Newsletter No. 135
Good afternoon,
Let's jump right in this week and take a look at what’s happening in the oil and gas industry.
This Week's Headlines
- Oil Prices Rise as U.S. Inventories Fall, DOE Orders Energy Study
- Trump Demands Europe Halt Russian Oil Purchases, Sides with Ukraine
- Utility Giant Commits $68 Billion to UK and U.S. Energy Networks
- Sempra Sells $10B Stake and Moves Ahead with Big Texas LNG Project
- OpenAI Expands Stargate AI Data Centers Across U.S.
- New Episode: Breaking Down Oil & Gas Headlines on The Jay Young Show
Oil and Gas News
Oil Prices Rise as U.S. Inventories Fall, DOE Orders Energy Study
Oil prices climbed after U.S. inventories fell by 3.8 million barrels, with Brent rising to over $67 and WTI rising to over $64, supported by tight supplies and Russian refinery disruptions. At the same time, Energy Secretary Chris Wright ordered a “Future Energy Systems” study to expand U.S. oil and gas development, focusing on pipelines, permitting, and gas-electric reliability. The study, due in December, signals the administration’s push to strengthen fossil fuel infrastructure even as energy demand surges.
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Trump Demands Europe Halt Russian Oil Purchases, Sides with Ukraine
In a sharp shift from his earlier stance, President Trump declared that Ukraine, with European support, could reclaim all its territory from Russia. He urged NATO to shoot down Russian aircraft violating alliance airspace and called on Europe to immediately halt Russian oil imports. Ukrainian President Zelenskyy hailed the move as a “gamechanger,” while EU leaders praised the tougher line against Moscow.
Utility Giant Commits $68 Billion to UK and U.S. Energy Networks
Spanish utility giant Iberdrola unveiled plans to invest $68 billion through 2028, with two-thirds directed to transmission and distribution networks in the UK and U.S. The move shifts Iberdrola toward a more regulated business model, targeting stable, A-rated markets. The UK will receive $23.5 billion and the U.S. $19 billion, as demand for grid upgrades soars amid AI-driven electricity needs and manufacturing growth.
Moves to Watch
Sempra Sells $10B Stake and Moves Ahead with Big Texas LNG Project
Energy company Sempra is selling nearly half of its infrastructure business for $10 billion to investors KKR and Canada’s pension fund, helping it focus more on its U.S. utility business in California and Texas. At the same time, Sempra approved a $14 billion expansion of its Port Arthur LNG project in Texas, which will boost U.S. natural gas exports starting around 2030. The deal strengthens Sempra’s finances while keeping a hand in the fast-growing global LNG market.
OpenAI Expands Stargate AI Data Centers Across U.S.
OpenAI unveiled its massive Stargate AI data center in Abilene, Texas, set to become the world’s largest AI supercluster, while announcing plans for five additional sites nationwide in partnership with Oracle and Softbank. The $500 billion infrastructure project will add complexes in Texas, New Mexico, Ohio, and the Midwest. Powered by hundreds of thousands of Nvidia chips, the centers aim to boost ChatGPT’s speed and capacity but face scrutiny over energy demands, water use, and local environmental impacts. The Abilene site alone will create nearly 1,700 onsite jobs and thousands more indirectly, transforming the region’s economy while sparking debate about sustainability and community change.
Happening at King
New Episode: Breaking Down Oil & Gas Headlines on The Jay Young Show
The latest episode of The Jay Young Show is out now. I was joined by my co-host Jordan Soto, King SVP Rachel Griffith, and King EVP of Operations Kelly Duncan to break down the week's biggest oil & gas headlines, Charlie Kirk's memorial and some leadership takeaways.
Watch it on LinkedIn, Rumble and YouTube (@JayRYoungOfficial)
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All the best,
Jay
