EU diplomatic chief Kaja Kallas condemned Washington’s decision to ease sanctions on Russian diesel, while the Strait of Hormuz crisis accelerated global investment in renewable energy. Concurrently, Ukraine authorized gas exports at the start of the heating season, and Armenia evaluated regional power grid integration.
Global market
EU diplomatic chief Kaja Kallas sharply criticized Washington’s decision to ease sanctions on Russian diesel fuel, stating that pressure on Moscow must be maintained. Concurrently, US special envoys Steve Witkoff and Jared Kushner warned Kyiv that Washington will halt intelligence sharing if Ukraine continues drone strikes on Russian oil refineries. Driven by risks surrounding the Strait of Hormuz, the international energy sector recorded an acceleration in clean energy investment to reduce reliance on maritime fossil fuel choke points. Additionally, Hurricane Isaias claimed at least two lives in the US, threatening refinery operations and offshore production.
Russia & CIS
The Ukrainian government authorized domestic gas producers to export up to 15% of the previous month’s production volume at the start of the heating season, according to Strana. Meanwhile, energy security expert Alexander Gonchar warned that Kyiv’s energy grid faces a critical situation entering winter. On equity markets, Gazprom Neft shares rallied following the US-Russia diesel agreement, whereas Novatek stocks experienced widespread sell-offs. In military logistics, Russian forces destroyed a Ukrainian logistics facility in the Kherson region used to transport fuel and ammunition to front lines.
Armenia
Former Armenian deputy energy minister stated that Armenia’s energy map is transforming through potential high-voltage power line connections toward Turkey and Azerbaijan, offering regional grid flexibility during favorable pricing windows. On domestic retail markets, prices for petrol, diesel, and compressed natural gas in Armenia remain stable. Natural gas imports from Russia and generation at the Armenian Nuclear Power Plant proceed under long-term EAEU trade agreements shielding the domestic market from price fluctuations recorded by international market price assessments.