European Gas Prices Rise Above €88/MWh, Highest Since December 2022, Amid Limited Gulf LNG Supplies
Updated
Summary
European natural gas prices rose above €88 per megawatt-hour on Monday, their highest level since December 2022. Limited Gulf LNG supplies continued to hamper the EU’s effort to replenish depleted gas storage ahead of winter.
Why it matters
Europe’s gas storage reached 74.31% of capacity as of October 18, after rising steadily in recent weeks, but remained below typical levels for this time of year. Separately, LNG flows from the Gulf region remained about 80% below last year’s levels.
Ongoing Middle East tensions and security threats have fueled concerns about shipping safety and tighter global energy supplies. The source says Asia and Europe, the world’s two largest LNG-importing regions, are set to compete more intensely for available cargoes as winter approaches.
What remains uncertain
The source says prices remain vulnerable to further spikes if winter is colder and supply disruptions persist.