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EMEA Natural Gas Update: Futures Rise After Mixed Signals From US-Iran Talks Cloud Outlook

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European natural gas futures edged higher on Friday as uncertainty surrounding US-Iran diplomatic efforts persisted amid mixed signals from both sides.

The front-month Dutch TTF contract climbed 1.06% to 56.360 euros ($64.94) per megawatt-hour, while the front-month UK NBP contract rose 0.78% to 137.980 British pence ($1.85) per therm.

On Thursday, US President Donald Trump said that the ongoing conflict with Iran was set to end "pretty soon," noting that talks with the country were progressing "very well," while addressing reporters from the Oval Office in Washington.

Meanwhile, Iran's Parliament Speaker, Mohammad Bagher Ghalibaf, accused Trump of "theater diplomacy" in a post on X, as Tehran unveiled plans to block ships linked to the US, Israel and other "hostile countries" from transiting via the Strait of Hormuz, according to Iranian state media reports.

This comes amid Tehran's ongoing negotiations with Oman, which involved plans to eliminate the "northern and southern corridors of the Strait," according to Iran's Fars News Agency.

Traffic along the strategically crucial Strait, which accounted for one-fifth of global LNG flows, slipped to just 10 total transits on Thursday, according to ShipFinder.

Daniel Hynes, a senior commodity strategist at ANZ, noted that the proposed deal still posed challenges for Oman to resume shipments along the Strait.

This comes amid low gas inventories across Europe, at just 58.10%, compared to 70.30% during the corresponding period a year ago, according to Gas Infrastructure Europe.

Inventories were also significantly below the five-year average for this period, at 74.6%, according to the Swiss Federal Office of Energy.

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EMEA Natural Gas Update: Futures Rise After Mixed Signals From US-Iran Talks Cloud Outlook | FINWIRES