.” Known as mixed contracts, they are due to be signed on December 19 and would be the first of their kind in Mexico. Bearing logos of the Mexican government and Pemex, the undated document lists the companies that bid for the contracts and the winners for each of the following onshore projects: Tupilco Terciario; Sini-Caparroso; Cuervito; Agua Fria; and Tamaulipas Constituciones.
Oil & Gas National & International
News from the States – December 18, 2025
Enbridge wins key ruling as federal judge bars Michigan from ending Line 5 easement
A federal judge has deemed Gov. Gretchen Whitmer’s move to revoke the Line 5 oil pipeline’s easement to operate within the Great Lakes unenforceable, determining that the move is barred by federal law. Judge Robert Jonker of the United States District Court for the Western District of Michigan’s Southern Division issued an order Wednesday siding with Canadian pipeline company Enbridge in their case against Whitmer and the director of the Department of Natural Resources.
In his opinion, Jonker pointed to the Pipeline Safety Act of 1992, concurring with Enbridge’s assertion that the law preempts states from placing safety regulations on interstate pipelines. He also pointed to arguments from the government of the United States and Canada arguing that the state’s effort to shut down the pipeline violates a 1977 treaty between the two nations concerning the flow of oil and natural gas through pipelines across borders.
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The Wall Street Journal – December 18, 2025
BP’s New CEO Is an American Defender of Oil and Gas*
For years, Meg O’Neill clashed with environmentalists as chief executive of one of Australia’s biggest energy companies. Now she has been tapped to lead BP and steer the company back to its oil-and-gas roots. BP named the American former Exxon Mobil executive as its new boss in an unexpected management shake-up Wednesday. She is set to take the helm of a storied yet often troubled energy producer that is aiming to reinvigorate its fossil-fuel business after an ill-timed turn toward renewable energy. O’Neill, who is set to join the London-based company from Australia’s Woodside Energy
in April, is a dealmaker who is willing to go to bat for the oil-and-gas business. She will be the first woman to lead an oil major. As Woodside’s CEO, the engineer was forced to confront a rowdy environmental movement that regularly staged protests at the company’s headquarters in Perth—and targeted her home. “Our employees are subject to pressure that they really shouldn’t be,” O’Neill said in an interview with The Wall Street Journal last year. “You know, the gas that we’re providing is, again, literally keeping lights on.”
When activist investors rallied a majority of shareholders to vote against Woodside’s climate strategy last year, she said that the company was “determined to play our role in addressing climate change, but we won’t make promises that we can’t deliver.” At BP, O’Neill will join a company trying to steady itself after years of upheaval. Its shift to green energy—where it paid peak prices for assets—was unpopular among investors, and its debt ballooned. Now it is pivoting back to fossil fuels fast in a bid to boost profits and its languishing stock price. Tapping O’Neill to replace company veteran Murray Auchincloss will aid BP’s efforts to “become a simpler, leaner, and more profitable company,” Chairman Albert Manifold said Wednesday night.
BP is working to sell $20 billion in assets, using the proceeds to help cut debt and boost oil and gas production, particularly in the U.S. Activist investor Elliott Investment Management turned up the pressure on the company earlier this year, disclosing in April that it held a 5% stake in BP after years of its shares underperforming the rest of Big Oil.
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Associated Press/KXAN – December 18, 2025
Federal judge blocks Whitmer from shutting down submerged Great Lakes pipeline
A federal judge on Wednesday blocked Michigan Gov. Gretchen Whitmer ‘s attempt to shut down an aging oil pipeline running beneath a channel linking two of the Great Lakes, finding that only the federal government can regulate interstate pipeline safety.
Whitmer, a Democrat, ordered regulators in 2020 to revoke an easement that allows Enbridge Inc. to operate a 4.5-mile (6.4) kilometer pipeline segment under the Straits of Mackinac, which link Lake Michigan and Lake Huron. Whitmer made the move out of concern that the 72-year-old pipeline could rupture and cause a catastrophic spill.
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Associated Press/North Shore News – December 17, 2025
States brace for Trump’s push to make oil drilling cheap again
A Republican push to make drilling cheaper on federal land is creating new fiscal pressure for states that depend on oil and gas revenue, most notably in New Mexico as it expands early childhood education and saves for the future.
The shift stems from the sweeping law President Donald Trump signed in July that rolls back the minimum federal royalty rate to 12.5%. That rate — the share of production value companies must pay to the government — held steady for a century under the 1920 Mineral Leasing Act. It was raised to 16.7% under the Biden administration in 2022. Trump and Republicans in Congress say the rate reset will boost energy production, jobs and affordability as the administration clears the way for expanded drilling and mining on public lands.
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S&P Global Platts – December 6, 2025
What a Russia-Ukraine peace deal could mean for oil markets
Brent crude futures fell below $60/b Dec. 16, trading close to levels last seen in early 2021, amid growing market expectations over a possible Russia-Ukraine peace agreement that could restore Russian oil production and exports if sanctions unwind.
Although yet to materialize, market watchers anticipate a peace deal leading to a significant oil market rebalancing, with a potential release of oil-on-water as shipping trade routes normalize, a rise in Russian supplies dependent on the speed of production recovery, and a narrowing the discount on Russian crude.
Utilities, Electricity & Renewables
Houston Chronicle – December 18, 2025
Data centers will have to disconnect during severe Texas grid emergencies, ERCOT CEO says*
An unprecedented surge of data centers could be coming to Texas, prompting concerns over how the state’s power grid — which infamously suffered deadly blackouts in 2021 — will keep up with the breakneck demand. According to Pablo Vegas, CEO of the Electric Reliability Council of Texas, residents don’t need to be alarmed: A new state law requires data centers to disconnect in phases at the grid operator’s discretion during a severe grid emergency.
“If a data center connects onto our grid and the grid gets tight, they have to turn off before we (have rotating outages),” Vegas said in a recent interview with the Houston Chronicle. As Big Tech companies race to develop artificial intelligence, a huge pipeline of data centers — some planning to use as much electricity as entire cities — are seeking to come to Texas, attracted to the state’s plentiful land and relatively cheap energy for industrial customers. As a result, near-term electricity demand is expected to grow magnitudes faster in Texas than anywhere else in the country, according to an Energy Department analysis.
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Midland Reporter-Telegraph – December 18, 2025
Oncor seeks approval of route for new 765-kilovolt West Texas line*
Oncor is working on beefing up West Texas’ power lines and recently provided an update to its efforts. The electricity delivery company is working to update its infrastructure to 765-kilovolt transmission lines and is seeking final approval of its route from the Public Utility Commission of Texas. A decision is expected in June 2026. “The Longshore Switch – Drill Hole Switch 765-kilovolt transmission line will help strengthen the Texas transmission grid and support Oncor’s continued delivery of safe, reliable electric service,” the company said in a statement. “The proposed line, which would connect the expansions of Oncor’s Longshore Switch and Drill Hole Switch, will be approximately 180 miles, depending on the route ultimately approved by the PUCT. Preliminary route links for PUCT consideration are located in Andrews, Culberson, Ector, Glasscock, Howard, Loving, Martin, Midland, Reeves and Winkler counties.”
Oncor said the effort to add to its existing 345-kilovolt and 138-kilovolt transmission lines will help move electricity farther and more efficiently. “The introduction of 765-kilovolt lines to Texas is part of the Permian Basin Reliability Plan adopted by the PUCT in April 2025,” the company said. “While the first 765-kV lines in Texas will be critical for meeting the Permian Basin region’s soaring electricity demand, their two-way power flow will also allow electricity to be moved across Central Texas when needed.
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Associated Press/Yahoo! News – December 18, 2025
Trump Media to merge with nuclear fusion company that wants to power AI
Related: How Trump Spun a Social Network Into a Nuclear-Fusion Company — a media company backed by the president’s family, forged after his Twitter ban, now is venturing into electrical plants for artificial intelligence — The Wall Street Journal*
The parent company of President Donald Trump’s Truth Social media platform is merging with a fusion power company, an unusual pairing of the Trump name with a futuristic clean energy venture that aims to power the next wave of artificial intelligence. Trump Media & Technology announced its merger with TAE Technologies in an all-stock deal that the companies said Thursday is valued at more than $6 billion.
The combined company says it plans to find a site and begin construction next year on the “world’s first utility-scale fusion power plant,” with aims to provide the electricity needed for artificial intelligence.
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Power Magazine – December 18, 2025
Companies Announce Major Energy Storage Projects in Texas
A Colorado-based company focused on utility-scale battery energy storage has partnered with global technology group Wärtsilä and others for construction of a 500-MWh project near the Dallas-Fort Worth area in Texas. Peregrine Energy Solutions, headquartered in Boulder, along with Wärtsilä and WHC Energy Services on December 17 said the companies are advancing work on the Mallard Energy Storage installation, sited about 30 miles northeast of Dallas. Peregrine said the 250-MW/500-MWh project is part of its buildout of power grid infrastructure across the Electric Reliability Council of Texas (ERCOT) system.
GridStor, meanwhile, a Portland, Oregon-based developer and operator of grid-scale battery energy storage systems (BESS), on December 16 said it has executed a tolling agreement for the 150-MW/300-MWh Gunnar Reliability Project in Hidalgo County, Texas. The company said construction of the project is underway, with commercial operation expected by year-end 2026.
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Politico – December 17, 2025
Nuclear industry to add 15 reactors next year after 2025 decline*
The nuclear industry is expected to switch on 15 reactors globally in 2026, a big jump after total capacity actually shrank by 1.1 gigawatts this year, according to BloombergNEF. Just two new reactors went into service this year through November and seven shut down, BloombergNEF said in a report published Monday. About 12 gigawatts of fission power will be added in 2026, including at the Palisades plant in Michigan that is being revived. However, it will likely be several years before any new traditional nuclear projects in the U.S. are completed.
More than 50 new reactors are set to set to go into service worldwide from 2027 through 2030, a significant figure for an industry that’s been largely stagnant this century. However, all that electricity won’t be enough to meet voraciously growing demand, especially from data centers needed to power artificial intelligence. While the Trump administration has announced a series of executive orders and regulatory changes aimed at promoting wider use of fission, nuclear plants can take years to plan and build and often face significant delays and cost overruns.
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The Wall Street Journal – December 18, 2025
Why Fusion Is Considered Energy’s Elusive Holy Grail*
Many experts consider fusion the holy grail of energy that could deliver enormous power in the distant future. President Trump’s media company is betting it is imminent. Trump Media & Technology’s planned merger with fusion company TAE Technologies would bring fusion investing—usually the realm of high-risk-tolerant venture investors—to the public markets for the first time. It is a gamble that fusion power, which no company or researcher has yet delivered, can be built in time to meet the artificial-intelligence boom’s growing power requirements. There is still a lot to prove.
Fusion powers the sun and could produce almost-limitless amounts of carbon-free energy if it can be harnessed on Earth. There are so many hurdles that the joke in the energy industry is that fusion is 10 years away and always will be. “The challenge is still: Can we make the science and technology work?” said George Tynan, adjunct professor in the Massachusetts Institute of Technology’s nuclear science and engineering department. There has been growing enthusiasm for fusion, especially following a 2022 breakthrough at Lawrence Livermore National Laboratory in Livermore, Calif., where researchers were able to create a fusion reaction that produced more energy than it consumed.
Net gain isn’t the same as producing net power, though. “That’s not a power reactor,” Tynan said. “You then have to solve a bunch of engineering problems to turn that from like a demonstration into something that might be commercially viable.” There are now dozens of fusion companies globally—and a race to see who can achieve commercial fusion first. China thus far has been outspending the U.S. The Fusion Industry Association has tracked $9.7 billion in investments into private companies, the bulk of them coming in the past couple of years and largely in the U.S.
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The Conversation – December 18, 2025
Rising electricity prices and an aging grid challenge the nation as data centers demand more power*
Everyone – politicians and the public – is talking about energy costs. In particular, they’re talking about data centers that drive artificial intelligence systems and their increasing energy demand, electricity costs and strain on the nation’s already overloaded energy grid.
As a former state energy official and utility executive, I know that many of the underlying questions involving energy affordability are very complex and have been festering for decades, in part because of how many groups are involved. Energy projects are expensive and take a long time to build. Where to build them is often also a difficult, even controversial, question. Consumers, regulators, utilities and developers all value energy reliability but have different interests, cost sensitivities and time frames in mind.
Regulatory
Pipeline & Gas Journal – December 12, 2025
Democrat Lawmakers Target Pipeline Approvals with New FERC Climate Review Bill
A group of congressional Democrats has introduced legislation that would require the Federal Energy Regulatory Commission (FERC) to evaluate greenhouse gas emissions and environmental justice impacts when reviewing natural gas pipeline projects under the Natural Gas Act. The FERC Greenhouse Gas and Environmental Justice Policy Act of 2025, sponsored by Sen. Tammy Duckworth (D-Ill.), Sen. Dick Durbin (D-Ill.), Rep. Sean Casten (D-Ill.), and Rep. Jennifer McClellan (D-Va.), seeks to formalize how FERC considers a pipeline’s contribution to climate change and its effects on nearby communities before granting approval.
“As extreme weather events become more frequent, we can’t afford to ignore the climate crisis and the harm it’s inflicting on families across our country,” Duckworth said. “Every American deserves to breathe clean air, drink safe water and live, work and play on uncontaminated land.”
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Politico – December 18, 2025
Groups sue Treasury, IRS over solar and wind tax credit rules
A coalition of tribal, environmental, local and consumer groups filed a lawsuit Thursday challenging the Trump administration’s rules making it harder for wind and solar projects to earn federal tax credits. The complaint — filed in the U.S. District Court for the District of Columbia — represents a push against the Trump administration’s policy actions targeting the renewable energy industry.
The suit takes aim at how the Treasury Department determines when construction of solar or wind projects officially begins, a key metric that allows developers to claim the tax credits and one the administration sought to limit. The groups, led by the Oregon Environmental Council, alleged in their lawsuit that those new rules unfairly and illegally discriminated against wind and solar projects, and violated the Administrative Procedure Act.
The administration’s guidance on when construction starts “is causing, and will continue to cause, harm to the wind and solar industries and to the people who design, support, or provide services to these industries,” the groups alleged in their complaint. The rules unlawfully changed the tests for beginning of construction for only solar and wind facilities “without providing adequate reasons or data for treating those facilities differently from all other industries that have long been subject to the same methodology,” the filing said.
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Lexology – November 18, 2025
Bringing Data Centers to the Grid: FERC’s Emerging Large Load Framework: Sidley
On October 23, 2025, Secretary of Energy Chris Wright directed the Federal Energy Regulatory Commission (FERC) to consider an Advance Notice of Proposed Rulemaking (ANOPR) to initiate rulemaking procedures to “ensure the timely and orderly interconnection of large loads to the transmission systems.” Under the ANOPR, “large loads” are defined as those with a capacity of 20 MW or more, aligning with the definition of “large generation sources” in FERC’s Order No. 2003.
The primary purpose of the ANOPR is to address the growing challenges associated with connecting large energy consumers to the grid. Data centers, which consume vast amounts of electricity, present unique issues for grid operators; these issues include difficulties in forecasting demand, ensuring system reliability, and integrating large-scale loads without compromising existing service. The ANOPR seeks to establish a regulatory framework that anticipates these issues and promotes efficient, non-discriminatory access to transmission infrastructure. FERC published notice of the ANOPR on October 27, 2025, with comments due by November 14, 2025.
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Dallas Observer – December 8, 2025
Controversial Energy Source of the ’80s Could Help the Power Crisis Now
Texas, as well as the United States as a whole, has a problem. We need more energy, and lots of it. With new data centers breaking ground across the country, and many in the Lone Star State, seemingly daily, our power supply is being thinned by a consistently growing demand. According to some, there’s a simple solution: uranium mining. Apparently, Texas is well-positioned to benefit from a nuclear renaissance, and as archaic as it may sound, the future of energy may rest in the past.
In the ‘80s, the United States was the dominant leader in uranium mining, with large deposits in Wyoming, Colorado and Texas. Our shafts, like traditional burrowed mines, were abandoned after nuclear disasters, like Chernobyl, decreased general support and global prices. Domestic uranium mining became uneconomic and equally unpopular. So we began importing. Currently, the United States imports 98% of its uranium, or 32 tons per year, despite having its own sizable uranium reserves.
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Texas Energy Report NewsClips
Thursday December 18, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices rose on Thursday following reports that the U.S. was preparing new sanctions on Russian oil if Moscow does not agree to a Ukraine peace deal, as market participants assessed the supply risks posed by a blockade of Venezuelan oil tankers.
West Texas Intermediate (WTI) crude was up 44 cents, or 0.79%, at $56.38 per barrel at 0256 GMT, paring some gains after initially rising more than a dollar after the market opened.
Brent crude rose 42 cents or 0.7% to $60.10 per barrel.
On Wednesday, Bloomberg reported that the U.S. is preparing another round of sanctions on Russia’s energy sector in case Moscow doesn’t agree to a peace deal with Ukraine, citing people familiar with the matter. A White House official told Reuters President Donald Trump had not made any decisions on Russian sanctions.
Top Stories
Midland Reporter-Telegram – December 17, 2025
Pessimism and uncertainty continue to weigh on oil and gas industry*
See the Dallas Fed Report here
Pessimism and uncertainty continue to weigh on the region’s oil and gas industry. The Federal Reserve Bank of Dallas has issued its fourth quarter energy survey, reporting the industry remains in the doldrums, as observed by Kunal Patel, senior business economist at the bank. Based on responses to the quarterly survey, analysts found oil and gas activity edged lower in the fourth quarter. The business activity index, the survey’s broadest measure of conditions facing energy firms, came in at negative 6.2, suggesting a small decline from the third quarter survey.
“I’ve always found prices influence the outlook,” Patel said during a media briefing to discuss the survey’s results. Prices influence revenues, which influence profits, he added. During the first quarter survey, respondents indicated breakeven oil prices would be $61 for the larger companies producing over 10,000 barrels and $65 for the smaller companies producing below 10,000 barrels. Oil prices currently hover just over $55 — just below $52 for posted prices — and the concern is if prices continue to decline, activity levels will also fall further.
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Reuters – December 18, 2025
BP has named Meg O’Neill, chief executive of Australia’s Woodside Energy, as its next CEO, signalling a renewed push to boost returns and double down on oil and gas after retreating from an ambitious renewables strategy. O’Neill, who will take over in April following the abrupt exit of Murray Auchincloss, becomes BP’s first external CEO in its more than century-long history and the first woman to lead any of the world’s top five oil majors.
SAUL KAVONIC, ANALYST, MST MARQUEE — “Meg has built a very strong reputation in the oil and gas industry in the space of a few years, and is even more highly regarded overseas than in Australian markets.”
BRYNN O’BRIEN, EXECUTIVE DIRECTOR, AUSTRALASIAN CENTRE FOR CORPORATE RESPONSIBILITY — “At Woodside, O’Neill’s departure is an opportunity for a much-needed strategy refresh.”
Houston Chronicle – December 17, 2025
Just a day after a California board dealt Sable Offshore a serious blow when it blocked a permit for Sable’s pipeline, the federal government stepped in with a Hail Mary for the embattled Houston oil company. According to a U.S. Securities and Exchange Commission filing made public Wednesday evening, Sable Offshore’s contested pipeline connecting its Santa Ynez Unit to an onshore facility in California has been reclassified as an interstate pipeline. The move seemingly revokes the state and Santa Barbara’s authority over the pipeline and permitting process and instead gives it to the Pipeline and Hazardous Materials Safety Administration, an arm of the Trump administration.
Sable previously asked the administration for its support in its fight with California regulators. Energy Sec. Chris Wright signaled support for the project in October, criticizing the state in a post on X for “blocking oil production off California’s coast.” But the administration has yet to publicly comment on the Wednesday move. The company spent the better part of a year working to fully restore operations off the coast of California at a cluster of offshore oil fields known as the Santa Ynez Unit. Its efforts have been gridlocked in state courts, culminating with the 3-1 vote Tuesday from the Santa Barbara County Board of Supervisors that rejected Sable’s permit.
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Politico – December 17, 2025
Democratic think tank plans to ditch climate ‘purity’*
It’s time to move on from “alarmist rhetoric” about climate change, according to a new playbook from a Democratic think tank. The Searchlight Institute — a think tank launched earlier this year with the goal of fueling a major political realignment after big Republican wins — is announcing a new framework on climate and energy. The playbook calls for policies that slash emissions and prioritize abundant and affordable energy. It also urges policymakers to prioritize results — not “purity” — on climate and energy. Decades of “alarmist rhetoric” that contributes to “climate anxiety” have “failed to move public sentiment broadly,” the new framework says.
Climate “anxiety” doesn’t translate well to “sustained action” on combating emissions, said Luke Bassett, the director of Searchlight’s energy security project. Bassett helped draft the Inflation Reduction Act as an aide to then-Sen. Joe Manchin (I-W.Va.) and then worked to implement the law from the Biden Treasury Department. The new energy and climate framework is part of the think tank’s broader mission of pursuing “supermajority thinking” by scrambling ideological lines and appealing to voters across the political spectrum. Searchlight was founded this year by Adam Jentleson, former chief of staff to Sen. John Fetterman (D-Pa.) and as deputy chief of staff to then-Senate Democratic Leader Harry Reid (D-Nev.).
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Business Insider – December 17, 2025
Amazon is the prospective tenant that withdrew funding from Fermi America’s massive data-center project, sending the developer’s stock plummeting earlier this month, Business Insider has learned. In September, Fermi, which is developing an 11-gigawatt data-center campus in the Texas Panhandle, said it had agreed to a nonbinding letter of intent with an investment-grade tenant to anchor the project. The tenant would take the first gigawatt of power across 12 facilities.
On Friday, December 12, Fermi’s stock plunged by nearly half after a securities filing said an unnamed prospective partner had canceled a $150 million advance to begin construction, known as an Advance in Aid of Construction Agreement, or AICA. The cancellation followed the end of an exclusivity period.
The Latest TERse Tips
President Donald Trump said Venezuela is “completely surrounded by the largest armada” in South American history — one that Trump threatens will only get bigger until the return of oil, land and other assets he claims belong to the United States — Border Report
The Houston Chronicle cites several Republicans and a Democrat as examples of ex-office holders holding onto campaign money for years and putting it to a wide range of uses, including “fine dining” and high-priced hotels — Houston Chronicle*
Governor Abbott announced today that he activated additional state wildfire response resources in anticipation of increased fire danger expected across the western and northwestern parts of the state through the weekend — see the press release
A coalition of Texan nonprofits and the City of Port Isabel sued the Federal Energy Regulatory Commission (FERC) for approving the Rio Grande LNG terminal and Rio Bravo pipeline — Earthjustice
Kimbell Royalty Partners’s existing lenders have unanimously reaffirmed the borrowing base and total commitments of $625 million and the maturity date of the secured revolving credit facility was extended from June 13, 2027 to December 16, 2030 — see the press release
Interactive map: EU Energy security — see it here
Trump enlists 5 allies to counter China on rare earths and tech — a new coalition unites Singapore, Australia, Japan, South Korea and Israel — Politico*
Transco Pipeline Turns 75 Years Old, Flows 16% of U.S. NatGas — Marcellus Drilling
Oil & Gas Texas
Houston Chronicle – December 17, 2025
Houston chemical giant slashes workforce as Gulf Coast operations shut down*
Westlake Corporation—a chemical manufacturer headquartered in Houston—is laying off 295 employees as it closes four of their Gulf Coast facilities. According to a Westlake Corp. news release on Monday, operations will cease at the following facilities before the end of the year:
- A polyvinyl chloride plant at the Aberdeen, Miss. site, which has an annual capacity of approximately 1 billion pounds of suspension PVC resin.
- A vinyl chloride monomer plant at the Lake Charles, La. North site, which has an annual capacity of approximately 910 million pounds of VCM.
- A diaphragm chlor-alkali unit at the Lake Charles, La. South site, which has an annual capacity of approximately 825 million pounds of chlorine and 910 million pounds of caustic soda.
- A styrene production plant located at the Lake Charles, La. site, which has an annual production capacity of approximately 570 million pounds of styrene.
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World Energy News – December 17, 2025
Freeport LNG Export Plant in Texas will take in more natgas data shows
Data from the financial firm LSEG revealed that U.S. liquefied gas company Freeport LNG was’set to receive more natural gas in its Texas export plant on Wednesday. This implies a resumption of service by one of three liquefaction train after it had been shut down on Tuesday. It is one of the U.S. LNG facilities that are closely monitored in the world, as changes in its operation can lead to a?price spike in global gas markets.
Gas prices in the U.S. typically?decline due to lower demand from the export plant. Prices in Europe are usually higher because there is less LNG available for global markets. The futures price in the U.S. was up about 2% on Wednesday, after having fallen?to an all-time low on Tuesday. This was due to the closure of the liquefaction trains at Freeport.
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Dallas Innovates – December 17, 2025
Former Google CEO’s Bolt Data & Energy Inks $200M Partnership With Dallas’ Texas Pacific Land Corp.
Dallas-based Texas Pacific Land Corporation (NYSE: TPL) announced a strategic agreement with Bolt Data & Energy Inc. to develop and enable large-scale data center campuses and supporting infrastructure across TPL’s massive West Texas land holdings. Bolt is a data and energy infrastructure company co-founded by Eric Schmidt, former CEO and chairman of Google, who also serves as Bolt’s chairman.
“Our goal is to create the largest and most efficient data center company in the world by combining abundant energy production, efficient and scalable data infrastructure, and the largest land expansion runway in North America,” Schmidt said in a statement. “By partnering with TPL, Bolt will fuel the Fourth Industrial Revolution and protect and augment American leadership in artificial intelligence.”
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Offshore Energy – December 16, 2025
US player picks up work at Woodside’s $17.5B LNG megaproject in Pelican State
Mistras, a New Jersey-headquartered provider of technology-enabled industrial asset integrity and testing solutions, has been hired for an assignment at a multibillion-dollar liquefied natural gas (LNG) development project in Louisiana, operated by Australia’s Woodside Energy. Bechtelhas selected Mistras to deliver non-destructive testing (NDT) services for the $17.5 billionLouisiana LNG production and export project, formerly known as Driftwood LNG, under construction in Louisiana. The LNG development is owned by Louisiana LNG Infrastructure (InfraCo), made up of Stonepeak (40% interest) and Louisiana LNG (HoldCo), the holding company operated by Woodside.
Thanks to the contract award, the New Jersey-headquartered firm will provide a comprehensive suite of NDT services, including radiography (RT), magnetic particle testing (MT), liquid penetrant testing (PT), positive material identification (PMI), ultrasonic thickness testing (UT), and leak testing.
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Yahoo! News – December 17, 2025
Texas Leads The Charge As America Sets New Oil And Natural Gas Records
The U.S. oil and natural gas industry set oil and natural gas production records in November. Crude oil output reached an estimated 5.9 million barrels per day in November, the highest level ever recorded in U.S. history, according to U.S. Energy Information Agency data.
“Even with fewer rigs operating this year, productivity gains in regions like the Permian Basin and Eagle Ford Shale show the efficiency and innovation of Texas producers,” the Texas Oil & Gas Association states in a new quarterly perspective. “Texas is America’s energy anchor,” leading in production, the perspective states. More than 42% of U.S. crude oil and nearly 30% of U.S.-marketed natural gas originates in Texas, The Center Square has reported.
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CBS News – December 17, 2025
Trump administration sanctions Mexican cartel and its leader, “the sledgehammer,” for oil theft
The Treasury Department has imposed sanctions on a violent Mexican fuel-theft cartel and its imprisoned leader, amid the Trump administration’s crackdown on cartels backing operations through stolen oil and gas. The Treasury’s Office of Foreign Assets Control designated the Guanajuato-based group known as the “Cartel de Santa Rosa de Lima,” or CSRL, after U.S. officials found the enterprise turned a profit by stealing fuel and crude oil from Mexico’s state-owned energy company, Pemex.
OFAC also sanctioned Jose Antonio Yepez Ortiz. Dubbed “El Marro,” or “the sledgehammer,” the leader of CSRL is currently serving out a 60-year sentence in Mexico, but U.S. officials have accused him of orchestrating cartel operations from behind bars by “sending instructions and orders to his collaborators through his lawyers and family members.”
Oil & Gas National & International
Reuters – December 17, 2025
Houston Chronicle – December 17, 2025
Shell greenlit a new oil recovery project in the Gulf of Mexico Tuesday, an effort to prolong the life of one of its platforms by several years. The project, expected to come online in 2028, will use waterflooding, a technique that injects water into the reservoir to sweep leftover or displaced oil into adjacent wells while repressurizing the rock formation. It adds as much as 60 million metric barrels of oil equivalent in the Kaikias oil field, roughly 130 miles off the coast of Louisiana.
The move comes as offshore operators seek to make existing wells more efficient as oil prices continue to flag. Operators are also looking for new drilling options in deeper waters, thanks to new high-pressure drilling technology unveiled over the last year or so. Last week, Houston’s oil giants scooped up over 1 million acres of offshore acreage during the first sale of oil and gas drilling rights in the Gulf of Mexico since 2023. The Trump administration recently opened up whole swaths of the coastal United States to offshore drilling.
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Pipeline & Gas Journal – December 13, 2025
Shell Withdraws from Argentina LNG Project with YPF
Shell has opted out of participating in the next phase of Argentina’s proposed LNG export project, developed in partnership with state-run YPF, the companies confirmed this week. The project, designed to export up to 10 million tonnes per annum of liquefied natural gas from the Vaca Muerta shale, has been in early-stage development since a project agreement was signed in December 2024.
“Shell has decided not to move forward with the initial phase of the Argentina LNG project. Shell participated in pre-FEED only,” a company spokesperson said. Despite stepping away from the project, Shell said it continues to view Argentina as a “potentially attractive growth market for LNG export” and remains open to future collaborations with YPF.
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The Wall Street Journal – December 17, 2025
The $8 Billion Black Market for Venezuelan Oil Is Suddenly Closing Down*
Venezuela has long used the same playbook as Russia and Iran to get around crippling American sanctions on its oil industry, tapping a shadowy fleet of aging vessels to carry crude to customers. President Trump’s partial oil blockade threatens to devastate this black market, which U.S. officials say lines Venezuelan leader Nicolás Maduro’s pockets and props up the impoverished country’s fragile economy.
U.S. officials said the military would be going after a network of ships already sanctioned by the Treasury Department. Such tankers account for about 70% of Venezuela’s oil exports, mostly sent to Asian buyers who pay in cryptocurrencies, Venezuelan economist Asdrúbal Oliveros said on the country’s public radio Wednesday. Losing access to that network of ships would reduce Venezuelan revenue by some $8 billion a year, Oliveros estimated.
Some sanctioned tankers have already turned around to avoid the U.S. Navy flotilla in the Caribbean, which has already seized one vessel last week. At least one tanker has left Venezuela since that ship, the Skipper, was confiscated, but it was carrying fuel oil, not the more valuable crude. About 75 tankers are loitering in Venezuelan waters, and half are on Treasury’s blacklist for sanctions violators, according to TankerTrackers.com. About two dozen are typically used to export crude oil.
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Bloomberg – December 16, 2025
TotalEnergies CEO Says Growing Demand Will Underpin Oil Prices*
TotalEnergies SE Chief Executive Officer Patrick Pouyanne said rising demand for oil will help to underpin prices, despite their slump this week on growing concerns about a global surplus. Oil is on track for a yearly loss, with supply set to exceed demand both this year and next thanks to growth in production from the Organization of the Petroleum Exporting Countries and a host of non-member nations in the Americas. On Tuesday, Brent crude, the global benchmark, dropped below $60 a barrel for the first time since May. West Texas Intermediate is trading near levels last seen in 2021.
But Pouyanne expects the market to stabilize as US and OPEC producers work to avoid worsening the glut and as consumption climbs. “Demand continues to grow,” Pouyanne said in an interview with Bloomberg TV in Paris on Tuesday. “I trust also OPEC countries to manage the situation” for output, he said, adding that US shale producers will scale back on pumping if prices “are too low.”
Pouyanne’s view stands in contrast to the indications of weakness now proliferating across the oil market. Middle Eastern crude prices entered a bearish pattern known as contango early on Tuesday, where near-dated prices cheaper than contracts for delivery further out, a phenomenon that usually signals an oversupply. The same pricing structure has already developed for some barrels sold on the US Gulf Coast.
Utilities, Electricity & Renewables
Energy Storage News – December 17, 2025
ERCOT BESS revenue ‘roller coaster’ is a feature, not a bug
In an upcoming conversation with Energy-Storage.news Premium, CEO of optimisation platform provider Ascend Analytics, Dr. Gary Dorris, PhD, discusses the ‘roller coaster’ revenues of the Electric Reliability Council of Texas (ERCOT) market.
In June, ESN Premium spoke with Ascend’s managing director of markets and strategy, Dr. Brent Nelson, PhD, about the company’s ERCOT Market Report Release 5.2. In addition to offering a full suite of software products for designing and optimising projects, Ascend Analytics also serves as a market intelligence consultant, including the publication of its quarterly ERCOT reports. The 5.2 report anticipated that the market’s load growth may not meet expectations due to practical limits on increasing supply. ERCOT is likely to face a delicate situation, a ‘weather-dependent knife’s edge,’ as the conflict between rising demand and power supply intensifies in the late 2020s.
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Rio Rancho Observer – December 16, 2025
TXNM Energy sale to Blackstone inches forward after Texas regulatory settlement
Blackstone Infrastructure’s acquisition of TXNM Energy Inc. seems to be sailing through the Texas regulatory process. TXNM officials said Monday that its Texas arm, Texas-New Mexico Power Co., had agreed to terms with local stakeholders, including Walmart Inc., Public Utility Commission of Texas staff, Texas Industrial Energy Consumers, the Office of Public Utility Counsel, Texas Energy Association for Marketers and the cities it serves.
The settlement agreement means hearings that were scheduled to begin Monday have been canceled, and Texas regulators will make a final decision on the sale of TXNM to Blackstone as early as next month, a TXNM spokesperson said. The news comes as a big win for TXNM and Blackstone, which filed their applications with Texas, New Mexico and federal regulators in August to sell the Albuquerque-based company to the private equity firm for $11.5 billion.
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Politico – December 17, 2025
Trump is pushing ahead on new AI moratorium in Congress, says aide*
President Donald Trump is plowing ahead on a politically divisive effort to push a controversial state-level AI ban in Congress, according to comments from the president and an aide Monday night. “We have a lot [of backing] with your phone calls and your support. We have a lot of support now, sir,” senior AI policy adviser Sriram Krishnan said, in response to a question from Trump about this issue’s traction in Congress.
The back-and-forth came at a White House staff holiday party, according to a video of the remarks obtained by POLITICO from an attendee. Trump signed an executive order last week that mobilized the federal government to stamp out state laws regulating AI — an idea that has so far encountered friction in Congress, falling out of two major bills in the past six months. Trump gave a seemingly unplanned shoutout at the party to Krishnan, who worked extensively on the executive order and who Trump said was “doing a great job.” Nobody knew “who the hell he is” and now “everybody talks about you,” Trump told Krishnan before the crowd.
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Canary Media – December 16, 2025
Texas’ energy market redesign could leave battery developers in limbo
Texas has witnessed the country’s most dynamic grid battery expansion in recent years, thanks in large part to its famously competitive energy markets. Now, a wonky rule change could undermine batteries’ role in the grid. The Electric Reliability Council of Texas instituted new rules on Dec. 5 called “real-time co-optimization plus batteries,” or RTC+B. The idea is to allow ERCOT to reassign power plants between two major categories of grid activities: ancillary services, the rapid-response actions designed to keep the system stable and outage-free; and energy, the bulk delivery of megawatt-hours for consumption.
On paper, RTC+B sounds agreeable, and other grid operators in the country have been co-optimizing markets for years. ERCOT President and CEO Pablo Vegas said the update would bring greater efficiency and reliability to the system. He even called it “the most substantial enhancement to the Real-Time Nodal market design since its inception in 2010.” ERCOT leadership has promised more than $1 billion of wholesale market savings each year from the update.
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Tech Crunch – December 16, 2025
Nuclear startup Last Energy raises $100M for its steel-encased micro reactor
After years in the wilderness, it’s a good time to be a nuclear startup. “For the first half a decade that I was telling people I was doing nuclear, I had to convince them, ‘Hey, here’s why nuclear is important,’” Bret Kugelmass, founder and CEO of Last Energy, told TechCrunch. “Now everyone just comes to us saying, ‘Oh yeah, of course nuclear is a key part of the solution.’ I’m like, okay, great, I’m glad everyone’s caught up now.”
Last Energy is building small modular reactors — compact nuclear power plants that can be mass-manufactured to reduce costs. The company’s reactors are designed to produce 20 megawatts of electricity, enough to power roughly 15,000 homes. It has momentum. Last Energy just closed a $100 million Series C led by the Astera Institute with participation from AE Ventures, Galaxy Fund, Gigafund, JAM Fund, The Haskell Company, Ultranative, Woori Technology Investment Co., and others.
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CPR News – December 17, 2025
More than 115,000 Xcel customers were without power as the sun set Wednesday night due to high winds and extreme fire conditions. Many parts of the Front Range saw heavy winds, with gusts as strong as 85 miles per hour, that knocked down power lines and trees.
The state’s largest power company issued a preemptive public safety power shutoff at 10 a.m. this morning before the winds arrived, affecting nearly 50,000 residents in Boulder, Clear Creek, Jefferson, Larimer and Weld counties. Others were affected by outages outside of the predetermined zone. Power was meant to return at 6 p.m. for customers affected by the planned outage. However, Xcel has told CPR News they must double-check more than 600 miles of power lines before restoring electricity.
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Politico – December 17, 2025
Parties unite behind geothermal permitting bills*
A slate of bills that would speed up permitting processes for geothermal energy projects received overwhelming support at a House Natural Resources subcommittee hearing Tuesday. Bipartisan leaders of the Energy and Mineral Resources Subcommittee spoke in favor of nine measures intended to expand the use of geothermal energy. Witnesses from the Bureau of Land Management, industry and advocacy groups similarly voiced support for the legislation.
“Baseload geothermal power has incredible potential to help meet our growing energy needs,” said subcommittee Chair Pete Stauber (R-Minn.). “Unfortunately, cumbersome leasing and permitting practices on federal lands have prolonged project timelines and increased costs for geothermal developers,” he said.
Among the bills under consideration were the “Geothermal Energy Opportunity (GEO) Act,” which would set stricter deadlines for the Interior Department to process geothermal lease applications, and “Committing Leases for Energy Access Now (CLEAN) Act,” which would require yearly lease sales for geothermal energy on federal land.
Regulatory
KXAN – December 17, 2025
Energy Department watchdog will audit Trump’s cuts of nearly $8B in clean energy grants
An internal watchdog in the U.S. Department of Energy will investigate the Trump administration’s termination of $7.6 billion in grants for hundreds of clean energy projects across 16 states that voted for former Vice President Kamala Harris in the 2024 presidential election. The move is especially welcome for Democrats who said that the cuts — part of broader attacks from President Donald Trump on climate programs and clean energy funding — would slash projects boosting the electric grid, threaten thousands of manufacturing and construction jobs, and send Americans’ energy costs soaring.
The government’s lawyers confirmed in a court filing this week — in response to a lawsuit by several clean energy groups and the city of St. Paul over the canceled funding — that the selection of grants in fact, “was influenced by whether a grantee’s address was located in a State that tends to elect … Democratic candidates in state and national elections (so-called “Blue States”).”
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Politico – December 17, 2025
Enviros, blue states whack at EPA bid to toss landmark air rule*
Federal appellate judges ought to scotch EPA’s surprise bid to scrap a lifesaving air pollution standard and instead render a decision on the underlying legal challenges, Democratic-leaning states and public health advocates said in a two-pronged attack against the agency Tuesday. The U.S. Court of Appeals for the District of Columbia Circuit “should deny EPA’s irregular and deeply flawed motion” to vacate the soot exposure standard strengthened last year, argued the American Lung Association and other groups in their filing.
Joining them in a separate submission were Democratic attorneys general for California, Michigan and more than a dozen other states as well as Washington who deemed EPA’s motion “procedurally improper.” The case “has been fully briefed and argued for a year, and nothing has happened since that could affect this court’s analysis,” the submission says. “Circuit rules generally bar dispositive motions at this late hour.” On the table is EPA’s motion last month asking the three-judge D.C. Circuit panel to vacate the annual soot exposure limit of 9 micrograms per cubic meter of air adopted in early 2024 during former President Joe Biden’s term.
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Politico – December 17, 2025
States sue Trump again for blocking EV charging*
A coalition of Democratic states filed suit Tuesday against the Trump administration, accusing the Department of Transportation of unlawfully suspending two programs to promote electric vehicle charging. The lawsuit charges that without notice or explanation, the department has refused to approve any new funding under two EV charging infrastructure programs created by the 2021 Infrastructure Investment and Jobs Act: the Charging and Fueling Infrastructure Grant Program (CFI) and the Electric Vehicle Charger Reliability and Accessibility Accelerator program.
The lawsuit argues charging infrastructure would reduce pollution, expand access to clean vehicles and create jobs. It says that the administration’s refusal to spend the money violates the Administrative Procedure Act and the constitutional separation of powers, as the grants were approved by bipartisan majorities in Congress. The complaint asks the court to declare DOT’s actions unlawful and stop the administration from withholding the money. “The Trump administration’s illegal attempt to stop funding for electric vehicle infrastructure must come to an end,” said California Attorney General Rob Bonta, who co-led the lawsuit along with the attorneys general of Washington and Colorado. “While the administration is busy finding ways for their Big Oil donors to profit, California will continue to fight for its people, environment and innovation.”
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Texas Energy Report NewsClips
Wednesday December 17, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices rose more than 1% on Wednesday after U.S. President Donald Trump ordered “a total and complete” blockade of all sanctioned oil tankers entering and leaving Venezuela, raising fresh geopolitical tensions at a time of concerns over demand.
West Texas Intermediate crude rose 85 cents, or 1.5%, to $56.12 a barrel.
Brent crude futures were up 87 cents, or 1.5%, at $59.79 a barrel at 0730 GMT
Oil prices settled near five-year lows in the previous session on progress in Russia-Ukraine peace talks, as a deal may see Western sanctions on Moscow eased, freeing up supply even as the market grapples with fragile global demand.
Trump on Tuesday ordered a blockade of all sanctioned oil tankers entering and leaving Venezuela, adding that he now regarded the nation’s rulers as a foreign terrorist organization.
Top Stories
CNBC – December 16, 2025
U.S. President Donald Trump on Tuesday stateside designated Venezuelan government a “terrorist” organization and ordered a “complete and total” blockade of sanctioned oil tankers moving in and out of the country. In a post on Truth Social, Trump said “Venezuela is completely surrounded by the largest Armada ever assembled in the History of South America.”
“For the theft of our Assets, and many other reasons, including Terrorism, Drug Smuggling, and Human Trafficking, the Venezuelan Regime has been designated a FOREIGN TERRORIST ORGANIZATION. Therefore, today, I am ordering A TOTAL AND COMPLETE BLOCKADE OF ALL SANCTIONED OIL TANKERS going into, and out of, Venezuela,” Trump said. He added, “It [the blockade] will only get bigger, and the shock to them will be like nothing they have ever seen before.”
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Bloomberg – December 16, 2025
Venezuelan Oil Stored at Sea Shields China as US Pressure Rises*
A hoard of Venezuelan crude on tankers at sea will provide a cushion for Chinese refiners — the biggest buyers — should the US escalate hostilities against the OPEC producer and disrupt exports. The volume of oil stored on ships is just over 20 million barrels, the highest in more than three years and an increase from around 18 million barrels earlier this month, according to data compiled by Kpler. Many of the tankers are in Asian waters, making it easier for refiners to access. The recent seizure of a supertanker off Venezuela by US forces has raised questions about the outlook for exports, though loading has continued via the use of so-called ghost ships. Officially, China hasn’t taken the South American country’s crude since March, but third-party and ship-tracking data indicate flows to the Asian nation have remained robust this year.
China’s independent refiners, known as teapots, are the key buyers of Merey oil from Venezuela, a heavy crude that’s typically used to make bitumen to pave roads. Merey is offered at a steep discount to comparable grades, making it attractive for the processors grappling with razor-thin margins. A softer Chinese economy, which includes a prolonged property downturn, is also providing a buffer. Bitumen futures in Shanghai are at the lowest level in four years, a sign that physical demand remains weak. “China is unlikely to face a supply crunch until February, or even March,” if the US squeezes Venezuela’s oil-export network following the tanker seizure last week, said Muyu Xu, senior crude analyst at Kpler. Still, it will be difficult for Chinese refiners to fully replace Venezuelan cargoes, Xu added.
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Techrunch – December 16, 2025
Tesla starts testing robotaxis in Austin with no safety driver
Just about six months after Tesla started testing its fledgling Robotaxi service in Austin, Texas, the company is now letting those cars drive around the city with no safety monitor onboard. The removal of the human safety monitors brings the company a critical step closer to its goal of launching a real commercial Robotaxi service, and it’s a step that’s been years in the making.
CEO Elon Musk spent nearly a decade promising Tesla’s cars were just a software update away from being fully driverless. Now he is on the precipice of launching a service meant to compete with Waymo, the Alphabet-owned company that he said last week “never really had a chance against Tesla.” The removal of the safety monitors will most likely ramp up the scrutiny on Tesla’s ongoing testing in Austin, doubly so when the company starts offering rides in the empty cars. Tesla’s small test fleet has been involved in at least seven crashes since June; few details are known about the accidents since the company aggressively redacts its reports to the National Highway Traffic Safety Administration.
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Utility Dive – December 16, 2025
GE Vernova expects to end 2025 with an 80-GW gas turbine backlog that stretches into 2029
GE Vernova expects revenues in its fast-growing electrification segment to rise around 25% in 2025 and about 20% in 2026, company officials said in an annual investor update Tuesday. Driving the increase is an electrification “supercycle” that will see electricity’s share in final energy consumption grow significantly in the years and decades ahead, CEO Scott Strazik said Tuesday.
A slide deck accompanying remarks by Strazik and Ken Parks, the company’s chief financial officer, said GE Vernova expects the current quarter to be its largest for electrical equipment orders direct to hyperscaler tech companies.
The Latest TERse Tips
RRC Announces New Oversight and Safety Director — the Railroad Commission of Texas is pleased to announce that Mark Evarts has been named the new director of the Commission’s Oversight and Safety Division — the division’s core responsibilities are over the RRC’s Alternative Fuels, Gas Services and Pipeline Safety departments, including oversight of more than 400,000 miles of pipelines in Texas, the largest system of pipeline infrastructure in the nation — see the press release
Golden Pass LNG developers have been cleared to begin key testing processes for Train 1 following delivery of a cooldown cargo, pushing the project a critical step closer to first production — Natural Gas Intelligence*
Texas residents will be offered a complete home energy solution pairing Sunrun’s solar-plus-storage systems with optimized rate plans and smart battery programming through NRG Energy retail electricity provider, Reliant — see the press release
Sandpiper Chemicals, LLC announced that it has selected Air Water Gas Solutions Inc. as its presumptive industrial gases supplier for its Texas City, Texas blue methanol facility — Hydrocarbon Processing
A report published today by Port Arthur Community Action Network and Earthworks finds that Jefferson County, Orange County, and Cameron Parish would receive little economic benefit from the Blue Marlin Offshore Port, a proposed offshore oil export project — Earthworks
Amigo LNG, a joint venture of Singapore-based LNG Alliance and Epcilon LNG, expects to take a final investment decision on its planned LNG export terminal in Mexico in the first quarter of 2026 — LNG Prime*
Oil & Gas Texas
The Wall Street Journal – December 16, 2025
U.S. Tanker Seizure Has Paralyzed Venezuelan Oil Shipping—Except Chevron’s*
Chevron stands as one of the last big shippers of Venezuelan oil after the U.S. seized a sanctioned tanker last week allegedly carrying the country’s crude to the black market. The threat of another U.S. seizure has disrupted the country’s usually bustling traffic of dark-fleet vessels ferrying the Latin American country’s oil to China and Cuba. Several tankers are idling at Venezuelan ports, and others are veering away from the region, vessel-tracking data show.
President Trump on Tuesday ordered a complete blockade of all sanctioned oil tankers going into and out of Venezuela, escalating his administration’s pressure campaign against strongman Nicolás Maduro. For Chevron, though, it remains business as usual. The company is still sending oil tankers to the U.S. Gulf Coast, its operations unimpeded thus far by rising tension between Trump and Maduro. The day after U.S. forces captured the dark-fleet supertanker Skipper, two vessels carrying crude for Chevron departed from the Bajo Grande, a port on Venezuela’s Lake Maracaibo, both bound for the U.S., according to data from TankerTrackers.com.
A Chevron spokesman said its operations in Venezuela continue without disruption and in compliance with the law. He called the company’s presence in Venezuela a stabilizing force for the local economy and directed questions about the security situation to U.S. officials. “They’ve stuck with the Venezuelan market through thick and thin, and endured a lot of adverse conditions, a lot of headwinds,” said Clay Seigle, a senior fellow at the Center for Strategic and International Studies. “Chevron, in a way, is punching above its weight in terms of contributing to the future of Venezuela.”
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Rigzone – December 16, 2025
EIA Again Raises WTI Price Forecast for Both 2025 and 2026
In its latest short term energy outlook (STEO), which was released on December 9, the U.S. Energy Information Administration (EIA) again raised its West Texas Intermediate (WTI) price forecast for both 2025 and 2026. According to this STEO, the EIA now expects the WTI spot price to average $65.32 per barrel in 2025 and $51.42 per barrel in 2026. The EIA’s December STEO marks the latest in a line of STEOs with average WTI spot price forecast increases for both 2025 and 2026.
In its previous November STEO, the EIA projected that the WTI spot price would average $65.15 per barrel in 2025 and $51.26 per barrel in 2026. The EIA’s October STEO projected that the WTI spot price would average $65.00 per barrel this year and $48.50 per barrel next year, and its September STEO forecast that the WTI spot price would average $64.16 per barrel in 2025 and $47.77 per barrel in 2026.
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Pipeline & Gas Journal – December 15, 2025
Phillips 66 Raises 2026 Capex to $2.4 Billion, Targets NGL and Refining Expansion
Phillips 66 has approved a $2.4 billion capital budget for 2026, slightly above its forecast for this year, as it shifts growth spending toward expanding its midstream natural gas liquids (NGL) network and higher-return refining projects. The spending plan, announced on Monday, underscores the U.S. refiner’s focus on shareholder returns as it invests in assets aimed at improving margins and cash flow across its integrated business, CEO Mark Lashier said.
The company’s acquisition of full ownership of WRB Refining, which operates major refineries in Illinois and Texas, from Cenovus Energy in September, is expected to increase its crude processing options. Its capital budget for the midstream and refining units of $1.1 billion each compares with the estimated expenditure of $975 million and $822 million, respectively, in 2025.
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Transport Topics – December 16, 2025
Phillips 66 CEO Says Big Pipeline Project Has Strong Support
U.S. federal and state officials are lining up with the oil industry to support a plan by Phillips 66 and Kinder Morgan to deliver gasoline to California via what could become the world’s largest fuel pipeline.
Prospective customers of the Western Gateway pipeline, announced in October, are facing a Dec. 19 deadline to formally signal interest in shipping fuel on the conduit. The idea was hatched during a brainstorming session at a corporate leadership development session and aims to connect fuel-making plants from the Midwest and other regions to California, where a wave of refinery closures is crimping energy supplies.
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Midland Reporter-Telegram – December 16, 2025
Enverus forecasts rough 2026 for commodity prices*
Enverus Intelligence Research is the latest company to issue its energy outlook for 2026 and beyond. In its most recent Fundamental Edge Report, the company found the recent bullish enthusiasm for Henry Hub natural gas — which peaked around $5.25 per thousand cubic feet before quickly declining to around $3.89 per thousand cubic feet — to be premature. EIR pegs Henry Hub natural gas at $3.80 per million British thermal units through the remainder of winter — the end of March — before softening to $3.60 per million British thermal units in summer 2026. Recent natural gas prices remain significantly above historical norms relative to U.S. storage levels. Expectations of a mild winter and ongoing Lower 48 supply growth will put pressure on today’s elevated prices.
The energy-dedicated software-as-a-service company also projects weaker oil prices in 2026, with Brent crude — the global benchmark — expected to average $55 per barrel. Al Salazar, director at EIR, told the Reporter-Telegram his company assumes West Texas Intermediate will have a constant $5-a-barrel discount to Brent, so WTI would average $50 a barrel. Near-term oil price pressure reflects global inventory levels approaching highs last seen during the pandemic and the shale oil price war.
Beyond 2026, EIR is adopting a bullish stance, noting that OPEC-12 liquids output is near historic highs and could tap untested spare capacity in coming years, while long-term oil demand projections have strengthened. At the same time, global oil and gas project development is declining due to underinvestment — setting the stage for tighter markets and higher prices later in the decade. Salazar wrote that EIR’s oil demand growth estimate for 2026 is 1.2 million barrels a day. Lower 48 oil production is projected to rise by about 243,000 barrels per day by the end of 2025, then decline by 255,000 barrels per day in 2026 if prices remain subdued.
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World Oil – December 15, 2025
Buccaneer Energy targets higher output at Pine Mills through new waterflood unit
Buccaneer Energy has outlined the next phase of development at its Fouke area assets in the Pine Mills field, Texas, moving forward with a secondary recovery program following a technical review of recent drilling and newly acquired offset acreage. The company plans to implement a waterflood scheme using the Turner #1 and Daniel #1 wells as injection wells. Located at the downdip limits of the productive reservoir, both wells are considered optimal for establishing pressure support and improving long-term recovery. Buccaneer holds a 32.5% working interest in the area.
Waterflooding has been used in the Pine Mills region for more than five decades, typically increasing recovery factors from about 15% under primary production to between 30% and 50%. Current estimates suggest the Fouke waterflood project could unlock between 667,000 and 1,002,000 additional barrels of oil, compared with 333,851 barrels recovered to date under primary production.
Oil & Gas National & International
E&E News By Politico – December 16, 2025
The oil business is hurting but still in love with Trump
A few weeks ago, Patrick Montalban called together the 20 people who work for his oil company in Montana to offer a tough choice. He could lay off two workers, or everyone could take a 10 percent pay cut. They took the pay cut. This is the oil business in America when the average gallon of gasoline sells below $3 a gallon.
Still, to hear Montalban and others in the industry tell it, even with crude below $60 a barrel, life is a lot better under President Donald Trump than it was a year ago. Folks in the oil industry are used to watching oil and gasoline prices rise and fall like the tide. But they’re buoyed, for now, by political wins — hatcheting environmental regulations, pushing new fossil fuel projects and expanding drilling. “We’re working on being happy,” Montalban, whose company operates low-production “stripper” wells, said in an interview. “This administration is working with us.” The Biden administration, he said, “wouldn’t even talk to us.”
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The New York Times – December 15, 2025
Venezuela’s Oil Is a Focus of Trump’s Campaign Against Maduro*
The Nobel Peace Prize winner made her pitch by live video to a business conference in Miami attended by American executives and politicians, including President Trump. “I am talking about a $1.7 trillion opportunity,” María Corina Machado, Venezuela’s main opposition leader, said last month, weeks after winning the peace prize for challenging Nicolás Maduro, the country’s autocratic leader. She highlighted Venezuela’s enormous oil and gas reserves — “We will open all, upstream, midstream, downstream, to all companies” — as well as its minerals and power infrastructure. Her message has been unwavering since early this year, when she boasted of her country’s “infinite potential” for U.S. companies on a podcast hosted by the president’s oldest son, Donald Trump Jr. She has had a receptive audience.
The president and his aides have insisted publicly that their lethal military operations around Venezuela and pressure campaign against Mr. Maduro are mainly aimed at protecting Americans from drug trafficking. But Venezuela is not a drug producer, and narcotics smuggled through the country mostly go to Europe. Behind the scenes, administration officials have also focused intently on Venezuela’s oil reserves, the largest in the world. Their importance is evident in secret negotiations between U.S. officials and Mr. Maduro about oil, and in conversations that Mr. Trump’s aides and allies have had with Ms. Machado and other Venezuelan opposition figures.
Mr. Trump has publicly made clear his interest in control of Venezuela’s reserves. In a speech to Republicans in North Carolina in 2023, four years after he backed efforts during his first term to oust Mr. Maduro, Mr. Trump said, “When I left, Venezuela was ready to collapse. We would have taken it over, we would have gotten all that oil, it would have been right next door.” The role of oil in the soaring tensions between Mr. Maduro and Mr. Trump was underscored by the dramatic U.S. seizure on Wednesday of a tanker that was traveling across the Caribbean Sea carrying crude for Cuba and China. Mr. Trump said he would keep the cargo, though his legal authority to do that is questionable.
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Iowa Public Radio (NPR) – December 16, 2025
The U.S. has long had interest in Venezuelan oil, but that’s not all
DETROW: In terms of U.S. troops, you know, sliding down ropes from helicopters to seize an oil tanker, have you ever seen anything like this before?
MONALDI: It’s something that has not happened in the case of Venezuela. There have been other events related to sanctioned Iranian vessels. But this is unprecedented in that is the first time that the U.S. sort of is signaling a blockade, meaning that the tankers coming out of Venezuela are potentially going to be subject to seizures in the future.
DETROW: Let’s rewind way back, zoom way out in terms of the context we’re talking about this. Historically, what’s the best way to think about why and how much the U.S. has focused in on Venezuela’s oil production?
Utilities, Electricity & Renewables
San Antonio Express-News – December 16, 2025
CPS Energy reports $10M surge in past-due balances amid federal shutdown*
The Alamo City is still paying for the nation’s longest government shutdown that stretched residents’ finances this fall. The price tag? A $10 million surge in CPS Energy’s past-due balances, as tens of thousands of San Antonians struggled to pay their bills. The utility attributes the jump to the “impact from the government shutdown,” which ran from Oct. 1 through Nov. 12. By the end of October, a total of 190,000 accounts were either on a payment plan, at risk of disconnection, or in collections and could be written off — an almost 10% hike compared with 173,000 accounts just a few months prior in July. Collectively, the past-due bill was $116 million.
“If you can picture in your mind the Alamodome filled to capacity — completely sold out for a football game,” trustee John Steen said at this week’s board meeting. “It’s roughly that amount of people times three.” The performance update also showed a 16% increase in accounts at risk of disconnection when compared to July — that means 92,000 households, or 9% of CPS’ customers, are now at risk of losing their power. Chief Financial Officer Cory Kuchinsky pointed out to the board that the utility’s credit rating has meant it could get low-cost financing and save ratepayers money. Refinancing the utility’s bonds has saved San Antonians nearly $200 million in the last five years, he said.
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KUT News (NPR Austin) – December 26, 2025
Texas sues electric company over Smokehouse Creek fire, largest in state history
Texas Attorney General Ken Paxton announced Tuesday that his office is suing Southwestern Public Service Company, which operates in Texas as Xcel Energy, over its alleged involvement in the Smokehouse Creek fire. The largest fire in state history killed three people and 15,000 head of cattle and burned more than 1 million acres in the Panhandle in March of 2024.
“The company made false representations about its safety commitments and ignored warnings that its aging infrastructure needed immediate repair and to be updated,” Paxton said in a news release announcing the lawsuit. “This created a substantial wildfire risk, which Xcel did nothing about.”
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The Hill – December 14, 2025
Energy secretary predicts that electricity prices will stop rising ‘very soon’
Energy Secretary Chris Wright expressed optimism that electricity prices will eventually come down. “Very soon, you’ll see a stop of the rise of electricity prices. And with the continuation of [the Trump administration’s] policies of energy addition, you will see declines in electricity prices later this term,” Wright told host Jacqui Heinrich on “Fox News Sunday.”
As of September, electricity prices were up 5.1 percent relative to 12 months prior, according to the Bureau of Labor Statistics (BLS). In January, electricity prices were up 1.9 percent from the previous year. Overall inflation in September hit 3 percent, the same as in January, according to the BLS.
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Spectrum News – December 16, 2025
Sen. John Cornyn pushes for fusion office in U.S. Department of Energy
U.S. Sen. John Cornyn, R-Texas, and several colleagues are looking to bring star power to the U.S. Department of Energy, according to an exclusive Axios report. The bipartisan bill from Cornyn and California Sen. Alex Padilla — as well as Virginia Rep. Don Beyer, California Rep. Jay Obernolte and Massachusetts Rep. Lori Trahan — aims to organize a new fusion office within the Department of Energy. Fusion, which uses stars to create power, could serve as a potential sustainable energy source in the future.
Cornyn and Padilla said in a statement to Axios that recent power demands, coming from AI usage and electric bill increases, prompted them to introduce the bill.
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KXAN – December 16, 2025
Austin Energy launches plan to invest $735M in grid resilience over next decade
Tuesday, Austin Energy launched a plan meant to make the local grid more reliable. Over the course of a decade, the utility estimates the plan will result in $735 million in system improvements. In a statement, Austin Energy General Manager Stuart Reilly said Austin’s local grid is “at least twice as reliable” as the rest of Texas, but that “there’s always room for improvement.”
“Austin Energy’s resiliency efforts will go toward building an even more reliable electric system for our community,” Reilly said. The Electric System Resiliency Plan (ESRP) comes after more than a year of talking to stakeholders about priorities, looking at overall costs and “conducting third-party studies on its overhead and underground electrical distribution system,” according to Austin Energy.
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Utility Dive – December 16, 2025
Power producers ask FERC to reverse MISO’s $280M capacity auction ‘adjustment’
A group of independent power producers on Monday urged the Federal Energy Regulatory Commission to reverse the Midcontinent Independent System Operator’s roughly $280 million ongoing “settlement adjustment” of its most recent capacity auction.
“The market-wide uncertainty created by MISO’s decision to conduct what amounts to a rerun of the 2025/2026 [Planning Resource Auction] will harm MISO’s ability to retain and attract investment in the baseload resources needed to maintain resource adequacy,” the Coalition of Midwest Power Producers, JERA Nex Americas and Rainbow Energy Center said in the complaint at FERC.
Regulatory
Politico – December 16, 2025
Offshore wind foes vow to block permitting bill*
The House’s big permitting bill cleared a key hurdle Monday night, but opposition from right-wing members and offshore wind antagonists portends trouble on the floor. The House Rules Committee teed up the “SPEED Act,” bipartisan legislation that would narrow the scope of environmental review for major energy and infrastructure projects, for floor debate.
But the panel — which works closely with the chamber’s leadership — defied House Freedom Caucus Chair Andy Harris (R-Md.) on a key demand: the removal of language added in the Natural Resources Committee that would make it harder for an administration to revoke a project permit. That’s causing him and other offshore wind opponents — who want President Donald Trump to go after those projects — to threaten to block the legislation by voting against the “rule” for debate. As he walked into the Rules Committee hearing Monday evening, Harris claimed there were “enough” bill detractors to reject the rule resolution as soon as Tuesday. Rule votes are usually along party lines.
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Politico – December 16, 2025
Energy team rallies around Trump chief as profile makes waves*
Top Trump administration officials flooded social media with praise for Susie Wiles on Tuesday as a profile of the White House chief of staff dominated the political news cycle. In the hours after the two-part Vanity Fair piece dropped, the heads of EPA and the Interior and Energy departments had all publicly posted their support for Wiles, who made some unflattering comments about her colleagues during a series of candid interviews.
Wiles is “an extraordinary leader,” Interior Secretary Doug Burgum posted Tuesday. “She is disciplined, smart, insightful, strategic, and extraordinarily calm under pressure.” EPA Administrator Lee Zeldin posted that “Wiles is an EXCEPTIONAL White House Chief of Staff.” Zeldin has “immense respect for Susie, her impactful leadership, and her enormous accomplishments with so many even bigger victories still to come,” he said. Energy Secretary Chris Wright wrote Tuesday, “These inflammatory and outright false statements will not be tolerated.” Wiles, he said,” has been instrumental in helping President Trump bring common sense back to our country.”
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Texas Energy Report NewsClips
Tuesday December 16, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices fell on Tuesday, adding to the previous session’s losses, as prospects for a Russia-Ukraine peace deal appeared to strengthen, raising expectations of a potential easing of sanctions.
West Texas Intermediate crude was trading at $56.52 a barrel, down 30 cents, or 0.5%.
Brent crude futures fell 35 cents, or 0.6%, to $60.21 a barrel by 0350 GMT
“Crude oil fell as the market weighed up signs of optimism on a peace deal being reached between Russia and Ukraine,” ANZ analysts said in a note.
“This raised concerns that recent U.S. sanctions on Russian oil companies would be ultimately lifted, adding to an already well supplied market.”
The U.S. offered to provide NATO-style security guarantees for Kyiv and European negotiators reported progress in talks on Monday to end Russia’s war in Ukraine, an unprecedented step that sparked optimism that talks were drawing closer to negotiating an end to the conflict. However, a deal on territorial concessions remained elusive.
Top Stories
Bloomberg/Business Download – December 15, 2025
Exxon CEO Says New Form of Graphite Boosts EV Battery Life, Extends Range
Exxon Mobil Corp. said it has invented a new form of graphite that can increase the life of electric-vehicle batteries by as much as 30%. “We’ve invented a new carbon molecule that will extend the life of the battery by 30%,” Chief Executive Officer Darren Woods said at the University of Texas at Austin’s Energy Symposium in September. It’s a “revolutionary step change in battery performance.”
The invention is being tested by several EV manufacturers, Woods said. Used on the anode side of the battery, the synthetic graphite allows for faster charging, a longer lifespan and longer range for electric vehicles. Exxon this week announced the acquisition of several production assets from Chicago-based Superior Graphite, which will enable the company to scale-up manufacturing, with a goal of commercial production by 2029.
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Politico – December 15, 2025
Trump admin sides with fossil fuel industry in Supreme Court case*
The Trump administration will share a lectern with the oil and gas industry when the Supreme Court takes up a bid next month to quash a legal dispute over liability for restoring Louisiana’s eroding coastline. Chevron v. Plaquemines Parish, scheduled for argument on Jan. 12, centers on the fossil fuel industry’s effort to move a swath of lawsuits against it from state to federal court, where energy companies believe they are more likely to prevail.
The federal government has argued the companies’ request to transfer the cases under the federal officer removal statute is appropriate and the federal government “has a substantial interest in the proper interpretation of that statute.” In a list of orders issued Monday, the court agreed the government will be given 10 minutes to make its case, along with 20 minutes for the oil and gas companies. Plaquemines Parish in Louisiana, which has led dozens of lawsuits against the oil majors, will have 30 minutes for arguments.
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S&P Global Platts – December 15, 2025
Utility bill debt, service shut-offs set to rise as US energy costs soar
Related: Energy bills in US have increased 13% since Trump took office, new report finds
Sixteen percent of US households are behind on their electricity bills, and that number is expected to rise this winter season as temperatures drop and energy costs rise, the National Energy Assistance Directors Association warned. At the same time, more residential customers will find themselves without service, Mark Wolfe, NEADA’s executive director, told a Dec. 11 press briefing.
“Because of high prices, we expect the number of families shut off from power to increase from about 3.5 million to 4 million,” Wolfe said. “On many levels, electricity is becoming unaffordable. We don’t have plans in place to help these families adapt.” Rising energy prices are in focus nationwide as electric utilities and regulators grapple with rate increases aimed at covering the cost of additional grid infrastructure while maintaining affordability for consumers.
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Texas Observer – December 15, 2025
Peering Into the Rio Grande Valley’s Fossil Fuel Future
For the Gulf Coast oil and gas industry, the mini-region around the 50-mile-long Laguna Madre is the final frontier. A rare hypersaline lagoon that separates the Padre islands from the deep South Texas mainland, the Laguna Madre is ringed in its southern reach by the small coastal communities of Port Isabel, Laguna Heights, Laguna Vista, Long Island Village, and South Padre Island. This area has long avoided the oil refineries and gas processing plants that dominate cities farther up the Gulf like Corpus Christi, Houston, Freeport, Galveston, and Port Arthur. What little presence the oil and gas industry has had here centered on shipping product out of the Brownsville Ship Channel, which connects the eponymous city to the lagoon, and this activity mostly dried up late last century.
But all that is changing. This summer, two storage tanks for the huge new liquefied natural gas project, Rio Grande LNG, have emerged to towering heights over the state highway that links Brownsville, some 20 miles west, to the 5,000-person town of Port Isabel. The project, set to be the first of its kind in the Rio Grande Valley, will chill gas coming through pipelines—laid over the past decade amid the country’s “shale revolution”—into liquid form 1/600th the substance’s previous size. This liquefied gas will then be exported via massive tanker ships past the jetties of South Padre Island and across the world. The under-construction project has already poured concrete over nearly a thousand acres of ecologically fragile wetlands and lomas, clay dunes formed over thousands of years.
The Latest TERse Tips
Ford ditches some EVs, takes $19.5 billion charge as Trump policies take hold — the F-150 Lightning’s electric form is going away in favor of an extended-range model — Dallas Morning News*
Texas-New Mexico Power Company, the Texas utility subsidiary of TXNM Energy, together with Blackstone Infrastructure have reached a unanimous settlement with parties in its filed application with the Public Utility Commission of Texas for Blackstone Infrastructure to acquire the outstanding common stock of TXNM Energy — see the press release
Toyota Motor North America on Monday announced a strategic investment in FirstElement Fuel, Inc., the largest retail hydrogen fueling infrastructure provider in California, with 92 retail fueling positions across 38 locations — Fuel Cell Works
Venezuelan state oil firm PdV said cyber attacks on company systems that started on 13 December have been contained — in an internal communication seen by Argus over the weekend PdV told workers that all of the company’s computers had been infected with a virus that erased information. The attack appeared to be focused on operations in the Oriente Norte division, where a number of pipelines, refineries and upgraders of Orinoco extra heavy crude operate — Argus Media
Oil & Gas Texas
S&P Global Platts – December 15, 2025
Permian Basin gas prices rebound as major El Paso maintenance ends
Spot gas prices in the Permian Basin edged back into positive territory on Dec. 15 following an unexpectedly early end to major pipeline maintenance on El Paso Natural Gas. In morning trading gas prices at Waha were moving around 65 cents. At other West Texas locations on El Paso and Transwestern, cash prices were trading at similar levels, data from Intercontinental Exchange and Platts showed. Platts is part of S&P Global Energy.
Earlier this month, spot gas prices across the Permian Basin slid into negative territory just ahead of a major maintenance-related flow restriction on El Paso. At Waha, gas prices have averaged about minus-$1.70 in the past week, briefly trading as much as $6-$7 in the red.
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HedgeWeek – December 11, 2025
Activist Ananym builds stake in Siemens Energy
Activist fund Ananym Capital – co-founded last year by veteran campaigners Charlie Penner and Alex Silver – has built a significant stake in Siemens Energy and is pressing the German group to separate its loss-making wind business, according to a report by the Financial Times. Penner, best known for architecting Engine No1’s landmark proxy victory at ExxonMobil in 2021, has launched a fresh campaign arguing that Siemens Energy’s fast-growing gas turbine and grid units are being held back by the continued underperformance of Siemens Gamesa. Ananym, which manages roughly $300m, described its position in the stock as “large” for the fund.
In a letter to the board, Ananym urged Siemens Energy to conduct a strategic review of Siemens Gamesa – potentially leading to a spin-off less than three years after the company took full ownership. The fund argues the wind division would attract a different, more specialised investor base and could reach a valuation of around €10bn within two years as a standalone business.
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Utility Dive – December 11, 2025
Aurora to haul frac sand on public roads in Texas
Aurora Innovation has landed a commercial agreement with Detmar Logistics to autonomously haul frac sand on public roads in West Texas’ Permian Basin, according to a Dec. 8 press release. The tractors equipped with the AV company’s technology will be used to transport proppants, materials used in hydraulic fracturing to keep wells open. Trucks will operate around the clock for a multinational oil and gas company beginning early next year, per the release.
“With the Aurora Driver, Detmar can achieve nearly 24/7 asset utilization and effectively double its capacity to move sand for a leading energy producer,” Aurora co-founder and CEO Chris Urmson said in a statement.
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Forbes – December 10, 2025
Exxon’s Low Carbon Cuts Mesh With Trump’s Energy Priorities: David Blackmon
The Trump White House made news this week with the publication of a revised National Security Strategy plan which elevates oil, natural gas, coal, and nuclear as key drivers of U.S. national security. A section titled “Energy Dominance” says a renewed focus on America’s abundance of those key traditional forms of energy “will produce well-paying jobs in the United States, reduce costs for American consumers and businesses, fuel reindustrialization, and help maintain our advantage in cutting-edge technologies such as AI.”
“Expanding our net energy exports will also deepen relationships with allies while curtailing the influence of adversaries, protect our ability to defend our shores, and—when and where necessary—enables us to
project power,” the section continues, adding, “We reject the disastrous ‘climate change’ and ‘Net Zero’ ideologies that have so greatly harmed Europe, threaten the United States, and subsidize our adversaries.”
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December 9, 2025
Floating LNG Terminal Gets Application Denied Amid Trump’s Pro-LNG Policies: Earthworks
The Maritime Administration (MARAD) has terminated the deepwater port license application for West Delta LNG, an offshore LNG export terminal proposed off the coast of Plaquemines Parish, Louisiana. The project would have increased greenhouse gas emissions and health-harming air pollution and built a pipeline through marsh wetlands. The applicant LNG 21 received eight extensions since December 2019, yet still failed to submit a viable project application for federal agencies to begin their review. At the end of 2024, LNG 21’s CEO informed MARAD their delays were caused by “broader challenges in the LNG industry” as reasons for needing more time.
“This decision reflects how, in their rush to make more money, the LNG industry tries to get away with proposals for massive, harmful projects that aren’t even fully planned,” said Kelsey Crane, Senior Policy Advocate at Earthworks. “Expediting LNG export terminals has real consequences for Americans, including costing us more on our energy bills.”
Oil & Gas National & International
Bloomberg – December 15, 2025
Key Corner of US Oil Market Is Flashing Signs of Supply Glut*
A corner of the US crude market closely watched by physical traders is signaling oversupply in the latest indication that a global glut has reached domestic shores. Light, sweet West Texas Intermediate at the Magellan East Houston terminal is trading 12 cents a barrel cheaper than later-dated oil in a bearish structure known as contango. What’s more, the Gulf Coast barrels have been in contango almost every day since October and show no signs of flipping even as suppliers try to drain inventories to avoid year-end taxes.
Oil traders see the Gulf Coast price structure as the new canary in the coal mine for the oil market, as the region houses the nation’s largest tank farm, refining hub and crude-exporting area. The signal of oversupply is particularly important for traders as WTI and Brent oil future prices remain in a stubbornly bullish, backwardated structure indicating market tightness. In the US, that’s in part because inventories that used to be held at Cushing — the delivery point for WTI futures — have shifted to the Gulf Coast.
“Cushing is less strategically important than it used to be,” said Robert Auers, an analyst with energy consultant RBN Energy LLC. The regional glut is also showing up in floating storage: Oil loaded onto ships that haven’t moved in at least seven days is near the highest since the throes of the pandemic, according to Vortexa Ltd. The International Energy Agency is now forecasting of a record overhang of 3.8 million barrels a day next year.
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Bloomberg – December 15, 2025
Chevron Reduces Price for Venezuelan Oil After Tanker Seizure*
Chevron Corp, lowered the price of Venezuelan crude offered to US refiners after a tanker was seized by American forces in the Caribbean and as global prices drifted lower. The oil supermajor sold a batch of Venezuelan oil on Dec. 11 — a day after US forces seized a vessel off the country’s coast — at weaker prices compared than a batch offered on Monday, according to people with knowledge of the situation. The administration of President Donald Trump is stepping up pressure on Venezuela by targeting oil revenues critical to the survival of Nicolas Maduro regime.
The seized vessel, the Skipper, is currently near the Dominican Republic and appeared to be en route to the US, according to vessel movements tracked by Bloomberg. While it’s unclear when the ship will be able to discharge, it’s expected arrival is pressuring already weak prices in the Gulf Coast market, the people said, asking not to be named because the information is private. Chevron’s operations in Venezuela continue in full compliance with laws and regulations applicable to its business, as well as the sanctions frameworks provided for by the US government, the Houston-based company said in a statement. The company sold about 10 oil cargoes of different grades for loading next month, in a sign that it’s pressing ahead despite heightened tensions between the two countries. The cargoes were sold in two separate tenders and price levels were not immediately available.
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News From the States – December 15, 2025
Alaska revenue forecast predicts more oil, but its importance to the state budget is declining
Though the state of Alaska is anticipating more oil production in the fiscal year that starts July 1, money from oil continues to make up a dwindling share of general-purpose state revenue, according to a forecast published Wednesday by the Alaska Department of Revenue. The projection, one of two per year published by the department, was released in conjunction with Gov. Mike Dunleavy’s draft budget for fiscal year 2027.
Altogether, the state expects to earn $6.2 billion in general-purpose dollars between July 1, 2026 and June 30, 2027, the next fiscal year. Officially known as “unrestricted general fund revenue,” it’s the section of the budget where lawmakers and governors focus most of their attention. Federal money and money designated for specific programs can sometimes be shifted around to different priorities, but not easily. General-fund dollars can (and are) assigned to different priorities each year.
Utilities, Electricity & Renewables
KABB – December 15, 2025
CPS Energy seeks up to 500 MW of battery storage to expand Vision 2027 plan
CPS Energy has announced Monday a Request for Proposal (RFP) to acquire up to 500 megawatts (MW) of additional battery storage, advancing its Vision 2027 Generation Plan to provide affordable, reliable, and sustainable energy to the San Antonio area. With the completion of this RFP, CPS Energy anticipates surpassing 1,000 MW of operational or contracted storage capacity. So far, 50 MW of storage capacity has been brought online as part of Vision 2027, with an additional 470 MW currently in development and expected to be operational in 2026.
The initiative also supports the City of San Antonio’s Climate Action & Adaptation Plan, which seeks to maintain a diverse energy portfolio while pursuing carbon neutrality by 2050.
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Utility Dive – December 15, 2025
Thermal batteries are ready. Our electricity rules aren’t.
America’s electric grid wasn’t designed for what’s coming. Projections show electricity demand growing at an unprecedented pace, driven especially by surging data center and artificial intelligence loads — data center demand alone could more than double over the next decade.
This puts our energy system at an inflection point. Without key reforms at the state and federal level, brownouts and grid strain could become more common, impacting everything from homes to factories.
But with the right policies, new, flexible technologies like thermal batteries could help us meet this moment, making energy more affordable and reliable for everyone on the grid.
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Associated Press/WJCL – December 8, 2025
Georgia regulators weigh $15 billion power build as AI data centers flood state
With data centers flooding into Georgia, utility regulators face a big decision: Should they let Georgia Power Co. spend more than $15 billion to increase its electricity capacity by 50% over the next six years to serve computer complexes? Or could the utility overbuild and stick other ratepayers with the bill? It would be one of the biggest build-outs in the U.S. to meet the insatiable electricity demand from developers of artificial intelligence. The largest subsidiary of Atlanta-based Southern Co., Georgia Power said in testimony filed last month that the build-out will boost the state’s economy and “allow Georgia to contribute to the nation’s focus on the global importance of artificial intelligence and the digital economy.”
“Given the number of companies interested in doing business in Georgia and the amount of customer load with signed contracts or in advanced discussions, it is important to continue moving forward with support for this great growth opportunity,” company officials said in testimony.
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Washington Post – December 15, 2025
Supersized data centers are coming. See how they will transform America.*
Shawn Steffee of the International Brotherhood of Boilermakers is hopeful. “The closing of the coal plant had been really brutal,” he said. “But this project just took the entire chess board and flipped it.” The Homer City facility will generate and consume as much power as all the homes in the Philadelphia urban area. It is among a generation of new supersized data centers sprouting across the country, the footprints of which are measured in miles, not feet.
They are part of an AI moon shot, driven by an escalating U.S.-China war over dominance in the field. The projects are starting to transform landscapes and communities, sparking debates about what our energy systems and environment can sustain. The price includes increasing power costs for everyone and worrying surges in emissions and pollutants, according to government, industry and academic analyses. By 2030, industry and government projections show data centers could gobble up more than 10 percent of the nation’s power usage.
Estimates vary, but all show a dizzying rise of between 60 and 150 percent in energy consumption by 2030. On average, they project U.S. data centers will use about 430 trillion watt-hours by 2030. That is enough electricity to power nearly 16 Chicagos. Some forecasts project it will keep growing from there. “These things are industrial on a scale I have never seen in my life,” former Google CEO Eric Schmidt told a House committee earlier this year.
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Forbes – December 11, 2025
Tariffs Drive New U.S. Solar Panel Production—Will Texas Miss Out?: Ed Hirs*
Texas Lt. Gov. Dan Patrick has asked for a legislative inquiry into two companies that are constructing large scale solar panel manufacturing plants in Texas in reaction to a FOX News report that the companies have links to China and Chinese government officials. While Patrick’s ultimate goal is not clear, he and other state officials who have been quick to criticize should think about the long-term needs of the state and the nation. Limiting solar panel manufacturing will prove short-sighted indeed.
Ignoring for a moment that these companies are publicly traded in the U.S., the fact that they are investing hundreds of millions of dollars to build these facilities anywhere in the U.S. is a direct response to the 50% tariffs on Chinese solar cells to encourage U.S. based production. Tariffs give a massive economic incentive to foreign companies to invest and build manufacturing plants in the U.S. In 2003, Toyota broke ground on its light truck plant in Texas in response to U.S. trade policy that imposed a 25% import tariff on light trucks. Toyota now employs thousands of Texans and has invested billions of dollars in the state.
So, it is not surprising that the first movers for solar cell and solar panel manufacturing in Texas would have ties to the world’s largest manufacturers that are based in China. Those companies have the state-of-the-art technology required to scale up production of more efficient solar cells—taking the 19th century invention well beyond the first practical applications of Bell Labs in the 1950s and improving on NASA’s well known use. As a practical solution to meeting exploding electricity demand in Texas and across the nation, the U.S. needs more solar panels – yesterday. To protect U.S. energy security, the manufacturing of these components should be sited in the U.S.
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Politico – December 12, 2025
Blackstone agrees to buy MacLean, merge with Power Grid Components*
Blackstone has agreed to acquire utility-parts maker MacLean Power Systems. The private-equity firm plans to merge MacLean with existing portfolio company Power Grid Components, it said in a statement Wednesday. Bloomberg News reported in November that Blackstone was nearing a deal for MacLean.
Regulatory
Axios – December 15, 2025
Lawmakers push bill showing fusion’s bipartisan appeal
Fusion hasn’t actually arrived in reality, but a bipartisan group of lawmakers is already looking to make sure it sticks around in Washington. A bill being introduced that would codify a new fusion office at the Energy Department might seem like inside baseball. But it’s a concrete sign it’s emerging as a bipartisan energy solution in U.S. politics. Fusion — power from the stars — is still early in its development, and federal government support will likely be essential for it to ever actually exist.
The first commercial plant could be built in the next few years. The bill was introduced by Sens. Alex Padilla (D-Calif.) and John Cornyn (R-Texas), along with Reps. Don Beyer (D-Va.), Jay Obernolte (R-Calif.) and Lori Trahan (D-Mass.) in the House.
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Texas Energy Report NewsClips
Monday December 15, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices climbed on Monday as supply disruptions linked to escalating U.S.-Venezuela tensions outweighed oversupply worries and the impact of a potential Russia-Ukraine peace deal.
West Texas Intermediate crude was at $57.75 a barrel, up 31 cents, or 0.54%.
Brent crude futures were up 33 cents, or 0.54%, at $61.45 a barrel, as of 0429 GMT
Both contracts slid more than 4% in the prior week, weighed down by expectations of a surplus in 2026.
Top Stories
The New York Times – December 12, 2025
The Oilman Who Pushed Trump to Go All In on Fossil Fuels*
The executives dining at the White House to celebrate President Trump’s $300 million ballroom — and their role in financing it — were a who’s who of American industry. Many hailed from companies that are household names, like Microsoft, OpenAI and Comcast. Seated among them was Harold G. Hamm, the 13th child of Oklahoma sharecroppers and founder of an oil company, Continental Resources, that is little known outside of energy circles.
Mr. Hamm is a wildcatter, an oil prospector who drills wells in unproven areas, taking big bets that can turn into black gold or financial ruin. Not long ago, it seemed as if Mr. Hamm and his allies in the oil industry were losing. They were deeply out of favor in Washington — and on Wall Street — shunned for contributing to climate change and failing to deliver the returns investors wanted. But with Mr. Trump back in power, Mr. Hamm is, too.
The alliance between the two — a soft-spoken oilman with no college degree and a onetime New York real estate developer — is now playing a big role in American energy. Together, they have remade federal policy to benefit oil and gas companies, including Mr. Hamm’s Continental, and put off the transition to greener alternatives like solar power and batteries. Mr. Hamm was among Mr. Trump’s earliest oil industry backers, and that loyalty — paired with more than $2 million in campaign contributions — has earned him outsize influence.
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Politico – December 11, 2025
Data center boom creates political conundrum for the GOP*
Republicans on Capitol Hill who have championed Big Tech’s race to dominate artificial intelligence are now confronting a growing political obstacle: voters angry over the soaring energy demands and utility costs tied to the data centers. The politics of data centers are still very much in flux, but GOP politicians may be particularly vulnerable to a voter backlash because of their pro-development views and President Donald Trump’s all-in support for AI — including blocking states from setting their own rules.
Some are starting to seek distance from the White House. Florida Republican Gov. Ron DeSantis floated new limits on data centers as part of an “AI bill of rights.” Georgia Rep. Marjorie Taylor Greene and Missouri Sen. Josh Hawley have also questioned Trump’s state preemption drive. Increasingly, congressional lawmakers from states at the center of the data center boom — Indiana, Kentucky, Ohio, Pennsylvania and Virginia — are feeling the heat and looking to adjust.
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The Conversation – December 12, 2025
Data centers need electricity fast, but utilities need years to build power plants – who should pay?
The amount of electricity data centers use in the U.S. in the coming years is expected to be significant. But regular reports of proposals for new ones and cancellations of planned ones mean that it’s difficult to know exactly how many data centers will actually be built and how much electricity might be required to run them. As a researcher of energy policy who has studied the cost challenges associated with new utility infrastructure, I know that uncertainty comes with a cost.
In the electricity sector, it is the challenge of state utility regulators to decide who pays what shares of the costs associated with generating and serving these types of operations, sometimes broadly called “large load centers.” States are exploring different approaches, each with strengths, weaknesses and potential drawbacks.
The Latest TERse Tips
Update: Houston’s oil giants came out on top during the first sale of oil and gas drilling rights in the Gulf of Mexico since 2023, offering a sneak peak into how the industry views offshore opportunities under the new administration — Houston Chronicle*
INNIO Group, a leading energy solution and service provider, is collaborating with the US power utility Greenville Electric Utility System on a landmark 104-megawatt power plant — see the press release
A large-scale data center project in Lacy Lakeview near Waco, Texas, has received approval from city council members — the campus in question is being proposed by InfraKey Capital, and seeks to develop up to six data centers with 1GW of capacity in total — Data Center Dynamics
Vital Energy, Inc. said Friday that, at a special meeting of Vital Energy stockholders, the stockholders of the company approved the previously announced merger between Vital Energy and Crescent Energy Company — see the press release
Oilman’s sprawling ranch in West Texas’ Big Bend region hits market at $46.5M — the ranch’s story starts in the early 1960s, when Midland oil-and-gas executive W.B. “Dub” Yarborough and his wife, Kay, bought the first 3,520 acres — Houston Chronicle*
The Department of Energy will regulate a nuclear fuel producer in a first-of-a-kind agreement announced Thursday that aims to boost the fuel supply chain but poses novel legal questions — under the deal, Standard Nuclear will move operations of its Tennessee and Idaho facilities to DOE oversight — Politico*
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Oil & Gas Texas
Oil Price – December 12, 2025
US Drillers Add Oil Rigs As Analysts Warn of Incoming Glut
The total number of active drilling rigs for oil and gas in the United States fell by 1 this week, according to new data that Baker Hughes published on Friday, bringing the total rig count in the US to 548 this week, according to Baker Hughes, down 41 from this same time last year.
The number of active oil rigs rose by 1 in the reporting period, according to the data, after US drillers added 6 rigs in the week prior. Oil rigs are now at 414, which is 68 below this same time last year. The number of gas rigs fell by 2 to 127, which is 24 more than this time last year. The miscellaneous rig count stayed the same at 7. The latest EIA data showed that weekly U.S. crude oil production rose by 38,000 bpd in the week ending December 5 to 13.853 million bpd on average, just 9 million bpd under the all-time high.
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Argus Media – December 12, 2025
Seized oil tanker likely heading to Houston
Related: A U.S. move this week to seize an oil tanker out of Venezuela is poised to make a bad situation worse for a crisis-stricken Cuba already struggling to source enough oil to power its ailing economy and electrical grid — MSN
Related;: Seized oil tanker Skipper only the tip of the clandestine iceberg — with only two of the oil tankers ever seized, then most of the ghost fleet has been allowed to operate without any concrete threat to their operations — Asian Times
Related: Port officials say they haven’t been told that the tanker seized off Venezuela is headed to Galveston as of December 13th — Houston Chronicle*
The US-seized oil tanker Skipper, carrying Venezuelan oil, is en route to Houston, Texas, according to data from oil analytics firm Vortexa. If Houston is the very-large crude carrier’s final destination, it will likely discharge the 1.9mn bls of Merey crude it is carrying via lightering offshore since Houston-area ports are too shallow to allow such a large ship dock to offload at an onshore terminal.
The US seized the falsely-flagged Skipper on 10 December for its alleged involvement in smuggling Iranian oil to support Lebanon-based Hezbollah and Iran’s Islamic Revolutionary Guard. But the seizure is widely seen as an extension of ongoing efforts by the US to pressure the Venezuelan government over the flow of drugs from the country. The US said it intends to seize other tankers on existing sanctions lists that are carrying Venezuelan crude. The US has stationed a large naval force in the waters near Venezuela since September as part of an effort ostensibly aimed at stopping waterborne drug shipments.
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The New York Times – December 12, 2025
Seizures of more tankers could put a stranglehold on Venezuela’s economy, which is exceptionally dependent on oil to keep the government running and pay for basic necessities.
The U.S. seizure of an oil tanker off the coast of Venezuela laid bare a crucial factor in the standoff between Caracas and Washington: Oil remains the lifeblood of Venezuela’s fragile economy. Venezuela relies on oil and oil-related products for nearly all its export revenues. Officials use the income from the oil industry to keep the government functioning, maintain weapons systems and import necessities, like food. More tanker seizures would restrict this revenue stream, according to economists. Each seized cargo amounts to a loss in income and Venezuela could be forced to sell its oil at a steep discount to traders still willing to risk dealing with the country.
Venezuela boasts reserves of rare earth minerals, vast tracts of arable land and glistening Caribbean beaches, which could lure foreign tourists. But oil is still the driving force of the economy, as it has been for much of the past century. Venezuela is afflicted by what economists call “Dutch disease,” in which a government develops an unhealthy dependence on natural resource exports to the detriment of other sectors. The concept, initially applied to the Netherlands when natural gas deposits were found in the North Sea, involves a currency appreciation from natural resource exports, making other exports less competitive. … “A continued policy of seizures would cause a steep decline in Venezuela’s import capacity, plunging the country into a new recession,” said Francisco Rodríguez, a Venezuelan economist at the University of Denver.
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Beaumont Enterprise – December 12, 2025
TCEQ to asses penalties after unauthorized emissions at Groves facility*
The Texas Commission on Environmental Quality will soon assess administrative penalties to the TotalEnergies refinery in Port Arthur on Dec. 17 after a number of emission violations. According to the commission, the results from investigations dating back to March 30, 2022 are the agency’s reason for charging TotalEnergies with eight compliance violations for exceeding the maximum amount of hazardous emissions facilities in the state are allowed.
TotalEnergies denies TCEQ’s allegations, reaching a settling of 111,175 in penalties. TotalEnergies will pay $55,588 to the agency and the other $55,587 in penalties by sending it to Southeast Texas Regional Planning Commission’s Lighthouse Program Project. It’s a program that provides upgrades to low-income homes and brings them to current energy efficiency standards.
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Houston Chronicle – December 12, 2025
Houston’s oil sector to shed thousands of jobs in 2026 as crude prices drop*
Houston’s oil and gas sector is expected to shed thousands of jobs next year as falling crude prices slow drilling activity, marking one of the sharpest pullbacks for the industry in recent years, according to a new Greater Houston Partnership forecast. The Partnership projects that upstream oil and gas will lose about 3,200 jobs in 2026, driven by lower expected West Texas Intermediate (WTI) prices that are likely to squeeze producers’ margins and prompt new cost-cutting across the sector.
Industries tied to energy could feel even larger ripple effects: manufacturing is forecast to lose 3,400 jobs, and administrative support services—many connected to oil field operations—may shed about 7,500 positions in the industry. The contraction stands in sharp contrast to the rest of Houston’s labor market. Despite the losses, the region is still expected to add 30,900 jobs in 2026, reaching a record 3.5 million by year’s end, the GHP report notes. Nearly half of all new positions—roughly 14,000 jobs—are projected to come from health care and social assistance, fueled by strong population gains, more insured residents and aging demographics. Construction, public education, public administration and professional and technical services are also expected to expand. But the oil-sector decline marks a notable shift for a region where energy has long been the prime engine of job growth.
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Midland Reporter-Telegram – December 13, 2025
Shale operators brace for next consolidation wave in M&A*
Small- and medium-sized shale operators are bracing for the next wave of consolidation, largely driven by an appetite for scale in a merger and acquisition (M&A) environment that is getting increasingly competitive. Those small and mid-cap firms find themselves in a more difficult position, Matthew Bernstein, vice president of North America oil and gas at Rystad Energy, told the Reporter-Telegram.
“Just because they are ‘next on the block’ in terms of scale does not mean that it is necessarily attractive scale. Some of the deals we have seen this year involving mergers of public SMID-caps have seen low multiples and negative market reactions,” he said. To build scale and survive another consolidation wave, the smaller E&Ps have limited choices: either buy assets that larger players are looking to get rid of or acquire privately owned E&Ps, Rystad reports.
While absolute scale is an important aspect of value proposition, especially when reducing activity levels at the same time, larger firms will be unlikely to seek scale alone and acquire SMID-caps that lack their same quality of remaining locations, Bernstein said. “Instead, we see mergers of equals as likely to continue, with the added rationale of bringing down operational costs. In the current commodity price environment, longer-term concerns over inventory are important alongside the need to enhance efficiencies and push down operational and overhead costs in order to help lower corporate breakevens while defending output and payouts. Here, companies will likely benefit from acquiring assets with contiguous or nearby acreage positions,” he said.
Oil & Gas National & International
Bloomberg – December 12, 2025
EU Offers Easier Path for US LNG Exporters to Meet Methane Rules*
The European Union plans to simplify ways for US exporters of liquefied natural gas to comply with methane emission requirements that have drawn ire from the Trump administration. The EU regulation on methane aims to curb emissions of the powerful greenhouse gas embedded in domestic consumption of fossil fuels and requires foreign LNG producers to gradually comply or risk losing market share. The US has criticized the rules for hampering trade at a time when the EU is seeking more American imports to replace supplies from Russia.
The European Commission wants to propose a “simple and pragmatic implementation” at a meeting of EU energy ministers on Dec. 15 in Brussels, according to a document seen by Bloomberg. It would address concerns from US companies that say complying with the regulations and tracking supply is impossible because American gas is produced across multiple states that have varying emissions rules. In such cases, options to comply would include either a certification method or a “trace-and-claim” process, the EU’s regulatory arm said in the document. The commission also invited member states to comment on the proposal in a signal that could provide some assurance to the market.
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Financial Post – December 14, 2025
Tokyo Gas to Invest in US Downstream Assets to Drive Growth
Tokyo Gas Co., Japan’s biggest distributor of the fuel, plans to invest in US downstream assets to lift earnings and reinforce the last leg of its energy supply chain. The company is looking to deploy capital in assets like liquefaction plants, export terminals and the energy services sector, said Tokyo Gas President Shinichi Sasayama. “We’ve already made investments in midstream, downstream areas such as marketing and trading, and we intend to raise profitability,” he said in an interview. …
Tokyo Gas has allocated 350 billion yen ($2.2 billion) for overseas investments for the next three years starting from fiscal 2026, according to a strategy document released in October. However, a spokesperson declined to say on Friday how much the company has earmarked for downstream expansion in the US.
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Reuters – December 12, 2025
Trump administration unlikely to finalize 2026 biofuel quotas this year, sources say*
The Trump administration is not expected to finalize 2026 biofuel-blending quotas before the end of this year, according to three sources familiar with the situation, extending uncertainty over a policy closely watched by the rival oil and agricultural sectors. The slowdown would throw one of the administration’s most consequential energy policy choices into next year and folds the highly anticipated quotas into a growing cluster of interlocking decisions the White House is weighing on biofuels policy.
Together, the moves have raised expectations the administration may look to strike a broader – albeit elusive – agreement between rival oil and agricultural interests. The Environmental Protection Agency, which administers biofuels policy, has scheduled meetings with stakeholders on the quota rule early next, two sources told Reuters, a sign that the issue will be pushed into next year. A third source also said the EPA’s decision was unlikely by the end of this year. The sources spoke about the matter on condition of anonymity.
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Business Times – December 9, 2025
Chinese LNG demand looks set to disappoint for yet another year
Chinese liquefied natural gas (LNG) imports are at risk of another weak year as disappointing industrial demand and persistently high global prices look set to reduce purchases. Imports will fall about 5 per cent to 73 million tonnes this year, meaning China may lose its position as the world’s biggest buyer of the super-chilled fuel to Japan, according to BloombergNEF (BNEF). The outlook for 2026 is also not encouraging: Overall gas demand is set to slump, suggesting it has decoupled with GDP growth, BNEF analysts said at a summit this week.
China was the fastest-growing LNG market before Russia’s invasion of Ukraine in 2022 triggered a surge in spot prices. Back then, Asia’s largest economy had been expected by BNEF to get to 100 million tonnes of imports by this year, but analysts have been forced to repeatedly downgrade their outlooks on persistently weaker-than-expected demand.
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Associated Press/ABC News – December 4, 2025
Turkey’s energy minister warns of threat to oil and gas supplies after tankers targeted
Turkey’s energy minister issued a call for the supply of oil and gas in the Black Sea to be protected after three Russian tankers were targeted off the Turkish coast. Alparslan Bayraktar said Turkey was concerned not just by the threat to shipping but also to two undersea pipelines, Blue Stream and Turk Stream, that carry natural gas from Russia to Turkey.
Referring to the 2022 sabotage of the Nord Stream pipeline between Russia and Germany, Bayraktar pointed out Turkey’s reliance on imported gas. “We call on all parties to keep the energy infrastructure out of this war because it’s part of people’s daily lives,” he said during a news conference Wednesday. “We need to keep the energy flows uninterrupted in the Black Sea and the (Bosphorus and Dardanelles) straits.”
Utilities, Electricity & Renewables
Inside Climate News – December 10, 2025
ERCOT’s Market is Transitioning Toward Storage and Solar
Battery storage facilities and solar farms powered virtually all capacity growth in Texas’ electric grid throughout 2025, as the home of the nation’s oil and gas industry created almost twice as much new solar power as California. More than 5,200 megawatts, or approximately 10,500 megawatt hours, of new battery storage made up the largest share of the more than 11,000 megawatts of new capacity, according to the Electric Reliability Council of Texas (ERCOT), operator of Texas’ electric grid. Solar power accounted for the second-largest capacity addition, with more than 4,500 megawatts installed.
Pablo Vegas, ERCOT’s president and CEO, said during a board of directors meeting Tuesday that the new solar power represented “high” growth in intermittent power, while he characterized the new battery storage as “very rapid growth” of short-duration power supply.
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El Paso Matters – December 14, 2025
Judges in El Paso Electric rate case recommend smaller rate increase, less profit for utility
The proposed bill increase by El Paso Electric that could take effect next year may be decreased after a panel of judges overseeing the utility’s rate case sided with customers and suggested moderating it. A final decision on the rate increase by the state’s Public Utility Commission likely won’t come until February. But the judges on Dec. 7 issued a proposal for decision – a recommendation for the state’s public utility commissioners – that argued El Paso Electric is asking to make too much profit off customers.
Instead of authorizing the requested shareholder profit margin of 10.7%, the PUC should approve an allowed return of 9.4% that’s close to the utility’s current authorized profit margin. El Paso Electric is evaluating the panel’s recommendation, the utility said in a statement.
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Bloomberg/Business Download – December 12, 2025
Blue Energy Plans Data Center Plant Powered by Gas Then Nuke
Blue Energy Global Inc., a nuclear startup, is planning a power plant in Texas that will supply as much as 1.5 gigawatts of electricity to a new data center, initially using natural gas systems and eventually shifting to small reactors. The campus in Port of Victoria, southwest of Houston, is expected to begin delivering electricity to Crusoe Inc.’s data center as soon as 2028, with the reactor going into service by 2031, according to a statement Thursday from Blue Energy.
The schedule and the strategy of using different generating systems reflects the challenges of supplying power-hungry data centers. Big technology companies are clamoring for electricity as soon as possible to run artificial intelligence systems, but the nuclear industry is unlikely to deliver any new reactors for years.
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CBS News – December 12, 2025
Power line project looms over world-famous dinosaur tracks in Texas state park
Dinosaur Valley State Park draws thousands of visitors each year to Glen Rose, southwest of Fort Worth, to see some of the best-preserved dinosaur tracks in the world. But some locals fear that view could soon include something far more modern: towering high-voltage power lines. At the park, the ancient tracks are embedded in limestone along the Paluxy River, footprints millions of years old that leaders say define the town. …
But a proposed Oncor project could one day bring 200-foot transmission towers into view near the park. “And I try to tell people, visualize as you’re driving to the park, these 200-foot towers on both sides of the road,” Boles said during a tour. The power lines are part of the large Dinosaur–Longshore Project, a plan to run 765-kilovolt transmission lines from Somervell County more than 200 miles west to Howard County, to meet new state power demands. Three possible routes are under consideration, including one that would pass just south of the state park.
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December 12, 2025
Texas electricity providers draw on variety of sources: Federal Reserve Bank of Dallas*
Q to Jim Burke, president and chief executive officer of Vistra Corp.: How has the Texas grid changed since the February 2021 statewide freeze?
I should start by acknowledging that the event was devastating for Texans. We can’t go through that again. As a state, the loss of life is unacceptable. The disruption for the state was also very costly. The Legislature went to work very quickly to look at what happened. It passed Senate Bill 3 during the legislative session in 2021 to make sure that winterization activities were top of mind. [Senate Bill 3 requires utilities to develop emergency preparedness plans.]
The Public Utility Commission of Texas has jurisdiction over the electric grid, and it also oversees ERCOT [the Electric Reliability Council of Texas, which manages the market]. Activities regarding winterization and inspections and communications have all improved. The Railroad Commission of Texas oversees the oil and natural gas industries. A critical part of the value chain for powering the electric grid is natural-gas-fired generation, [accounting for] about 50 percent of the electric grid. They’ve been working on winterization activities as well. And it’s critical that they continue to do so. I’m confident we’re in a better place as a state if a similar storm were to occur. But I will tell you, no two storms are alike. We’ve got to remain vigilant.
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Politico – December 12, 2025
Central US grid operator approves $12B transmission build-out*
The electric power industry has for decades defined its mission in three words: Safe, affordable and reliable. Now, a fourth term — one not typically associated with utility planning and regulation — is creeping its way into the lexicon: fast. The latest example of how the quest for speed is playing out in the power sector came Thursday. The grid operator for the central U.S. gave the go-ahead for high-voltage transmission projects totaling $12.3 billion across its 14-state footprint — projects considered necessary to reliably meet growing electricity demand.
Of the 432 individual power lines representing almost 2,000 miles of high-voltage power lines approved by the board of the Midcontinent Independent System Operator (MISO), 49 were projects totaling $5 billion of investment through “expedited” requests. The urgency tracks utility efforts to get power plants and transmission lines built as quickly as possible for new hyperscale data centers, as well as the Trump administration’s “Speed to Power” initiative announced in September to support artificial intelligence data center and industrial growth.
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Politico – December 12, 2025
FERC to take up co-location of power plants for data centers*
The Federal Energy Regulatory Commission is planning to take up a high-profile co-location proceeding for the PJM Interconnection at next week’s open meeting. This long-anticipated proceeding comes as the energy regulator is facing pressure from the Trump administration to speed the rollout of power-hungry data centers to support artificial intelligence development. Utilities, data center developers, state entities and consumer advocacy groups are watching FERC’s response, with co-location — or the linking of a data center to a nearby power plant — emerging as a key issue.
At issue is how the PJM Interconnection will address the transmission links to the broader electrical grid for those power plants that are co-located to a data center. Advisory firm Capstone projects that FERC will issue an order paving the way for behind-the-meter load arrangements, handing a win to nuclear and natural gas plants seeking contracts to deliver power to data centers. The last time FERC addressed the issue was in February, when it ordered PJM to explain how it would protect consumers from the financial costs and potential grid issues associated with data centers. This happened in the wake of a contentious 2024 order when the energy regulator rejected PJM’s request to raise the co-located load at Talen Energy’s Susquehanna nuclear plant to power an Amazon Web Services data center.
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Regulatory
Fort Worth Report – December 12, 2025
Worst air pollution in North Texas? Fort Worth among top cities this year
Fort Worth was one of two cities across several North Texas counties with the worst air quality this year, according to preliminary data. The 2025 design value — the average of the fourth-worst ozone day from each year in a three-year period — of Fort Worth’s ozone was recorded at 83 parts per billion, according to data collected by the North Central Texas Council of Governments. Frisco also hit that value, according to the data, which has not been verified by the Environmental Protection Agency yet.
Ozone or levels of smog tend to peak in Texas between March through November. Eagle Mountain Lake and Keller came just under at 82 and 81 parts per billion, respectively, for the season, the data shows.
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Politico – December 12, 2025
DOE and Standard Nuclear strike deal to boost reactor fuel*
The Department of Energy will regulate a nuclear fuel producer in a first-of-a-kind agreement announced Thursday that aims to boost the fuel supply chain but poses novel legal questions. Under the deal, Standard Nuclear will move operations of its Tennessee and Idaho facilities to DOE oversight. The Oak Ridge, Tennessee-based startup called the agreement a breakthrough for its nuclear fuel business.
“This is a great thing. They’re bridging this gap until [uranium] enrichment comes up,” said Kurt Terrani, CEO of Standard Nuclear. “The government is not picking winners. They’re just saying, ‘We regulate you.’” The Trump administration pledged to quadruple nuclear energy by 2050. President Donald Trump issued four executive orders in May aimed at speeding up advanced reactor testing, reforming the Nuclear Regulatory Commission, and bolstering the nuclear power supply chain. This has included requiring the NRC to review reactor applications under an 18-month deadline and giving DOE a greater role in licensing commercial nuclear facilities.
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Texas Energy Report NewsClips
Friday December 12, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices rose on Friday supported by concerns of Venezuelan supply disruptions, though they remained on track for a weekly drop amid cautious market sentiment and optimism over the prospects for a Russia-Ukraine peace deal.
West Texas Intermediate crude was at $58.03 a barrel, up 43 cents, or 0.75%.
Brent crude futures rose 43 cents, or 0.70%, to $61.71 a barrel by 0352 GMT.
Both benchmarks fell about 1.5% on Thursday.
The U.S. is preparing to intercept more ships transporting Venezuelan oil following the seizure of a tanker this week, as it increases pressure on Venezuelan President Nicolas Maduro, six sources familiar with the matter said on Thursday.
The U.S. seizure this week raised concerns about supply disruptions.
Top Stories
Reuters – December 12, 2025
US preparing to seize more tankers off Venezuela’s coast after first ship taken, sources say*
The U.S. is preparing to intercept more ships transporting Venezuelan oil following the seizure of a tanker this week, as it increases pressure on Venezuelan President Nicolas Maduro, six sources familiar with the matter said on Thursday. The seizure was the first interdiction of an oil cargo or tanker from Venezuela, which has been under U.S. sanctions since 2019. It came as the U.S. executes a large-scale military buildup in the southern Caribbean and as U.S. President Donald Trump pushes for Maduro’s ouster.
The latest U.S. action has put shipowners, operators and maritime agencies involved in transporting Venezuelan crude on alert, with many reconsidering whether to sail from Venezuelan waters in the coming days as planned, shipping sources said. Further direct interventions by the U.S. are expected in the coming weeks targeting ships carrying Venezuelan oil that may also have transported oil from other countries targeted by U.S. sanctions, such as Iran, according to the sources familiar with the matter who declined to be named due to the sensitivity of the issue.
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Houston Chronicle – December 11, 2025
A $9.4 billion network of long-distance power lines will be built across the eastern swath of Texas to create a new “superhighway” for the state’s power grid, after state officials voted unanimously to approve the plan this week. The project, made up of more than 1,100 miles of power lines and transmission towers, would cut through the Houston area, though exact routes haven’t been determined yet. Once completed in the early 2030s, the 765-kilovolt power lines would be able to carry more than twice as much electricity as the existing 345-kilovolt power lines across the state.
This new “superhighway” is needed so that the state’s power grid can keep the lights on amid an expected boom in electricity demand in the coming years, said Kristi Hobbs, vice president of system planning for the Electric Reliability Council of Texas. ERCOT manages the power grid that serves most of the state’s electricity demand. By 2031, that demand could increase more than 70%, according to ERCOT’s forecasts, primarily because of electrification in the oil and gas industry and an influx of data centers powering artificial intelligence technologies.
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Straight Arrow News – December 11, 2025
Texas crypto mines consumed more power than 1 million homes
A Straight Arrow News investigation found that in 2024, large cryptocurrency operations in Texas consumed more electricity mining virtual currencies such as Bitcoin than residential utility customers in the cities of San Antonio and El Paso combined. The footprint of crypto mines is expected to keep growing in the coming years.
As of mid-November, 22 cryptocurrency mining facilities had registered with the Public Utilities Commission of Texas. In 2024, those facilities combined to consume more than 14.7 million megawatt hours of electricity, according to public records obtained by SAN. That corresponds to about 3% of all electricity produced on the state’s power grid in 2024.
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News Nation – December 11, 2025
Texas pushing to build ‘The Gate,’ a $30B coastal project
Texas is working on building “The Gate,” the country’s largest coastal protection effort to date. The project aims to protect the state’s $1 trillion oil and gas industry from the threat of catastrophic storms after Hurricanes Katrina and Rita devastated the coastal area. “What we’re trying to do is protect not human life but also property and economic vitality,” said Coalter Baker, executive director of the Gulf Coast Protection District. …
Baker said the community is energized, noting the state has already committed $950 million to advance the work. He pointed to Hurricane Ike in 2008, which brought a 17-foot storm surge that narrowly missed the Houston Ship Channel and the world’s largest petrochemical complex, as a reminder of what’s at stake. “If it had hit our petrochemical industry, we would’ve had more than $100 billion in damage, not only ecological but also economic,” he said.
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Politico – December 11, 2025
‘Windmills are a disgrace’: Inside Trump’s war against a growing U.S. industry
The day after President Donald Trump halted construction of a $5 billion wind project off the New York coast, the nation’s top offshore wind developers gathered for a regularly scheduled strategy session in Washington. The mid-April meeting quickly became heated.
Michael Brown, an outspoken Scotsman who leads the developer Ocean Winds, expressed anger that the industry’s main trade association would not join a blue-state lawsuit challenging Trump’s freeze on offshore wind permitting. American Clean Power Association CEO Jason Grumet pushed back, saying the industry should preserve its political capital at a time when Congress was gearing up to eliminate former President Joe Biden’s clean energy tax credits.
The pair “were shouting at one another,” said one person at the meeting, who like most industry figures quoted in this story was granted anonymity to discuss sensitive business and political matters. Another attendee described it as “definitely contentious.” A third called it one of several confrontations among industry members over how to respond to Trump.
The Latest TERse Tips
Trinity Gas Storage LLC has reached a final investment decision on a second phase of its East Texas natural gas storage facility, expanding capacity as Texas contends with growing demand volatility from data centers, LNG exports and extreme weather — Natural Gas Intelligence*
Origis Energy has successfully closed a $290 million financing deal for its Swift Air Solar II and III projects in Ector County — Tip Ranks
Repsol advances its renewable energy strategy in the United States with a new deal with Stonepeak with the investment firm specializing in infrastructure and real assets agreeing to acquire a 43.8% stake in Repsol’s Outpost solar project, located in Webb County, Texas, for $252.5 million — Stonepeak
Oklahoma’s data center boom is about to hit the grid — The Frontier
The Intense True Story of “Landman”: All About the Texas Oil Boom That Inspired Taylor Sheridan’s Show — AOL
These are the Top 10 Oil Spill Response Technologies — Energy Digital
US guardrails aren’t built for electric vehicles. It’s time to change that: opinion by David Schrum* — The Hill
Bitcoin Miners Hunted After Stealing $1 Billion of Electricity From Malaysia Grid — Bloomberg*
More than any conflict in history, the Russia-Ukraine war has been about electricity. Now, a proposed peace deal would give Russia half of the juice generated by the Zaporizhzhia nuclear plant — Robert Bryce (blog)
Kern County has announced it will resume issuing oil and gas permits in 2026 following a court decision to discharge a writ related to ongoing litigation — KBAK (Bakersfield CA)
When Zillow removed climate risk scores from its home listings last month, following a complaint from the real estate industry, many observers took to the press and social media to warn that disappearing the data doesn’t get rid of the risk — Politico*
Beyoncé, Oxy’s Vicki Hollub make Forbes’ 100 most powerful women list — Houston Chronicle*
Oil & Gas Texas
Reuters – December 11, 2025
Buyout firm Carnelian raises eyebrows with rare effort to sell multiple energy assets, sources say*
Carnelian Energy Capital is moving to sell six of its North American oil and gas production investments, multiple people familiar with the matter said, at a time of mounting pressure on private equity firms to increase exits and return cash to investors. The moves, representing most of the Carnelian-backed companies that produce oil and gas, and about 40% of its overall investments, have raised eyebrows among industry participants because buyout firms traditionally space out sale efforts to avoid exhausting buyer demand.
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Rigzone – December 11, 2025
Aramco, ExxonMobil Mull Petrochemical Complex at Samref
Exxon Mobil Corp and Saudi Arabian Oil Co (Aramco) have agreed to evaluate upgrading their Samref refinery in Yanbu, Saudi Arabia, with plans to expand the site into an integrated petrochemical complex. The facility currently has a declared oil processing capacity and storage capacity of about 400,000 barrels per day and 13.2 million barrels respectively. It produces mostly gasoline, as well as diesel fuel, heating oil, jet fuel, liquefied petroleum gas and others, the joint venture says on its website.
“The companies will explore capital investments to upgrade and diversify production, including high-quality distillates that result in lower emissions and high-performance chemicals, as well as opportunities to improve the refinery’s energy efficiency and reduce emissions from operations through an integrated emissions-reduction strategy”, Aramco said in a press release.
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BNAmericas – December 11, 2025
BOURBON signs a 5-year contract with ExxonMobil in Guyana
BOURBON announces the signing of a major 5-year contract (with extension options) with ExxonMobil Guyana Limited (EMGL) to provide maritime services in Guyana. It will start in the first quarter of 2026, with the commissioning of the large PSV Bourbon Calm (Platform Supply Vessel) and covers the transport of products essential to offshore operations in one of the world’s most dynamic oil basins.
The discovery of oil fields in 2015 has made Guyana one of the fastest-growing offshore operations, with the planned commissioning of additional FPSOs (floating production, storage, and offloading units). Since 2019, BOURBON has been supporting the development of this industry thanks to the technical quality of its fleet and the expertise of its local teams.
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Bloomberg/Financial Post – December 11, 2025
Toxic Water From Texas Oil Production Is Set to Be Treated and Pumped into Rivers
Texas is about to deploy a potential solution to the oil industry’s toxic wastewater problem — but it’s a move that carries environmental risks of its own. State regulators are working to issue permits that would let four companies, including major landowner Texas Pacific Land Corp. and pipeline operator NGL Energy Partners LP, release treated wastewater from the Permian Basin into the Pecos River near New Mexico, regulatory filings show. At least one could be granted as soon as the first quarter of 2026, according to Texas Pacific.
Oil and gas wells in the Permian, the largest US shale basin, generate 21 million barrels per day of water laden with salt, chemicals and heavy metals. Drillers have been disposing of most of that fluid by pumping it back underground, a practice that has triggered earthquakes and leaks.
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Oil production in the Permian basin is poised to peak in December, a watershed moment for the U.S. shale boom that upended the global energy market over the past 15 years. Yet drilling innovations mean output in America’s most prolific oil patch will hold steady for years to come. The Permian basin, which straddles West Texas and southeastern New Mexico, is set to produce a record-high 6.76 million barrels per day (bpd) of oil in December, only slightly higher than November’s total, the U.S. Energy Information Administration said in its latest Short Term Energy Outlook.
This monthly figure may never be topped, given that most of the Permian’s top-tier oil acreage has been tapped and sharply depleted after more than a decade of drilling. But improvements in drilling technology are enabling firms to explore new, often deeper formations. That means current production levels can likely be sustained for years, defying previous warnings that the shale boom would experience a precipitous decline.
Midland Reporter-Telegram – December 10, 2025
Texas carbon management roadmap takes shape with safety, permitting focus*
Texas has numerous advantages — from power and industrial facilities to geography and a skilled workforce — that make it a prime state for carbon capture and its resulting economic and environmental benefits. The question is: What policies are needed to help Texas reach its potential? The Great Plains Institute, a nonprofit organization dedicated to helping develop pragmatic energy solutions, is helping develop the Texas Carbon Management Roadmap. Ryan Kammer, research manager for carbon management at the institute, detailed the efforts going into developing the roadmap, which is expected to be unveiled in the first quarter of next year.
He told those attending the CO2 Conference that stakeholder engagement is a vital part of the process. Those stakeholders include industry representatives, state agencies, academic and legal experts, environmental groups and community representatives. The group is examining carbon capture, storage, utilization and transportation, along with direct air capture, community engagement, workforce development and hydrogen development with carbon capture, utilization and storage. Recommendations already include strengthening competitiveness through international export opportunities and ensuring permitting certainty and readiness. The third recommendation involves building public confidence through safety and transparency.
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Houston Chronicle – December 10, 2025
A trillion-dollar climate industry emerging in Houston’s backyard meets new resistance*
A week after the federal government gave Texas the power to approve permits for a new kind of well that stashes climate-warming carbon dioxide underground, one of the state’s top oil and gas regulators decried it as a waste of taxpayer dollars. Wayne Christian, one of the three elected leaders of the Texas Railroad Commission, questioned why the commission would spend state funds regulating the practice when the Trump administration believes it is “a scam” and that carbon dioxide “is no longer a threat.”
“I also find myself very disappointed that we make a decision,” he said, referring to the commission’s approval of Occidental Petroleum’s carbon storage project, “at this time that the administration, the world, seems to be realizing that a lot of this extremist environmental agenda has been over the top.”
Christian’s statements highlight the uncertainty surrounding carbon capture and storage — a climate solution that Houston’s oil and gas companies spent billions growing into what they believe can be a trillion-dollar industry. The Trump administration has gutted regulations of climate-warming gases and cut funding to hundreds of clean energy projects. Climate-focused companies and projects are folding and cutting back. Even Bill Gates, a devoted climate champion for many years, walked back funding for climate initiatives and repositioned some of his philanthropic investments.
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Politico – December 9, 2025
FERC green-lights piece of major Louisiana LNG project*
The developer of the CP2 natural gas export terminal in Louisiana can begin construction of a gas-fired compressor station tied to the project, federal regulators said Monday. In a letter to Venture Global, the Federal Energy Regulatory Commission granted a November request to commence work on the Moss Lake compressor station in Louisiana’s Calcasieu Parish.
FERC’s approval is another positive step for the CP2 liquefied natural gas project, which has a proposed export capacity of at least 20 million metric tons annually. The project was delayed by the Department of Energy amid a high-profile debate during the Biden administration over the merits of increasing U.S. LNG exports, though FERC approved the project in June 2024. Venture Global “has provided the information necessary to meet the applicable conditions” of
Oil & Gas National & International
The Wall Street Journal – December 11, 2025
OPEC Holds Oil-Demand View Steady But Expects Higher Supply From Rivals*
The Organization of the Petroleum Exporting Countries left its oil-demand outlook unchanged as it prepares to pause output hikes in early 2026, but modestly raised its forecast for this year’s supply growth from rival producers. The Vienna-based cartel expects demand to grow by 1.3 million barrels a day this year and 1.38 million barrels a day the next, supported by expectations of steady economic growth. Supply from producers outside of the wider OPEC+ alliance is now expected to rise by 960,000 barrels a day this year, above previous projections of 920,000, mainly driven by the U.S., Canada, Brazil and Argentina. Next year’s supply growth is still expected at 630,000 barrels a day.
OPEC raised its economic-growth estimates for this year to 3.1% from 3%, citing easing trade tensions after a series of agreements between the U.S. and key partners. Stimulus measures and monetary easing in some major economies are also expected to support activity. Economic growth for next year is still projected at 3.1%. In November, OPEC crude-oil production was broadly unchanged, slipping by only 1,000 barrels a day to 28.48 million barrels a day, while total production by OPEC+ members rose by 43,000 barrels a day to 43.06 million barrels a day.
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Yahoo! News – December 11, 2025
Ukraine Strikes Key Russian Oil Platform in Caspian Sea
In a significant expansion of its campaign against Russian energy infrastructure, Ukraine’s security services executed a long-range drone strike on a major offshore oil field in the Caspian Sea, effectively halting production at a key Lukoil facility. The attack on Dec. 11 marks the first time Kyiv has targeted hydrocarbon extraction assets in the Caspian region, a development that signals a new phase in the targeting of Russia’s economic lifelines and raises questions regarding the security of energy corridors previously considered beyond the reach of the conflict.
The operation, carried out by the Security Service of Ukraine (SBU), reportedly targeted the Vladimir Filanovsky field, situated in the northern sector of the Caspian Sea. According to SBU sources, four drones successfully struck the offshore platform, forcing the suspension of oil and gas production from more than 20 wells servicing the facility.
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The Guardian (UK) – December 11, 2025
US lawmakers condemn seizure of Venezuelan oil tanker: ‘Trump is sleepwalking us into a war’
Related: ‘Spoof’ ship: Seized oil tanker Skipper hid location data, visited Iran and Venezuela — CNBC
Related: Trump Puts the Oil Squeeze on Maduro — the U.S. hits the regime in the pocketbook, and let’s hope there’s more — The Wall Street Journal editorial*
Senior Democratic lawmakers and at least one Republican have condemned Wednesday’s seizure of a Venezuelan oil tanker off the nation’s coast, with one saying Donald Trump is “sleepwalking us into a war with Venezuela”. There is growing, at least somewhat bipartisan unease in Washington over the administration’s escalating military posture in the region. Trump has accused Venezuela of facilitating drug trafficking, and increased the US military presence in the Caribbean to a level not seen in decades. The administration has also conducted a campaign of bombings of alleged drug boats, killing more than 80 people so far.
Trump confirmed the tanker seizure shortly after it occurred, telling reporters: “We’ve just seized a tanker on the coast of Venezuela – large tanker, very large, largest one ever seized, actually.” When asked what would happen to the oil, Trump responded: “We keep the oil, I guess!”
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Reuters – December 9, 2025
Putin clears deals with Rosneft and Shell’s joint-venture stake in Caspian Pipeline Consortium*
Russian President Vladimir Putin issued a decree on Monday clearing potential deals with Rosneft and Shell’s joint-venture stake in the Caspian Pipeline Consortium, which exports oil mainly from Kazakhstan. The decree said it allowed the deals, which may result in changes of ownership, in the CPC by the Rosneft-Shell Caspian Ventures Limited. It did not elaborate. The venture has a 7.5% stake in the CPC, in which other international majors, such as Chevron and Eni, as well as Russia’s second-largest oil producer, Lukoil, also have shares.
The United States imposed sanctions against Rosneft and Lukoil in October over Russia’s war in Ukraine, forcing Lukoil to declare the sale of its foreign assets. Rosneft has not announced any actions in relation to the sanctions.
Utilities, Electricity & Renewables
New York Times – December 11, 2025
How to Fight Rising Utility Bills? Take Over the Company, Activists Say.*
Everyone complains about their energy bills, but few take any action. In New York’s Hudson Valley, a coalition of officials, activists and community groups are trying to do just that by taking over their local utility. On Wednesday, the coalition released a feasibility study by the Texas-based NewGen Strategies that found that replacing the utility, Central Hudson Gas & Electric, with a public authority was feasible and could result in customer savings within the first year of operation.
The savings are relatively modest — a tenth of a percent on gas and 2 percent on electric delivery rates — but they are expected to grow over time, particularly for electric customers, the study found. Reducing energy bills is not the only goal; the coalition wants the state’s energy system to be more responsive to its customers and better positioned to respond to the climate crisis. “The only way, like we’re only going to make our energy system work if we start talking about public ownership very seriously,” said Sarahana Shrestha, an assemblywoman representing Kingston and New Paltz, who has held roughly 18 town halls to build support for the project.
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Construction Equipment Guide – December 10, 2025
Doral Renewables Chooses Bechtel to Build 430 MW Cold Creek Solar Project
Bechtel, an engineering, construction and project management firm, announced on Nov. 5, 2025, that it was selected by Doral Renewables to design and build the Cold Creek Solar+Storage project in Schleicher and Tom Green counties, Texas. The facility is expected to generate approximately 430 megawatts (MW) of clean energy using more than 850,000 solar modules. The Cold Creek project also will feature a 340 megawatt-hour (MWh) battery energy storage system to capture and store excess energy generated during the day and deliver it to the Texas electricity grid when consumer demand peaks.
“The Cold Creek project highlights the power of an all-of-the-above energy strategy,” said Scott Austin, Bechtel general manager of renewables and clean power. “Texas continues to lead the nation in blending traditional and renewable resources to strengthen its grid. By combining 430 MW of solar generation with 340 MWh of storage, Cold Creek will make the Texas grid stronger and more reliable for years to come. We are proud to bring Bechtel’s experience to this important project and support Doral Renewables’ mission to deliver reliable, homegrown power to Texas.”
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Inside Climate News – December 11, 2025
How Batteries Could Play a Role in Data Center Rollouts
With data center developers in Texas and most other states now commonly deploying fossil fuel generators as backup power sources, a nascent industry from the renewable side of power generation—battery storage—has started elbowing its way into the fast-growing sector. A new report by Oxford-based Aurora Energy Research detailed how adding battery storage to a site could improve data centers’ power quality, provide flexibility and reduce transmission congestion, while offering an opportunity to reduce emissions.
Battery storage already works as an uninterruptible power supply (UPS), or a bridge from grid power to backup power, as most generators take anywhere from five to 30 minutes to ramp up, said Lizzie Bonahoom, an Aurora Energy Research associate.
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Texas Public Radio (NPR) – December 9, 2025
AI is bringing old nuclear plants out of retirement
The Palisades Nuclear Generating Station is nestled between sand dunes on the eastern shore of Lake Michigan. It shut down for financial reasons in 2022. Three years later, it’s on the cusp of reopening, with hundreds of workers streaming through its security barriers every day.
Palisades is on track to restart in early 2026. When it does, it will be the first nuclear plant in the United States to generate electricity again after being decommissioned. Nick Culp of Holtec, the company that owns the plant, said its revival is a response to a surge in demand for electricity.
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MSN – December 8, 2025
NextEra to build 15 gigawatts of power for data centers by 2035
NextEra Energy plans to build 15 gigawatts of new power generation for data center hubs by 2035, CEO John Ketchum told investors on Monday. NextEra is the largest renewable energy developer in the U.S. through NextEra Energy Resources, and also owns Florida Power & Light. The utility also operates a fleet of nuclear- and natural gas-powered plants.
The power company also announced a partnership with Alphabet’s Google unit on Monday to develop three gigawatt scale data center campuses in the U.S. with plans to expand to additional locations. NextEra shares closed about 3% lower on Monday. A gigawatt is roughly equivalent to more than 800,000 homes based on average household electricity consumption in 2024, according to the Energy Information Administration. Ketchum said the 15 gigawatts of power for data center hubs is a “fairly conservative” target.
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Bloomberg – December 9, 2025
Nuclear and Fossil Fuels Join Forces to Undermine Renewables*
The towering smokestacks of the Indian River power plant have been etched on the horizon of Delaware Bay for more than 60 years. From its opening in 1957, the plant burned tens of millions of tons of coal, sending pollution over thousands of homes and toxic ash into the groundwater. About 20 years ago, residents began joining in opposition. They collected health data from downwind communities; their findings prompted Delaware to officially designate the area a cancer cluster and led the plant to start downscaling operations.
Last year the administration of Joe Biden, whose summer home is about 14 miles northeast of the plant, approved a plan that reimagined the site. The project called for putting a substation next to it that would distribute energy from more than 100 wind turbines to be built about 10 miles out to sea. The last of the plant’s four coal-burning units was already scheduled to shut down for good within a year. Renewable energy would take the place of coal.
David Stevenson had something different in mind. A former executive for the DuPont de Nemours Inc. chemical company, he worked for the Caesar Rodney Institute, the Delaware affiliate of the State Policy Network (SPN), a national consortium of think tanks aligned with, and partly funded by, fossil fuel interests. On behalf of the institute, Stevenson, 77, campaigned against electric vehicle subsidies, national ozone standards and a carbon tax.
Regulatory
San Antonio Current – December 11, 2025
Texas cut more from its environmental budget than nearly any state
As the Trump administration pushes for deep cuts to the Environmental Protection Agency, saying states can take a bigger part in environmental oversight, new data show the majority of states — Texas included — have already slashed their budgets for pollution control. A study released this week by the Environmental Integrity Project found that 27 states have reduced budgets for their environmental agencies over the past 15 years, adjusted for inflation, and Texas was among the worst offenders.
The Lone Star State is among seven that have axed a third or more of their funding for environmental oversight. Indeed, the 33% funding reduction for the Texas Commission on Environmental Quality was the nation’s seventh-largest. Lawmakers whittled the agency’s budget from $615 million in 2010 to just $413 million last fiscal year.
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Texas Energy Report NewsClips
Thursday December 11, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices eased on Thursday as investors shifted focus back to Russia-Ukraine peace talks and monitored potential fallout from a U.S. seizure of a sanctioned oil tanker off the coast of Venezuela.
West Texas Intermediate crude fell 78 cents, also 1.3%, to $57.68 a barrel.
Brent crude futures were down 81 cents, or 1.3%, at $61.40 a barrel at 0904 GMT.
Russian Foreign Minister Sergei Lavrov said on Thursday that a visit to Moscow this month by U.S. envoy Steve Witkoff had resolved misunderstandings between the two countries.
He added that Moscow had handed over Russia’s proposals on collective security guarantees to Washington.
Top Stories
The Wall Street Journal – December 10, 2025
A Billion-Barrel Oil Glut Is Forming at Sea*
The oil market is grappling with whether sanctioned Russian and Iranian cargoes should still be counted as supply. This may explain why oil prices have been slow to react to a huge glut that is building on the ocean. There are 1.4 billion barrels of oil “on the water.” That is 24% higher than the average for this time of year between 2016 and 2024, according to oil-analytics firm Vortexa. The data measures shipments that are on their way to be unloaded at a port, or cargoes that haven’t yet found a buyer.
The rise of oil on water comes from multiple sources. There has been a 16% year-over-year jump in barrels from mainstream producers, Vortexa data shows. OPEC+ has been pumping more oil as it unwinds production cuts, and supply is also increasing from non-OPEC exporters like Brazil, Guyana and the U.S. But there has also been a surge from sanctioned producers Russia, Iran and Venezuela. The number of “dark” barrels on the ocean has jumped 82% in a year, with a rapid rise in the past three months.
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Inside Climate News – December 10, 2025
Greenpeace Scrutinizes the Environmental Record of the Company That Sued the Group
The Greenpeace version of this story is here
The environmental nonprofit Greenpeace was under the microscope in a North Dakota trial this year. Now the organization is calling attention to the environmental impacts of the pipeline company that brought it to court and won a $345 million judgment. A new report released Wednesday identifies oil spills, gas releases, air pollution and other incidents at Energy Transfer’s web of pipelines and infrastructure nationwide, including subsidiaries and joint ventures. More incidents occurred in Texas, where Energy Transfer is headquartered, than any other state, according to the report.
The report, titled Bad Neighbor, follows a March 2025 jury verdict that found Greenpeace USA liable for damages during protests against Energy Transfer’s Dakota Access pipeline. Greenpeace calls the case a strategic lawsuit against public participation, or SLAPP, designed to silence criticism of the company. Greenpeace’s report on Dallas-based Energy Transfer summarizes public information on the company’s environmental record and calls for defending the rights to protest and free speech.
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Reuters – December 10, 2025
Energy Transfer says Lake Charles LNG investment nod expected in early 2026*
U.S. pipeline operator Energy Transfer has secured enough agreements to sell liquefied natural gas to make a final investment decision on its Lake Charles LNG project early next year, an executive said on Wednesday at the Reuters Energy Live conference in Houston. Energy Transfer has been developing the LNG export facility in Louisiana, with capacity of 16.5 million metric tons per annum. It said last month that it wanted to sell 80% of the project to equity partners.
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Politico – December 10, 2025
House panel approves major changes to the Clean Air Act*
A House panel advanced seven Republican bills Wednesday that could collectively amount to the biggest rewrite of the Clean Air Act in more than three decades if signed into law. The House Energy and Commerce Subcommittee on the Environment consistently broke along party lines in approving the legislation during a sometimes confrontational markup. Majority Republicans also rejected all proposed Democratic amendments.
Among other changes, the GOP measures would overhaul EPA’s machinery for setting National Ambient Air Quality Standards, give President Donald Trump more power to exempt polluting industries from existing air regulations and weaken implementation of a stronger soot standard put in place last year that’s predicted to eventually save thousands of lives. The markup’s contours were set in the opening statements of subcommittee Chair Gary Palmer (R-Ala.) and ranking member Paul Tonko (D-N.Y.). Despite the act’s undeniable importance in improving air air quality, it “has not been significantly amended since 1990 and has not kept pace to meet the economic and security risks facing this country,” Palmer said.
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Houston Chronicle – December 10, 2025
‘Recipe for disaster’: Why Texas could see big impacts from Trump’s EPA cuts*
The Trump administration’s deep cuts to Environmental Protection Agency staff and programs since January will have an outsized impact on Texas, where its own state agency has also shrunk, according to a new Environmental Integrity Project report. The EPA has seen a precipitous decline in funding and staff since January, with one group of academics calculating that the agency will have lost one in three of its employees by the end of the year. Many programs – including all environmental justice work and a large percentage of agency research – have already been terminated, and lawmakers are now contemplating even deeper cuts to its operational budget. …
“The federal government is proposing the deepest cuts to EPA in 40 years,” said Drew Ball, the NRDC’s director of Southeast campaigns. “That’s a recipe for disaster.” With thousands of jobs eliminated, EPA Administrator Lee Zeldin has repeatedly touted a plan to emphasize “cooperative federalism” where states take the reins. The Environmental Integrity Project report released Wednesday argues that the Texas Commission on Environmental Quality isn’t in a position to take on that role. Adjusted for inflation, its own budget has been reduced by 33% in the past decade.
The Latest TERse Tips
Lyntegar CEO Greg Henley is retiring after four decades of dedicated service — congratulations, Greg, from Texas Energy Report — Facebook
Former Texas Lt. Gov. Bill Ratliff died Monday in Mount Pleasant at 89 — Marshall News Messenger
Atmos Energy is teaming up with South Plains Community Action to provide assistance to customers behind on their natural gas bills in the nine surrounding counties of Lubbock — KCBD
The US General Services Administration has announced the public auction of the oil & gas mineral rights of approximately 133 total net mineral acres in Big Spring — see the press release
Jeff Bezos’ aerospace firm Blue Origin has been working for over a year on the necessary technology for artificial intelligence data centers in space, the Wall Street Journal reported on Wednesday, citing a person familiar with the matter — Reuters*
The autonomous ride-hailing service Waymo plans to file a voluntarily software recall after several reports that its self-driving taxis illegally passed stopped school buses — a National Highway Traffic Safety Administration investigation is underway — KACU
South Carolina’s stalled nuclear power project could finally finish construction as a private company has offered to pay $2.7 billion to the state-owned utility and a small share of the power if they can reach an agreement to get the two reactors up and running — Associated Press
Oil & Gas Texas
Houston Chronicle – December 10, 2025
Texas candidate took money from Democrats, then flipped to GOP*
A Texas Railroad Commissioner candidate is in hot water after flipping her candidacy from Democrat to Republican—just days after fundraising from Democratic donors. Katherine Culbert, a process safety engineer who has worked in the oil and gas sector, reportedly raised money for her 2026 campaign as a Democrat through ActBlue, a fundraising site for Democratic candidates, before suddenly filing to run as a Republican. Culbert signaled that she had switched gears, announcing that she officially filed to run as a Republican on X on Tuesday, writing, “I am directing my campaign toward all Texans and stressing that effective statewide leadership must rise above partisan expectations.”
Her flip-flop sparked immediate anger online, with critics calling for her to issue refunds to donors, run as a Democrat, and be blacklisted from ever using ActBlue. “Let’s be clear. Switching from Democrat to Republican is not a decision you make on a whim,” Michelle Davis, of Lone Star Left Substack, wrote. “You don’t wake up one morning, pour your coffee, and say, ‘You know what? Forget everything I’ve ever said publicly, every donor I’ve taken money from, every volunteer who’s knocked doors for me. I think I’ll join the party of election deniers and book banners today…This was a plan.”
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The Wall Street Journal – December 10, 2025
Chevron CEO Sees Growing Potential in Biofuels and Geothermal Energy*
The head of one of the biggest oil companies in the world has his eye on expanding a variety of alternative energy sources. “We worked on things that leveraged our capabilities, our customers, our value chains,” said Chevron CEO Mike Wirth, highlighting projects for hydrogen, carbon capture and storage, as well as geothermal and biofuels. Wirth, who was speaking at the WSJ CEO Council on Tuesday, discussed the company’s low-carbon plans alongside the expansion of its traditional oil-and-gas business.
“We start with things where we have some reason to believe we can create shareholder value, where we’ve got skills and competency, so we didn’t go into wind or solar because we’re not a turbine manufacturer installing wind and solar,” he said. Wirth said another core criteria was being able to compete and meet customer needs without relying on long-term subsidies. Subsidies for renewable energy such as wind and solar were cut this year as political tides changed in the U.S. “There’s certainly a case for subsidies or other forms of government policy to help technologies get established and bring down the cost, but over time we need to invest in things that can compete and deliver return on capital without relying on subsidies,” he said.
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KXAN – December 10, 2025
First of 30 oil lease sales planned for Gulf of Mexico draws $300 million from companies
Oil companies offered $300 million for drilling rights in the Gulf of Mexico on Wednesday in the first of 30 sales planned for the region under Republican efforts to ramp up U.S. fossil fuel production. The sale came after President Donald Trump’s administration recently announced plans to allow new drilling off Florida and California for the first time in decades. That’s drawn pushback, including from Republicans worried about impacts to tourism.
Wednesday’s sale was mandated by the sweeping tax-and-spending bill approved by Republicans over the summer. Under that legislation, companies will pay a 12.5% royalty on oil produced from the leases. That’s the lowest royalty level for deep-water drilling since 2007.
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Rigzone – December 10, 2025
Kinder Morgan Expects to Ride on LNG, Power Demand Growth
Kinder Morgan Inc has announced adjusted earnings per share (EPS) guidance of $1.37 for 2026, with the North American pipeline operator encouraged by growth in the liquefied natural gas (LNG) and power sectors. That is an increase of eight percent versus its adjusted EPS forecast for 2025. For 2026 adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), Kinder Morgan expects $8.7 billion, up four percent compared to its guidance for 2025.
The outlook reflects “continued execution on expansion projects in our natural gas pipelines business segment”, chief executive Kim Dang said in an online statement. “We are projecting an annualized dividend of $1.19 for 2026, marking the ninth consecutive year of dividend increases”, Dang added.
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S&P Global Platts – December 10, 2025
USGC energy economy outlook ‘cautiously optimistic’ despite uncertainty: LSU
Despite substantial energy policy and trade uncertainty, the outlook for much of the US Gulf Coast’s energy economy is “cautiously optimistic,” albeit less so than in 2024, the Louisiana State University Center for Energy Studies said Dec. 10.
“One of the central themes in the stakeholder calls this year was policy uncertainty,” said Greg Upton, executive director of the center, during a webinar about its Gulf Coast Energy Outlook, which focuses on Alabama, Louisiana, Mississippi and Texas. He cited the Republican Party’s “unprecedented” repeal of renewable energy tax credits before a previous law’s expiration and the Trump administration’s unilateral levy of tariffs on international trade partners.
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MSN – December 10, 2025
Enterprise Products Partners faces growth challenges, says JPMorgan analyst
On December 1, JPMorgan analyst Jeremy Tonet downgraded Enterprise Products Partners L.P. (NYSE:EPD) to Neutral from Overweight and kept a price target of $35. The firm sees limited upside at current share prices and noted that the company’s EBITDA falls behind its peers. The analyst mentioned in a research note that excess capacity in several hydrocarbon logistics areas is limiting the company’s ability to grow due to “aggressive” competition.
Enterprise Products Partners L.P.’s multi-year capital investment phase, which was announced in 2022, is finally in its concluding phase. As a part of this plan, the company has built several pipelines and marine terminal facilities in recent years. In addition, it also closed some acquisitions to support growth in new areas. As soon as Enterprise finishes its last major expansion project in the first half of next year, the company’s free cash flow generation will be more significant.
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Bloomberg – December 10, 2025
How a Nuclear-Fossil Fuel Alliance Is Winning the Fight for Energy Dominance*
The towering smokestacks of the Indian River power plant have been etched on the horizon of Delaware Bay for more than 60 years. From its opening in 1957, the plant burned tens of millions of tons of coal, sending pollution over thousands of homes and toxic ash into the groundwater. About 20 years ago, residents began joining in opposition. They collected health data from downwind communities; their findings prompted Delaware to officially designate the area a cancer cluster and led the plant to start downscaling operations.
Last year the administration of Joe Biden, whose summer home is about 14 miles northeast of the plant, approved a plan that reimagined the site. The project called for putting a substation next to it that would distribute energy from more than 100 wind turbines to be built about 10 miles out to sea. The last of the plant’s four coal-burning units was already scheduled to shut down for good within a year. Renewable energy would take the place of coal.
David Stevenson had something different in mind. A former executive for the DuPont de Nemours Inc. chemical company, he worked for the Caesar Rodney Institute, the Delaware affiliate of the State Policy Network (SPN), a national consortium of think tanks aligned with, and partly funded by, fossil fuel interests. On behalf of the institute, Stevenson, 77, campaigned against electric vehicle subsidies, national ozone standards and a carbon tax.
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Indian Chemical News – December 5, 2025
Fineotex Chemical acquires US-based oilfield chemicals firm CrudeChem Technologies
Fineotex Chemical Limited (FCL), a leading global provider of specialty performance chemicals, has acquired the CrudeChem Technologies Group (CCT), a well-established U.S.-based specialty chemical manufacturer. This move marks a major step in the company’s global expansion and technological advancement in sustainable chemical solutions.
CrudeChem specializes in advanced chemical fluid additives and comprehensive chemical solutions for the global oil and gas industry. … CrudeChem is supported by a world-class technical laboratory in Texas and operational facilities in Midland and Brookshire, Texas, providing a strong foundation of scientific depth and operational capability.
Oil & Gas National & International
CBS News – December 10, 2025
U.S. seizes oil tanker off the coast of Venezuela, escalating tensions
The U.S. has seized a large oil tanker off the coast of Venezuela, officials said Wednesday, escalating tensions between the two countries. President Trump said he assumes the U.S. will keep the oil. Bloomberg first reported the oil tanker seizure. Mr. Trump announced the seizure during a roundtable meeting at the White House, saying the tanker was “seized for a very good reason.”
“As you probably know, we’ve just seized a tanker on the coast of Venezuela, a large tanker, very large,” he said. “Largest one ever seized, actually. And other things are happening, so you’ll be seeing that later and you’ll be talking about that later with some other people.”
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S&P Global Platts – December 10, 2025
LyondellBasell eyes 2032 start for Sipchem JV Jubail petchems complex: CEO
US-based LyondellBasell has estimated a 2032 startup for the Jubail-based petrochemical complex, CEO Peter Vanacker told Platts during the Gulf Petrochemicals and Chemicals Association annual forum in Bahrain Dec. 9. “This is a huge project,” Vanacker said, remarking that the project is currently in its first phase of evaluating feasibility and the market environment, “but if everything would continue to progress, then we’re probably talking about 2032,” he added.
In February, Saudi-based Sipchem announced it had successfully allocated feedstock from the Saudi Ministry of Energy for the joint venture complex, which is set to add a production capacity of 1.5 million metric tons/year of ethylene and 1.8 million mt/y of derivative products, including basic and specialty polymers, the company reported Feb. 27 to the Saudi stock exchange, Tadawul.
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Politico – December 9, 2025
Supreme Court asks for Trump admin’s view on pipeline fight
The Supreme Court is asking the Trump administration to offer its thoughts on a quarrel over who should pay the legal fees in a landowner dispute over compensation for a pipeline crossing their property. North Dakota rancher Len Hoffmann and other landowners represented by the Institute for Justice want the high court to rule on whether state or federal law determines which party is responsible for covering their attorneys’ fees.
On Monday, the court asked the solicitor general to file a brief on the merits of the case, Hoffmann v. WBI Energy Transmission. The input of the solicitor general can play an important role in helping the court decide whether to grant a case. At least four justices have to agree to hear a petition. The Supreme Court petition comes after landowners challenged the rate WBI reimbursed them for their land after the gas company built a pipeline across their property. The landowners had not opposed the pipe itself but instead challenged how the company calculated the value of their land.
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Utilities, Electricity & Renewables
pv magazine – December 10, 2025
What to know about ERCOT’s new RTC+B program
While many of us wait until January to start our New Year’s Resolutions, the Electric Reliability Council of Texas (ERCOT) began its 2026 glow-up a little early.
Last week, Texas’ independent system operator officially launched its long-awaited Real-Time Co-optimization plus Batteries (RTC+B) program in what’s the biggest change to the market in 15 years. The new structure integrates ancillary services into the real-time market rather than the day-ahead market, allowing ERCOT to simultaneously optimize them with energy.
“RTC+B is a win for the ERCOT energy market overall,” Portia Gilman, a market monitoring manager at energy market analysis firm Yes Energy, told ESS News. By co-optimizing energy and ancillary services together instead of addressing them separately, she explained, the program will likely result in “more optimal, least-cost dispatch across the system.”
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ESG Today – December 10, 2025
Geothermal energy project developer Fervo Energy announced that it has raised $462 million aimed at supporting the development of its large-scale project in Utah and other new carbon-free energy projects, with the new Series E funding round adding Google as a new investor, and Bill Gates-backed Breakthrough Energy Ventures as a returning investor.
Founded in 2017, Houston Texas-based Fervo Energy focuses on the development of enhanced geothermal systems (EGS) projects to deliver carbon-free energy. The company uses techniques such as horizontal drilling and distributed fiber optic sensing to make reservoirs of hot rock that exist beneath the earth’s surface into clean energy sources.
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Politico – December 10, 2025
Can the grid handle data centers? Look to Texas.*
The state’s primary grid operator reported this month that large power consumers will need 225 gigawatts of electricity over the next five years. Almost three-quarters of that new demand would come from data centers. Two things stand out about that number. First, it is almost absurdly large. The nation’s largest wholesale power market, serving 67 million people from D.C. to Chicago, has a peak demand of about 160 GW. In contrast, the Electric Reliability Council of Texas, which serves about 90 percent of the state, now tops out around 85 GW.
The second thing is just how quickly that number has grown. In January, ERCOT reported 83 GW of new demand seeking to plug into its grid. Taken together, those figures show how quickly the race to develop artificial intelligence is remaking America’s power markets.
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Governing – December 10, 2025
Public Pressure Builds Over Utility Costs Nationwide
The last time the Maine Public Utilities Commission considered an electricity price hike, the proposal received fewer than 90 comments from the public. Three years later, amid skyrocketing energy prices, more than 800 people weighed in on the plan, showing up to public hearings and even protesting outside.
The commission last month ultimately rejected the proposal that would have raised bills by about $35 per month for customers of Central Maine Power, the state’s largest electricity provider. In explaining the denial, Commission Chair Philip Bartlett cited growing energy costs.
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Data Center Dynamics – December 8, 2025
Palantir unveils Chain Reaction OS to accelerate AI infrastructure buildout
US software developer Palantir is launching an operating system to help power generation and distribution companies accelerate AI data center buildouts. Dubbed Chain Reaction, the system was developed in partnership with CenterPoint Energy and Nvidia. The rationale behind its creation, the companies contend, is that power has become the biggest bottleneck for AI development, requiring new tools to support the buildout of both data centers and the infrastructure that powers them.
“The energy infrastructure buildout is the industrial challenge of our generation,” said Tristan Gruska, Palantir’s head of energy and infrastructure. … According to Palantir, the Chain Reaction platform is designed to modernize aging power plants for AI-era reliability, stabilize and expand strained power grids, accelerate the buildout of new energy and computing infrastructure, and streamline the design of hyperscale data centers to meet the soaring demands of AI.
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Utility Dive – December 10, 2025
EIA cuts 2026 power generation forecast by more than a percentage point
The Energy Information Administration cut its 2026 electricity generation growth forecast by 1.3% from last month “based on how much large load electricity demand has come online so far this year,” particularly in Texas, “and its implications for near-term growth,” according to its most recent Short-Term Energy Outlook released Tuesday.
EIA now projects generation to grow 2.4% this year and 1.7% next year. The agency expects the United States will generate 4,327 billion kWh in 2026, down from a 4,382 billion kWh estimate issued last month. Just last month, the EIA said it expected U.S. electricity generation to grow by 3% in 2026, more than a percentage point higher.
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Politico – December 8, 2025
Trump admin urges Supreme Court to reject utility antitrust petition*
The Trump administration is calling on the Supreme Court to deny Duke Energy’s request for relief in an antitrust case that could have broader implications for how courts evaluate business competition. The North Carolina-based utility is seeking to overturn a 2024 ruling from a lower bench that allowed Florida-based power supplier NTE to pursue an antitrust suit against Duke. In a Supreme Court brief filed last week, Solicitor General D. John Sauer said Duke’s request “arises out of a campaign by an established monopolist to stop a more efficient rival from disturbing its long-dominant hold over a regional energy market.”
The justices in June invited the administration to weigh in on the matter. At least four justices have to vote to take up a case, and the solicitor general’s view can be an important factor in the justices’ decision to grant or reject a petition. Sauer said the Supreme Court does not need to review the decision from the 4th U.S. Circuit Court of Appeals, which found that actions Duke took involving NTE could qualify as anticompetitive. Nor, he wrote, “is this case a suitable vehicle to announce any broader rule of antitrust law.”
Regulatory
Politico – December 10, 2025
Most states slashed environmental budgets long before Trump*
States were downsizing their environmental watchdogs long before the Trump administration began unraveling federal rules, according to a new report. Two-thirds of states have cut staffing levels at environmental agencies over the past 15 years, and more than half have cut those agencies’ budgets, according to a report published Wednesday by the Environmental Integrity Project, a group that advocates for less pollution.
That includes seven states that have cut their environmental budgets by at least one-third, adjusted for inflation, led by Mississippi (71 percent cut), South Dakota (61 percent), Connecticut (51 percent) and Alabama (49 percent). Iowa, Wyoming and Texas cut their budgets by about 33 percent.
Those cuts could have profound effects on efforts to cut pollution, especially as the Trump administration cancels climate grants and rolls back environmental regulations. Under the Clean Air Act and other federal laws, implementation and enforcement of pollution standards often depends on states. The nonpartisan Environmental Council of the States estimates that 90 percent of federal environmental laws are delegated to states.
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Politico – December 10, 2025
House easily clears bills on public lands, wildlife*
The House on Tuesday cleared a slate of natural resource and water bills, including one to reauthorize the the Secure Rural Schools program. The chamber passed S. 356, from Sen. Mike Crapo (R-Idaho), by a vote of 399-5. The Senate passed the measure in June by unanimous consent. The program was created in 2000 to help school districts and counties that don’t receive property taxes from federal land within their jurisdictions. Without the funding, they’d rely on timber harvest revenue that is much less than what SRS provides.
The program lapsed in September 2023, and since then bill backer say schools and counties across 41 states have seen a 63 percent shortfall totaling $177 million. “Natural forests define our landscape, and they define who we are,” Rep. Gabe Vasquez (D-N.M.) said during debate. “Yet those beautiful lands also mean fewer taxable acres, fewer revenue streams for public schools and fewer resources to maintain the roads that our families travel every day. For more than 20 years, SRS helped close that gap.”
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Texas Energy Report NewsClips
Wednesday December 10, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices held steady on Wednesday after falling about 1% in the previous session, as investors watched for progress in Russia-Ukraine peace talks and awaited a decision on U.S. interest rates.
West Texas Intermediate crude was at $58.44 a barrel, up 19 cents, or 0.3%.
Brent crude futures were up 19 cents, or 0.3%, to $62.13 a barrel at 0645 GMT.
“Oil markets are currently struggling for direction as far as we can see, with a minor lift from falling U.S. inventories as reported by API,” said Suvro Sarkar, lead energy analyst at DBS Bank, referring to the American Petroleum Institute.
“Traders will be looking for cues from any breakthroughs or lack thereof in Ukraine peace talks, while the U.S. Fed rate cut policy is another key macro driver that could provide some support for oil prices.”
Market sources, citing API figures, said on Tuesday that U.S. crude inventories fell by 4.78 million barrels last week, while gasoline stocks rose by 7 million barrels and distillate inventories rose by 1.03 million barrels.
Top Stories
Politico – December 9, 2025
Tom Steyer’s climate pivot signals new playbook for Dems*
Related: Democratic candidates running in next year’s midterm elections should focus their campaign messages on reducing energy prices, including backing new fossil fuel projects, a new polling memo advises — even if that means potentially straining relationships within the environmental movement — Politico*
You can measure how far Democrats have retreated from climate politics in one name: Tom Steyer. The billionaire environmental activist who built his political profile on climate change — and who wrote in his book last year that “climate is what matters most right now, and nothing else comes close” — didn’t mention the issue once in the video launching his campaign for California governor. That was no oversight. Instead, he leaned hard into economic populism, criticizing the rich and aiming to tap into the magic that powered the likes of Sen. John Fetterman to office in Pennsylvania and is the bedrock of other 2026 hopefuls, like Graham Platner in the Senate race in Maine.
“Everyone knows that this race is really about affordability,” Steyer’s campaign strategist Rebecca Katz said in an interview. “Tom wants to get back to basics.” It’s a far cry from Steyer’s 2020 presidential campaign, when he proclaimed climate his No. 1 priority, vowed to declare a climate emergency on day one, and pressed Joe Biden on his climate credentials. But it reflects a political reality confronting Democrats ahead of the midterms, where one-time climate evangelists are running into an electorate more worried about the climbing cost of electricity bills and home insurance than a warming atmosphere.
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Houston Chronicle – December 9, 2025
Related: The amount of ERCOT‘s large load interconnection requests ballooned to more than 230 gigawatts this year, a massive increase from the 63 gigawatts reported in December 2024. The agency, which operates the electrical grid for most of Texas, reported “many” of the interconnection requests exceed one gigawatt per site. More than 70% of the large loads were data centers. — Dallas Morning News*
The Texas power grid is expected to hold up through most weather conditions this winter, even though the emerging data center boom adds a new layer of risk, grid officials said Tuesday. Through February, there is an approximately 1% to 2% chance of rotating outages during the highest-risk morning hours, according to reports released by the Electric Reliability Council of Texas in the last few months.
That’s an improvement from last year, when ERCOT forecasted an approximately 7% chance of rotating blackouts during last winter’s highest-risk hours. ERCOT CEO Pablo Vegas credited the continued growth of electricity supply — mostly solar arrays and battery storage facilities — for helping to reduce the risk of outages, particularly this summer. Since last winter, the ERCOT grid has added 11 gigawatts of new capacity, Vegas said, which is enough power for nearly 2.8 million homes during peak demand times. “2025 is going to represent a year with tremendous supply growth on the ERCOT grid,” Vegas said at the grid operator’s quarterly board meeting Tuesday morning.
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Bloomberg – December 9, 2025
Exxon Lifts 2030 Cash Flow Forecasts, Sees Less Low Carbon*
Exxon Mobil Corp. raised its forecast for future earnings and cash flow due to growth in key assets in the Permian Basin, Guyana and liquefied natural gas — and reduced low carbon investments. Exxon expects $35 billion in cash flow growth by 2030, an increase of about 17% from what it was projecting a year ago, with no changes to capital expenditure, the Spring, Texas-based company said today in a statement. It sees $20 billion of low-carbon investment over the next five years, down from $30 billion last year after Chief Executive Officer Darren Woods warned of lagging customer demand for green fuels such as hydrogen.
“We expect a slightly positive reaction to the updated outlook,” Arun Jayaram, an analyst at JPMorgan Chase & Co. said in a note. “Importantly, capex expectations were in line,” he said, noting next year’s production will be “a bit light” compared with forecasts.
Heavy investment in low-cost assets in the Permian Basin and Guyana, both of which are profitable at less than $35 a barrel, are helping Exxon grow production and make money even as rivals struggle to adjust to crude prices that are hovering near the lowest in four years. CEO Darren Woods believes his fossil fuel investments over the past decade — even during the pandemic and wave of environmental, social and governance investing — has set the company up to thrive, whatever path the energy transition takes in the future. “Our transformation helps ensure that in any future environment, and for decades to come, Exxon Mobil will have an important role and deliver substantial shareholder value,” he said in the statement.
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Pipeline & Gas Journal – December 8, 2025
Antero Midstream Buys HG Energy Gas Gathering Assets for $1.1 Billion, Sells Utica System
Antero Resources Corp. and its affiliate Antero Midstream have unveiled a series of coordinated transactions worth about $3.9 billion, including the $2.8 billion purchase of HG Energy’s Marcellus Shale assets and a $1.1 billion acquisition of related midstream infrastructure, alongside separate sales of non-core Utica properties. Under the agreements, Antero Resources will acquire the upstream assets of HG Energy II LLC for $2.8 billion in cash plus the assumption of HG Energy’s commodity hedge book.
The deal adds roughly 850 million cubic feet equivalent per day of expected 2026 production and 385,000 net acres in West Virginia’s core Marcellus region. At the same time, the company will sell its Ohio Utica Shale assets for $800 million, with both transactions expected to close in the first half of 2026.
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One of the European intelligence agencies reports on Russia’s plans to carry out large-scale sabotage in Europe — experts are confident that this is only part of a larger scheme — according to the Financial Times, Russian agents are actively studying road bridges and railways across the continent, looking for vulnerable spots to plant explosives — the scale of Russia’s sabotage activities is striking — it is known that one of the Russian sabotage networks was preparing to blow up planes flying to the United States. — 112 UA
State funding boosts Corpus Christi water projects as Inner Harbor desal plan returns — Corpus Christi City Council received major updates on water supply projects, including $46M in state funding, new wells, pipeline expansion and a revived desal plan — KIII
Halliburton says Shannon Slocum has been promoted to Executive Vice President and Chief Operating Officer and been appointed to the board of directors, effective January 1, 2026 — Rigzone
Fitch Ratings has affirmed Antero Resources Corporation’s Long-Term Issuer Default Rating at ‘BBB-‘ and senior unsecured notes ratings at ‘BBB-‘ following the announcement that it will acquire HG Energy II, LLC’s (HG) assets in West Virginia — the Rating Outlook is Stable — Fitch
Enverus, the leading energy SaaS and analytics platform, today announced the appointment of Matt Johnson as its new president and Chief Revenue Officer, effective December 8, 2025 — see the press release
Perma-Pipe International Holdings, Inc. says Richard M. Sherrill has been added to its board, effective immediately — he has served as a member of the Board of Talos Energy, Inc. since February 2023 — see the press release
Trinity Gas Storage, LLC say it has reached Final Investment Decision on Phase II of its gas storage development project in East Texas — see the press release
Energy Impact Partners, an investment firm that recently closed a new fund of nearly $1.4 billion, is looking to buy out struggling companies working on the energy transition — Politico*
Ukraine strikes Druzhba oil pipeline again, HUR source says, despite Hungary, Slovakia’s appeal — Kyiv Independent
Oil & Gas Texas
Houston Chronicle – December 9, 2025
Chevron settles Texas ‘zombie’ well case, sidestepping trial that threatened industry*
The legal fight that gave name to “zombie wells” in Texas is winding to a close as Chevron finalizes a settlement out of court with the owner of Antina Ranch. Had it gone to trial next month, the rare litigation between a wealthy rancher and a Houston oil giant would have offered unprecedented detail into the damage caused by leaking wells on the sprawling 22,000-acre ranch in West Texas. A courtroom win for landowner Ashley Watt could have paved a new legal path for landowners whose properties were polluted by decades-old leaking wells.
It also could have made Chevron and other big oil companies responsible for problems created by thousands of wells drilled and plugged decades ago in ways that haven’t withstood the test of time. The largest oil companies have acquired vast numbers of these old wells as they have gobbled up smaller companies. The Antina team sought to prove scores of old oil wells on Watt’s beloved family ranch in Crane and Ward counties were failing at an alarming rate. It challenged a long-held assumption that a plugged well stays plugged, permanently protecting the groundwater it cuts through from the toxic fluids often found deeper underground.
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Politico – December 9, 2025
FERC green-lights piece of major Louisiana LNG project*
The developer of the CP2 natural gas export terminal in Louisiana can begin construction of a gas-fired compressor station tied to the project, federal regulators said Monday. In a letter to Venture Global, the Federal Energy Regulatory Commission granted a November request to commence work on the Moss Lake compressor station in Louisiana’s Calcasieu Parish.
Venture Global “has provided the information necessary to meet the applicable conditions” of the commission’s2024 authorization of the CP2 project, Shannon Crosley, an environmental project manager at FERC, said in the Monday letter. In November 2024, FERC set aside part of its authorization for the project to conduct an additional environmental review, in light of a July 2024 ruling by the U.S. Court of Appeals for the District of Columbia Circuit. FERC reaffirmed its authorization of CP2 in May of this year after preparing the supplemental review.
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KFDM – December 9, 2025
LNG tanker with ‘cool down cargo’ arrives at $10 billion Golden Pass export terminal
A cool down cargo of liquefied natural gas (LNG) from Ras Laffan, Qatar has berthed at the Golden Pass LNG export terminal in Sabine Pass– signaling a major step toward first LNG production, according to Golden Pass LNG. The cargo contributes to the next phase of commissioning and start-up activities at the $10 billion project, representing major progress toward the first LNG from Golden Pass.
The cool down cargo will be used to pre-cool the terminal’s LNG storage tanks and associated equipment prior to the commencement of LNG production. Golden Pass LNG expects to begin exporting LNG from Train 1 early in the new year.
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Ship and Bunker – December 9, 2025
Galveston LNG Bunker Port Signs Supply Deal with International Shipping Firm
The project has signed a heads of agreement with an unnamed international shipping company covering LNG bunker supply via a Jones Act compliant bunker vessel in Galveston Bay from 2029, it said in an emailed statement from Tuesday. The project’s LNG bunkering terminal is due to begin operations in 2028, supplying LNG as a marine fuel by barge to vessels calling at the Port of Houston, the Port of Galveston or the Port of Texas City.
The terminal will eventually have a total capacity of up to 720,000 gallons per day, with two three-million-gallon storage tanks.
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Midland Reporter-Telegram – December 9, 2025
DOE official urges Permian Basin to push carbon capture, enhanced oil recovery*
Kyle Haustveit, assistant secretary for the hydrocarbons and geothermal energy office at the U.S. Department of Energy, urged attendees at the annual. CO2 Conference to continue their work. “Your work keeps the U.S. strong and prosperous and raises standards of living,” he said during his virtual appearance at the conference. He urged attendees to continue collaborating and navigating challenges to find solutions to carbon capture and storage issues and bring their expertise before policymakers.
“Push boundaries together there in the Permian Basin,” he said. Chuck McConnell, executive director at the University of Houston Center for Carbon Management in Energy, sees this as a pivotal moment for carbon capture and its use in enhancing oil recovery. “The interest in EOR has never been stronger than it is today. This conference bears that out — it’s an exciting time. There will be business opportunities in West Texas and other parts of the world,” he said.
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Oil & Gas National & International
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Reuters – December 9, 2025
Oil major Shell said output at two of its offshore platforms in the U.S. Gulf of Mexico has been temporarily shut due to a shutdown of the Hoover Offshore Oil Pipeline System (HOOPS). The top producer in the U.S. Gulf said it expects its Whale and Perdido platforms, which were shut in on Monday night, to resume production by the end of Tuesday. Whale was producing about 90,000 barrels per day (bpd), while Perdido’s output stood at around 57,000 bpd in September, market analytics firm Energy Aspects estimated.
Whale has a production capacity at peak rates of about 100,000 boepd, while Perdido’s stands at around 125,000 boepd, Shell said, declining to provide current output figures. Prices for Southern Green Canyon, a crude oil grade produced in the region, strengthened 40 cents on Tuesday to a discount of $2.45 to U.S. West Texas Intermediate crude. Exxon Mobil, the operator of the HOOPS pipeline, did not immediately respond to a request for comment. The pipeline system carries oil from offshore fields south of Galveston, Texas, to near Freeport, Texas.
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Reuters – December 10, 2025
Venture Global submitted its response late on Tuesday to a legal challenge from Shell over the oil major’s defeat in an arbitration case concerning liquefied natural gas cargoes, rejecting allegations of fraud and accusing Shell of breaching arbitration confidentiality. The legal documents submitted in New York Supreme Court mark the latest development in a prolonged saga over Venture Global’s claimed failure to deliver LNG under long-term contracts while selling on the spot market as prices soared after Russia’s invasion of Ukraine.
Shell and other companies including BP and Edison filed arbitration claims against Venture Global starting in 2023. Shell in August, while BP in October. Unipec , Reuters reported previously, citing sources. In a challenge last month to the arbitration ruling, Shell alleged that a third party testified in arbitration that Venture Global had abruptly decided to delay the start of its Calcasieu Pass LNG plant. Shell said it asked arbitrators to study that communication, but said Venture Global avoided disclosure by giving misleading statements.
Utilities, Electricity & Renewables
KHOU – December 9, 2025
ERCOT weighs how growing data center industry could impact Texas power grid
ERCOT is speaking up about the growth in data centers across the state. They said they’re seeing applications for the large load centers come in at record rates. These large load centers could be for data or crypto miners. All applications must go through special processes before being connected. This is to ensure they don’t de-stabilize the grid because of how much energy they require.
ERCOT said they received 225 applications for new large load interconnection requests in 2025 alone and the vast majority are for data centers. ERCOT officials said this totals 233 gigawatts, which is an almost 300 percent increase from 2024. “We have outgrown the process that was established for reviewing these large loads. It was originally set up for, we were thinking about 40 to 50 loads back in the 2022 time frame,” ERCOT Vice President of System Planning and Weatherization Kristi Hobbs said.
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Reuters – December 9, 2025
U.S. power consumption will hit record highs in 2025 and 2026, the Energy Information Administration said in its short-term energy outlook on Tuesday. The EIA projected power demand will rise to 4,199 billion kilowatt-hours in 2025 and 4,267 billion kWh in 2026, up from a record 4,110 billion kWh in 2024. The demand increases come in part from data centers dedicated to artificial intelligence and cryptocurrency and as homes and businesses use more electricity and less fossil fuel for heat and transportation.
The EIA forecast power sales in 2025 will rise to 1,516 billion kWh for residential consumers, 1,486 billion kWh for commercial customers, and 1,055 billion kWh for industrial customers. The forecasts compare with all-time highs of 1,509 billion kWh for residential consumers in 2022, 1,451 billion kWh in 2024 for commercial customers, and 1,064 billion kWh for industrial customers in 2000. The EIA said the share of power generation from natural gas would slide from 42% in 2024 to 40% in 2025 and 2026. Coal’s share will rise from 16% in 2024 to 17% in 2025 before sliding back to 16% in 2026 as renewable output rises.
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Energy Now – December 9, 2025
Texas Makes Clean Power Breakthrough as Solar Output Overtakes Coal: Gavin Maguire
For the first time, Texas’ main power system looks set to generate more power from solar farms than coal plants during a calendar year in 2025, marking a key new energy transition milestone for the largest power network in the U.S. The Electric Reliability Council of Texas (ERCOT) generated 2.64 million megawatt hours (MWh) of power from solar assets, compared with 2.44 million MWh of power from coal plants for the January-to-November period, according to data compiled by LSEG.
Even as solar generation declines in the final weeks of 2025 due to reduced daylight, coal output is unlikely to overtake solar production for the full year as solar farms look set to generate at least 150,000 MWh in December. Higher solar output versus coal output in Texas will mark a rare highlight for U.S. climate trackers in 2025. Nationally, coal generation has registered a steep climb this year and remains around three times greater than total U.S. solar output.
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RTO Insider – December 5, 2025
ERCOT Successfully Deploys Real-time Co-optimization*
ERCOT says it has successfully deployed Real-time Co-optimization + Batteries into the market, a mechanism used in most other RTOs and ISOs that procures energy and ancillary services in real time. The grid operator has successfully launched Real-Time Co-optimization + Batteries (RTC+B) on December 5, 2025, a major upgrade allowing it to simultaneously optimize the dispatch of energy and ancillary services (like frequency regulation) in real-time, making the grid more efficient, especially for batteries, by letting them charge and discharge dynamically across both markets to reduce costs and price volatility.
This aligns ERCOT with practices in other US grid operators, improving flexibility and market liquidity for resources like batteries, which now have clearer rules for participating across different services. Instead of separate processes, ERCOT’s market clearing engine now considers energy (megawatts) and ancillary services (reserves, regulation) together in its real-time decisions, finding the cheapest overall solution.
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KTSM – December 5, 2025
El Paso mayor urges Texas Railroad Commission to reconsider Texas Gas Service’s proposed rate hike
El Paso Mayor Renard Johnson is urging the Texas Railroad Commission (TRC) to reconsider and reduce the proposed rate increase by the Texas Gas Service, as it would “disproportionately” impact El Paso families, he wrote in an official letter on Thursday, Dec. 4. This comes after the El Paso City Council on Nov. 17 unanimously voted to reject Texas Gas Service’s proposed 27 percent rate increase because it would cause an “excessive and unjustified” burden on El Pasoans.
As KTSM previously reported, in November, the City of El Paso and Texas Gas Service (TGS) held a series of community meetings to outline the proposal, which includes a residential gas rate increase of more than 27 percent. According to a TGS presentation, “residential small” customers would have seen an average increase of about $10 per month, while “residential large” customers could have paid roughly $14 more each month.
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The New York Times – December 9, 2025
Not All Drilling in Texas Is About Oil*
Pump jacks nod and the smell of gas wafts across the low brush and cactuses in the oil fields outside Christine, Texas. Little about the landscape suggests that a new form of alternative energy has been gaining its first commercial foothold in Texas. But down a dirt road, near a coal-fired power plant, sits a unique kind of industrial battery, one that uses water pressure and the techniques of hydraulic fracturing to store energy deep underground and then release it to generate electricity when the time is right.
The energy storage system — known as a geopressured geothermal well — is among the most concrete examples of how some Texas oil and gas workers and executives are applying their knowledge of the underground to geothermal energy.
“We don’t have to wait to build skill sets,” said Cindy Taff, a former executive at Shell who now runs Sage Geosystems, the company behind the energy storage project. Teams that drill for oil, she said, can just as easily drill a geothermal well. That overlap has helped make Texas a hub of innovation in the expanding world of what’s considered next-generation geothermal power. Some of the most prominent start-ups, including Sage and Fervo Energy, are based in Houston, not far from the campuses and office towers of major oil companies like Chevron, Shell and Exxon Mobil.
“In Texas, we know what the world looks like under the surface,” said Barry Smitherman, a former chairman of the state’s oil and gas regulator and now the head of Texas Geothermal Energy Alliance, which promotes the industry.
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Politico – December 9, 2025
States push to end secrecy over data center water use*
States facing drought and dwindling groundwater supplies are seeking to pull back the curtain on water use at data centers, in a push for transparency that has scrambled traditional partisan alliances. Lawmakers from at least eight states this year introduced legislation to require data centers to report their water use, which supporters say is crucial to protecting consumers and managing a finite resource. Driven by concerns about artificial intelligence’s environmental footprint, the effort is generating support — and skepticism — from both sides of the aisle.
In New Jersey and California, bills requiring data center water use reporting passed both legislative chambers but were vetoed by Democratic governors. In Virginia, a bill authorizing local governments to evaluate data center noise, water and land-use impacts was vetoed by Republican Gov. Glenn Youngkin. The issue is certain to return to statehouses next year, as officials scramble to keep up with the rapid deployment of AI data centers championed by Silicon Valley and the Trump administration.
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Regulatory
Politico – December 9, 2025
EPA erases references to human-caused climate change from websites*
EPA has scrubbed references to people’s contribution to rising temperatures from some of its climate change webpages. The agency modified sections of its website by deleting information about human-created greenhouse gases and the role they play in warming the planet. It also removed links to scientific data and information.
The website now directs visitors to a subsection on climate “causes” that mentions only natural phenomena as the drivers of warming, like changes in the Earth’s orbit and variations in solar activity. Two subsections titled “Climate Change Indicators” and “Climate Change Impacts and Analysis” have been removed. An image of the agency’s “climate causes” website that was captured on Oct. 8, before it was changed, by the web archival site Wayback Machine, showed that it listed both human-induced and natural causes of warming with an emphasis on man-made emissions. “It is unequivocal that human influence has warmed the atmosphere, ocean and land,” the earlier version of the website stated.
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Politico – December 9, 2025
Panel to probe legal fees paid to environmental groups*
A House Natural Resources subcommittee will probe attorneys fees paid to environmental groups that successfully sue the federal government over compliance with wildlife protections and other laws. The hearing this week before the Oversight and Investigations Subcommittee, chaired by Rep. Paul Gosar (R-Ariz.), will look at what he describes as “abuse” by environmentalists utilizing the Equal Access to Justice Act. Under the 1980 law, litigants who file lawsuits against federal agencies and are successful can recover certain legal costs.
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Texas Energy Report NewsClips
Tuesday December 9, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices edged down on Tuesday, extending losses from the 2% drop in the previous session, with markets keeping a close eye on peace talks to end Russia’s war in Ukraine and a looming decision on U.S. interest rates.
West Texas Intermediate crude was at $58.75, down 13 cents, or 0.2%.
Brent crude futures were down 8 cents, or 0.1%, to $62.41 a barrel at 0409 GMT.
Both contracts fell by more than $1 a barrel on Monday after Iraq restored production at Lukoil’s West Qurna 2 oilfield, one of the world’s largest.
“Brent’s slip back toward the $62 (is) aligning seamlessly with the broader December narrative,” said Phillip Nova’s senior market analyst Priyanka Sachdeva. “The noise around potential Iraqi disruptions faded overnight, and the market quickly reverted to its core theme of ample supply and cautious demand expectations.”
Ukraine will share a revised peace plan with the U.S. after talks in London between its President Volodymyr Zelenskiy and the leaders of France, Germany and Britain.
Top Stories
The Hill – December 6, 2025
Gas prices sink while electricity jumps, giving both GOP and Dems an affordability talking point
Gasoline prices are down while electric and natural gas costs are up, turning the issue of energy affordability into a political Rorschach test. Democrats are lambasting the White House for high power bills, while President Trump and his allies tout low prices at the pump.
“Energy — gasoline — we’re now at about $2.50 a gallon. We’re going to be, I think, at $2 a gallon. We could even crack that at some point,” Trump said during a Cabinet meeting this week. In recent days, the national average price of gasoline has dipped below $3 per gallon, standing at $2.98 on Friday, according to the American Automobile Association (AAA). “Our prices now for energy, for gasoline, are really low,” Trump added.
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CNBC – December 8, 2025
NextEra Energy is working with Exxon Mobil, the country’s largest oil company, to build a large data center site powered by natural gas for a potential tech customer, CEO John Ketchum told investors Monday The 1.2 gigawatt power plant would combine gas generation with Exxon’s carbon capture technology to reduce emissions, according to NextEra’s presentation to investors.
They plan to market the site to a hyperscaler in the first quarter of 2026. Hyperscalers are the big tech companies that are building data centers to train and run artificial intelligence applications. There is no signed agreement with a hyperscaler yet. NextEra and Exxon have secured 2,500 acres of land for the facility. The site will be located in the Southeast in close proximity to Exxon’s carbon dioxide pipeline infrastructure, according to NextEra.
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Associated Press – December 8, 2025
Federal judge throws out Trump order blocking development of wind energy
A federal judge on Monday struck down President Donald Trump’s executive order blocking wind energy projects, saying the effort to halt virtually all leasing of wind farms on federal lands and waters was “arbitrary and capricious” and violates U.S. law. Judge Patti Saris of the U.S. District Court for the District of Massachusetts vacated Trump’s Jan. 20 executive order blocking wind energy projects and declared it unlawful.
Saris ruled in favor of a coalition of state attorneys general from 17 states and Washington, D.C., led by New York Attorney General Letitia James, that challenged Trump’s Day One order that paused leasing and permitting for wind energy projects.
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Texas Border Business – December 8, 2025
Paxton, DOJ Force Divestitures in $26.6B Energy Merger
Attorney General Ken Paxton finalized a major antitrust settlement in partnership with President Trump’s Department of Justice to preserve competition in electricity generation markets and prevent electricity price increases for Texans.
Attorney General Paxton’s settlement requires Constellation Energy Corporation, Inc. (“Constellation”) and Calpine Corporation (“Calpine”) to divest two electricity-generating plants in Texas before moving forward with their proposed $26.6 billion merger. Constellation and Calpine are two of the largest electricity generators in Texas, and together they supply a significant share of wholesale electricity to the electricity grid operated by Electric Reliability Council of Texas (“ERCOT”), which supplies electricity to more than 27 million Texans.
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Texas drivers got a little break at the pump this week as prices drop, with the state average for regular unleaded at $2.52 per gallon, eight cents below the statewide average last week — Fox 44
Texas has launched its new cryptocurrency reserve with a $5 million purchase of Bitcoin as the state continues to embrace the volatile and controversial digital currency — Texas Tribune — Also see: Texas’ crypto investment is questionable use of public money — Dallas Morning News editorial*
HF Sinclair said Monday it agreed to acquire Industrial Oils Unlimited, an Oklahoma-based producer of industrial lubricants and specialty fluids, for $38 million, including $15 million of working capital — Seeking Alpha
Bulk carrier Detmar Logistics will begin hauling proppants in Texas and New Mexico early in 2026 using autonomous semis, Aurora Innovation said Dec. 8 — Transport Topics
NextEra Energy Inc.’s infrastructure arm agreed to acquire closely held Symmetry Energy Solutions to expand its natural gas capabilities in the US and help meet the boom in AI power demand — NextEra Energy Resources said Monday in a statement it will purchase Symmetry from Energy Capital Partners and that the transaction is expected to close in the first quarter of 2026. No terms were given. Talks on a deal valuing Symmetry at about $800 million were first reported by Bloomberg News last month — Bloomberg*
Fermi America says it has signed a definitive Electric Service Agreement with Southwestern Public Service Company, a subsidiary of Xcel Energy, to provide up to 200 megawatts of electrical capacity to Fermi’s 11 GW Project Matador Campus — see the press release
Farmers Electric Cooperative and Base Power Monday announced the launch of the first residential battery partnership in Farmers’ service area to “provide reliable, cost-effective resiliency as the DFW Metroplex continues to grow” — see the press release
Texas Eyes Potential New Interstate Connecting DFW to Amarillo — Reform Austin
A flaring event at the PEMEX Deer Park Refinery in Texas drew attention to the Mexican state-owned oil company’s foreign operations — the flare, visible for miles, coincides with a multi-unit overhaul at the facility and underscores how maintenance, legacy incidents, and public scrutiny may affect PEMEX’s global refining strategy going forward — Mexico Business
Oil & Gas Texas
Reuters – December 8, 2025
Kinder Morgan expects higher 2026 profit on strong natural gas demand*
The Houston, Texas-based company forecast an adjusted profit of $1.37 per share for 2026, which is about 8% higher than its forecast for 2025. Analysts expect the company to post a profit of $1.38 per share in 2026, according to data compiled by LSEG. … “We are projecting an annualized dividend of $1.19 for 2026, marking the ninth consecutive year of dividend increases,” said CEO Kim Dang.
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Argus Media – December 4, 2025
Golden Pass LNG approved to receive cool-down cargo
QatarEnergy and ExxonMobil’s 18.1mn t/yr (2.4bn ft³/d) Golden Pass LNG export terminal in Texas received federal approval today to unload a cool-down cargo, a key step in commissioning the plant. The Federal Energy Regulatory Commission granted the project’s request to introduce hazardous fluids into various systems and receive the cool-down cargo. The 174,000m³ Imsaikah has been holding offshore Texas’ Port Arthur since 29 November after departing QatarEnergy’s 77mn t/yr Ras Laffan export terminal with a cargo on 27 October. The vessel’s LNG will be used to cool down Golden Pass’ equipment for its start-up process.
The three-train project also has federal approval to introduce fuel gas to train 1 and train 1’s gas turbine. Feedgas flows to Golden Pass have yet to materially rise. Pipeline nominations on 4 December were just over 8mn ft³, in line with daily flows since mid-October. Flows to LNG plants can be revised later in the day.
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Mother Jones – December 8, 2025
The exact scope of the abandoned wells problem is hard to pin down but is undeniably enormous. The Environmental Protection Agency estimates the number of abandoned oil and gas wells in the US at about 3.9 million, with 2.2 million unplugged. The Environmental Defense Fund (EDF) says that tackling the abandoned well problem could be equal to removing up to 4.3 million cars from the road for a year.
In recent years, attending to old wells seemed like a rare practical climate solution that everyone could agree on. In 2021, the Biden administration pledged $4.7 billion to help states remediate their orphan wells, more than $300 million of which has been slated for Texas. Still, that is not nearly enough to address the problem. Regulators report there are more than 10,000 orphan wells—sites with no known owner who could be held responsible for cleaning them up—in the Lone Star State alone. That’s on top of more than 147,000 inactive wells with an identified owner.
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World Oil – December 8, 2025
LNG Canada reaches milestone as Fluor JV delivers second production train
Fluor Corp. and joint-venture partnerJGC Corp. have handed over Train 2 of the LNG Canada project, completing the first phase of Canada’s flagship LNG export development in Kitimat, British Columbia. Pierre Bechelany, Fluor’s business group president for Energy Solutions, said the milestone reflects “the continued commitment to safety, quality and schedule performance by the thousands of workers who contributed to bringing Canadian natural gas to the world.”
James Ticer, Fluor’s senior vice president and LNG Canada project director, highlighted the project’s extensive local and Indigenous engagement, noting more than C$3.3 billion in contracting with Indigenous businesses and joint ventures, and over C$550 million in awards to local companies.
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Aurora is partnering with San Antonio, Texas-based Detmar Logistics to haul fracking sand between Midland, Texas, and a mining site, making it the first autonomous haul of its kind in the Permian Basin. “Launching autonomous highway operations for Detmar is a great example of how we’re delivering immediate customer value,” said Chris Urmson, co-founder and CEO at Aurora, in a release on Monday.
Fracking sand is used in oil and gas drilling to keep fissures open and allow oil and gas to flow more efficiently. It’s also known as “proppants.” The Permian Basin, stretching from western Texas to southeastern New Mexico, is the highest-producing oil field in the country. “With the Aurora Driver, Detmar can achieve nearly 24/7 asset utilization and effectively double its capacity to move sand for a leading energy producer,” Mr. Urmson said.
Oil & Gas National & International
S&P Global Platts – December 8, 2025
US gasoline prices fall to multiyear lows amid low demand
Benchmark US gasoline outright prices have slid to or near multi-year lows in recent days as storage continues to swell and demand remains relatively tepid. Platts, part of S&P Global Energy, assessed US Gulf Coast benchmark Unleaded 87 (M grade) 4.60 cents lower at $1.8056/gal on Dec. 8, just days after hitting a near two-year low of $1.7921/gal on Dec. 4. Similarly, benchmark CBOB 87 (A grade) gasoline on the USGC saw its outright price assessed near five-year lows on Dec. 8 at $1.6741/gal.
The most recent supply and demand data from the US Energy Information Administration showed USGC gasoline inventories up 3.75 million barrels for the week ended Nov. 28 compared to the same week a year ago.
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Oil Price – December 8, 2025
OPEC+’s Strategic Pause Signals a Shifting Oil Power Balance
Brent crude has drifted into the low-$60s, a price corridor OPEC+ has spent the better part of two years trying to defend through disciplined supply management. Yet the market’s center of gravity is shifting. Independent forecasts now point to a looming surplus of 2.1–4 million barrels per day in early 2026. Against that backdrop, OPEC+ has chosen what it calls a “strategic pause,” rolling over production quotas rather than deepening cuts.
The decision is meant to stabilize prices. But it raises a more fundamental question: Is OPEC+ still shaping the market, or merely reacting to forces now beyond its control? For most of its modern history, OPEC’s power was due to the fact that it controlled enough spare capacity to move prices at will. When demand weakened, it cut. When supply tightened, it opened the taps. That leverage is not gone, but it has been diluted.
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Oil & Gas 360 – December 6, 2025
Equinor strikes gas in North Sea wildcat wells, opening new development potential
Equinor and Aker BP have announced a new gas and condensate discovery in the North Sea after drilling two exploration wells at the Lofn and Langemann prospects, marking a promising start for Production Licence 1140. The wildcat wells—15/5-8 S and 15/5-8 A—were drilled about 7 km north of the Eirin field and roughly 240 km west of Stavanger using Odfjell Drilling’s Deepsea Atlantic rig. The license, awarded in 2022, is now seeing its first exploration results.
Early estimates indicate that the Lofn prospect contains 22–63 million barrels of oil equivalent, while Langemann could hold 6–50 million barrels. Together, the finds represent a meaningful addition to the area’s resource base. Both wells encountered gas and condensate in the Middle Jurassic Hugin Formation, confirming hydrocarbon-bearing sandstone reservoirs. Although deeper Triassic targets were water-bearing, operators collected extensive samples and data to support further evaluation.
Utilities, Electricity & Renewables
Politico – December 8, 2025
Republican-backed grid bills up for House vote*
The House will vote this week on two Republican-backed energy bills aimed at bolstering grid reliability by examining supply chain vulnerabilities and requiring states to maintain adequate on-demand power. On the agenda are H.R. 3628, the “State Planning for Reliability and Affordability Act,” sponsored by Rep. Gabe Evans (R-Colo.), and H.R. 3638, the “Electric Supply Chain Act,” authored by Rep. Bob Latta (R-Ohio), chair of the Energy and Commerce Subcommittee on Energy.
Evans’ bill is emerging as the more contentious of the two. It would require state utility regulators to ensure “reliable availability of electric energy” over a 10-year planning horizon — effectively steering utilities toward natural gas, coal and other firm, dispatchable resources. Renewable energy sources, which the bill does not categorize as “reliable,” would not qualify. Democrats unanimously opposed the measure in the Energy and Commerce Committee in June, and only a handful of moderates are expected to support it on the House floor.
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Utility Dive – December 8, 2025
With antitrust settlement, Constellation set to become largest US wholesale power provider
Constellation Energy has agreed to sell six power plants and a minority stake in a seventh power plant to settle an antitrust complaint filed by the U.S. Department of Justice and the state of Texas, clearing the way for the company’s $26.6 billion deal to buy Calpine, the parties said Friday. Constellation’s purchase of Calpine — which will make it the largest U.S. wholesale power provider — would reduce competition, allowing the company to withhold power supplies to drive up market prices, according to the complaint, while was filed and settled the same day.
That could have driven up electricity costs by more than $100 million a year in the Electric Reliability Council of Texas market and in PJM’s Mid-Atlantic region, it said. “When it comes to their electricity bills, Americans deserve the benefit of robust competition among electricity generators,” Assistant Attorney General Abigail Slater said in the press release.
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Midland Reporter-Telegram – December 5, 2025
Views differ on natural gas demand from data centers
Data centers are expected to require large amounts of energy as they come online in the next few years. But just how much energy they will need is now in question. Major electric grid operators, including the Electric Reliability Council of Texas and PJM Interconnection, have projected demand will reach 50 gigawatts by 2030. That forecast is being questioned in a new analysis from Enverus Intelligence Research.
EIR’s new analysis projects 30 gigawatts of new data center capacity through 2030. This more conservative outlook reflects the impact of stricter utility requirements, which have already reduced speculative project proposals by more than 50% in states such as Ohio. Recent policy changes in states like Ohio, including higher power costs and stricter credit requirements, have led to a 15 gigawatts, or more than 50%, decline in proposed data center projects. “Our research shows that while data center expansion will drive substantial energy demand, it will have a marginal impact on natural gas in the immediate years,” said Jimmy McNamara, principal analyst at EIR, in a statement.
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Reuters – December 9, 2025
US solar installations jump 49% in third quarter, report says*
The U.S. solar industry installed 11.7 gigawatts of new solar capacity in the third quarter, a jump of 49% sequentially, a study by the Solar Energy Industries Association and Wood Mackenzie showed on Tuesday. The report said solar accounted for 58% of all new electricity-generating capacity added to the U.S. grid through the third quarter, with more than 30 GW installed.
The rise follows a period of industry-wide disruption caused by the One Big Beautiful Bill Act (OBBBA), with most of the gains driven by utility-scale solar projects that were largely completed in the second quarter, the report added. The OBBBA requires projects to begin construction by July next year or enter service by the end of 2027 to qualify for a 30% tax credit and bonuses that can push the subsidy even higher, creating uncertainty for the solar and storage industries.
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MSN – December 8, 2025
Report reveals concerning side effect of cryptocurrency industry in US: ‘Does not generate’
The Energy Information Administration reported that large-scale cryptocurrency mining now accounts for about 2% of all electricity use in the United States, according to PYMNTS. That’s roughly the same amount of electricity an additional U.S. state would consume. Cryptocurrency activity in the U.S. has surged in the last five years, with operations consuming enormous amounts of energy. PYMNTS noted that research from the Cambridge Centre for Alternative Finance estimates that U.S. bitcoin mining uses as much electricity as the state of Utah — and possibly even Washington state.
In response, the White House proposed a Digital Asset Mining Energy tax, which would charge crypto mining firms 30% of the cost of the electricity they use. As PYMNTS reported, the White House Council of Economic Advisers wrote that “crypto mining does not generate the local and national economic benefits typically associated with businesses using similar amounts of electricity.”
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CNBC – December 8, 2025
NextEra to build 15 gigawatts of power for data centers by 2035
NextEra Energy plans to build 15 gigawatts of new power generation for data center hubs by 2035, CEO John Ketchum told investors on Monday. NextEra is the largest renewable energy developer in the U.S. through NextEra Energy Resources, and also owns Florida Power & Light. The utility also operates a fleet of nuclear- and natural gas-powered plants.
The power company also announced a partnership with Alphabet‘s Google unit on Monday to develop three gigawatt scale data center campuses in the U.S. with plans to expand to additional locations. NextEra shares closed about 3% lower on Monday. A gigawatt is roughly equivalent to more than 800,000 homes based on average household electricity consumption in 2024, according to the Energy Information Administration.
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Utility Dive – December 4, 2025
Tech giant Google recently announced a landmark deal to capture and store carbon dioxide emissions from a new natural gas plant that will provide electricity to the company’s data centers in Iowa. It’s a big deal for Google, but quite possibly an even bigger deal for supporters of carbon capture and storage technology, which traps the exhaust emissions from a power plant and injects those emissions deep underground.
For decades, widespread adoption of CCS technology in the U.S. power sector has been an elusive goal — but the fast-growing electricity demands of data centers could be a game-changer. Data center developers are scrambling to secure power generation options of all types in a global race to dominate the emerging field of artificial intelligence. In just the next few years, AI-driven electricity demand may double and possibly triple to reach 12% of total U.S. power consumption, according to projections from the Lawrence Berkeley National Laboratory.
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The New York Times – December 5, 2025
Once a Gamble in the Desert, Electric Grid Batteries Are Everywhere*
Lithium-ion batteries, which power everything from cellphones to cars, are increasingly saving electric grids around the world. Batteries as large as shipping containers are being connected to power lines and installed beside solar panels and wind turbines. They soak up power when it’s plentiful and cheap and release it when electricity use soars, helping reduce the need for expensive power plants and lines. American researchers invented the lithium-ion battery in the 1970s and later showed that the devices could help the electric grid. But for a long time batteries made little headway because grid managers and utility executives dismissed them as expensive and risky.
One of the first breakthroughs came about 15 years ago when engineers at a U.S. energy company installed one of the first lithium-ion batteries tied to a grid in a desert nearly 9,000 feet above sea level in Chile. Challenging conventional notions of how the electricity system should be run, that team helped prove that batteries could help make electric grids more stable and reliable. The concept of storing energy was not new. Thomas Edison developed alkaline nickel-iron batteries largely for industry and early electric vehicles. Various companies tried other technologies like sodium sulfur, which have not gained much traction. And some utilities have long pumped water uphill so that later it could be sent back down to generate electricity. But those systems were relatively limited. The kinds of lithium batteries installed in the Atacama Desert in 2009, by comparison, are now being used around the world.
Regulatory
Politico – December 8, 2025
First permitting bills reach the House floor*
House Republican leaders are planning two weeks of floor action on permitting, starting with legislation to ease Clean Water Act scrutiny of projects and pipeline permitting reviews. The action is a major step on the road to a broad permitting compromise that members of both parties want to pass this Congress. But deep divisions persist between and within parties.
House Natural Resources Chair Bruce Westerman (R-W.Va.), for example, has been looking to secure support for the “Standardizing Permitting and Expediting Economic Development (SPEED) Act,” H.R. 4776, which would overhaul the National Environmental Policy Act. It’s scheduled to reach the floor next week. Many Democrats say it would go too far in cutting oversight of polluters and public participation. Far-right conservatives are now saying it would continue federal incentives for renewable energy. Bills on the floor agenda this week are likely to pass easily. Some are even expected to advance with broad bipartisan backing under a process called suspension of the rules.
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Texas Energy Report NewsClips
Monday December 8, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices hovered at two-week highs on Monday as investors expect a likely U.S. Federal Reserve interest rate cut this week to lift economic growth and energy demand, while monitoring geopolitical risk that threatens Russian and Venezuelan supply.
West Texas Intermediate crude was at $60.16, up 8 cents, or 0.13%.
Brent crude futures rose 9 cents, or 0.14%, to $63.84 a barrel by 0321 GMT.
Both contracts closed Friday’s trading session at their highest levels since November 18.
Markets are pricing in an 84% chance of a quarter-point cut at the Fed meeting on Tuesday and Wednesday, LSEG data showed. However, board member comments indicate the meeting is likely to be one of the most divisive in years, intensifying investor focus on the bank’s policy direction and internal dynamics.
Top Stories
December 5, 2025
Why are utilities building tomorrow’s grid with yesterday’s technology?: Niskanen Center
The U.S. must rapidly expand its high-voltage transmission system to keep electricity affordable and reliable over the coming decade. After years of nearly stagnant development, any interest in transmission buildout among grid operators is encouraging. Yet, even amid this renewed momentum, utilities nationwide continue to embrace alternating current transmission, a 19th century innovation, instead of embracing modern and commercially viable high-voltage direct current (HVDC) technology.
Of the nation’s seven regional grid operators, four have recently announced or approved initiatives to expand transmission capacity using 765 kilovolt (kV) high-voltage alternating current (HVAC) lines. But by favoring HVAC lines almost exclusively, planners risk leaving benefits on the table by overlooking opportunities where HVDC could deliver greater value.
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Politico – December 5, 2025
Conservatives sound alarm about Westerman’s NEPA bill*
Members of the House Freedom Caucus are objecting to House Natural Resources Chair Bruce Westerman’s big permitting bill, contributing to a planned floor vote being postponed. House Republican leaders were eyeing a vote next week on the “Standardizing Permitting and Expediting Economic Development (SPEED) Act,” H.R. 4776, from Westerman and Rep. Jared Golden (D-Maine). The bill is now poised to come up the following week.
Westerman said the delay was “to get everything ready to go and to consider any amendments and stuff we need a little more time on.” The House is still poised to take up some permitting and electric reliability legislation next week as lawmakers look to make progress on a broad, bipartisan deal this Congress. Westerman has been hearing from Democrats who want changes to the National Environmental Policy Act but think the legislation goes too far. But conservatives are also chiming in. One concern for the right is a bipartisan amendment added in committee meant to protect permits. It was in response to the administration’s attack on already-approved renewable energy projects, particularly offshore wind.
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Fortune – December 5, 2025
How a Texas gas producer plans to exploit the ‘megatrend’ of power plants for AI hyperscalers
After natural gas producer BKV expanded into the power business, the company went on its IPO road show two years ago and was met with suspicion and ridicule about its then unusual business model. It’s rare—and uncomfortable for shareholders—for oil and gas producers to take over power plants that require very different skill sets. They’re both hydrocarbon industries, but drilling and extracting from the earth and producing electricity require completely different business models and technologies.
“I went to a very large institutional investor and explained our gas-to-power strategy in our business, and I got berated for like 30 minutes about how it was such a foolish thing for me to go into power,” BKV founder and CEO Chris Kalnin told Fortune.
The Latest TERse Tips
Pardoned Democrat Henry Cuellar wants GOP to probe his prosecutors — the Texas lawmaker said in an interview he’d be willing to cooperate with a House Judiciary “weaponization” probe — Politico…
… and Trump slams pardoned Democrat Rep. Henry Cuellar as ‘disloyal’ for not switching parties — Dallas Morning News*
Constellation must divest of Texas properties in its $26.6 billion acquisition of Calpine Corp.– including the Jack A. Fusco Energy Center, a natural gas combined cycle plant southwest of Houston and The Gregory Power Plant, both of which serve ERCOT — Corpus Christi Caller-Times
The Dallas-based O’Donnell Foundation is committing $60 million to Southern Methodist University to help the school advance its vision of becoming a national leader in energy studies amid the industry’s boom in North Texas — Dallas Morning News*
Fort Worth-based Valor, the tech-enabled professional services company providing oil and gas asset management for mineral rights owners, operators, and investors, is promoting Jason Beck to chief operating officer — Jason is a veteran mineral manager and landman — Dallas Innovates
The City of Corpus Christi will raise water and wastewater rates starting January 1, 2026 — officials said under the new plan, the average residential water bill is expected to increase by $4.78 per month, and wastewater rates will rise by $4.20 — KIII
Ferrovial has added two significant Texas water infrastructure upgrades to its fast-growing U.S. portfolio, securing a combined $721 million in contracts for major improvement projects in Austin and Fort Worth — Construction Owner
US oil refiner Phillips 66 said a process upset was found at one of the units at its 265,000 bpd Sweeny refining and petrochemical complex — Quantum Commodity Intelligence*
Oil & Gas Texas
Oil Price – December 5, 2025
US Oil Rig Count Stages A Comeback After Last Week’s Losses
The total number of active drilling rigs for oil and gas in the United States rose this week, according to new data that Baker Hughes published on Friday, after last week’s sharp decline. The total rig count in the US rose by 5 to 549 this week, according to Baker Hughes, down 40 from this same time last year.
The number of active oil rigs rose by 6 in the reporting period, according to the data, after falling by 12 rigs in the week prior. Oil rigs are now at 413, which is 69 below this same time last year. The number of gas rigs fell by 1 to 129, which is 27 more than this time last year. The miscellaneous rig count stayed the same at 7. The latest EIA data showed that weekly U.S. crude oil production rose slightly in the week ending November 28 to 13.815 million bpd on average, 47,000 bpd under the all-time high.
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Houston Chronicle – December 5, 2025
The Energy Capital of the World needs the Coastal Texas Project: Sen. John Cornyn*
Due to the sheer scale of the project, it will take years of consistent funding from Congress to fully pay for the storm barrier. The project will have to compete with others for resources during the appropriations process. I was pleased that my colleagues in the U.S. House of Representatives secured an additional $5 million, and I have secured language in the Senate’s Energy & Water Development appropriations bill that encourages the Army Corps to prioritize funding of the coastal storm barrier. While this may feel like a drop in the bucket, it is an important step toward securing our energy supply.
This will require a whole of government effort from Texas’ congressional delegation. I’m proud to lead the charge, and I’d encourage you to reach out to your congressional representatives and urge them to join this fight. There are naysayers who think this is impossible, but here’s my message to them: Since when did Texas quit when the going got tough? The repercussions of failing to bring the Coastal Texas Project to the finish would be costly both financially and in loss of precious Texans’ lives.
This storm barrier system is imperative, not just for Houston and the surrounding areas, but for our entire country and all who rely on American energy. Fortifying the Energy Capital of the World will come at a price, but we cannot afford to fail.
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Houston Chronicle/MSN – December 5, 2025
A delegation of congressional Republicans visited the Gulf Coast Friday to reaffirm their support for expanding exports of liquefied natural gas – good news for Texas’ oil and gas companies, reassuring the industry of greater access to customers overseas. Whether increasing LNG exports is good news for consumers across Texas and the rest of the country, though, is another question – one that the visiting Republicans seemed particularly sensitive about.
Natural gas is used by many homes for heating and is the primary source of Texas’ electricity generation. Democrats and some energy analysts – including the Energy Department’s own data division – have said that increasing LNG exports is expected to increase energy costs for consumers, as less natural gas supply is available domestically. U.S. Rep. Brett Guthrie, R-Ky., chairman of the House Energy and Commerce Committee, called such arguments “junk.”
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Atmos.Earth – December 5, 2025
Why Oil Country Is Betting on Geothermal
A few years after he moved to Presidio County, Texas, Trey Gerfers became aware of something strange underground. Most people know the region for Marfa, with its galleries and Prada store art installation, and for its remarkably dark skies, a testament to the county’s remoteness. But below the town of Presidio, where most of the people in the county live, and where a visit to the dentist generally involves a trip across the border, is a remarkable reservoir of heat. Below the borderland, the Rio Grande river valley continues as a geological rift where the crust has splayed apart, allowing the mantle to bleed just a little closer toward the surface. Down below, the rock gets hot, fast. The temperature rises by 300 degrees Fahrenheit within a half-mile.
To Gerfers, this heat presented an opportunity. Originally from San Antonio, he had traveled the world working as a translator (mostly of technical reports between German, Spanish, and English). Soon after settling in Presidio County, he learned that living in a small, remote place means wearing many different hats. He first became the head of a local environmental nonprofit that was taking on the Trans-Pecos pipeline, which would ferry natural gas from the Permian Basin, a few hundred miles northeast, to Mexico, via Presidio. “We lost that fight,” Gerfers said. “Big surprise.” Next he became the chair of the county water board.
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Colorado Sun – December 5, 2025
Update: Texas company Enterprise broke federal rules in cleanup of Colorado gas spill, EPA says
A large Texas oil and gas company broke three federal rules when it improperly transported and dumped hazardous materials while attempting to clean up a 97,000-gallon gasoline spill near the Animas River. The Environmental Protection Agency cited Houston-based Enterprise Products last month, nearly a year after a gasoline pipeline was found leaking Dec. 5, 2024. The resulting spill contaminated the groundwater near the Animas River, prompted local evacuations and forced some La Plata County residents to move. It is Colorado’s largest refined gasoline pipeline spill since the state health department began tracking such releases in 2016.
“Although significant corrective action progress has been made, cleanup efforts will continue for some time,” the Colorado Department of Public Health and Environment said in a written statement. Last December, community members reported the ground was soaked in gasoline, prompting a hazmat crew to respond and residents to evacuate homes. Houses in a small subdivision within the boundaries of both La Plata County and the Southern Ute Reservation near the spill received water filters and cisterns.
Oil & Gas National & International
CNBC – December 5, 2025
Russian President Vladimir Putin has underlined Moscow’s willingness to provide “uninterrupted shipments of fuel” to India, as the U.S. pressures New Delhi to give up importing their oil. Putin made the offer during a joint address with Indian Prime Minister Narendra Modi on Friday, part of his first visit to the country since Russia’s full-scale invasion of Ukraine in 2022, which triggered widespread sanctions.
The sanctions forced Russia to seek new customers for its exports. India has become the second biggest buyer of Russian crude oil, after China, with a report Finland-based Centre for Research on Energy and Clean Air showing India bought 38% of Russian crude exports in October. In October, President Donald Trump sanctioned two of Russia’s largest oil companies, Rosneft and Lukoil. This followed a tariff of 25% on India for buying Russian oil in August. But India has to walk a tightrope because it has close ties to the U.S. while also relying on Russia for fuel and access to military hardware.
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Oil Price – December 6, 2025
Platts Cuts Out Russian-Linked Fuel From Price Benchmarks
Platts just redefined European oil pricing, and it did it with a single line: Russian-crude-derived fuels are out. Beginning Dec. 15 for cargoes and Jan. 2 for barges, any diesel or other oil product that can be traced back to Russian crude will simply not count in the assessments that shape benchmark prices across the region. If that sounds wonky, you’re not alone. This is a material shift in how one of the most influential price setters on the planet defines supply.
Historically, Platts has been product-focused. If you offered a cargo of diesel that met the published spec, the backstory of the crude that fed the refinery didn’t matter. The assessment reflected the physical market as it traded that day—Russian molecules, Kazakh molecules, recycled unicorn tears, whatever—as long as the fuel met the cut-and-dry standard.
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Midland Reporter-Telegram – December 5, 2025
Morningstar says oil demand will peak in 2032, slip 8% by 2050*
Oil prices may be considerably softer as the year comes to a close than when the year began, but resilient demand is expected to keep prices afloat for the next 25 years. In its most recent forecast, Morningstar projects global oil demand still has five to 10 years of decent growth before beginning to plateau in the early 2030s, followed by a decline in the late 2030s. Ultimately, Morningstar forecasts demand will decline 8% by 2050 compared to 2024 levels. Yet that forecast is more bullish than the company’s forecast in 2021.
“Our prior forecast projected oil demand at 89 million barrels per day in 2050, whereas our current forecast is 96 million barrels per day in 2050,” Preston Caldwell, chief U.S. economist, told the Reporter-Telegram. The forecast calls for demand to grow from 104 million barrels per day in 2024 to a peak of 108 barrels per day in 2032 before beginning to decline.
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Politico – December 5, 2025
Turkey eyes US gas investments after wave of LNG deals*
Turkey is exploring investments in U.S. oil and gas fields as it accelerates a sweeping overhaul of its energy portfolio that’s so far been built around American liquefied natural gas. Turkish Petroleum is in talks with Chevron, Exxon Mobil and other U.S. majors to take positions in upstream assets, as part of Turkey’s plan to expand from its growing exposure to liquefied natural gas, the country’s Energy Minister Alparslan Bayraktar said Wednesday on the sidelines of the World LNG summit in Istanbul. Announcements might come as early as next month, he said.
The plan adds a new layer to Turkey’s expanding relationship with the United States, which has become a major source of long-term gas supply to Ankara. While Turkey is looking to secure access to fuels that are key to power the energy-hungry $1.4 trillion economy and diversify sources away from Russia and Azerbaijan, it’s also a way for President Recep Tayyip Erdoğan to boost influence and build economic relationships.
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Elk Valley Times – November 27, 2025
Carney advances new Canada oil pipeline, raising climate concerns
Related: A look at previous failed pipeline projects in Canada — Daily Commercial News
Canadian Prime Minister Mark Carney signed an agreement Thursday with the western energy-producing province of Alberta to advance a new oil pipeline, a divisive move raising concern about Ottawa’s commitment to confronting climate change. The memorandum of understanding charts a plan for a pipeline going from Alberta to Canada’s Pacific coast, specifically to boost oil exports to Asia — in line with Carney’s goal of expanding overseas trade to offset damage from US President Donald Trump’s trade war.
“At the core of the agreement, of course, is a priority to have a pipeline to Asia,” Carney said ahead of the signing alongside Alberta’s conservative Premier Danielle Smith. Aside from broadening exports, the plan endorses an overall increase in Alberta oil and gas production. The deal marked a clear pivot for Carney’s Liberal Party and a departure from the policies that defined former prime minister Justin Trudeau’s decade in power.
Utilities, Electricity & Renewables
Politico – December 5, 2025
Power plants dodge pollution cuts under Texas haze control plan*
EPA has agreed to a new haze reduction plan for Texas that will not require any fresh pollution cuts from the state’s outsize fleet of coal-fired power plants. In the plan, Texas “determined that no additional controls for stationary sources were necessary to make reasonable progress” toward the regional haze program’s goal of restoring unclouded vistas in national parks and wilderness areas by 2064, EPA said in a signoff published in Friday’s Federal Register.
The newly approved plan succeeds a much more aggressive 2016 blueprint that EPA had to scrap last year after losing records needed to defend it in court against lawsuits brought by power companies and the state who had attacked that earlier plan as too costly. The new plan also incorporates a weaker yardstick adopted by President Donald Trump’s administration for determining more generally whether states are making reasonable progress toward the 2064 target. “EPA is trying to gut the haze program at every turn,” Sierra Club senior attorney Joshua Smith said in a Friday interview, adding that the agency’s approval of the Texas plan was “extremely disappointing.”
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KSAT – December 5, 2025
Is San Antonio prepared for a 2021-like freeze?
As temperatures drop, memories of the February 2021 freeze and power crisis tend to rise for some. Even five years later, they hung like icicles over a Monday news briefing at CPS Energy headquarters. CEO Rudy Garza said he hoped the seasonal prep sessions would start to feel more routine for the community.
“We are ready for anything that mother nature has to throw at us this winter,” he said, “but I’m proud of the fact that it’s been quite some time since we’ve had a winter or summer event that has as has impacted our customers, and we hope to keep it that way this winter season.” CPS Energy says its energy capacity is twice as high as the record winter peak demand it saw in January 2024.
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The Hill – December 5, 2025
Americans are angry about the cost of living, and Democrats are busily exploiting that anger to win elections — even if it means lying to the public yet again. Not content with undermining President Trump’s first four years in office with their Russiagate fable, or pretending that Joe Biden was perfectly fit to serve four more years in the Oval Office, Democrats are now blaming the Trump White House for the high cost of living.
It isn’t true, of course — under Trump, prices are up less than 3 percent. Prices surged more than 20 percent under Biden, caused by Democrats’ reckless spending and damaging programs. And arguably nothing has been worse for Americans’ pocketbooks than the left’s climate agenda. Congestion pricing in New York, electric vehicle mandates (which Trump just attacked by changing CAFE standards) and the drive for electrification and renewable energy all caused costs to skyrocket.
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The New York Times – December 6, 2025
The Data on Self-Driving Cars Is Clear. We Have to Change Course: Jonathan Slotkin*
I recently got called to see a teenager ejected in a rollover car crash. The trauma team rushed him into surgery to stop major abdominal bleeding, but we all knew. When that much energy enters a skull, no operation can turn it back. He was declared brain dead. His death was a reminder of the staggering amount of suffering and loss of human life we accept from car accidents every single day.
The self-driving car company Waymo recently released data covering nearly 100 million driverless miles in four American cities through June 2025, the biggest trove of information released so far about safety. I spent weeks analyzing the data. The results were impressive. When compared with human drivers on the same roads, Waymo’s self-driving cars were involved in 91 percent fewer serious-injury-or-worse crashes and 80 percent fewer crashes causing any injury. It showed a 96 percent lower rate of injury-causing crashes at intersections, which are some of the deadliest I encounter in the trauma bay. So far, other autonomous vehicle companies don’t report or they report incomplete data. Waymo, by contrast, published everything I needed to analyze the data: crash statistics with miles driven that allow accurate comparison with human drivers in the same locations.
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Houston Chronicle – December 7, 2025
Another data center planned for white-hot Texas tech hub*
A filing with the Texas Department of Licensing and Regulation reveals CyrusOne is planning to build a 93,319-square-foot single-story data center at the intersection of FM56 and County Road 3610A in Whitney, a community about 35 miles north of Waco in Bosque County. The petition was filed Dec. 5, and the project is slated to begin around February 2026 with a close date of approximately April 30, 2027.
CyrusOne builds and operates data centers to boost AI capability and currently has facilities in nine states: Arizona, Illinois, Iowa, New York, North Carolina, Ohio, Virginia and Washington. It operates eight data centers in Texas, including three facilities in the Dallas-Fort Worth metroplex. Its DFW3-5 facility in the Dallas suburb of Allen is a 976,000-square-foot center that holds a capacity of 50 megawatts (MW). The planned data center in Whitney would be the smallest CyrusOne facility yet in Texas. CyrusOne is estimating the project would cost around $430 million.
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Reuters – December 5, 2025
EU plans strategic overhaul to fix energy grid bottlenecks, FT reports*
The EU will take a top-down approach to building a cross-border energy grid, as the bloc’s Energy Commissioner Dan Jorgensen warned of billions lost from bottlenecks and failures to match supply with demand, the Financial Times reported on Saturday. Brussels will develop a plan to identify where investment is needed and will find projects to fill those gaps to push EU countries to better co-ordinate energy infrastructure across borders and sectors, the report added.
Jorgensen told the Financial Times that the “biggest danger” to the bloc’s decarbonisation and energy security goals was the slow construction of its power grid.
Vocal.Media – December 3, 2025
United States Renewable Energy Market Size and Forecast 2025–2033
The United States is entering a defining era in its energy transformation. After years of steady but uneven progress, renewable power has officially shifted from an alternative option to a national priority—and a high-performing economic sector. According to Renub Research, the United States Renewable Energy Market is expected to reach 1,002.13 Gigawatt (GW) by 2033, up from 429.55 GW in 2024, growing at a CAGR of 3.64% between 2025 and 2033. From solar rooftops and offshore wind farms to hydropower modernization and utility-scale battery storage, the decade ahead is set to reshape the American energy landscape.
This momentum reflects a mix of policy support, technological advances, climate commitments, and a surge in corporate clean energy demand. As barriers around grid capacity, transmission, and permitting begin to loosen, industry experts view this period as the inflection point toward a cleaner and more resilient energy future.
Regulatory
November 10, 2025
On November 10, 2025, the US Environmental Protection Agency (EPA) issued a pre-publication copy of its proposed rule to significantly reduce the scope of PFAS reporting under Section 8(a)(7) of the Toxic Substances Control Act (TSCA). Significantly, EPA’s proposal would exempt imported articles from reporting. Once the proposed rule is published in the Federal Register, it will be subject to a 45-day comment period.
The TSCA PFAS reporting rule, originally finalized in October 2023, requires that manufacturers of PFAS and importers of PFAS and PFAS-containing products report extensive information to EPA about the products they manufacture and import going back to January 1, 2011 (See Hunton’s prior blog post about this rule). The rule does not include any of the exemptions that are traditionally part of TSCA reporting rules, which has caused widespread concern from regulated entities about the massive regulatory burdens created by the rule, particularly for importers of finished products containing any amount of PFAS.
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Texas Energy Report NewsClips
Friday December 5, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
WTI oil prices were poised for a weekly gain on Friday, supported by an expected Federal Reserve interest rate cut, escalating U.S.-Venezuela tensions and stalled peace talks in Moscow, though both oil benchmarks dipped from the previous day.
U.S. West Texas Intermediate dipped 10 cents, or 0.17%, to $59.57 a barrel, though it logged a gain of about 1.7% for the week, marking a second straight weekly increase.
Brent crude fell 3 cents, or 0.05%, to $63.23 per barrel by 0745 GMT. The contract was largely stable on the week.
Top Stories
US News – December 4, 2025
Chevron’s Gorgon LNG Project Secures $2 Billion Investment Nod
The Australian unit of U.S. oil giant Chevron said on Friday that the partners of the Gorgon Joint Venture have approved the A$3 billion ($1.98 billion) Gorgon Stage 3 development off Western Australia’s northwest coast. The development will be used as backfill for the existing LNG export concern and will link the offshore Geryon and Eurytion natural gas fields to Gorgon’s existing infrastructure on Barrow Island. Chevron said in Gorgon Stage 3, six wells will be drilled across two fields, part of a series of planned subsea tiebacks.
The project proposal was accepted in November by the offshore environmental regulator after being submitted for public comment by Chevron in August 2024. The Chevron-operated Gorgon Project is a joint venture among the Australian units of Chevron, Exxon Mobil, and Shell, which collectively own roughly 97.3%, with Japan’s Osaka Gas, JERA and U.S.-based firm MidOcean holding the remaining stake. In addition to LNG exports it will enable the long-term supply of domestic gas for Western Australia households and industry, Chevron Australia president Balaji Krishnamurthy said.
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Texas Monthly – November 27, 2025
What Does the Texas Railroad Commission Do? This Candidate Thinks It Fights “Radical Islamists”*
Now a prominent Republican wants to further expand the commission’s duties to include combatting the “Islamic invasion.” On November 12 Bo French, chairman of the Tarrant County Republican Party, abruptly resigned from his position to launch his 2026 election campaign for the only open seat on the three-member commission, vowing in a press release to protect Texas oil and gas from “Iran and radical Islamists attacking our allies in the Middle East,” the Chinese Communist Party, and “Green New Scam artists waging war on domestic energy production.” The position “will be the best way that I can defend Texas, stop the Islamic invasion, and defeat the left,” he said on social media. “Our birthright is being taken from us, but together we can stop it.”
If you are wondering what, exactly, regulating the energy sector has to do with Islam, then you are not alone—almost immediately, French’s announcement was met by a mix of bemusement and mockery, with even fellow Republicans condemning what they said was a naked attempt to gin up online, right-wing outrage ahead of his primary with Jim Wright, a Republican who chairs the commission. French is the latest in a long line of chronically online Republicans who believe, with some evidence, that they can whip digital anger into a viable political career, regardless of whether it has anything to do with the actual job they hold or seek. (Earlier this year, Christi Craddick, a member of the commission who is running for Texas Comptroller, the state’s chief financial officer, paid for an X advertisement in which she promised to “hold the line” against transgender athletes in girls’ sports—breaking from what has otherwise been a standard-fare, Republican campaign in order to play to a red-meat social issue that is irrelevant to her prospective job.) …
French, who did not respond to an interview request, has proven similarly adept at stoking the most reactionary corners of the GOP base, then framing himself as their lone hero, unafraid to stand up to “the swamp” or “uniparty,” which they blame for their many woes. Since taking the helm of the Tarrant County GOP after losing two Texas House races—and as he has increasingly hobnobbed with a prominent fascist sympathizer—the 55-year-old has been perhaps the most controversial figure in the sprawling, ever-controversial political network funded by West Texas oil billionaires Tim Dunn and Farris Wilks. French praises his allies as “based,” and calls his detractors “gay” or “retards.” He frequently accuses non-white, elected officials of being terrorists or communists. “There are just some things where you can’t trust women TBH,” he wrote in response to a Kamala Harris 2024 campaign advertisement. And last month, as millions of low-income Americans were set to lose food stamps, French posted about the coming “chimp out.”
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E&E News By Politico – December 4, 2025
The US power market is getting messy. Here’s why.
Electricity markets used to be predictable. In 2025, they’re anything but. Coal is enjoying a revival, natural gas generation is down, and renewables are forging ahead despite political headwinds. Some of that is driven by annual idiosyncrasies like weather, which increased electricity demand this year, and President Donald Trump’s dismantling of environmental regulations and the Inflation Reduction Act. But most of the market’s upheaval is due to wider economic trends that burst into full view this year — namely, the growth in U.S. exports of liquefied natural gas and rising electricity demand from data centers.
“I feel like we’re at the edge of the storm,” said Ric O’Connell, the executive director of the consulting firm GridLab. “The storm is the load growth that is showing up in the next couple of years. The IRA is going away, and gas prices are potentially going to spike. The next couple of years could be messy.” The trends mark a fundamental shift from the previous decade, which was defined by stagnant power demand, low natural gas prices, coal plant retirements and a wave of renewable installations.
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KFDM – December 4, 2025
New contracts advance Gulf Coast storm protection plan
An ambitious, multi-billion dollar plan is moving forward with new design contracts to protect the Texas Gulf Coast from catastrophic hurricanes and storms, according to the Texas General Land Office. The plan encompasses an area stretching from Galveston to Jefferson County and extending to Orange County. The GLO says the contracts mark a major milestone toward construction.
“Everything is bigger in Texas – including the Coastal Texas Project, which is the largest coastal resiliency undertaking in U.S. Army Corps of Engineers history that will feature the largest barrier gate system in the world. We can no longer wait to implement this long-term resiliency strategy, aimed at safeguarding the largest port and petrochemical complex in the nation,” said GLO Commissioner, Dawn Buckingham, M.D.
The Latest TERse Tips
Over 2,000 customers were without power on Thursday afternoon in East El Paso, but no cause was reported — KFOX
Fitch Ratings has assigned an expected rating of ‘BB (EXP)’ to $2.0 billion par amount of senior secured notes to be issued by Venture Global Plaquemines LNG, LLC — Fitch
Dallas could see a water shortage in 14 years but a new plan may prevent that — KERA
RWE Clean Energy has commissioned the Stoneridge Solar PV project in Texas, adding 200MW of solar PV and 100MW/200MWh BESS to its operational portfolio — the company is the US arm of German power firm RWE — Energy Storage
SmartestEnergy US, part of a global energy company helping businesses navigate the energy transition, has selected GridBeyond, a global smart energy company, as its technology partner to optimize battery energy storage systems (BESS) in the ERCOT market — the strategic partnership will leverage GridBeyond’s advanced price forecasting, bid optimization, and trading services for three BESS resources located in Texas — see the press release
Waymo’s Self-Driving Cars Are Suddenly Behaving Like New York Cabbies — autonomous vehicles are adopting humanlike qualities, making illegal U-turns and flooring it the second the light goes green — The Wall Street Journal*
DOGE employees who landed in environmental agencies in the early days of the Trump administration have departed from their government gigs as the bureaucracy-slashing operation has dwindled, according to Politico*
Russian officials have claimed that Moscow may deploy medium-range ballistic missiles and cruise missiles to Venezuela, potentially invoking Cold War–era escalation reminiscent of the 1962 Cuban Missile Crisis, according to Defense Express on November 4 — United24 Media
Oil & Gas Texas
Rigzone – December 4, 2025
Macquarie Places 20-Year Order from Texas LNG
Macquarie Energy LLC, part of trading and financial services multinational Macquarie Group Ltd, has signed a definitive agreement to buy 0.5 million metric tons per annum (MMtpa) of liquefied natural gas (LNG) for 20 years from Glenfarne Group LLC’s Texas LNG project.
“This agreement, along with the three previously announced Texas LNG offtake agreements, brings Texas LNG one step closer to a final investment decision”, said a joint statement Wednesday. Earlier this year Glenfarne secured a 20-year contract to supply 0.5 MMtpa of LNG to Gunvor Group Ltd from Texas LNG.
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E&E News By Politico – December 4, 2025
Greens want ESA to protect Permian Basin plant from oil and gas boom*
Environmentalists sought Endangered Species Act protections Thursday for a flowering plant found in the oil-rich Permian Basin. Citing energy development as an existential danger, the Center for Biological Diversity petitioned the Fish and Wildlife Service to list the Allred’s flax as threatened or endangered under the ESA.
“These beautiful orange flowers grow only on scattered gypsum outcrops in one of the most biodiverse deserts on Earth and they urgently need protection” said Krista Kemppinen, a senior scientist at the Center, in a statement, adding that “exploration and extraction of oil and gas resources could wipe these flowers out unless they’re protected under the Endangered Species Act.” According to the petition, much of the plant’s known and potential habitat across New Mexico and Texas overlaps with oil and gas leases that are being drilled or could be. Well digging, building construction and road dust related to energy development are all said to degrade or wipe out the habitat.
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KFOX – December 4, 2025
Cheaper gas might not be enough to drive consumer sentiment higher amid stubborn inflation
The national average for a gallon of gas has dipped below $3 for the first time in over four years, according to AAA. Prices at the pump remain well above that mark in some states. Gas is most expensive in California at $4.51 a gallon. But the national average has dropped to $2.99 from $3.03 a year ago.
President Donald Trump has touted lower gas prices while calling overall affordability concerns “a con job by the Democrats.” “As an example, energy, gasoline, we’re now at about $2.50 a gallon,” Trump said at this week’s Cabinet meeting. “We’re going to be, I think, at $2 a gallon. We could even crack that at some point. I’d love to do it.” … What will happen to gas prices the rest of this holiday season? “I think they’re expected to stay kind of in this narrow band,” said University of Houston energy economist Ed Hirs. “I don’t think they’re supposed to go lower. Nobody’s thinking that. And so, it’d be wrong to say that. Is it going to be a little less expensive to go to grandma’s house? Yes. That’s a good thing. But there’s so many bad things associated with this.”
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Reuters – December 4, 2025
Shell-led LNG Canada’s second processing unit still down, sources say*
Shell-led LNG Canada’s second processing unit, known as Train 2, remains down nearly a month after its initial start-up, two sources told Reuters. The company said on November 20 that a re-start had been scheduled for December 1 and would last about two weeks. A spokesperson for LNG Canada said on Thursday it expects to provide an update later this week. Located in Kitimat, British Columbia, the complex is the first major LNG export facility in Canada and the first on North America’s West Coast with direct access to Asia, the world’s largest market for the liquid fuel. When fully operational, LNG Canada is expected to export 14 million metric tonnes of LNG per year.
Since starting up in July, the plant has had challenges, with its first train experiencing technical issues involving a gas turbine and refrigerant production unit. The company on November 6 announced it had started production from its second train, but data from financial firm LSEG has not shown an increase in exports since then.
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New Orleans Times Picayune – December 4, 2025
Controversial plan to sell water to Texas from this popular Louisiana spot is dead for now*
A developing plan to ship Toledo Bend Reservoir water to Texas is “dead” for now, following months of local and legislative opposition, and won’t be back for discussion “any time soon,” state authority officials said. But the officials who considered that deal also didn’t rule out the possibility of water sales at some point in the future, even as one Vernon Parish legislator promised this week to try to block them with a bill next spring.
Under the now-sidelined concept, Toledo Bend Reservoir would have supplied 200,000 acre-feet per year from Louisiana’s share of water in the lake on the western edge of the state. A Dallas company had plans to pipe that water potentially hundreds of miles west to growing population centers in Texas, where state officials say 25% of the population could face municipal water shortages by 2070 due to rising demand and shrinking supplies.
Two officials with the Sabine River Authority of Louisiana, which oversees the Louisiana side of Toledo Bend, said the lack of support from their sister agency in Texas for an important engineering study, as well as opposition from key Louisiana legislators and local parishes, led to the end of talks last month with the company, Aqueduct Partners LP.
Oil & Gas National & International
Politico – December 4, 2025
DOE advisory panel issues report urging permit overhaul
A federal advisory committee of energy industry leaders presented two reports to Energy Secretary Chris Wright on Wednesday, recommending sweeping changes to permitting requirements and more integration between the electric and natural gas industries. The two reports arrived five months after Wright asked the National Petroleum Council in June to provide analyses of how the U.S. could boost oil and gas production to meet the Trump administration’s “energy dominance” goals.
The emphasis from industry executives on changing permitting laws coincides with a push in Congress to amend decades-old laws that many lawmakers say have slowed the build-out of all kinds of infrastructure. “It’s reached the point where the money that gets wasted in the permitting process would disgust every American,” said Alan Armstrong, chair of the National Petroleum Council and executive chair of the Williams Companies, to reporters after the meeting. At a hotel in Washington on Wednesday, Wright called energy the “most important industry in the world” and dismissed concerns about climate change as overhyped.
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Politico – December 4, 2025
Congress axes Biden ANWR drilling limits*
The Senate voted Thursday to undo Biden-era restrictions on oil and gas drilling in Alaska’s Arctic National Wildlife Refuge. The Congressional Review Act resolution, H.J. Res. 131, passed in the House last month and will now go to President Donald Trump’s desk for signature. Maine Sen. Susan Collins was the only Republican to vote against the legislation. No Democrats voted in favor. The final Senate tally was 49-45.
The legislation targets the Biden administration’s management plan for ANWR’s Coastal Plain. Alaska’s congressional delegation spent years fighting the Biden administration’s efforts to restrict drilling in the refuge after working even longer to open the area to development. Democratic lawmakers have argued that President Joe Biden’s drilling restrictions were necessary to protect wildlife, and they have condemned Trump’s recent moves to reopen the area for oil and gas leasing. But Sen. Lisa Murkowski (R-Alaska), speaking ahead of the vote Wednesday, said plans for ANWR drilling before Biden took office already restricted resource development to just a small section of the refuge and included significant environmental safeguards.
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Reuters – December 4, 2025
OPEC oil output slips in November despite agreed hike, survey finds*
OPEC’s oil output edged lower in November, despite an OPEC+ agreement to raise production for the month, due to outages in some members, a Reuters survey found on Thursday, bringing supply from the group further below its target. The Organization of the Petroleum Exporting Countries pumped 28.40 million barrels per day last month, down 30,000 bpd from October’s total, the survey showed, with Nigeria and Iraq recording the largest declines.
OPEC+, comprising OPEC and allies including Russia, has slowed the pace of its monthly output increases amid concerns of a supply glut. Many members are running close to capacity limits and some are tasked with extra cuts to compensate for earlier overproduction, limiting the impact of further increases. Under an agreement by eight OPEC+ members covering November output, the five of them that are OPEC members – Algeria, Iraq, Kuwait, Saudi Arabia and the UAE – were to raise output by 85,000 bpd before the effect of compensation cuts totalling 140,000 bpd for Iraq
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Upstream – December 4, 2025
US LNG project inks partnership with South Korea company
South Korea’s POSCO International has agreed to a preliminary liquefied natural gas offtake deal with Alaska LNG and will invest in the US project, according to an announcement from developer Glenfarne Group. As part of their strategic partnership, POSCO has agreed to a 20-year heads of agreement (HOA) for 1 million tonnes per annum (tpa) of LNG from the planned Alaska development. Glenfarne said it was the first HOA for Alaska LNG.
POSCO will also provide a “capital investment” in Alaska LNG, according to Glenfarne. The company did not disclose how much POSCO will spend on the project. In addition, POSCO will supply a “significant portion” of the steel needed to build an 807-mile (1300-kilometre) pipeline for Alaska LNG, Glenfarne said.
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Reuters – December 4, 2025
How an oil pipeline battle shows the US gaining sway in Iraq*
Iranian drones swept through the mountain air of northern Iraq’s Kurdistan region in mid-July, homing in on their targets: oilfields run by Americans. Fired by an Iranian-backed militia group within Iraq, likely in retaliation for U.S. strikes on Iran’s nuclear sites weeks earlier, one struck the Sarsang field operated by HKN Energy, a company owned by the son of Texas billionaire Ross Perot. Another hit a nearby field run by Dallas-based Hunt Oil.
By the end of the four-day assault, which also disrupted operations at a local company and Norway’s DNO, nearly half of the Kurdistan region’s production had been halted. The direct attack on U.S. interests enraged Washington, which had long felt Iraq was not doing enough to tackle pro-Iranian militias, and spurred it to ramp up a pressure campaign on Baghdad, according to nine sources familiar with the matter. That campaign ultimately led to Iraq reopening a key export pipeline for Kurdistan’s oil – a major concession that points to a tilt in the balance of influence within Iraq away from Tehran and towards Washington.
Utilities, Electricity & Renewables
MSN – December 4, 2025
5 US regions where energy shortage fears are becoming real
The American power grid is facing a reckoning. After decades of relative stability, multiple regions across the United States are now confronting genuine concerns about whether they can keep the lights on during extreme weather. The threat is real, not theoretical. The US and Canada could face power shortages in 2024. What makes this particularly alarming is the combination of aging infrastructure, rapid retirements of traditional power plants, and increasingly unpredictable extreme weather patterns.
Texas is the only state to have its own power grid. It doesn’t have significant connections to the grids that serve the eastern and western halves of the United States. This isolation has become both a point of pride and a source of vulnerability. In the Electric Reliability Council of Texas footprint, “surging load growth is driving resource adequacy concerns as the share of dispatchable resources in the mix struggles to keep pace,” NERC said.
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S&P Global Platts – December 4, 2025
US adds 11.7 GW of clean energy capacity in Q3, long-term uncertainty remains
The US clean energy industry had a strong third quarter adding 11.695 GW of capacity, while the American Clean Power Association warns of lingering policy and regulatory uncertainty that put future growth at risk. The Q3 clean energy additions increased 14% year over year, according to a Dec. 4 ACP statement. Strong momentum and policy tailwinds have supported the industry over the last several years, ACP said.
“The third quarter’s record results mask an unstable policy environment that is threatening our ability to meet our future energy needs,” ACP CEO Jason Grumet said in a statement. “The policy chaos at the federal level has seeped into every part of project timelines, stalling growth precisely when we need to meet demand and keep energy prices affordable for American families and businesses.”
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December 4, 2025
Polar vortex and power failure will forever go together for many Texans. The first wave of cold weather always makes me wonder whether the Electric Reliability Council of Texas’s power grid is ready for a big freeze. Digging out my winter coat is a reminder to make a plan for when the power goes out again. ERCOT has bolstered the grid, but the nonprofit system operator will struggle to keep up with outside forces. Texas may be adding new generation faster than any other state, but electricity demand is growing even faster.
A severe storm this winter could trigger blackouts, the North American Electric Reliability Corp. warned, even if we have enough energy to cope with a typical winter. “Winter peak demands typically occur before sunrise and after sunset when solar generation is not available. Significant battery storage mitigates these risks,” the not-for-profit that oversees grid reliability and security determined. “Load shedding (a rolling blackout) is unlikely but may be needed under wide-area cold weather events.”
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Politico – December 2, 2025
Trump admin releases $3.7B of delayed household energy aid*
The Trump administration is releasing billions of dollars in federal funds to help struggling families pay electric and gas utility bills. The disbursement to states and tribes last week of more than $3.7 billion in Low-Income Home Energy Assistance Program, or LIHEAP, funds comes as the winter heating season bears down and utility bills skyrocket in many parts of the United States.
“This release of LIHEAP funding is essential and long overdue,” said Mark Wolfe, executive director of the National Energy Assistance Directors Association (NEADA), in a statement. “Families can finally begin receiving the support they need to keep the heat on as winter begins.” The record federal government shutdown in October and part of November delayed the release of the funds. LIHEAP, which is administered by the Department of Health and Human Services, is used to help low-income families pay utility bills. Electricity and natural gas prices are set to spike this winter, following months and years of rising rates. NEADA says U.S. residential electricity prices increased 10.5 percent between January and August alone.
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Reuters – December 2, 2025
The Trump administration has renamed one of the country’s energy laboratories to remove the word ‘renewable’ in the latest effort to downplay electricity sources such as solar and wind power in favor of fossil fuels. The National Renewable Energy Laboratory, based in Golden, Colorado, will now be known as the National Laboratory of the Rockies, the lab said on its website late on Monday. One of 17 Energy Department labs, it also pursues research in energy efficiency. It was set up by U.S. leaders including two of President Donald Trump’s fellow Republicans.
Former President Gerald Ford launched the Solar Energy Research Institute in the 1970s after the Arab oil embargo damaged the U.S. economy. Former President George H. W. Bush, a former Texas oilman, renamed the facility NREL, in 1991. The U.S. Energy Department said the name change reflects the administration’s broader vision for the lab’s applied energy research. The move aligns with other Trump actions on wind and solar power such as issuing stop-work orders on offshore wind farms and adding regulatory hurdles for wind and solar.
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Corpus Christi Caller-Times – November 26, 2025
Greening the Blockchain: How Bitcoin Mining Is Evolving Toward Sustainability
Across the globe, miners are rethinking how they power operations. Many are relocating to regions rich in renewable energy: hydropower in Canada, solar farms in Texas, and wind-powered grids in northern Europe. Geothermal energy from Iceland and El Salvador is helping to drive the transition. Some companies, like Crusoe Energy, have taken extra steps by capturing flare gas, or methane gas that would otherwise go to waste or be burned off. They convert this gas into electricity for mining. This method reduces emissions and transforms an environmental issue into a source of energy.
Mining companies that prioritize ESG, such as CleanSpark and Blockstream, are at the forefront of this movement. They attract investors who care about transparency and accountability regarding carbon emissions. These businesses show that Bitcoin mining can be both profitable and environmentally friendly. This opens the door to a new era of “green crypto.” People are now asking, “How quickly can Bitcoin become part of the clean energy transition?” instead of “Is Bitcoin bad for the planet?” And that is a question both investors and policymakers want answered.
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Utility Dive – December 4, 2025
US solicitor general tells Supreme Court to reject Duke Energy antitrust appeal
The U.S. solicitor general on Monday urged the U.S. Supreme Court to deny Duke Energy’s appeal challenging a lower court’s ruling in an antitrust lawsuit brought by independent power producer NTE Energy. In August 2024, the U.S. Court of Appeals for the Fourth Circuit properly ruled that NTE Carolina’s antitrust suit against Duke could move ahead after it was dismissed by a lower court, according to U.S. Solicitor General John Sauer.
“This appeal arises out of a campaign by an established monopolist to stop a more efficient rival from disturbing its long-dominant hold over a regional energy market,” Sauer said. “Without ever competing with [NTE] on the merits (i.e., offering a better service), [Duke] was able to prevent [NTE] from operating its superior [generating] facility.”
Regulatory
Politico – December 4, 2025
Fired EPA dissent letter signers file appeal*
EPA employees fired after publicly criticizing the Trump administration’s treatment of science and their colleagues are now pushing back. Six former EPA staffers who signed an open dissent letter this summer and were later terminated are filing an appeal with the Merit Systems Protection Board. Public Employees for Environmental Responsibility, part of the legal team representing the employees, announced their appeal Wednesday.
The ex-EPA employees claim the agency fired them illegally for using their right to free speech to alert the public about their concerns. Their appeal to the board, which guards the civil service, is yet another chapter in the dissent letter saga at EPA, which has faced turbulent times under the Trump administration. In an interview with POLITICO’s E&E News, Joanna Citron Day, general counsel for PEER, said the firings were “totally and completely without merit” as the agency retaliated against public employees who were exercising their First Amendment rights.
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Politico – December 4, 2025
DOE axes ‘zero emissions’ building standard*
The Department of Energy is scrapping a Biden-era “zero emissions” building standard, adding to Trump administration efforts to reverse initiatives aiming to address climate change. In a Federal Register notice Wednesday, DOE said the definition is “not consistent with current administration priorities” and urged states, cities and organizations to no longer use it.
“The interaction of America’s 130 million buildings with our energy system should not be further complicated by arbitrary and imprecise federal guidance,” Lou Hrkman, principal deputy assistant secretary for critical minerals and energy innovation, said in a statement. DOE removed the definition from its website and said it would no longer provide technical assistance on the issue. The newly created Office of Critical Minerals and Energy Innovation said in a statement the decision would promote “freedom of choice” and “relieve developers, investors, and building owners of indirect pressure to account for federal guidelines that never had the force or effect of law.”
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Capital & Main – December 3, 2025
Trump’s Anti-Climate Policies Are Driving Up Insurance Costs for Homeowners, Say Experts
Property insurance rates have spiked since 2021 due to the increasing frequency of climate-related natural disasters, inflation in the cost of building materials and supply chain issues. The typical homeowner saw an average increase of $648 in their annual premium from 2021 to 2024. And those rates are expected to increase by an average of 8% nationwide this year — with homeowners in some states facing much higher increases, such as a projected 27% hike in Louisiana.
An increasing number of American homeowners are linking those increases to climate change. A majority of them (72%) say that natural disasters such as hurricanes, floods and wildfires exacerbated by climate change are somewhat or very responsible for the rise in homeowner insurance costs, according to a poll by Data For Progress.
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Politico – December 1, 2025
EPA pushes climate groups to close embattled grants*
EPA is pressing grant recipients of a Biden-era environmental justice program to take steps that would make the termination of their awards irrevocable — even as some of them are suing the agency to recover the funds. Earlier this year, the Trump administration told all 105 recipients of the Community Change Grant Program that their grants had been canceled because it was a “diversity, equity and inclusion” measure that contradicted the priorities of President Donald Trump.
The program, one of several environmental justice initiatives enacted under the 2022 Inflation Reduction Act, offered $1.6 billion in grants to help communities cope with risks related to pollution and climate change. Other IRA programs, such as the $3 billion Environmental and Climate Justice Block Grants and clean energy initiatives like Solar for All, were also canceled over the course of the year. A slew of challenges filed by nonprofits and state and local governments are now winding their way through the courts.
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Politico – December 2, 2025
Rural areas are untapped climate saviors, report finds*
The fight against climate change is overlooking rural America as both a source and solution to rising greenhouse gas emissions, according to a new report. Rural areas contribute a disproportionate share of emissions tied to climate change — but also can play a bigger role in tackling the problem than their big-city neighbors, said the report from a funding collaborative called the Rural Climate Partnership.
The partnership published the report, called a “Rural Reality Check,” on Tuesday as an update to its first such report last year. The partnership is a project of the Heartland Fund, a nonprofit organization “building power toward a thriving democracy, healthy climate, and shared prosperity across diverse communities in rural areas and small cities,” according to its website.
According to the report, about 38 percent of U.S. carbon emissions come from rural areas, where just 19 percent of the population lives. And while transportation is the biggest single source of greenhouse gas emissions, rural areas play an outsize role in emissions tied to sources like energy production and industry as well as farming, the report said.
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Texas Energy Report NewsClips
Thursday December 4, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices firmed on Thursday after Ukrainian attacks on Russia’s oil infrastructure signalled potential supply constraints, and stalled peace talks tempered expectations of a deal restoring Russian oil flows to global markets, though weak fundamentals kept gains limited.
West Texas Intermediate rose 45 cents, or 0.76%, to $59.40.
Brent crude rose 41 cents, or 0.65%, to $63.08 at 0659 GMT.
Ukraine hit the Druzhba oil pipeline in Russia’s central Tambov region, a Ukrainian military intelligence source said on Wednesday, the fifth attack on the pipeline that sends Russian oil to Hungary and Slovakia. The pipeline operator and Hungary’s oil and gas company later said supplies were moving through the pipeline as normal.
“Ukraine’s drone campaign against Russian refining infrastructure has shifted into a more sustained and strategically coordinated phase,” consultancy Kpler said in a research report, adding that strikes now target refineries in repeated cycles, aiming to keep key assets from stabilising.
Top Stories
Reuters – December 4, 2025
Exxon to permanently shut one steam cracker in Singapore from March, sources say*
ExxonMobil plans to wind down from March operations at the older of its two steam crackers on Singapore’s Jurong Island, four sources familiar with the matter said, part of a global petrochemicals sector trend to reduce capacity amid industry losses. The shutdown of the plant, which opened in 2002, is expected to be complete by June, two of the sources said. The sources asked not to be identified because they were not authorised to speak to media.
The imminent shutdown of the U.S. major’s first cracker in the Asian oil trading hub comes as chemical producers grapple with losses from overcapacity led by China, the world’s largest consumer of petrochemicals used to make products ranging from plastics and clothes to shoes and cars. “As a matter of practice, we do not comment on market rumors or speculation,” an ExxonMobil spokesperson said in response to Reuters’ queries.
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KTRK – December 3, 2025
New report shows data centers could strain Texas’ grid this winter
A new report shows a growing industry in Texas could put a strain on the state’s power grid this winter. Winter power problems have been on Houston resident, Dolores Hidalgo’s mind ever since the winter storm in 2021. In February 2021, an University of Houston report shows more than two-thirds of all Texans lost power for nearly three days during a winter storm.
“I think about it every year,” Hidalgo said. “I get worried that we’re going to lose power and it’s going to be for weeks, and we’re going to be cold.” Five years later, the North American Electric Reliability Corporation has a new assessment on how prepared the state’s grid, ERCOT, is this winter. The report shows ERCOT could be strained this winter due to data centers. They’re facilities that house IT infrastructure systems.
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Reuters – December 3, 2025
Chevron to spend up to $19 billion next year in focus on US, Guyana oil production*
Chevron said on Wednesday that capital expenditure for 2026 will be between $18 billion and $19 billion as the oil major focuses on production in the U.S. and investments connected to a recently-acquired oil stake in Guyana. The range is at the low-end of previous guidance that put annual investment between $18 billion and $21 billion through 2030. The second-largest U.S. oil producer outlined a plan last month to cut costs, operate more efficiently and increase returns to investors through the end of the decade.
“Our 2026 capital program focuses on the highest-return opportunities while maintaining discipline and improving efficiency, enabling us to grow cash flow and earnings,” Chevron CEO Mike Wirth said in a statement. About $17 billion will be spent on upstream, roughly $9 billion of which is allocated to the United States. Chevron said it expects to spend $6 billion on American shale and plans to produce more than 2 million barrels of oil equivalent per day from the country next year. Spending on offshore production will total about $7 billion to support Guyana, projects in the Eastern Mediterranean and production from the U.S. Gulf of Mexico.
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Reuters – December 3, 2025
High and rising natural gas costs may spur fresh climb in US coal use: Gavin Maguire*
Once again, cold temperatures and record exports of liquefied natural gas are major drivers of the gas-to-coal switching, although increased backing of the coal sector in Washington, D.C. is also underpinning coal consumption. As coal-fired generation emits around 75% more carbon dioxide (CO2) per kilowatt hour (kWh) of electricity than gas-fired generation, per data from Ember, U.S. power sector emissions are bound to climb with rising coal output.
The Latest TERse Tips
President Trump on Wednesday pardoned Texas Democratic Rep. Henry Cuellar and his wife Imelda, who had faced federal bribery, money laundering and foreign-agent charges — Cuellar, 70, was an outspoken critic of former President Joe Biden’s border policies before the couple was indicted last year for allegedly accepting $600,000 from Azerbaijan’s state-owned oil company and a Mexican bank — New York Post — Also see: Longtime Cuellar aide hopes Trump pardon will lead to dismissal of his conspiracy case — San Antonio Express-News*
Fitch Ratings has cut its 2025-2027 oil price assumptions, reflecting market oversupply — Fitch
A Texas district court was wrong to deny environmental groups the right to intervene in a case to defend an endangered bird after the Trump administration allowed a Biden-era rule over the species to be wiped out without proper review, an appellate brief said — “If this decision is allowed to stand, any federal rule could be challenged by an industry or advocacy group (of any ideological stripe) and be stripped from the books by judicial decree whenever a new administration decides to no longer defend it,” the Center for Biological Diversity and Texas Campaign for the Environment said — Bloomberg*
Citgo Petroleum has been carrying out startup work at the west plant of its 175,550 b/d Corpus Christi refinery over several days, the company said in a community alert that warned of potential flaring — Morningstar
Acting Texas Comptroller Kelly Hancock today released the results of a Comptroller’s office study examining the impact of the Port of Beaumont on the Texas economy — total trade through this port accounted for $23 billion in trade in 2024, an increase of 182 percent from 2015 levels — see the press release
Update: Judge approves sale of Houston-based Citgo to Amber Energy — J.P. Duffy is an international arbitration partner at the Houston-based law firm Bracewell. He said the Venezuelan government faced mounting debts, as the country grappled with falling oil prices and political instability — KUHF
Austin Energy unveils the first commercial Solar Standard Offer project, boosting the grid with local solar — see the press release
The University of Texas at Austin’s new Engineering Discovery Building will be named in honor of Autry C. Stephens, the oil and gas pioneer and UT alumnus whose contributions have shaped the energy industry in Texas — Virtual Builders Exchange
The Trump administration is floating the idea of using backup generators to add power to the electricity grid, in a bid to lower Americans’ utility bills — Energy Secretary Chris Wright asserted on Tuesday that the country’s backup generators could contribute roughly 35 gigawatts of electricity, or enough to power tens of millions of homes — Politico*
Oil & Gas Texas
Bloomberg – December 3, 2025
Chevron’s Capital Budget Lands on Low End in Push for Cash*
Chevron Corp. expects to spend less than previously planned next year as the Texas oil giant focuses on profits over production growth with crude prices near the lowest since 2021. Capital expenditure will be about $18.5 billion next year, with nearly a third to be spent on US shale operations in Texas, New Mexico, Colorado and North Dakota, the company said in a statement. The sum is at the low end of guidance published last month and less than the $19 billion to $22 billion range Chevron announced after buying Hess Corp. in July.
After completing several multi-year growth projects, Chief Executive Officer Mike Wirth has said Chevron can maintain its dividends and stock buybacks through the current period of low oil prices. By reining in spending on new projects, the company plans to harvest free cash flow, which it expects to increase 14% annually to more than $30 billion by 2030.
“Our 2026 capital program focuses on the highest-return opportunities while maintaining discipline and improving efficiency, enabling us to grow cash flow,” Wirth said in the statement. Earlier this year, Chevron said it was intentionally dialing back growth in the Permian to boost returns. Previously its biggest growth asset, the basin will “plateau” at about 1 million barrels of oil equivalent a day, Bruce Niemeyer, the company’s shale president said in an interview in July.
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Hydrocarbon Processing – December 3, 2025
Valero plans CDU upgrades at Port Arthur refinery in February
Valero Energy plans to perform upgrades to the large crude distillation unit (CDU) at its 380,000-bpd Port Arthur, Texas refinery in February, said people familiar with the plant’s operations. A Valero spokesperson did not reply on Tuesday to a request for comment about the refinery’s maintenance plans.
Valero plans to perform a series of upgrades to the AVU-146 CDU beginning in February aimed at boosting the unit’s capacity from an average of 235,000 bpd to 260,000 bpd, the sources said. Among the improvements will be upgrades to processing of bottoms – heavy, gunky residual crude oil that is usually sent to the coker or used in asphalt, the sources said. The refinery may be able to keep AVU-146 in operation while the upgrades are underway, the sources said.
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Politico – December 3, 2025
Documentary spotlights New Mexico oil pollution case*
A new documentary aims to shed light on alleged harms the oil and gas industry in New Mexico causes residents as a novel pollution case looms before the state’s Supreme Court. The film, called “The Land of Sacrifice,” focuses on the effects that emissions and other activities associated with oil and gas production have amid New Mexico’s fracking boom. It highlights plaintiffs in Atencio v. State, a lawsuit filed by a group of Native Americans, environmental groups and other residents who live near the state’s oil-producing regions. New Mexico, which includes part of the massive Permian Basin, is now the second-largest oil-producing state in the United States.
“We had a tsunami of oil and gas development,” Daniel Tso, a former Navajo Nation Council delegate and a plaintiff in the case, says in the film. “No place to run, no place to take shelter. It’s here.” The new film by Annie Ersinghaus was released this week and is available to watch for free online. Screenings are also planned at select cities in New Mexico. It was produced with funding from the New Mexico Documentary Incubator Grants program.
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Pipeline & Gas Journal – December 3, 2025
Esentia Energy to Boost Mexico Gas Pipeline Capacity 50% by 2030
Mexico’s Esentia Energy plans to expand its natural gas transportation capacity by 50% within five years, betting on rising demand as industrial use and U.S. imports increase, CEO Daniel Bustos said. The company, which raised $457 million in a late-November IPO, will use part of the proceeds to fund the expansion and reduce debt. Esentia plans to add 660 million cubic feet per day of capacity by the third phase of its development plan.
Esentia operates more than 2,000 kilometers (1,243 miles) of pipelines in its Waha or Wahalajara System, which delivers low-cost gas from Waha, Texas, to industrial hubs in central and western Mexico, including Guadalajara.
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Miami Herald – November 29, 2025
After Deepwater Horizon, some worry oil industry’s new tech could threaten Florida
Early one morning in March 2010, Captain Gary Jarvis cast a heavyweight line into the Gulf of Mexico from the deck of his 57 foot charter boat, Backdown 2. The sun hadn’t yet risen. But bright white spotlights from the 25-story oil rig nearby illuminated the dark waves and attracted the fisherman’s prize — yellowfin tuna. Jarvis and his two deckhands spent hours reeling in the high-dollar sportfish before turning the boat home toward Destin, Florida. It had been a good fishing day at the rig, and Jarvis assumed there would be many more. That oil rig was BP’s Deepwater Horizon. Less than a month later, the rig exploded and sank in the oil spill that would become known by the same name. The disaster killed 11 people and injured 17. Over 200 million gallons of Louisiana crude oil flowed uncontrolled into the Gulf for 87 days before the well was plugged. Oil slicks spread thousands of miles, fouling beaches in all five Gulf states in what remains the largest marine oil spill in American history.
Fifteen years later, Gulf communities have largely moved on. After a multi-billion dollar settlement from BP and regulatory reform, the nationwide outcry over industry recklessness quieted to a murmur. The white-sand beaches, now cleaned up, draw millions of tourists once again. But oil companies keep drilling — deeper than ever before—and they are also looking east. President Donald Trump’s “drill, baby, drill” philosophy now has some of the industry’s biggest players ready to bid on leases closer to Florida’s coast. The administration announced on Thursday it plans to open part of the Eastern Gulf, off limits for decades, to oil and gas exploration.
Oil & Gas National & International
The Wall Street Journal – December 3, 2025
Trump Administration Lowers Fuel-Economy Rules for Carmakers*
President Trump on Wednesday said he plans to roll back federal fuel-economy rules for passenger vehicles, his latest move to relieve the U.S. auto industry from mandates to build cleaner, more-fuel efficient cars. The administration’s move comes months after Congress and the Trump administration this summer essentially nullified the mandates—known as Corporate Average Fuel Economy rules, or CAFE—by eliminating fines for violating them.
Under the changes, the federal government would require an average of 34½ miles a gallon for vehicles by model year 2031, down from the 50.4 miles a gallon standard set by the Biden administration. It also does away with a system in which automakers can buy credits from competitors to offset fines, a setup that proved to be a boon for electric-vehicle maker Tesla. Lowering the standards would enshrine into federal law more lenient miles-per-gallon targets for automakers. It could make it harder to return to tougher standards since doing so would require more than simply reinstating penalties.
“We’re protecting our auto workers, and we’re making it easier for every family to afford high-quality cars,” Trump said in the Oval Office. “In other words, we’re bringing automobiles back and the manufacturing of automobiles back into this country.” The proposal must undergo an official rule-making process before being adopted. The changes would apply to all model-year passenger cars and light trucks from 2022 to 2031. It would reclassify small SUVs and so-called crossovers, which are SUVs built on car-like chassis, as passenger cars instead of light trucks.
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Pipeline & Gas Journal – December 3, 2025
Enbridge Projects 2026 Profit Growth on Strong Gas, Power Demand
Enbridge has forecast higher core profit for 2026, as the Canadian pipeline operator expects to benefit from strong demand and new projects entering service, the company said on Dec. 3. The company is pushing ahead with expanding its pipelines as U.S. power demand is expected to hit record highs this year and next, fueled by technology firms pouring billions to build data centers to tap the artificial intelligence boom.
“We have approximately C$8 billion of new projects entering service in 2026 across our franchises…,” CEO Gregory Ebel said in a statement. The Calgary-based company completed the acquisition of Dominion Energy utilities — East Ohio Gas, Questar Gas and Public Service Co of North Carolina — last year in a $14 billion deal, including debt.
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Bloomberg – December 3, 2025
Saudis Not Afraid to Cancel Costly Vision 2030 Projects*
Saudi Arabia is open to canceling some projects in its Vision 2030 program, the kingdom’s finance minister said, in some of the strongest public comments yet on the country’s willingness to backtrack on costly developments. “We have no ego — absolutely no ego,” Finance Minister Mohammed Al-Jadaan said in a briefing in Riyadh. “If we announce something and we need to adjust it, accelerate it and make it a priority more than others, or defer or cancel it, we will without blinking.”
Saudi officials have widely telegraphed an ongoing review of Crown Prince Mohammed Bin Salman’s multi-trillion dollar economic transformation plan that includes dozens of projects from desert ski slopes to gaming cities. But comments until now had mostly focused on delays or downsizing, rather than cancellation. The hardening in tone aligns with the newly-released Saudi 2026 budget statement, which puts emphasis on the push to spend more efficiently amid challenges stemming from low oil prices and persistent budget deficits. “Spending efficiency doesn’t mean cutting spending,” Al-Jadaan said. “It means decreasing spending on some items to increase on others.”
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The Hill – December 3, 2025
Why Big Oil is panicking over accountability: David Bookbinder, environmental attorney
American consumers shouldn’t have to pay twice for the damage done by multinational oil and gas companies — once through the harm their products cause to our health and our planet, and again when those same companies use lawsuits filed by local communities as an excuse to hike prices at the pump. That’s how these billion-dollar companies work — and the industry’s fake outrage over it says everything.
Recently, The Hill published an opinion piece from an industry-backed front group calling itself the “Consumer Choice Center,” claiming I support imposing a back-door “carbon tax” through climate liability lawsuits. That is not true. What I said is that the multinational oil companies, not the public, should be the ones to pay for the damage their products cause.
Another publication had to run a correction because they ran an op-ed from an energy industry advocate that falsely claimed I am currently representing Boulder County in their climate lawsuit against Suncor and ExxonMobil. They also implied that the Environmental Integrity Project is involved in climate liability litigation, which is not true. But the pattern is clear: industry-backed pundits have been misrepresenting my words, and their spin machine has gone into overdrive.
Utilities, Electricity & Renewables
KXAN – December 3, 2025
ERCOT proposing rule changes ahead of electricity demands
As energy demands skyrocket in Texas, it’s raising new concerns in reliability on the state’s power grid. According to a recent report from CNBC, Electric Reliability Council of Texas, or ERCOT, has received several requests of more than 220 gigawatts from “large electronic loads” back in November. That’s any load that’s above 75 megawatts where at least half of the power is used for computing essential data centers.
At least 73% of those requests come from projects connected to data centers. According to documents outlining a planned presentation to an ERCOT board meeting next week, these facilities went offline at least 26 times during normal voltage disturbances since 2023.
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Latitude Media – December 3, 2025
ERCOT’s large load queue has nearly quadrupled in a single year
Texas grid operator ERCOT has about 226 gigawatts of large load customers in its interconnection queue as of November. That’s nearly quadruple what it reported at the end of 2024, at 63 GW. About 77% of that load comes from large data centers aiming to connect to the power grid by 2030, ERCOT said in a filing ahead of its board meeting next week.
The interconnection requests far exceed the new power generation that ERCOT expects will come online in the coming years, fueling concerns about reliability. Between 2024 and 2025, about 23 GW of new generation capacity was added to the grid, ERCOT reported. Another nine GW is slated for early 2026.
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KVUE – December 3, 2025
Austin businesses boost power grid by selling rooftop solar to Austin Energy
Businesses in Austin are aiming to boost the power grid. A new program will allow commercial property owners with solar panels on their roofs to sell power to Austin Energy. On Wednesday, Austin leaders celebrated the first business that has taken advantage of the Solar Standard Offer project. So far, solar system owner Radial Power and contractor Axis Solar have installed a total of 812 solar panels on a warehouse rooftop.
Officials said the addition is good for the businesses and customers throughout the area. “The Solar Standard Offer is an industry leading program that Austin Energy launched this year,” Stuart Reilly, general manager of Austin Energy, said. “One of the most innovative aspects of the Solar Standard offer is its ability to drive local solar generation without increasing costs to our customers.”
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The Santa Rosa Press Democrat (CA) – December 3, 2025
Plans for huge new oceanfront battery storage plant are withdrawn following Moss Landing fire
The Texas company that owns the battery storage plant at Moss Landing that burned in a spectacular fire in January, raising questions nationwide about the safety of the fast-growing renewable energy technology, has withdrawn plans to build a similarly-sized battery storage plant in the adjacent county. Vistra, based in Dallas, has notified the California Energy Commission that it is dropping efforts to secure state permits to construct a 600-megawatt battery storage plant in Morro Bay, a coastal town in San Luis Obispo County.
The proposed plant would have been one of the largest in the United States with thousands of lithium-ion batteries capable of storing enough electricity for 450,000 homes. Vistra did not announce the decision to halt the project publicly or notify city leaders, despite having advocated for it over the past four years. The information became public in recent days when local media outlets in San Luis Obispo County confirmed with the energy commission that the company had withdrawn the project.
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Utility Dive – December 2, 2025
Americans lost more power last year than any year in previous decade: EIA
U.S. electricity customers experienced an average of 11 hours of power outages in 2024, nearly twice as many as the annual average across the previous decade, according to a new report from the Energy Information Administration. Hurricanes accounted for 80% of those lost hours, with most of last year’s outages resulting from major weather events like hurricanes Beryl, Helene and Milton, EIA said in the report released Monday.
“Interruptions attributed to major events averaged nearly nine hours in 2024, compared with an average of nearly four hours per year in 2014 through 2023,” EIA said. “Service interruptions that aren’t triggered by major events routinely average about two hours per year.”
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CNBC – December 3, 2025
How families could get stuck with higher electric bills if the AI data center boom goes bust
Data centers that haven’t been built yet are driving up electricity prices and could leave consumers on the hook for expensive power infrastructure if demand projections are wrong. The race to build facilities that provide artificial intelligence has fueled a boom in data centers that train and run large language models, like OpenAI’s ChatGPT and Anthropic’s Claude. The boom has upended a utility industry that grew used to 20 years of no increase in electricity demand.
But now, some investors and energy market analysts are questioning whether the AI race has turned into a bubble, one that would prove expensive to unravel as new transmission lines and power plants are built to support those data centers. Consumers served by the largest electric grid in the U.S. will pay $16.6 billion to secure future power supplies just to meet demand from data centers from 2025 through 2027, according to a watchdog report published this month.
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Utility Dive – December 3, 2025
U.S. data center power demand could reach 106 GW by 2035: BloombergNEF
U.S. data center power demand could reach 106 GW in 2035, BloombergNEF said Monday in one of the more aggressive load growth estimates to date. The U.S. had about 25 GW of operating data centers in 2024, Bloom Energy said earlier this year. BloombergNEF’s latest forecast is 36% higher than its previous prediction, released in April. The jump is due in part to the higher average size of the 150 significant U.S. data center projects announced in the past year, over a quarter of which are larger than 500 MW, BNEF said.
The Energy Information Administration, which tracks demand for the federal government, generally only publishes detailed projections out two or three years, and few other analyses have attempted firm forecasts as far out as 2035.
Regulatory
The Wall Street Journal – December 3, 2025
Climate Change Study Predicting Dire Economic Damage Is Retracted*
A widely cited study on economic damage from climate change was retracted Wednesday following criticism from peers. The research, published last year in the prestigious journal Nature, projected that the world’s economic output would decline 62% by 2100 under a high-carbon emissions scenario. The estimate was much more severe than other forecasts, prompting scrutiny of the underlying data.
“We broadly agree with the issues raised, and have made corrections to the underlying economic data and to our methodology to address them,” said study author Leonie Wenz, from the Potsdam Institute for Climate Impact Research in Germany. “These changes are too substantial for a correction of the original article in Nature.” The study examined historical data from some 1,600 regions worldwide over the past four decades to project how changes in temperature and precipitation would affect economic growth, including factors like agricultural yields, labor productivity and infrastructure.
However, after the study was published, other researchers found that economic data from one country—Uzbekistan—during a short time from 1995 to 1999 had skewed the results. Without Uzbekistan, the 2100 damage forecast fell to 23%, not 62%. The researchers published their critique in Nature in August. Another researcher who wasn’t involved in the original work, Christof Schötz, said the results were more uncertain than the study suggested and published a separate critique in Nature in August.
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The Wall Street Journal – December 3, 2025
Climate Change Might Have Spared America From Hurricanes: Bjorn Lomborg*
The 2025 Atlantic hurricane season ended on Sunday, and not a single hurricane made landfall in the continental U.S. this year. This is the first such quiet year since 2015; an average of around two hurricanes strike the U.S. mainland annually. You’d think this would be cause for celebration—or at least curiosity about what role, if any, global warming played. Instead there has been resounding silence.
We heard plenty about Hurricane Melissa, the monster storm that hit Jamaica in late October with 185-mile-an-hour winds and flooding, causing roughly 100 deaths across the Caribbean. Headlines screamed that climate change was to blame. Attribution studies quickly followed, concluding that human-induced warming made Melissa more likely and worse.
These analyses typically run climate models simulating the world as it is today, with elevated sea-surface temperatures, and compare them with a hypothetical preindustrial world with cooler oceans. If a hurricane is more likely in the former scenario than in the latter, the conclusion is that climate change made the hurricane more likely. Generally, climate change increased the likelihood of about three-quarters of hurricanes, floods and droughts and other events studied worldwide.
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Politico – December 2, 2025
Data centers can bring down electricity prices, Wright says*
Energy Secretary Chris Wright made the case Tuesday that the data center surge widely blamed for raising electricity prices will ultimately do the opposite: lower Americans’ utility bills by spurring greater use of existing grid assets. “The faster we build data centers and we reshore manufacturing in the U.S., that’s actually going to be a force and will ultimately drive down average electricity prices,” Wright said at Energy Dialogues’ North American Gas Forum in Washington. “There’s a lot of people who are pissed at those data center guys — they should actually hug them and kiss them.”
Wright argued that data center demand, along with deregulatory actions taken by the Trump administration, will drive power producers to get more out of existing assets. Wright and other administration officials have blamed rising utility bills on Democratic policies encouraging new renewable generation, while Democrats point to Republicans’ clampdown on clean energy. “We’re going to build 30 gigawatts of new capacity, but we’re going to produce electricity as if we built 100 gigawatts of new capacity just by using our existing assets better,” Wright said.
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New York Post – December 2, 2025
It’s been one big, green goof. The Empire State’s green energy push has been a pie-in-the-sky bust as politicians hit the brakes on their alternate energy goals — and New Yorkers get sticker shock from ever-soaring utility bills, a scathing new report found. The analysis by the Democratic-leaning think tank the Progressive Policy Institute found a “clear and undeniable pattern of failure” across the most critical mandates of the 2019 Climate Leadership and Community Act.
“New York set bold climate targets, but ignored the economic and technical realities required to achieve them,” said PPI’s report author Neel Brown. “The result is an energy system that is less reliable, more expensive, and now politically unsustainable. Unless policymakers course correct, the state risks turning a climate leadership story into a cautionary tale,” he added.
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Texas Energy Report NewsClips
Wednesday December 3, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices slipped for a second consecutive session on Wednesday, as traders awaited the outcome of Russia-Ukraine peace talks that could boost supply, while concerns over a potential surplus grew amid rising inventories.
West Texas Intermediate rose 3 cents, or 0.05%, to $58.67.
Brent crude up 2 cents, or 0.03%, at $62.47 at 0427 GMT.
The analysts noted Brent was at its lowest level since October.
This “weakness comes despite continued Ukrainian attacks on Russian energy infrastructure. Also, Moscow warns that it might start striking ships of countries supporting Ukraine,” a note from ING analysts said on Wednesday.
Russia and the U.S. did not reach a compromise on a possible peace deal for Ukraine after a five-hour meeting between Russia President Vladimir Putin and U.S. President Donald Trump’s top envoys, the Russian government said on Wednesday.
Top Stories
S&P Global Platts – December 2, 2025
Texas power market adds almost 1.7 GW of capacity in November: report
The Electric Reliability Council of Texas approved almost 1.7 GW of generation capacity for commercial operation, led by solar and battery storage, and another 1.1 GW neared commercial operation status, the independent system operator’s latest Grid Interconnection Status Report showed. However, developers canceled 2.3 GW of capacity in November, and ERCOT deemed projects totaling another 2.3 GW of capacity inactive because they failed to meet certain milestones toward completion.
In all, ERCOT’s generation interconnection queue had more than 435 GW of capacity in various stages of completion, led by 174.4 GW of battery storage, 159.5 GW of solar, 52.7 GW of natural gas-fired generation and almost 44.8 GW of wind capacity, according to the report, released late Dec. 1.
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Forbes – November 20, 2025
Facing U.S. Electricity Shortfall, Utilities Prepare For Crisis Years: Llewellyn King
“Energy is everything” is a quote often attributed to Albert Einstein, but was said by someone else. It is as compelling today as ever, but as the nation moves into the age of electrification, it could be modified to “electricity is everything.” On Day One of President Trump’s second term, he declared an energy emergency. It has been followed by what amounts to a new energy policy, although it isn’t called that in a formal way.
This policy has been pursued with brio for coal, gas and oil, and has been accompanied by an aggressive jettisoning of environmental regulation deemed to be punitive. Equally it has deemphasized renewables, and Trump and Energy Secretary Chris Wright have castigated renewables, especially wind.
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Politico – November 26, 2025
One green group’s legal mess has other nonprofits worried*
One of the world’s best-known green groups is duking it out against a Texas energy company in a multi-pronged legal drama that has legal nerds, environmentalists and other companies watching closely. Both sides insist that the nearly decadelong court fight between Greenpeace and Energy Transfer is nowhere near over. The final outcome of the high-profile case — perhaps still years away — could have far-reaching legal implications in the United States and abroad for environmentalists and other activists.
“The way this thing keeps spinning out is utterly fascinating,” said Patrick Parenteau, an emeritus professor at Vermont Law School. For Greenpeace USA, the legal spat surrounding its role in 2016 and 2017 protests over the Dakota Access oil pipeline has become a fight for its life. Energy Transfer and its supporters accuse the green group of advancing an “extremist agenda” that went far outside the bounds of its legal right to protest. The sprawling and complicated battle could drag on for a while, with possible stops ahead in the North Dakota Supreme Court or even the U.S. Supreme Court. On a parallel track, a countersuit filed by Greenpeace International in the Netherlands poses the first-of-its-kind test of European rules aimed at protecting free speech.
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New York Post – November 21, 2025
Qatar has allegedly pumped more than $20 billion into American colleges and other top institutions as part of the Muslim Brotherhood’s decades-long plan to infiltrate the US and “destroy” democracy from within, a leading research institute warns — while adding that the nefarious funding could be staggeringly higher. The Qatar Foundation, which is bankrolled by the country’s ruling Al Thani royal family, has apparently been injecting tens of billions of dollars into institutions to help the Sunni Islamist group carve out toeholds in the educational system, according to a new report by the Institute for the Study of Global Antisemitism and Policy (ISGAP).
“The royal family of Qatar has a Bay’ah — a spiritual oath — to the Muslim Brotherhood, so they’re pumping in many, many billions of dollars into our universities, K-12 schools and cultural institutions, using influence and soft power to promote its ideology,” Dr. Charles Asher Small, executive director of ISGAP, claimed in an interview with The Post.
The Latest TERse Tips
Fitch Ratings has assigned a ‘BB-‘ rating with a Recovery Rating of ‘RR4’ to Crescent Energy Finance LLC’s proposed senior unsecured notes following the launch of an obligor exchange of Vital Energy’s 2029 and 2030 notes for Crescent notes — Fitch views Vital’s acreage as having weaker inventory quality in the Permian compared to peers. Vital has historically had an outsized exposure to wells with higher breakeven prices. Fitch believes Vital’s best locations were in Howard County, which have been largely drilled. Vital has recently been focused on other counties in the Delaware and Midland basins — Fitch
House lawmakers on the Energy and Commerce Committee will examine potential loopholes and vulnerabilities in the cybersecurity and physical protections of the U.S. power grid at a hearing this week — Politico*
Black Stone Minerals, L.P. says it has entered into a 220,000 gross acre development agreement with an affiliate of Caturus Energy, LLC within the Shelby Trough and Haynesville Expansion — see the press release
Enverus Intelligence® Research, a subsidiary of Enverus, is releasing a new report analyzing how utilities across the U.S. are responding to a surge in data center interconnection requests and the evolving rate structures designed to ensure reliable cost recovery — see the press release
Clean Energy Fuels Corp. says it has completed its renewable natural gas facility located at South Fork Dairy in Dimmitt, Texas — the facility is now producing pipeline-quality RNG and has begun injecting into the interstate natural gas pipeline — see the press release
U.S. LNG plants pull record amount of gas, LSEG data show — Bloomberg
Vistra Corp. Upgraded To ‘BBB-‘ From ‘BB+’ On Improved Business Risk Profile; Outlook Stable — S&P Global Platts
Rio Tinto last year bet big on lithium. Its new chief executive officer will next week set out whether the commodity has a prominent future at the world’s second-largest mining company — The Wall Street Journal*
Oil & Gas Texas
Politico – December 2, 2025
Exxon bid to dismiss Connecticut climate lawsuit fails*
A Connecticut court delivered a victory to local governments across the U.S. that are suing oil and gas companies for climate-related damages by rejecting Exxon Mobil’s bid to dismiss the state’s case. Superior Court Judge John Farley sided with the state in a decision issued last week declaring that federal law does not prevent Connecticut from suing the oil giant over misleading advertising. The “fundamental objective of the lawsuit,” Farley wrote, is “to remedy the defendant’s alleged unfair and deceptive marketing practices.”
Exxon had sought to dismiss the case on several grounds, including that federal common law prevents local governments from suing over greenhouse gas emissions. But Farley rejected the arguments, writing that although federal law governs emissions and the production, sale and use of fossil fuels, the state’s lawsuit “seeks to regulate only the defendant’s marketing conduct related to those products.”
Connecticut Attorney General William Tong (D) welcomed the ruling, noting that it follows other setbacks for the company. Exxon in 2023 lost a bid to move the case to federal court, and Farley last year pushed the case closer to trial when he ruled that by registering to do business in Connecticut, Exxon had “consented to jurisdiction” in the state.
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Hart Energy – December 1, 2025
The Barnett’s Revival and What it Means for Tier 1 Scarcity*
Operators are drilling beyond the Permian Basin’s main formations like the Spraberry and Wolfcamp, moving into deeper and older plays, notably the Barnett Shale. Companies are targeting the Barnett for its oil and gas potential, attracted by lower water production and cost efficiency, especially as core areas of the Permian become more developed. The Barnett, historically known for natural gas, is experiencing a resurgence as operators, such as BKV Corp, Occidental Petroleum, and Continental Resources, focus on its oil and gas resources.
This activity is occurring in deeper geological zones, with wells reaching depths of around 11,000 to 12,500 feet, particularly in areas like the Emma Barnett Field in Midland and Martin counties. This move indicates a broader trend of operators looking for new opportunities as the most productive, “Tier 1” zones of the Permian Basin become more consolidated and drilled-up.
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Santa Barbara Independent (CA) – December 2, 2025
Sable Offshore Looking for Way Around State Fire Marshal to Restart Oil Pipeline
Seeking its way to a speedy restart blocked by the Office of the State Fire Marshal, the Sable Offshore oil company is now claiming that federal pipeline regulators should have jurisdiction over whether the company’s pipelines should be allowed to restart and not the State Fire Marshal. At issue is the seemingly arcane question of whether the company’s pipelines qualify as “interstate” vessels, an intuitively obscure term of art meaning they carry oil from California into other states.
Sable is stating that they are and is asking the federal Pipeline and Hazardous Materials Safety Administration (PHMSA) — presumably more friendly with the “energy dominance”–focused Donald Trump than state regulators — to make the same determination. Should PHMSA do so and that action withstand all the inevitable legal challenges that would ensue, it would mean PHMSA and not the State Fire Marshal would have the last word on whether the pipelines — shut down since 2015 when extensive corrosion problems gave rise to Santa Barbara’s worst oil spill since the 1969 disaster — can restart.
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World Oil – December 2, 2025
Halliburton appoints longtime shale executive Tim Leach to board
Halliburton has appointed veteran oil and gas executive Timothy A. Leach to its board of directors, effective Dec. 2, 2025, adding one of the U.S. shale sector’s most recognizable leaders to the company’s governance team. Leach will stand for election at Halliburton’s 2026 annual shareholders meeting.
Leach retired earlier this year after a 40-year career that included senior leadership roles at ConocoPhillips and, notably, his long tenure as chairman and CEO of Concho Resources, which he led from its formation in 2006 through its 2021 acquisition by ConocoPhillips. He later served as ConocoPhillips’ executive vice president for the Lower 48 before taking on an advisory role to the CEO.
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Environment America – December 2, 2025
The BP oil spill, 15 years later: How Texas is spending its $1 billion settlement
In 2010, BP’s Deepwater Horizon oil rig exploded, pouring 134 million gallons of oil into the Gulf of Mexico. The spill devastated Gulf ecosystems and marine life: up to hundreds of thousands of sea turtles were killed, along with 35,000 sea turtle hatchlings; in the years following the spill, bottlenose dolphins experienced a 35% increase in mortality rates and a 46% increase in failed pregnancies; an estimated 600,000 to 800,000 birds passed away as a result of the spill. Beyond the environmental catastrophe, tourism plummeted across the Gulf Coast, leaving communities–especially small businesses that depended on visitors–struggling to survive.
In 2016, BP reached a record-breaking $20.8 billion settlement–the largest ever environmental damage settlement in the history of the United States. The RESTORE Act, passed in response to the spill, directed 80% of the penalties under the Clean Water Act towards ecological and economic recovery as part of the Gulf Coast Restoration Trust Fund. A restoration plan was developed, allotting several billion dollars to state and regional organizations across Texas, Florida, Georgia, Louisiana, Alabama, and Mississippi in order to restore destroyed ecosystems.
Oil & Gas National & International
Energy Law Blog – December 2, 2025
A newly filed class action in the Western District of Washington advances a novel theory of greenwashing liability by suggesting that rising homeowners-insurance premiums are tied to alleged decades of climate deception by major fossil-fuel companies. See Kennedy & Hazard v. Exxon Mobil Corp. et al., Case No. 2:25-cv-02378. According to the complaint, extreme weather events in the United States doubled in the 50 years between 1960 and 2010. In the first 3 quarters of 2024, these catastrophic events produced nearly $145 billion in total economic losses, with almost $80 billion covered by insurance, a trend the plaintiffs say has fueled a nationwide surge in premiums.
The plaintiffs, two Washington homeowners, contend their own premiums more than doubled in recent years and claim these increases allegedly stem from the deception of fossil fuel companies in their promotion of their products. Central to the lawsuit is the allegation that the defendants maintained internal knowledge for decades that continued use of fossil fuel would significantly warm the planet, increase catastrophic weather events, and harm the public. Despite that knowledge, plaintiffs claim the defendants engaged in coordinated efforts “deliberately misleading consumers” about the risks their products posed, thereby prolonging fossil-fuel dependence and “precipitating a homeowners insurance crisis.”
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Reuters – December 2, 2025
OPEC+ to spark spending race with new oil quota system: Ron Bousso*
Changes OPEC+ is making to its oil production quota system will likely spark a wave of upstream investments among members, particularly in low-cost Gulf producers, diminishing concerns of long-term supply shortages. The Organization of the Petroleum Exporting Countries and other major producing nations, including Russia and Kazakhstan, collectively known as OPEC+, approved on Sunday a new mechanism to assess members’ maximum production capacity, which will be used to set output baselines from 2027. This may seem a highly technical matter.
But it could, in theory, mark a welcome change from recent years’ turmoil that saw some members flagrantly exceed production quotas as OPEC de facto leader Saudi Arabia struggled to impose discipline, confounding the oil market. Saudi Energy Minister Prince Abdulaziz bin Salman said on Monday the new mechanism will help to stabilise markets and reward those who invest in production. OPEC+ accounts for nearly half of the world’s oil supply of 106 million barrels per day in 2025, according to the International Energy Agency. The capacity assessment will be done between January and September using a reputable U.S. auditor for 19 out of the 22 group members. It will involve a review of each country’s oilfields and infrastructure to assess how much oil it can bring on stream within 90 days and maintain for one year.
Utilities, Electricity & Renewables
Houston Chronicle – December 2, 2025
Cold front knocks out power for tens of thousands across Houston suburbs*
More than 30,000 customers of CenterPoint Energy were without power early Tuesday across the Houston area—many in the northern suburbs—on one of the chilliest mornings of the season so far. According to CenterPoint’s outage reports, the hardest-hit areas were in northern Harris County, including the suburbs of Spring, Klein and Tomball. In Harris County alone, outage maps initially showed roughly 28,600 affected customers, with smaller pockets in Fort Bend, Chambers and Montgomery Counties.
Power crews, however, worked swiftly to restore service; by about 8:30 a.m., the number of customers still without power had fallen to around 4,000—while CenterPoint estimated full restoration by roughly 11 a.m. The outages coincided with temperatures dipping into the upper 30s and low 40s, bringing a brisk start to the morning commute, according to Space City Weather. While a ridge of high pressure is forecast to build later in the day, helping skies clear and temperatures rise into the low 50s, the brief blackout underscored just how fragile electric service can be during sudden cold snaps. For residents whose power returned quickly—including some in Tomball, where a local high school canceled classes as a precaution—the fast turnaround was a relief.
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Yahoo! News – December 2, 2025
Energy giant hits roadblock in plans for controversial US nuclear facility: ‘Dangerous dump’
Holtec International has suspended its plans to build a nuclear waste storage facility in New Mexico. The nuclear power company was tasked with providing used fuel storage for plants across the country, according to the Cherry Hill Courier-Post. The storage facility in New Mexico was licensed to hold 500 sealed canisters of waste for up to 40 years. Despite Holtec acquiring the license in 2023, opponents vowed to fight against the opening of the facility. The project became “untenable” for the company to pursue.
Beyond Nuclear, an antinuclear energy nonprofit, called the plan a “dangerous dump,” the Courier-Post reported. The group also suggested it would open the door to “many thousands of ‘mobile Chernobyl’ radioactive waste shipments.”
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KDBC – December 2, 2025
El Paso City Council rejects gas rate settlement, decision moves to state commission
The El Paso City Council has rejected a settlement proposal that would have capped a Texas Gas rate increase at 10%, leaving the final decision to the Texas Railroad Commission. The council’s decision follows Texas Gas’ initial proposal for a 27% rate hike, which the council unanimously rejected at their last meeting.
The settlement offer, which would have limited the increase to roughly $3 more per month, was turned down in a narrow 5-4 vote, with Mayor Renard Johnson casting the tie-breaking vote. “It was a very close decision, and I think a lot of the council seemed to be very torn on how to vote here, because again the Railroad Commission of Texas is historically very favorable to the utility companies,” said City Rep. Chris Canales.
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Capital & Main – December 2, 2025
Utility Asks New Mexico for ‘Zero Emission’ Status for Gas-Fired Power Plant
The Southwestern Public Service Company has asked the state of New Mexico to grant exceptions to the state’s Energy Transition Act for two proposed gas-fired power plants, including one exception that would see approximately one-third of the energy produced at one plant qualify as a “zero-carbon resource” like solar panels or wind turbines. A second exception would exempt both plants from the act’s zero-carbon requirement, “to preserve system reliability and protect customers from unreasonable bill impacts.”
The two proposed plants would be in Texas, with the larger of the two — called Gaines County Power Plant — to be built just across the border from Hobbs, New Mexico. Even though the two wouldn’t be in the state, New Mexico’s Energy Transition Act requires that all energy sold in the state by investor-owned utilities be from zero-carbon-emission sources by 2045, no matter where it is generated. The act was an early environmental win for Gov. Michelle Lujan Grisham.
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Reuters – December 2, 2025
The U.S. Department of Energy said on Tuesday it will provide up to $800 million to support development of small modular reactors by the Tennessee Valley Authority and private company Holtec. The Trump administration and nuclear companies believe SMRs will help supply electricity to the U.S. where power demand is rising for the first time in two decades on artificial intelligence, cryptocurrency mining and electric vehicles. Backers say SMRs could save costs because they are expected to be built in factories. But no such reactors are under construction in the United States and questions exist about whether they can provide power as cheaply as today’s larger reactors. Nuclear power also creates long-lasting radioactive waste for which there is no permanent repository.
TVA, a U.S.-owned power utility, will receive up to $400 million in federal cost-shared funding for development of a GE Vernova Hitachi BWRX-300 at the Clinch River site in Tennessee and other projects, the Energy Department said. Holtec, which will also receive up to $400 million, plans to build two SMRs at its Palisades, Michigan, site. Holtec is hoping to reopen the 800-megawatt Palisades conventional reactor this year, which shut in 2022 after operating for more than 50 years.
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Utility Dive – December 2, 2025
MISO begins reviewing 6.1 GW — 70% of it gas — in fast-track interconnection study
About 6.1 GW of potential projects have entered into the Midcontinent Independent System Operator’s fast-track interconnection review process’ second cycle, bringing the total capacity under review to about 11.2 GW, the grid operator said Monday.
Gas-fired generation in the Expedited Resource Addition Study’s second study cycle totals 4.3 GW, or 70% of the total capacity in the cycle, according to a summary of the pending ERAS projects. Battery projects totaled 800 MW in network interconnection capacity, followed by wind projects at 580 MW and solar at 475 MW.
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Bloomberg – December 2, 2025
US Eyes Diesel Generators to Meet Growing AI Power Demand*
The US is looking to tap the nation’s network of large industrial diesel generators used at data centers, big box stores and elsewhere to help curb rising electricity costs and support the surge in power demand from artificial intelligence, according to Energy Secretary Chris Wright. Such a move could add the equivalent of roughly 35 traditional nuclear power plants worth of electricity and negate the need to build scores of power plants that could cost tens of billions of dollars, Wright said Tuesday at the North American Gas Forum in Washington.
Shares of Generac Holdings Inc., the nation’s leading maker of stationary backup generators, turned positive, rising as much as 1.4%, after Wright made his remarks. “We’re going to unleash that 35 gigawatts of capacity that sits there today,” Wright said, adding pollution rules have limited their use. “The massive data center build out over the next few years — most of it we can meet with generators.” Wright, in an interview, added generators already exist at data centers and retail locations such as Walmart Inc., though he mentioned the administration was still studying “the right way to do it.” “They’re all around the country,” Wright said. “It’s going to start with communication to everyone that these assets exist.”
Regulatory
The Wall Street Journal – December 2, 2025
Europe’s Green Energy Rush Slashed Emissions—and Crippled the Economy*
European politicians pitched the continent’s green transition to voters as a win-win: Citizens would benefit from green jobs and cheap, abundant solar and wind energy alongside a sharp reduction in carbon emissions. Nearly two decades on, the promise has largely proved costly for consumers and damaging for the economy. Europe has succeeded in slashing carbon emissions more than any other region—by 30% from 2005 levels, compared with a 17% drop for the U.S. But along the way, the rush to renewables has helped drive up electricity prices in much of the continent.
Germany now has the highest domestic electricity prices in the developed world, while the U.K. has the highest industrial electricity rates, according to a basket of 28 major economies analyzed by the International Energy Agency. Italy isn’t far behind. Average electricity prices for heavy industries in the European Union remain roughly twice those in the U.S. and 50% above China. Energy prices have also grown more volatile as the share of renewables increased. It is crippling industry and hobbling Europe’s ability to attract key economic drivers like artificial intelligence, which requires cheap and abundant electricity. The shift is also adding to a cost-of-living shock for consumers that is fueling support for antiestablishment parties, which portray the green transition as an elite project that harms workers, most consumers and regions.
Energy analysts say it makes strategic sense for a continent that lacks the abundant oil and gas riches enjoyed by the U.S. and some other regions to diversify its energy sources. In some cases like Spain, blessed with lots of sunshine, or Nordic countries, with abundant hydro power to provide energy when its wind farms fall silent, the transition looks promising. France’s reliance on nuclear energy is helping it keep costs down.
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Politico – December 2, 2025
Trump’s anti-climate regulatory spree splits GOP, industry*
President Donald Trump is going scorched-earth on climate change regulations in his second term with the support of GOP lawmakers — despite industry concerns about the consequences. For many companies, the rollbacks of an array of greenhouse gas rules and the policy decisions underpinning them risk closing off business opportunities and making it harder to sell their products in foreign markets. Even the sharp swings in federal policy undermine the regulatory certainty that some of the biggest U.S. industries need to make investments.
“The auto industry is one, the oil and gas is another, where we’ve seen companies weighing in to say that a stable regulatory environment, a predictable environment, a rational environment that allows us to make investments is really critical for business growth and for our global competitiveness,” said Peter Zalzal, lead attorney at Environmental Defense Fund. While those sectors wanted to see changes to ease Biden-era rules limiting emissions, the Trump administration’s efforts to end regulatory limits altogether and undo widely accepted bedrock regulations like the endangerment finding and industrial emissions reporting represent a sharp policy U-turn — one that could end up driving major sectors headlong into a brick wall.
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Politico – December 1, 2025
Takeaways from the Senate Energy-Water spending bill*
Congressional appropriators will have to negotiate bipartisan funding levels for the Department of Energy, the Army Corps of Engineers and other agencies using House and Senate spending bills that lack Democratic support. The Senate Appropriations Committee last week released its fiscal 2026 Energy-Water bill, unveiling legislation written by Sen. John Kennedy (R-La.), the chair of that subcommittee, without the final approval of Sen. Patty Murray (D-Wash.), the panel’s ranking member.
The partisan proposal — which would bolster water infrastructure projects and fossil energy while slashing funding for renewables — came after a weekslong impasse over the overall top line and more than two months after House Republicans passed their own version of the Energy-Water bill along party lines. It is one of the only Senate appropriations bills this cycle that would reduce spending relative to current levels and one of the only fiscal 2026 Senate bills released without Democratic sign-off. It’s not clear whether the panel will hold a markup for the legislation. Congressional appropriators may try to reconcile the bill with the House’s version as part of an effort to pass a number of compromise spending bills before Jan. 30.
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Texas Energy Report NewsClips
Tuesday December 2, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices held firm in early trading on Tuesday as market participants assessed risks stemming from Ukrainian drone strikes on Russian energy sites, mounting U.S.-Venezuela tensions and mixed expectations for U.S. fuel inventories.
West Texas Intermediate crude gained 10 cents, or 0.2%, to $59.42 a barrel.
Brent crude futures rose 7 cents, or 0.1%, to $63.24 a barrel at 0427 GMT.
Both benchmarks advanced more than 1% on Monday, while WTI was near a two-week high.
“Oil held gains as traders awaited President Trump’s moves on Venezuela and assessed Black Sea terminal damage,” Saxo analysts said in a note to clients.
On Monday, the Caspian Pipeline Consortium said it had resumed oil shipments from one mooring point at its Black Sea terminal following a major Ukrainian drone attack on November 29. Russia’s Kommersant newspaper, citing unnamed sources, on Monday said that oil loadings had resumed via the single point mooring 1 (SPM 1), while SPM 2 was damaged.
Top Stories
Bloomberg – December 1, 2025
A new wave of early-stage data center projects is reshaping US electricity demand – and it’s doing it quickly. Data-center power demand hits 106 gigawatts (GW) by 2035 in BloombergNEF’s newest forecast – a 36% jump from the previous outlook, published just seven months ago. The massive growth rate in data center power demand reflects more than a surge in the number of data centers in the pipeline; it also highlights the new centers’ size. Of the nearly 150 new data center projects BNEF added to its tracker in the last year, nearly a quarter exceed 500 megawatts. That’s more than double last year’s share.
This boom in data center demand is colliding with grid realities. In PJM, BNEF forecasts data center capacity could 31GW by 2030, nearly matching the 28.7GW of new generation the Energy Information Administration expects over the same period. In the Electric Reliability Council of Texas, reserve margins could fall into risky territory after 2028, a sign that short-term growth can be absorbed, but longer-term supply will lag.
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The Wall Street Journal – December 1, 2025
Targa Resources to Acquire Stakeholder Midstream for $1.25 Billion*
Targa Resources agreed to acquire Stakeholder Midstream, which provides natural gas gathering and processing services in the Permian Basin, for $1.25 billion in cash. Targa said the acquisition will grow its sour gas treating capabilities and expand its gathering and processing footprint in the Permian Basin.
Targa said it expects Stakeholder to “generate unlevered adjusted free cash flow of approximately $200 million annually with minimal capital needs, very low integration costs and attractive acreage with a stable volume profile.” Targa will fund the acquisition using cash on hand and its existing $3.5 billion revolving credit facility. The transaction is expected to close in the first quarter of 2026.
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Dallas Morning News – December 1, 2025
OPEC+ turns to Dallas firm to decide how much oil members can pump*
OPEC+ set out its methodology for a sweeping review of how much oil members will be capable of pumping in the years ahead, turning to a Dallas-based consultant for help. The Organization of the Petroleum Exporting Countries and its partners launched the latest audit in May, in an effort to align output quotas more closely with members’ actual abilities. The updates would take effect in 2027. They will use Dallas-based DeGolyer and MacNaughton Corp. for the majority of the work.
The question of “maximum sustainable capacity” is a delicate one for the alliance, as some countries — like the United Arab Emirates and Iraq — have expanded their production capacity, while others are struggling to stop their capacity from declining. It’s also an increasingly pressing one. Global oil markets are shifting into an oversupply that threatens further downward pressure on prices, and could compel OPEC+ to make new production cutbacks next year. More realistic quotas would make such curbs more credible.
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Houston Chronicle – November 27, 2025
Patrick calls for Texas Senate to probe solar companies over alleged ties to China*
A pair of solar companies with footprints in Texas are in the spotlight after Lt. Gov. Dan Patrick announced that lawmakers would investigate their financial ties to China. Executives from Ontario-based Canadian Solar and Austin-based T1 Energy, which have both invested in Texas-based solar manufacturing facilities and infrastructure, will be asked to testify before the Texas Senate in early 2026, Patrick said. He cited a Fox News report published Tuesday that detailed alleged ties between the two companies and larger Chinese-backed corporations.
“Based on a new report, it appears China may have a major stake in 2 solar companies in Texas,” Patrick wrote on social media Saturday. The companies’ leaders will be called early next year for a hearing before the Senate Committee on Business and Commerce, Patrick said. Charles Schwertner, R-Georgetown, has been the chamber’s leading lawmaker on energy issues and chairs the committee that will hold the hearings. The Republican-led state Legislature in recent sessions has ratcheted up efforts to counter Chinese influence in the state, including passing new laws in 2023 and 2025 that Republicans said would limit foreign interference on the Texas power grid. Patrick also backed a ban, passed this year, on Chinese nationals and businesses from buying Texas land.
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The New York Times – December 1, 2025
‘The New Price of Eggs.’ The Political Shocks of Data Centers and Electric Bills*
Related: As Democrats prepare to take full control of Virginia’s government, lawmakers file bills to lower costs by requiring utilities to make energy improvements and to create a task force to study barriers to efficiency programs, Canary Media summarizes the Virginian Pilot
As loyal Republicans, Reece Payton said that he and his family of cattle ranchers in Hogansville, Ga., had one thing on their minds when they cast their ballots in November for the state’s utility board — “to make a statement.” They were already irked by their escalating electric bills, not to mention an extra $50 a month levied by their local utility to cover a new nuclear power plant more than 200 miles away. But after they heard a data center might be built next to their Logos Ranch, about 60 miles southwest of Atlanta, they had enough of Republicans who seemed far too receptive to the interests of the booming artificial intelligence industry. “That’s the first time I ever voted Democrat,” Mr. Payton, 58, said.
Message sent. In some of Georgia’s reddest and most rural counties, Republicans crossed party lines this month and helped propel two Democrats, Peter Hubbard and Alicia Johnson, to landslide upsets, ousting the incumbent candidates on the Georgia Public Service Commission. No Democrat has served on the five-person commission, which regulates utilities and helps set climate and energy policy, since 2007. Across the country, Democrats have seized on rising anxiety over electricity costs and data centers in what could be a template for the 2026 midterm elections.
In Virginia, Governor-elect Abigail Spanberger pledged during her campaign to lower energy bills and make data centers pay more. In the House of Delegates, one Democratic challenger unseated a Republican incumbent by focusing on curbing the proliferation of data centers in Loudoun County and the exurbs of the nation’s capital. In New Jersey, Governor-elect Mikie Sherrill promised to declare a state of emergency on utility costs and freeze rates. And in Memphis, State Representative Justin J. Pearson, who is challenging Representative Steve Cohen in a high-profile Democratic primary next year, has vowed to fight a supercomputer by Elon Musk’s artificial intelligence company, xAI, that would be located in a predominantly Black neighborhood.
The Latest TERse Tips
The national average has reached the $3 mark for a gallon of regular for the first time since May 12, 2021 — AAA
November Comptroller’s Office of Texas tax income statement December 1 shows oil down 15% at $413 million, natural gas for November up 7% at $169 million — see the press release
S&P Global Ratings today assigned its ‘BBB-‘ issue-level rating to Texas-based Western Midstream Operating L.P.’s proposed senior unsecured notes — S&P Global Platts
Fermi America, partnering with Texas Tech University System, says it’s signed a non-binding Memorandum of Understanding with MVM EGI Zrt., one of the world’s leading hybrid dry–wet cooling innovators, to engineer and develop a next-generation cooling system for Fermi’s 11-gigawatt private energy grid campus — see the press release
Nearly two dozen Nueces Electric Cooperative employees recently completed a three-week mission to bring electricity to 152 homes across two remote villages in Guatemala — KRIS
Interior Secretary Doug Burgum signed a directive Tuesday that could allow local irrigation districts and other Bureau of Reclamation customers more say in managing their federally funded projects — citing the Trump administration’s focus on “unleashing American infrastructure” and “cutting unnecessary red tape,” Burgum asserted his Secretarial Order 3446 could benefit water and power users throughout the 17 Western states served by the bureau — Politico*
Oil & Gas Texas
The Wall Street Journal – December 1, 2025
TotalEnergies to Sell Stake in Nigeria Projects to Chevron*
Star Deep Water Petroleum, a Chevron subsidiary, will take a 40% stake in the PPL 2000 and 2001 licences located in the West Delta basin, which were awarded to a consortium of TotalEnergies and Nigeria’s South Atlantic Petroleum, the French energy major said Monday. TotalEnergies will retain a 40% stake in the licenses and remain as operator of them, it said. The sale follows a deal between the two companies inked earlier this year, under which TotalEnergies bought a 25% share in several exploration sites operated by Chevron offshore U.S.
“After launching our joint venture in U.S. offshore exploration in June, we’re delighted to now expand our collaboration to Nigeria to unlock new resources in the West Delta basin,” Nicola Mavilla, TotalEnergies’ senior vice-president of exploration, said. The farm-out is subject to regulatory approvals, TotalEnergies said. The company didn’t set out any financial details of the deal.
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Forbes Africa – December 1, 2025
Why Africa Needs Its Own Texas Moment: The Art Of Going Downstream
The continent’s favorable climate could provide the power needed to leapfrog an entire chapter in energy distribution. FORBES AFRICA sits down with Mark Eramo, Co-President of S&P Global Commodity Insights, to unpack its potential and areas of opportunity.
Mark Eramo happens to live in West Texas, where, he says, energy facilities–primarily solar and wind farms–stretch continuously for hundreds of miles along the Gulf Coast. For a state that was once at the heart of the oil and gas boom, pivots don’t get much greater. It’s now a green energy haven, reportedly leading the United States (U.S.) in renewable energy and battery capacity–and it’s not even close. Texas houses nearly 80% more combined solar, wind, and battery capacity than the next-best state: California.
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Inside Climate News – November 30, 2025
Petrochemical Expansion in Texas Will Fall Heavily on Communities of Color, Study Finds
Researchers at Texas Southern University in Houston have analyzed demographic data around the locations of almost 100 industrial facilities proposed statewide and found that about 90 percent are located in counties with higher concentrations of people of color and families in poverty than statewide averages.
In a report released this month, the Bullard Center for Environmental and Climate Justice at Texas Southern also found that nearly half of those proposed industrial sites—petrochemicals plants for manufacturing plastics, coastal export terminals, refineries and other facilities—were already above the 90th percentile for pollution exposure under the U.S. Environmental Protection Agency’s Toxics Release Inventory, a measurement of harmful industrial emissions.
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Mexico Business – November 28, 2025
US Natural Gas Exports to Mexico Hit Record in May 2025
US natural gas pipeline exports to Mexico reached a record high in May 2025, averaging 7.5Bcf/d, driven by growing demand for natural gas in Mexico’s electric power sector, according to the US Energy Information Administration (EIA). Overall, pipeline exports from the US to Mexico averaged 6.4Bcf/d in 2024, a 25% increase compared with 2019 and the highest annual average since records began in 1975.
According to the EIA, most of the supply arrives through four major corridors: South Texas, West Texas, Arizona and California, which in 2024 had a combined capacity of about 14.8Bcf/d. The South Texas route, via the Agua Dulce Hub, serves Northeastern Mexico, while West Texas supply from the Permian Basin primarily feeds northwestern, central and southwestern regions.
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Dallas Morning News – November 29, 2025
The Texans mixing far-right politics with a fringe religious movement: Glenn Rogers*
Tim Dunn, Midland megadonor and dominionist pastor, once described his mission from God and the necessity of going into dark places such as politics. Over a decade ago, Dunn told then Republican Speaker of the Texas House Joe Straus, who is Jewish, that only Christians should hold leadership positions in the House.
Now these spaces are even darker. Dunn exerts immense control over both the Texas House and Senate and one of his political action committees notably donated $3 million to Lt. Governor Dan Patrick right before he was to preside over Attorney General Ken Paxton’s impeachment trial. Dunn’s groups have offered an outpouring of support for Paxton over the years, never mind his moral shortcomings. And Dunn-backed policies have found increasing success in Texas.
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The Chosun Daily – November 22, 2025
Chinese Loans Flood U.S., EU Critical Infrastructure
Chosen Daily News is a Korean newspaper based in the Atlanta area
Related: A Capitol Hill push by GOP China hawks to impose new restrictions on Shenzhen-based aerial drone maker DJI is facing resistance from Republicans who warn the company’s products have become critical tools for U.S. farming and energy firm — Politico*
China has been found to be encroaching on the core economic and security foundations of advanced economies, including the U.S. and Europe, by flooding them with large-scale loans. Analysis suggests that Beijing is expanding its influence not only in Asia and Africa’s impoverished and developing nations but also among advanced economies through massive capital investments.
According to a report published on the 18th by the College of William & Mary-affiliated AidData Research Lab, China provided a total of 2.2 trillion dollars (approximately 3,228 trillion Korean won) in loans and grants to 200 countries over 24 years from 2000 to 2024. This figure is up to four times larger than previous estimates by academia or international institutions.
The U.S. was the largest recipient of Chinese loans. Chinese capital exceeding 200 billion dollars (approximately 293 trillion Korean won) was invested in approximately 2,500 critical infrastructure projects across the U.S. Chinese state-owned institutions were found to have funded projects such as New York’s JFK International Airport, Los Angeles International Airport terminals, liquefied natural gas (LNG) facilities in Texas and Louisiana, and data center construction in Virginia.
Oil & Gas National & International
Reuters – December 1, 2025
OPEC+ sticks to its ‘all is fine in oil’ mantra, but uncertainty rises*
At first glance the decision by OPEC+ to leave oil output levels unchanged for the first quarter of next year could be viewed as confirmation the exporter group is concerned about a looming crude supply glut. It was widely expected that the eight members of OPEC+ undertaking voluntary oil output cuts would stick to their plan of leaving production levels unchanged for the first three months of next year.
It was also no surprise that the group reiterated their commitment to market stability amid a “steady global economic outlook and current healthy oil market fundamentals as reflected in low inventories.” The language used in the brief statement after the meeting on Sunday was familiar, but so are the issues around OPEC+’s view that the oil market is in a good place. The market consensus is that the global oil market is facing a series of issues, some of which are pulling prices in different directions.
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The Wall Street Journal – December 1, 2025
Founder of Oil-Trading Firm That the U.S. Called ‘Kremlin’s Puppet’ Quits*
Gunvor said billionaire founder Torbjörn Törnqvist would leave the commodities-trading company and sell his stake to employees, less than a month after the Trump administration pilloried the firm over its alleged ties to Moscow. The Geneva-based company said Monday that the 72-year-old Swede would sell his 86.1% stake to approximately 60 employees, and that neither Törnqvist nor any of his family or representatives would have any continued involvement with the firm.
Gunvor also named Gary Pedersen, a U.S. citizen who currently runs the company’s Americas business [in Houston], as its new chief executive. The changes come after a period of renewed scrutiny of Gunvor’s rich history in post-Soviet Russia. About a month ago the company said it had agreed to buy the international assets of Lukoil, shortly after the Russian oil producer was hit by U.S. sanctions. However, the deal soon collapsed after the U.S. Treasury Department blocked the transaction, describing Gunvor as “the Kremlin’s puppet.” Gunvor disputed that claim, saying it was “fundamentally misinformed and false.”
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Utilities, Electricity & Renewables
KSAT – December 1, 2025
CPS Energy outlines winter readiness, maintenance as San Antonio braces for cooler weather
CPS Energy officials discussed their winter readiness efforts on Monday morning as cooler temperatures crept into the San Antonio area. Several officials from the utility joined President and Chief Executive Officer Rudy D. Garza to discuss plans to ensure its level of preparedness. Garza said maintenance of the utility’s power plants was on schedule and its crews were ready.
Readiness and compliance efforts for the winter season were submitted to the Public Utility Commission of Texas and the Railroad Commission of Texas. Tree trimming is a practice frequently used during freezing and wet weather. This year alone, Garza said the utility is on track to inspect and trim almost 1,000 miles of vegetation.
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With federal climate incentives and renewable energy programs facing unprecedented rollbacks, state legislatures have become the last line of defense for clean energy deployment. Surging load growth and the cost of electricity is rising faster than the rate of inflation, and state policy must be laser focused on reducing barriers to deployment and driving down permitting costs.
Right now, several states are considering automated permitting bills that could either accelerate the clean energy transition or lock in years of bureaucratic gridlock and stifled innovation. These bills need to pass, but only if they’re designed correctly. The difference between success and failure hinges on a single critical design choice: whether states mandate specific technology platforms or establish technology-agnostic standards that foster competition and innovation.
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San Antonio Express-News – November 25, 2025
With California electric rates stuck at nearly the highest in the nation, the state’s utility regulator is poised to lower the payout shareholders can receive from California’s three large investor-owned power companies. In a proposed decision, the California Public Utilities Commission recommended dropping the “return on equity” by 0.35% each for Pacific Gas & Electric, Southern California Edison and San Diego Gas & Electric. If approved, shareholders of all three companies would see a potential return next year of just under 10%. Such returns for PG&E and Edison haven’t dipped below double digits in at least 20 years.
Utilities said the decline would affect their ability to bring in needed investment for their work. Critics of the decision said that the decline is too small to meaningfully impact ratepayers’ bills, even if it’s a step in the right direction. “California and other (public utility commissions) authorize rates of return that are far in excess of the statutory requirement,” said Mark Ellis, former chief economist at Sempra, which owns San Diego Gas & Electric. The California Public Utility Commission is expected to vote on the decision in December.
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CryptoSlate – November 28, 2025
For two centuries, factories chased cheap hands and dense ports. Today, miners roll into windy plateaus and hydro spillways, asking a simpler question: where are the cheapest wasted watts? When computing can move to energy rather than energy to people, the map tilts. Heavy industry has always chased cheap energy, but it still needed bodies and ships. The novelty with Bitcoin (BTC) is how completely labor, logistics, and physical product have dropped out of the siting equation.
A mining plant can be one warehouse, a dozen staff, a stack of ASICs, and a fiber line. Its output is pure block rewards, not a bulky commodity that must be shipped. That lets miners plug into genuinely stranded or curtailed energy that no conventional factory would bother to reach, and to rush when policy or prices change.
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Power Magazine – December 1, 2025
Finding a Longer-Duration Alternative to Battery Storage
The energy storage market is booming internationally. According to Jon Moore, CEO of BloombergNEF, an analyst firm with a focus on low-carbon markets, energy storage investment increased globally by 36% in 2024. Drivers include the price of battery energy storage systems (BESS) dropping by about 20% in one year. The trajectory of energy storage over the past decade has been nothing short of spectacular. “In 2014, the energy storage market was worth about $0.6 billion worldwide and reached $4.7 billion by 2020, and $53.9 in 2024,” said Moore. “Utility-scale projects in energy storage made up 58% of the market.”
U.S. investment has largely focused on lithium-ion BESS. From 1 GW of BESS in 2020, a steady stream of new projects took the total to about 20 GW at the end of 2024. The U.S. Department of Energy (DOE) has funded dozens more projects around the nation. The vision behind this investment is for excess solar and wind to be stored in batteries for use when the sun doesn’t shine or the wind isn’t blowing. That’s good for the short term—BESS offers up to four hours of storage—but not for longer periods.
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Canary Media – December 1, 2025
Trump & Co Cannot Stop the War on Coal: Michael Grunwald
Ten years ago, I embedded in the war on coal. I spent a month inside the Sierra Club’s Beyond Coal campaign, watching an organization renowned for tree-hugging, grassroots activism use boring legal and economic strategies to shut down coal-fired power plants in red and blue states. In the Politico Magazine article I subsequently wrote, I called the effort “the most extensive, expensive and effective campaign in the club’s 123-year history, and maybe the history of the environmental movement.”
Its litigators and organizers had quietly helped retire one-third of America’s coal fleet in five years — 190 plants in all, about one every 10 days — driving some of the first significant emissions reductions on Earth. The main point of “Inside the War on Coal,” and the key insight of the campaign, was that coal power, historically dirty but cheap, was no longer cheap. In fact, merely operating most existing coal plants had become more expensive than building new clean wind and solar farms as well as less-dirty natural gas plants.
Regulatory
S&P Global Platts – December 1, 2025
US EPA extends deadline for oil producers on methane flaring, emission reporting
The US Environmental Protection Agency is providing upstream oil and gas operators more time to comply with regulations on methane flaring and combustion devices, extending a deadline 180 days from what was set in a July 2025 interim final rule.
The new final rule largely keeps intact other compliance deadlines that were set in the interim final rule, providing 360 days from the effective date for producers to submit annual reports on methane emissions. The new rule, issued Nov. 26, takes effect upon publication in the Federal Register, meaning the reporting compliance deadline is pushed out from August 2025 to November 2026.
Politico – December 1, 2025
Lawmakers challenge Trump changes to rural energy grants*
The Trump administration wants to keep climate change out of the Agriculture Department’s rural energy grant program. Rep. David Valadao, a California Republican from a swing district, is trying to put it back in. Valadao, a dairy farmer from the Central Valley, has teamed up with a Virginia Democrat to reintroduce legislation requiring USDA to favor small rural energy projects that cut greenhouse gas emissions — just the type of project the Trump administration halted earlier this year.
Valadao’s bill with Rep. Eugene Vindman (D-Va.) would make a handful of changes to the Rural Energy for America Program, including boosting the federal government’s matching funds for projects and allowing more agriculture producer cooperatives to participate. Program supporters, including the Environmental Law & Policy Center and farmer-owned cooperatives, support the legislation while acknowledging it may face long odds in the current political environment. REAP provides grants and loan guarantees for energy efficiency projects, which can reduce farmers’ expenses and — at least on a small scale — provide off-farm electricity for rural areas.
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Texas Energy Report NewsClips
Monday December 1, 2025
Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall
Good morning! Here are today’s Texas Energy Report NewsClips
Oil prices rose on Monday after OPEC+ members reaffirmed a plan to hold output steady, as the Caspian Pipeline Consortium halted exports after a major drone attack and U.S.-Venezuela tensions raised concerns about supply.
West Texas Intermediate crude gained $1, or 1.71%, to $59.55.
Brent crude futures advanced $1.01, or 1.62%, to $63.39 a barrel at 0401 GMT.
Both contracts settled down on Friday for the fourth straight month, their longest losing streak since 2023, as expectations for higher global supply weighed on prices.
Top Stories
Reuters – November 28, 2025
Saudi Arabia may reduce January oil prices to Asia to five-year low*
Saudi Arabia, the world’s biggest oil exporter, is expected to lower its January crude price for Asian buyers for a second month to its lowest level for five years, tracking the decline in spot benchmark prices, sources said on Friday. The January official selling price for flagship Arab Light crude will likely decline by 30-40 cents a barrel to a premium between 60 cents and 70 cents to the average of Oman/Dubai quotes, five Asia-based refining sources said in a Reuters survey.
That would mark a second monthly decline and the lowest since January 2021, Reuters data showed. The January OSPs for other crude grades – Arab Extra Light, Arab Medium and Arab Heavy – could fall by 30-50 cents a barrel from December, the sources said. The forecasts mirrored a downward trend in cash Dubai’s premium to swaps, which have averaged 90 cents per barrel so far this month, down 32 cents from October. The pressure came from ample supplies and a surplus outlook as the Organization of the Petroleum Exporting Countries plus Russia and other allies, know as OPEC+, lift output and demand growth slows.
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Reuters – November 29, 2025
US judge authorizes sale of Citgo parent’s shares to Elliott affiliate*
A U.S. judge on Saturday authorized the sale of shares in the Venezuela-owned parent of Citgo Petroleum to an affiliate of Elliott Investment Management, following his approval earlier this week of a $5.9 billion bid from the company in a court-organized auction to pay Venezuela-linked creditors. The sale order is the last major legal step to wrap a two-year auction aimed at paying up to 15 creditors for debt defaults and expropriations in the South American country. In a case first introduced by miner Crystallex against Venezuela in 2017, the Delaware court found Citgo’s parent PDV Holding liable for the OPEC country’s debt, opening the door for over a dozen additional creditors to join the auction.
The bid from Elliott’s Amber Energy, which includes a key agreement to pay $2.1 billion to the holders of a defaulted Venezuelan bond, had been recommended earlier this year by a court officer overseeing the auction, in a switch from his previous recommendation of an offer from rival bidder Gold Reserve. The change triggered a flurry of objections and challenges to Amber’s bid, which were overruled by Delaware Judge Leonard Stark. But parties in the case including Venezuela have said they will appeal Stark’s confirmation of Amber’s bid.
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Energies Media – November 28, 2025
The Permian basin in the United States has long been the foundation of the American energy sector and boasts several huge international companies with substantial operations. Recently, Targa Resources outlined its plans to develop a 500-mile “Speedway” NGL pipeline that will link the Permian to Mont Belvieu, Texas. The company has been contemplating measures to increase its foothold in the Permian and now has plans to construct the astonishingly long NGL pipeline, along with several other projects.
The reality of the impact of sanctions on Russian energy has led the US to become the top destination for the world’s gas and NGL buyers, all frantically searching for a non-Russian energy supplier. The new “cold war” of energy resources between the US and Russia has led many nations that formerly did business with Moscow to enter into purchasing agreements with the US to buy their substantial gas supply.
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The New York Times – November 29, 2025
Electricity is the new oil as Texas power deals top $100 billion so far this year*
It’s no secret that energy, particularly in the form of electricity, has become the foundation of dealmaking in anticipation of the need for hyperscale computing and data storage. But the demand for power and utility deals, large and small, would be hard to overstate. In the first three quarters of 2025, Texas lawyers handled more M&A transactions involving power and utility projects than in any full year since 2018. Not only are there more deals, but they are larger. Far larger. In the first three quarters of 2025, Texas-related deals in the power and utilities sector hit $106.5 billion. By comparison, the record-setting M&A year of 2021 saw eight P&U transactions totaling $3.7 billion.
If that comparison doesn’t project the sheer scale of the power grid M&A explosion this year, let’s try another. In the second quarter of 2025, power and utilities deals totaled $31.4 billion. That’s more than the $31.3 billion reported for the sector in 2023 and 2024 combined. Moreover, consider that the second quarter is the lowest quarter in the power sector thus far in 2025. The first quarter was higher at $33.2 billion and the third, at $41.9 billion, ranks highest thus far.
This comes as no particular surprise to Ahmed Sidik, a partner at Kirkland & Ellis in Houston, who’s been handling PE investments across a wide range of power sectors. “There’s demand for anything that touches on digital infrastructure and artificial intelligence,” says Sidik. And the deals are reaching beyond simple investments in existing power grids and their infrastructure.
Beyond the competition for resources like oil and natural gas comes the demand for the parts, the construction capacity and organizational expertise to plan, build and run increasingly complex power projects to provide the consistency, continuity and massive output required for hyperscale computing and data storage.
The Latest TERse Tips
US Rep. Troy Nehls won’t seek reelection, becoming the sixth Texas Republican to announce exit from Congress — but his brother will run in his place — Texas Tribune
Fort Bend County conservative Rebecca Clark announced Saturday her candidacy for Congress in Texas’ 22nd Congressional District, the same day US Rep. Troy Nehls said he will not seek reelection — Covering Katy News
What to know as US inches closer to direct attacks on Venezuela — Trump’s social media post says airspace around the South American country should be considered closed. Venezuela condemned the comments as a “colonialist threat” incompatible with international law — USA Today
As US military activity ramps up in the Caribbean and the Pacific, Colombia’s president alleged the Trump administration’s pressure campaign on Venezuela is more about accessing the South American country’s oil than fighting drug trafficking — CNN
Ukraine’s security service claimed strikes on two ocean-going tankers sanctioned for carrying Russian oil, which were hit by blasts off Turkey’s Black Sea coast over the past day — Bloomberg*
Attorney General Ken Paxton Launches Investigation into Use of Chinese Communist Party-Aligned Tech Products in Critical State Infrastructure — the AG sites a power storage station currently under construction near Mabank — see the press release
El Paso Electric is again seeking regulatory approval for its New Mexico renewable energy plan after resolving tariff-related cost uncertainty of a solar-plus-storage procurement proposed in the plan – RTO Insider*
EOG Resources is testing the Pearsall Formation in South Texas, while Formentera Resources is leading the play’s development with a majority of the permits and recent successful well results — the two companies are drilling near each other in Frio County, targeting an “oily window” of the Pearsall Formation that was previously abandoned for being “gassy” — Hart Energy*
Alaska regulators have assessed a $695,900 fine against Hilcorp for violations at two wells in a North Slope oil field that is a satellite of the giant Prudhoe Bay field — Politico*
Equinix Inc. has outlined details of a project in two filings with the Texas Department of Licensing and Regulation last week for a four-story, 372,517-square-foot data center as well as fixtures, mechanical and electrical equipment at 1550 W. Mockingbird Lane near Love Field — Dallas Morning News*
Oil & Gas Texas
Oil Price – November 26, 2025
US Rig Count Falls Off a Cliff In Thanksgiving Week
The total number of active drilling rigs for oil and gas in the United States fell sharply this week, according to new data that Baker Hughes published on Wednesday ahead of the Thanksgiving holiday. The total rig count in the US fell by 10 to 544 this week, according to Baker Hughes, down 38 from this same time last year.The number of active oil rigs saw a big dip in the reporting period, according to the data, falling by 12 rigs and reaching 407. Year over year, this represents a 70-rig decline. The number of gas rigs rose by 3 to 130, which is 30 more than this time last year. The miscellaneous rig count dipped by 1 to 7.
The latest EIA data showed that weekly U.S. crude oil production fell for the second week in a row in the week ending November 21 to 13.814 million bpd on average, 48,000 bpd under the all-time high. Primary Vision’s Frac Spread Count, an estimate of the number of crews completing wells, rose for the second week in a row in the week ending November 21, gaining 4 to reach 179. This is down from 201 at the beginning of the year.
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LNG Prime – November 27, 2025
Delfin secures new DOE extension*
Delfin Midstream has received extensions from the U.S. Department of Energy (DOE) and the Federal Energy Regulatory Commission (FERC) for its Liquefied Natural Gas (LNG) export project, with the DOE granting an extension to June 1, 2029 and the FERC extending its construction deadline to September 28, 2027. The company is working to reach a final investment decision (FID) for the project, which is expected to be a significant deepwater port facility.
- DOE Export Permit: The DOE granted an extension to June 1, 2029, allowing the project more time to begin exporting LNG to countries that do not have a Free Trade Agreement with the USA.
- FERC Construction Permit: FERC granted a four-year extension to September 28, 2027, for the construction of the project’s onshore facilities
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MSN – November 28, 2025
America’s great shale revolution rumbles on
Never bet against America’s oil and natural gas engineers. About two decades ago, these engineers delivered the shale oil and natural gas revolution. After many years of trying to figure out how to extract the oil and natural gas trapped in shale rock formations, America’s petroleum engineers developed horizontal drilling and hydraulic fracturing, commonly called fracking. Water laced with sand was injected into the shale deposits. This technology unlocked billions of barrels of crude oil previously trapped deep underground in the shale oil deposits of America’s Permian Basin, located in Western Texas and Eastern New Mexico.
With fracking, oil companies were able to crack shale rock apart. They accessed tiny deposits of oil. Using this technology, America’s oil companies increased domestic oil production from about 6 million barrels a day in 2006, to over 22 million barrels of daily production today. With fracking technology, the U.S. is the world’s leading producer of oil. Using similar technology, the U.S. is now a major producer and exporter of natural gas. Fracking transformed the U.S. from being a large importer of oil to a major exporter of oil. It thus also ended American dependence on oil imported from the Middle East.
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Oil Price – November 24, 2025
New Monster Gas Wells Are Outperforming Legacy Haynesville Deposits
With the US in the midst of a gas demand boom driven by liquefied natural gas (LNG) projects and surge in electricity demand amid the steady buildout of data centers, the Western Haynesville has increasingly garnered attention as a promising source of future supply. The area, located roughly 150 miles north of Houston, Texas, in the Robertson, Freestone and Leon counties, has seen 60 wells drilled over the past four years. The wells are twice as productive as the median legacy Haynesville wells, but are as much as triple the drilling and completion (D&C) cost. The eventual success will come down to whether operators can continue to drive down costs in the region while replicating (or improving) the productivity of the initial wells.
After garnering much attention when the first ‘monster’ well was completed in 2022, the area has recently come back to prominence as Comstock Resources shifts capital expenditure (capex) toward the play, and as new operators such as Japan’s Mitsui, private E&P Hilcorp and North America’s largest natural gas producer Expand Energy have entered. The high costs and high productivity of the play stem from its geology, as the far western stretches of the Haynesville and Bossier shales are found at true vertical depths of about 17,000 feet (5,180 meters) or deeper and contain overpressured reservoirs and extremely high bottomhole temperatures.
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Upstream – November 28, 2025
Diamondback Energy aims to be ‘last consolidator’ standing in the Permian*
Diamondback Energy aims to be the “last consolidator” in the Permian Basin by acquiring smaller companies to expand its size and efficiency, which it believes will give it a competitive edge in a slowing market. The company’s strategy is supported by its recent large-scale acquisitions, including the $26 billion merger with Endeavor Energy, and its focus on operating with lower costs and a superior development strategy. Diamondback aims to be the consolidator of choice until other companies can prove they can operate more effectively.
Diamondback is positioned to be a leader in Permian consolidation, following a recent $26 billion merger with Endeavor Energy and a $4.08 billion acquisition of Double Eagle. The company’s strategy is based on the belief that shale activity is slowing, and that a stronger company with lower operating costs and efficient development will be more successful.
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The Wall Street Journal – November 27, 2025
The Texas Oil Mogul at War With California Over an Offshore Bounty
Oil giants have fled California, but James Flores is desperate to get in, even if it means crossing swords with the state. His company, Houston-based Sable Offshore, wants to reboot dormant oil platforms it bought from Exxon Mobil in federal waters near Santa Barbara. Flores, Sable’s chief executive, wagered that he could patch a leaky pipeline that once caused a disastrous oil spill, ship tens of thousands of barrels of crude to California’s refineries—and earn a windfall. He faces an uphill battle.
Although California has wrestled with high fuel prices and recently encouraged inland drilling in the state, its newfound goodwill hasn’t extended to Sable. Officials have blasted the company as a fly-by-night outfit that poses an environmental risk to sensitive coastal areas. Gov. Gavin Newsom has signed a bill that seeks to stonewall the project. Investors have grown skeptical of Sable, whose entire business hinges on the California bet. Its market capitalization has melted from about $3.2 billion in July to about $600 million.
But Flores, who is known in the industry as a hard-charging CEO, is digging in. Sable has turned to President Trump’s administration for help financing and permitting an expensive pivot to load crude onto tankers in the middle of the ocean—a bid to sidestep the need for a pipeline that California would have to approve. Flores has pitched Sable as a solution to California’s energy woes and echoed the administration’s criticism of the state’s climate-focused policies. The administration just announced plans to open waters off California’s coast to drilling, which Newsom called “dead on arrival.”
Oil & Gas National & International
Offshore Engineer – November 3, 2025
EIA data show that US oil production reached a record high in September.
The Energy Information Administration (EIA), which released data on Friday, showed that U.S. crude oil production reached a new record in September, despite concerns about oversupply. Oil production in the U.S. continues to reach record levels despite weak prices, which further weighs on global oil prices. Benchmark Brent crude traded just below $64, about 14% lower than the same time last.
According to EIA, the U.S. crude output increased by 44,000 barrels a day in January to a new record of 13.84 million barrels bpd. The oil output of New Mexico, which is the second largest state in terms of production, reached a record-breaking 2.351 millions bpd. Meanwhile, output from the federal offshore Gulf region increased to 1.983million bpd during September, marking the highest level since February 2020.
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Reuters – November 30, 2025
Gunvor weighs US energy push that could bolster Washington ties, sources say*
Commodity trader Gunvor has held active talks to invest in U.S. oil- and gas-producing assets, which could smooth over ties with the Trump administration after fallout from Gunvor’s bid to buy sanctioned Russian major Lukoil’s foreign assets, two sources familiar with the matter said. Gunvor dropped its bid to buy Lukoil’s assets after the U.S. Treasury expressed strong opposition to the move, calling the trading firm “Kremlin’s puppet.”
While Gunvor had been interested in increasing its U.S. investments even before the failed Lukoil bid, such a move could now help it to improve relations with the administration of President Donald Trump, which has made it a top priority to attract more investments in the country’s energy industry, the sources said. Gunvor’s Americas unit, led by Gary Pedersen, has considered backing newly formed private oil and gas companies in buying assets on its behalf, and has held talks to provide financial backing for existing producers to expand their footprint, the sources said. The sources, who requested anonymity to discuss confidential information, cautioned that a deal was not certain.
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Bloomberg – November 27, 2025
US LNG Exports at Record High Just in Time for Winter Demand*
US liquefied natural gas exports are set to hit a record high this month, helping to tame prices in Asia and Europe as winter begins. The US is expected to ship 10.7 million tons in November, according to predictive ship-tracking data from Kpler. That’s up roughly 40% from the same month last year, the data showed. The additional supply could push gas prices in Europe and Asia lower over the next few months, even though colder weather will boost consumption of the heating fuel. European gas futures fell to the lowest level in more than a year on Thursday, while prices in Asia, home to the largest importers, are at the lowest level in about a month.
New projects are set to keep lifting US LNG exports for years, with output poised to double by the end of the decade. The Plaquemines facility is currently ramping-up output, while Golden Pass could send its first shipment before the end of winter.
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The New York Times – November 26, 2025
Trump Vowed Fewer Regulations and Lots More Oil. He’s Delivered on One.*
Never before has a president swept into the White House pledging such a rapid expansion of oil and gas drilling in the United States as Donald Trump. But nearly a year since Mr. Trump ordered his administration to unearth the nation’s vast reserves of petroleum — or, as he called it, the “liquid gold under our feet” — analysts said fossil fuel production wasn’t much higher than the record levels that existed during the Biden administration. The price of a barrel of oil has tumbled from roughly $75 when Mr. Trump took office to below $60. His tariffs have raised the cost of steel and other commodities that oil companies require for wells and other equipment. Oil production is up, but largely because of improved efficiency, and it has not translated into more jobs for either the industry or the overall economy.
Prices at the pump dipped briefly earlier this year but nowhere near by half, as Mr. Trump repeatedly promised on the campaign trail. And the administration has taken other actions, like ordering that expensive coal-burning power plants remain open, canceling permits for offshore wind projects and encouraging exports of natural gas overseas, that in combination may have helped to raise electricity and natural gas prices for American consumers. “The ‘Drill, baby, drill’ agenda has not materialized,” said Kenneth B. Medlock, an energy economist at Rice University’s Baker Institute for Public Policy in Houston. And yet the uncertain investment climate for fossil fuels comes as the industry’s political influence has soared this year.
Utilities, Electricity & Renewables
KEYE – November 29, 20254
Fact Check Team: Exploring AI data centers’ impact on U.S. resources
As the U.S. races to stay competitive in the global AI boom, data centers are multiplying at a record pace. But a new analysis from the Pew Research Center shows that behind the innovation is a massive, and growing, strain on the country’s energy and water systems. And for everyday Americans, that could mean higher bills and new long-term environmental challenges. Pew’s review of federal and international data shows U.S. data centers used 183 terawatt-hours of electricity in 2024, about 4% of all electricity used nationwide, according to the International Energy Agency (IEA). That’s roughly equal to the entire annual electricity use of Pakistan.
The biggest driver? Hyperscale facilities built specifically for AI models. According to Pew and the IEA, a typical AI-optimized hyperscale center uses as much electricity as 100,000 homes a year. Newer mega-facilities could use 20 times more once they go online. In major hubs, especially Northern Virginia, clusters of these centers now consume more than a quarter of the state’s total electricity supply, the Electric Power Research Institute reports.
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Power Magazine – November 26, 2025
NERC: Winter Grid Reliability at Risk Amid Soaring Demand, Fuel Supply Gaps
In its recently released Winter Reliability Assessment, the North American Electric Reliability Corporation (NERC) found that while resources are adequate for normal winter peak demand, large swaths of North America face an elevated risk of electricity shortfalls during prolonged, wide-area cold snaps. Noting that four severe Arctic storms have swept across much of the continent since 2021, NERC warns that extreme conditions spanning a wide area could result in electricity supply shortfalls this winter.
While power supply is expected to be adequate under normal conditions, NERC in its Nov. 18 assessment found that rising electricity demand is significantly outpacing new resource additions—a trend reversal that exposes the grid to elevated risk during extreme winter weather. After several years of flat or low (~1%) peak demand growth, aggregate peak demand for all NERC assessment areas has risen by 20.2 GW (2.5%) since last winter—significantly faster than the addition of 9.4 GW in total resources.
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Oil Price – November 28, 2025
America’s Fragile Grid Faces a Perfect Storm Ahead of Winter
The energy infrastructure in the United States has failed repeatedly in instances of severe weather, due to years of underinvestment and the failure of utilities to work together to strengthen larger networks. During winter storms and wildfires, a wide range of energy infrastructure has been known to fail due to the lack of preparedness by utilities and state governments. Going into the winter months, there are fears over more potential network failures across various parts of the U.S.
Texas, California, and several other states face annual power outages due to severe weather events, from winter storms to heatwaves. In February 2021, Storm Uri brought plunging temperatures to the state of Texas and left millions of people without electricity, heat, or running water, as much of the infrastructure froze. These outages turned off electricity in various parts of Texas, including parts of the natural gas network that are electrically operated, such as pumps and antifreeze injection systems. This led to the shutdown of several power plants.
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Politico – November 26, 2025
Climate fight lingers for rural energy grants*
The Trump administration wants to keep climate change out of the Agriculture Department’s rural energy grant program. Rep. David Valadao, a California Republican from a swing district, is trying to put it back in. Valadao, a dairy farmer from the Central Valley, has teamed up with a Virginia Democrat to reintroduce legislation requiring the USDA to favor small rural energy projects that cut greenhouse gas emissions — just the type of project the Trump administration halted earlier this year.
Valadao’s bill with Rep. Eugene Vindman (D-Va.) would make a handful of changes to the Rural Energy for America Program, including boosting the federal government’s matching funds for projects and allowing more agriculture producer cooperatives to participate. Program supporters, including the Environmental Law and Policy Center and farmer-owned cooperatives, support the legislation while acknowledging it may face long odds in the current political environment. The REAP program provides grants and loan guarantees for energy efficiency projects, which can reduce farmers’ expenses and — at least on a small scale — provide off-farm electricity for rural areas.
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Recharge News – November 26, 2025
Texas battery boom backfires as revenues collapse*
A recent Enverus report indicates that Texas’s battery energy storage boom has backfired, with revenues dropping nearly 90% over two years due to market saturation. This has shifted revenue sources away from ancillary services, which previously made up the majority of profits, and towards energy arbitrage, as the increased competition has driven down prices for stability services. As a result, the profitability of battery projects has collapsed, forcing operators to find new strategies to remain viable.
Average annual revenue for battery energy storage systems (BESS) in Texas has fallen from approximately $149/kWh in 2023 to a projected $17/kWh for 2025, a decrease of nearly 90%. The rapid growth in battery projects, fueled by Texas’s solar boom, has led to market saturation. This has increased competition for providing grid stability services (ancillary services), driving down the prices for those services.
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Bloomberg – November 25, 2025
The Electric Door Tesla Made Famous Is Now a Danger in Other Cars*
Elon Musk wanted Tesla Inc.’s electric door handles to embody the future — sleek, seamless and emblematic of the cool he envisioned plug-in cars would come to personify. He succeeded: In just over a decade, handles that function at a touch have become hallmarks of modern automotive design, replicated from Detroit to Shenzhen as automakers raced to borrow Tesla’s aesthetic.
Now some drivers and industry analysts say this much-imitated style is proving to be a safety hazard. Electric doors are locking people out of their cars or — even worse — making it harder for them to exit, even after a crash. In some cases, the outcome has been deadly. Complaints to the US National Highway Traffic Safety Administration (NHTSA) about the doors — across all car models — jumped 65% in 2024 from the prior year. Among 520 complaints about electric handles and doors that were filed with federal regulators over the last decade, there were numerous allegations of pets and kids being trapped inside a car after a loss of power.
Tesla has drawn the most complaints, and the automaker is now the subject of a US safety investigation into the dangers associated with its doors. Regulators announced the probe in September, shortly after a Bloomberg News investigation into fatal incidents involving Tesla’s doors. But drivers have complained to the government about other carmakers as well.
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Politico – November 25, 2025
EPA to scrap lifesaving soot pollution limit*
The Trump administration has crossed a key threshold in its campaign to toss a stricter air pollution standard for soot, in a move that threatens to erase one of the Biden administration’s core public health accomplishments. In a motion filed Monday evening, EPA attorneys asked the U.S. Court of Appeals for the District of Columbia Circuit to vacate the standard, which is predicted to save thousands of lives by tightening the exposure limit to a pollutant tied to a higher risk of strokes, lung cancer and other cardiovascular and respiratory diseases.
The case could provide a landmark test of the agency’s ability under President Donald Trump to successfully pull off an industry-friendly agenda of regulatory rollbacks. In the newly filed motion, EPA echoed the arguments of the U.S. Chamber of Commerce and other business advocates in faulting the Biden administration for allegedly taking a “regulatory shortcut” by adopting the stricter annual standard for the fine particles often dubbed soot without first conducting the “thorough review” required by the Clean Air Act.
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Regulatory
The Wall Street Journal – November 28, 2025
The Left’s Climate Dreams Hit Energy Reality*
The politically-driven effort to force a transition from traditional power to wind, solar and battery has produced an energy crisis in blue America. Progressive-led states are beset by increasing electricity rates and declining reliability. Although their leaders uniformly blame President Trump, the costs have become so high that some on the left are finally scaling back these destructive policies. But it’s no guarantee sobriety will win the day.
New leftwing awareness of energy realities is apparent coast to coast. Former New Jersey Rep. Mikie Sherrill won the state’s governorship this month in part by pledging to deal with high electricity costs. As a member of Congress Ms. Sherrill reliably voted for the energy-transition agenda, although on the campaign trail she blamed Trump policies for her state’s problems. Out West, California Gov. Gavin Newsom is moderating some of his positions in anticipation of a 2028 presidential run from a state with the nation’s highest electricity rates. Mr. Newsom recently signed legislation returning billions to the state’s beleaguered rate-payers. As he slowed some of the “climate” regulations that he previously helped accelerate, Mr. Newsom deflected responsibility to subsidy reductions in President Trump’s “One Big Beautiful Bill” that have yet to take effect.
Yet recent infighting over detransitioning in Massachusetts indicates that holdouts remain, opposing even the most sensible adjustments. In late October, the organization tasked with ensuring the reliability of New England’s grid warned of power shortages as soon as this winter, emphasizing the need to obtain dependable energy production. The gist: Solar and wind will not deliver sufficient, constant, reliable power.
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Politico – November 24, 2025
The Senate last Monday unveiled its bill to fund the Department of Energy, the Army Corps of Engineers and other agencies, proposing some cuts to clean energy. The upper chamber’s version of the fiscal 2026 Energy-Water bill will have to be reconciled with the House’s version. Congressional appropriators are hoping to pass a number of compromise spending bills bill before Jan. 30.
The Senate’s legislation reflects the priorities of Sen. John Kennedy (R-La.), chair of the Senate’s Energy-Water Appropriations Subcommittee, who said he wanted to cut funding for renewable energy in order to shore up nuclear weapons programs and the Army Corps of Engineers. It was released without the blessing of ranking member Patty Murray (D-Wash.). “While I am disappointed that Senate Republicans released a partisan bill instead of working with Senate Democrats — and I am especially disappointed by the cuts to critical clean energy programs — there are some important priorities I strongly advocated for that are addressed by the bill released today,” said Murray.