European natural gas prices climbed further above €88 per megawatt-hour on Monday, marking the highest level since December 2022. The surge comes as limited LNG supplies from the Gulf region continue to disrupt the EU’s efforts to refill its gas storage ahead of winter.
As of October 18, Europe’s gas storage levels stood at 74.31% of capacity, a gradual improvement in recent weeks but still below typical levels for this time of year. The ongoing tensions and security threats in the Middle East have heightened concerns over shipping safety and tighter global energy supplies.
LNG flows from the region remain approximately 80% lower than last year’s levels, setting the stage for increased competition between Asia and Europe for available cargoes as winter approaches. The situation leaves prices vulnerable to further spikes if a colder winter or sustained supply disruptions occur.