European Gas Prices Rise Amid US-Iran Tensions
European natural gas prices have increased as tensions between the US and Iran escalate. The price of natural gas in October-dated contracts at the Dutch-based TTF, Europe's most liquid natural gas trading hub, rose to €74.35 per megawatt-hour on Monday morning.
The hike is a result of concerns over energy supplies from the Gulf region, particularly with the upcoming heating season. Iran has announced plans to declare a new 'restricted' maritime zone outside the Strait of Hormuz in the coming days, which would place any vessel entering the area on a sanctions list.
According to Mohsen Rezaei, secretary of Iran's Supreme National Security Council, the zone will begin from the US Navy's blockade line and extend into parts of the Gulf. This move follows recent US attacks on Iranian oil tankers.