The 2026 oil and gas industry outlook is being impacted by a war in the middle east, potentially leading to a contraction in global supply and demand. Reports suggest that this could result in a deficit in 2026, although some forecasts indicate a potential glut in 2027. Despite record production, oil and gas employment has reportedly hit a low in 2026, with oil prices recently reaching a one-month high amid concerns over the Strait of Hormuz.