In its latest short term energy outlook (STEO), which was released on February 10, the U.S. Energy Information Administration (EIA) projected that the average Brent spot price will drop in 2026 and 2027. According to this STEO, the EIA sees the Brent spot price coming in at $57.69 per barrel in 2026 and $53.00 per barrel in 2027. The Brent spot price averaged $69.04 per barrel in 2025, the STEO showed. A quarterly breakdown included in the EIA’s latest STEO showed that the organization expects the Brent spot price to come in at $64.44 per barrel in the first quarter of this year, $57.32 per barrel in the second quarter, $55.35 per barrel in the third quarter, $54.00 per barrel in the fourth quarter, and $53.00 per barrel across the first, second, third, and fourth quarters of next year. In the STEO, the EIA highlighted that the Brent crude oil spot price averaged $67 per barrel in January, which it pointed out was $4 per barrel higher than the average in December. The EIA noted that daily Brent crude oil prices increased from an average of $62 per barrel on January 2 to $72 per barrel on January 30. “Crude oil prices rose in response to disruptions to crude oil production in the United States and Kazakhstan,” the EIA highlighted in the STEO. “Despite the near-term increase in prices and short-term disruptions to oil supply, we forecast that strong growth in global oil production will result in high global oil inventory builds over the forecast, causing crude oil prices to fall,” it added. “We forecast that Brent spot prices will average $58 per barrel in 2026 and $53 per barrel in 2027, down from an average of $69 per barrel in 2025,” it continued. In its STEO, the EIA said

The US government issued a general license to allow oilfield-service companies to work in Venezuela as the Trump administration eases sanctions and pushes to rebuild the nation’s crude infrastructure. The license issued by the Treasury Department allows US firms to explore, develop and produce oil and natural gas in Venezuela under certain limited conditions, according to a statement Tuesday. The move is the latest in a series of steps Washington has taken to entice US companies to revive output from Venezuela’s vast crude reserves after last month’s capture of strongman Nicolás Maduro. In January, the US issued a general license that allowed for a wide range of crude operations, including exporting, transporting, refining and buying and selling crude. The general license announced Tuesday involves tasks such as geological mapping, reservoir analysis and related tasks that augment the commencement of oil production.  However, the license does not allow new joint ventures in Venezuela. US people and firms will need to provide detailed plans to the State Department and Department of Energy for any work in the country, according to the statement. The Treasury Department is also preparing to issue a general license allowing companies to pump oil in Venezuela, Bloomberg reported earlier this month.  Oilfield service companies are hired by producers to asses discoveries, drill wells, and enhance output from older assets. SLB Ltd., Halliburton Co. and Baker Hughes Co. dominate the sector. SLB has been working in Venezuela for Chevron Corp., operating under a US license held by the supermajor. The other large contractors scaled back or shut down their primary operations in the country as the previous regime tightened control over the energy industry.  WHAT DO YOU THINK? Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate

The U.S. Energy Information Administration’s (EIA) latest gasoline fuel update, which was released on February 10, showed an increasing trend for the U.S. regular gasoline price. According to the update, the U.S. regular gasoline price averaged $2.853 per gallon on January 26, $2.867 per gallon on February 2, and $2.902 per gallon on February 9. Although the February 9 price was up $0.035 from the week ago price, it was down $0.226 from the year ago price, the update outlined. Of the five Petroleum Administration for Defense District (PADD) regions highlighted in the EIA’s latest fuel update, the West Coast was shown to have the highest U.S. regular gasoline price as of February 9, at $3.938 per gallon. The Gulf Coast was shown in the update to have the lowest U.S. regular gasoline price as of February 9, at $2.476 per gallon. A glossary section of the EIA site notes that the 50 U.S. states and the District of Columbia are divided into five districts, with PADD 1 further split into three subdistricts. PADDs 6 and 7 encompass U.S. territories, the site adds. In a blog posted on its website on February 9, GasBuddy noted that, according to its data, the U.S. average price of gasoline “has risen 1.2 cents over the last week and stands at $2.84 per gallon”. “The national average is up 5.4 cents from a month ago and is 24.9 cents per gallon lower than a year ago,” it added. In that blog, Patrick De Haan, head of petroleum analysis at GasBuddy, said, “the national average price of gasoline only edged slightly higher last week, but nine of the ten largest weekly price movements were increases, led by West Coast states as California begins the transition to summer gasoline”. “Most states saw relatively minor fluctuations, but we’re

In an oil and gas report sent to Rigzone late Tuesday by the Macquarie team, Macquarie strategists, including Walt Chancellor, revealed that they are forecasting that U.S. crude inventories will be up by 6.5 million barrels for the week ending February 6. “This follows a 3.5 million barrel draw in the prior week, with the crude balance again realizing tighter relative to our expectations, albeit amidst significant winter freeze noise,” the strategists said in the report. “For this week’s stats, we again see significant room for volatility as freeze impacts work their way through the data,” they added. “In any event, for the week ending 2/6, from refineries, we look for a minimal increase in crude runs, with turnaround timing adding noise to the picture. Among net imports, we model a meaningful increase, with exports lower (-0.5 million barrels per day) and imports higher (+0.2 million barrels per day) on a nominal basis,” they continued. The strategists noted in the report that timing of cargoes remains a source of potential volatility in the weekly crude balance. “From implied domestic supply (prod.+adj.+transfers), we look for a large nominal bounce-back (+0.7 million barrels per day) following last week’s freeze impacts,” the Macquarie strategists went on to state. “Here too, the extent of lingering disruptions adds uncertainty. Rounding out the picture, we anticipate SPR [U.S. Strategic Petroleum Reserve] stocks unchanged for the week ending 2/6,” they added. The strategists also noted that, “among products”, they “look for a modest gasoline build (+1.4 million barrels) offset by a distillate draw (-1.4 million barrels), with jet stocks nearly flat (+0.1 million barrels)”. “We model implied demand for these three products at ~13.8 million barrels per day for the week ending February 6,” they went on to state. U.S. commercial crude oil inventories, excluding those in

WASHINGTON—The U.S. Department of Energy (DOE) today renewed two emergency orders to further strengthen Puerto Rico’s electric grid as the island prepares for rising energy demand and the 2026 hurricane season. Building on actions taken in May, August, and November 2025, the renewed orders authorize the Puerto Rico Electric Power Authority (PREPA) to dispatch generation units essential for maintaining critical generation capacity, while accelerating vegetation management to reduce outages, strengthen long-term grid reliability, and minimize the cost of blackouts. “The Department of Energy will continue modernizing Puerto Rico’s electric grid to ensure the island achieves long-term resilience and reliability,” said U.S. Secretary of Energy Chris Wright. “Renewing these orders ensures critical work moves forward, urgent reliability challenges are addressed, and Puerto Rico’s grid is ready to withstand rising energy demand. Thanks to President Trump, these efforts are delivering real, lasting progress for Puerto Rico.” DOE’s emergency actions have assisted the Puerto Rican government in restoring up to 820 MW of baseload generation capacity in Puerto Rico, resulting in an increase to the island’s systemwide generation capacity to 6,460 MW. Several plants were able to run without water injection during a water crisis, ensuring electricity kept flowing to Puerto Ricans despite unforeseen circumstances.  The orders also address vegetation management issues near high-voltage lines. Falling tree limbs or brush during Puerto Rico’s frequent storms and high winds can damage transmission lines, cause widespread outages and potentially cause wildfires.   “The Department of Energy’s 202(c) emergency orders have been instrumental in preventing the widespread power outages Puerto Rico was expected to face, allowing us to increase our baseload generation capacity and advance grid stability measures. Extending the orders is necessary to continue making progress and I thank President Trump and Secretary Wright for their unwavering commitment to ensure the island has an affordable, reliable supply of energy,”

Oil slid in a choppy session as traders parsed mixed signals on the risks of supply disruptions in the Middle East.  West Texas Intermediate edged down to settle near $64 a barrel, snapping a two-day winning streak, amid competing headlines on the status of diplomatic negotiations between the US and Iran. Prices dropped after Oman’s Foreign Minister Badr Albusaidi said that discussions during last week’s Iran-US talks were productive. Minutes later, futures pared some losses on an Axios report that US President Donald Trump might send a second aircraft carrier to the Middle East if negotiations on Iran’s nuclear program and other issues fail.  The episode underscores the whiplash investors face. Many are looking ahead to a Wednesday meeting between Trump and Benjamin Netanyahu for clarity, amid widespread expectations that Israel’s prime minister will urge a tougher US stance on Tehran’s ballistic missile program.  “I will present to the president our views regarding the principles of the negotiation,” Netanyahu said of the upcoming discussion.  In the absence of clear signals on the direction of the Middle East conflict, oil prices took cues from weaker equities.  Crude has risen more than 10% this year as recurrent geopolitical flare-ups eclipsed concerns that a global surplus would lift inventories and hurt prices.  The US said on Monday that American-flagged vessels should stay as far as possible from Iranian waters when passing through the Strait of Hormuz. Washington has amassed a powerful military force in the Middle East, even as it also pursues talks with Tehran over its nuclear ambitions. The Strait of Hormuz is a critical trade artery for Middle East energy shipments that links a slew of producers to global markets, especially in Asia. Tehran has threatened to close the maritime chokepoint during periods of geopolitical tension, though it hasn’t actually followed through. “Both