European natural gas futures prices edged higher in trading today as military escalation in the Middle East led to a suspension of shipping through the Strait of Hormuz over the weekend, raising concerns that global energy flows could be disrupted.
Dutch natural gas futures prices for next April delivery jumped 47.7% to 47.2 euros per megawatt as of 3:38 p.m. Mecca time.
tension increases
The move comes after Qatar Energy announced the suspension of production of liquefied natural gas and related products, as the majority of gas shipments to Europe come from Doha and pass through the Strait of Hormuz, where shipping traffic has recently been suspended. Because tensions are rising.
To calm prices, a European Commission spokesperson confirmed that the European Union’s gas imports are well diversified, in addition to the fact that the region’s gas tanks are filled to a sufficient level.
European natural gas futures prices edged higher in trading today on growing concerns about disruption to global energy flows due to military escalation in the Middle East that led to the suspension of shipping traffic through the Strait of Hormuz over the weekend.
Dutch natural gas futures prices for April delivery rose 47.7% to 47.2 euros per megawatt hour as of 3:38 p.m. Mecca time.
Intensifying tension
This comes after Qatar Energy announced the suspension of liquefied natural gas production and related products, as the majority of gas shipments to Europe come from Doha and pass through the Strait of Hormuz, which has recently been halted due to rising tensions.
In order to calm prices, a European Commission spokesperson confirmed that the EU’s gas imports are well diversified, in addition to ensuring that the region’s gas storage facilities are of an adequate standard.
