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EMEA Natural Gas Update: Prices Rise on Supply Worries

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European natural gas futures rose in after-hours trading on Monday as supply disruptions continued to slow inventory restocking.

Front-month Dutch TTF futures rose 0.726% to 61.870 euros ($71.70) per megawatt-hour, while UK NBP futures gained 0.972% to 152.700 British pence ($2.07) per therm.

Dutch contracts earlier climbed above 63 euros/MWh, reaching a fresh three-week high before retreating, Trading Economics said.

The 60-day ceasefire between the US and Iran is due to expire Monday, with no clear end to the conflict in sight.

Speaking to Fox News on Monday, US President Donald Trump threatened to bomb Oman if it "gets in the way," referring to ongoing negotiations between Muscat and Tehran over control of commercial shipping through the Strait of Hormuz.

Renewed Israeli strikes against Tehran-backed Hezbollah in Lebanon, along with the latest US threats of additional sanctions on Iran, have further clouded prospects for an imminent agreement to reopen the strait, Trading Economics said.

Traffic through the strategically vital waterway has meanwhile fallen, with just eight vessels transiting the Strait on Sunday, according to ShipFinder data.

In Europe, concerns over gas inventories are intensifying as storage levels remain below historical averages and lag the pace needed to meet pre-winter targets. Heatwaves have further hindered restocking by boosting gas-fired power demand and diverting supplies from storage.

Shell has also cut output at Norway's Ormen Lange gas field by around 40% following a compressor failure. Production has been reduced by about 8.9 million cubic meters per day from the field's 22.9 million-cubic-meter daily capacity since July 13, according to Norwegian gas infrastructure operator Gassco. The outage, initially expected to end in October, has been extended to Feb. 1, 2027.

European gas inventories stood at 60.78%, below 73.31% a year earlier, according to Gas Infrastructure Europe, and below the five-year average of 77.8%, according to the Swiss Federal Office of Energy.

LNG deliveries to Northwestern Europe have risen to about 32% above the 30-day average. The increase supports supply but does not eliminate market pressures, Moldpres, the Moldovan news agency, said.

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Commodities

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Commodities

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