European natural gas futures rose further to around €48.2 per MWh and were on track for strong weekly gains, amid heightened fears of more prolonged supply disruptions.
President Donald Trump warned Iran to agree to a deal or face “annihilation,” saying his patience with Tehran was wearing thin.
Meanwhile, Iran said that around 30 vessels had managed to pass through the Strait of Hormuz.
These developments came after the US and Iran failed to reach an agreement on a US-drafted peace proposal, keeping tensions around the key waterway.
Roughly one-fifth of the world’s LNG supply has been disrupted since the conflict began in late February.
While most gas exports from the Persian Gulf typically head to Asia, the disruption has tightened global supply and intensified competition for cargoes.
This has raised serious concerns for Europe, particularly as the region needs to rebuild gas stocks ahead of winter.
European gas prices have surged more than 9% so far this week.
Source: Trading Economics
