Natural Gas Prices in Europe Rise Again Amid Cold Weather

Natural gas prices in Europe have risen for the third consecutive day, driven by lower temperatures and the start of seasonal maintenance at some of Norway's largest production facilities.اضافة اعلان

The benchmark futures contracts saw an increase of about 1.5%, and spot prices also rose in the Netherlands, according to Bloomberg.

Dutch futures contracts for the nearest month, considered a key benchmark for gas prices in Europe, rose by 0.1% to €42.50 per megawatt-hour at 9:05 AM Amsterdam time on Wednesday.

Europe faces a tough challenge in replenishing its gas storage facilities, with only a third of the storage capacity currently filled following a cold winter. Despite some recent easing of pressures – with the seasonal gap in gas contracts narrowing – Europe still needs more fuel than it did last year, especially after the suspension of Russian gas flows via Ukraine. This situation is pushing the continent to rely more on global liquefied natural gas (LNG) shipments, known for their volatility, and is also driving higher prices to attract shipments that might otherwise be directed to Asia or other regions.