Texas has obtained authority from the Environmental Protection Agency to regulate Class VI injection wells, becoming the sixth state entrusted with this responsibility. This puts the Railroad Commission of Texas in charge of reviewing the 18 pending applications for carbon dioxide storage projects in the state. State officials and industry leaders say the decision will speed permit reviews, increase regulatory certainty and encourage investment in carbon capture initiatives.

The American Petroleum Institute released the following statement from President and CEO Mike Sommers on the US Environmental Protection Agency's decision to grant primacy to the state of Texas over Class VI wells:

"We commend EPA for granting Texas primacy over Class VI wells, a move critical to improving permitting efficiency and creating the regulatory certainty needed to drive investment. Texas has long been at the forefront of developing and delivering America's energy, and this decision empowers the state to continue that leadership in a way that supports jobs, communities, and responsible energy production." Read the news release.

ONEOK's planned 400,000-barrel-per-day liquefied petroleum gas export terminal in Texas City is drawing strong interest from prospective customers, according to Chief Commercial Officer Sheridan Swords, who cited the site's proximity to open water as a competitive advantage. The terminal, a 50-50 joint venture with MPLX, will be supplied by a new pipeline from Mont Belvieu and is expected to begin operations in early 2028. The company also extended the open season for its proposed Texas-to-Arizona Sun Belt Connector refined products pipeline until Dec. 5 to give shippers more time to evaluate the 440-mile project.

The US oil market is showing signs of oversupply, with the West Texas Intermediate futures curve in contango for most of 2026, indicating weaker demand for immediate delivery. October crude exports reached their highest since July 2024. In contrast, the global benchmark Brent's curve is mostly flat after March.

December US natural gas futures settled at $4.646 per million British thermal units, marking a 67% increase from a year ago and the highest level since late 2022, as early-season cold snaps and heavy LNG export activity tighten the market. The price jump benefits producers but could push heating costs higher, even though the Energy Information Administration still expects household winter bills to be similar to last year. The agency raised its US LNG export forecast to 14.9 Bcf/d this year, a 25% jump from 2024, with another 10% increase expected in 2026.

At COP30 in Belem, negotiators from countries like Brazil, Germany, the UK, France, Denmark, Colombia and Kenya are working to build a coalition to draft a detailed road map for transitioning away from fossil fuels, following up on the commitment made at COP28 in Dubai. Led by Brazil's Environment Minister Marina Silva, this initiative seeks to establish a clear pathway for reducing dependence on fossil fuels, though it faces resistance from major fossil fuel producers and must address the development needs of emerging economies.

The Interior Department will publish a final rule next week to roll back Biden-era protections that blocked new oil and natural gas leasing across large portions of the National Petroleum Reserve-Alaska. The repeal fulfills an executive order that sought to undo Biden-era climate policies. State officials and North Slope leaders said the decision restores a development process that better reflects local knowledge and priorities.

Oil refiners, biofuel producers and major trade associations met with White House officials this week ahead of a Trump administration decision on whether larger refiners must compensate for waived biofuel obligations. The discussions also covered year-round sales of E15 gasoline and potential reforms to the waiver program. The American Petroleum Institute pressed for stricter criteria for small refinery exemptions and proposed pairing those changes with year-round E15 approval, but opposed reallocating waived volumes to non-exempt refiners.

Sen. Bernie Sanders, I-Vt., and Democratic senators are urging the White House to address rising electricity bills they attribute to the AI-driven data center boom. In a letter to the White House and Commerce Secretary Howard Lutnick, the senators ask for plans to mitigate the impact of data centers built by Meta, OpenAI, Alphabet and Oracle. The White House has fast-tracked data center projects and prioritized natural gas and coal for power generation.