The International Energy Agency (IEA) said in a report that global investment in
gas projects is expected to rise by more than 10% this year to $330 billion, a
10-year high, while upstream oil investment is set to fall for a third
consecutive year. With the Iran war disrupting global energy markets, energy
firms are accelerating investment in other regions and increasing spending on
renewables, liquefied natural gas and coal to bolster supply security. In its
2026 Global Energy Investment Report, the IEA said that despite Middle East
turmoil, energy-sector capital spending in 2026 is expected to grow 5% to $3.4
trillion, of which $2.2 trillion will be allocated to renewables, storage, grids
and low-emission fuels. Oil-supply investment will be below $500 billion. Gas
investment growth is driven mainly by U.S. LNG projects, but the current crisis
has made Asian importers more cautious about reliance on gas. Coal investment
will hit a 14-year high at $180 billion. Nuclear investment is recovering, with
spending this year expected to reach $80 billion. The IEA expects Middle East
oil-and-gas investment in 2026 to decline about 1%, citing infrastructure
damage, revenue losses and production disruptions that have weakened
capital-deployment capacity.
