Macroeconomic turbulence and volatile commodity markets significantly influenced oil & gas M&A activity throughout 2025, with deals showing renewed momentum only in the year's second half. Trade policy uncertainties, including tariffs on steel and aluminum imports, created operational cost pressures that dampened transaction volumes during the first six months. Despite oil prices hovering below $70 per barrel, the sector demonstrates remarkable resilience, with most exploration and production companies maintaining profitability and healthy balance sheets.