Key Takeaways
- Glenfarne Group revealed Alaska LNG project costs between $44.5 billion and $54.5 billion, with the pipeline phase alone estimated at $13.2-$16.9 billion, according to Alaska Public Media
- Oil prices remained more than 6% higher for the week despite volatility, as US-Iran negotiations showed little concrete progress, according to Trading Economics
- India launched 85% ethanol fuel (E85) on Friday as part of efforts to reduce dependence on imported oil, with Oil Minister Hardeep Singh Puri officiating the ceremony in New Delhi, OilPrice.com reported
- U.S. developers brought 6.4 GW of new clean power capacity online in Q1 2026, with utility-scale solar surpassing wind as the largest source of clean power generation capacity, according to the American Clean Power Association
- Natural gas futures surged Thursday after the EIA reported a 95 Bcf storage injection for the week ended May 29, trailing both year-earlier and five-year average levels, Natural Gas Intel reported
Oil & Gas Markets
Oil markets closed the week in a state of heightened uncertainty, with prices reflecting ongoing geopolitical tensions despite diplomatic efforts. WTI crude oil futures held near $93 per barrel on Friday, with President Donald Trump saying talks with Tehran were progressing well despite Iran-backed Hezbollah rejecting a US-brokered ceasefire proposal, according to Trading Economics . Loadings at Oman's Mina Al Fahal export terminal were temporarily delayed following an explosion, although operations later resumed, Trading Economics reported .
According to OilPrice.com, fresh strikes on Kuwait and Oman this week undermined hopes of a U.S.-Iran de-escalation, keeping oil markets on edge and traders skeptical of diplomatic progress. The ongoing conflict continues to dominate market sentiment, with the EIA assessing that Iraq, Saudi Arabia, Kuwait, the UAE, Qatar, and Bahrain collectively shut in 10.5 million barrels per day of crude oil production in April, with the Strait of Hormuz remaining effectively closed until late May .
In natural gas markets, inventories remained above historical norms following Thursday's EIA storage report, but the latest data offered another sign that the market's storage cushion may be shrinking faster than expected, with a 95 Bcf injection trailing both year-earlier and five-year average levels, Natural Gas Intel reported . Natural Gas Intel also reported that prices responded to the South Central region flipping into deficit territory in the final week of May, with the combination of flat production and rising demand potentially compounding matters in coming weeks.
The week's most significant project development came from Alaska, where Glenfarne released its first specific public cost estimates for the Alaska LNG project, telling state senators the full project will cost between $44.5 billion and $54.5 billion, with the pipeline phase estimated at $13.2-$16.9 billion, according to Alaska Public Media . Cost projections have been a sticking point for skeptical legislators who say they're not willing to advance tax breaks without confidence the project will benefit Alaskans, with Glenfarne having refused to release internal estimates as recently as Tuesday, Alaska Public Media reported .
The Trump Administration held its latest lease sale in Alaska on Friday, according to OilPrice.com, comprising tracts in the Coastal Plain of the Arctic National Wildlife Refuge, opening Arctic Refuge drilling rights for the first time ever.
Renewable Energy Developments
The U.S. renewable energy sector demonstrated continued momentum despite policy headwinds. A new report from the American Clean Power Association shows U.S. developers brought 6.4 GW of new utility-scale solar, wind, and energy storage capacity online in Q1 2026, with capacity additions representing 3.625 GW of utility-scale solar, 2.382 GW of energy storage and 415 MW of wind, according to PV Magazine USA . The additions meant the capacity of utility-scale solar has now exceeded that of wind as the largest source of clean power generation capacity in the country, PV Magazine USA reported .
At the end of Q1 2026, the pipeline of capacity in development exceeded 195 GW, 6% higher than Q1 2025, driven largely by increases in planned solar capacity (up 13% year-over-year) and battery storage (up 8%), according to the American Clean Power Association report . However, land-based wind power remained stagnant at 28 GW of planned capacity, and offshore wind decreased to 10 GW, a decrease of 33.3% compared to Q1 2025, the report stated .
Separate data from the U.S. Energy Information Administration reviewed by the SUN DAY Campaign shows renewable energy generation increased by more than 11% during Q1 2026, with electricity generation from renewable sources rising 11.1% compared to the same period in 2025, according to SolarQuarter . Utility-scale solar generation recorded the highest growth at 23.9%, followed by hydropower at 21.9%, small-scale solar at 11.9%, and wind energy at 2.1%, SolarQuarter reported .
In international developments, China's renewable capacity expansion continued to increase in 2025, reaching nearly 500 GW of additions and accounting for over 60% of global growth, with the country commissioning nearly 370 GW of solar PV and 117 GW of wind capacity, according to the IEA's Global Energy Review 2026 . PV Magazine reported that Chinese PV industry player Arctech secured supply agreements tied to a 2.1 GW solar project in the United Arab Emirates.
According to Utility Dive, the Department of Energy ordered OUC's 465-MW coal unit in Florida to continue running, noting that although Florida is at "normal risk" for long-term energy adequacy, the unit near Orlando needs to remain online partly to help serve potential data centers in the state.
