European natural gas prices remained above €87 per megawatt-hour on Thursday, nearing their highest levels in nearly four years. The surge comes amid tight supplies from the Middle East and low storage levels, raising worries about winter availability.
Attacks on vessels in the Strait of Hormuz have disrupted regional gas shipments, with liquefied natural gas (LNG) exports running about 80% below year-ago levels. This has left alternative suppliers struggling to compensate for the lost Gulf exports, increasing the risk of a prolonged supply crunch into 2027.
European gas storage stood at 74.58% capacity as of October 21, the lowest level for this time of year since records began in 2009. This limited supply buffer adds to concerns as winter approaches, with no immediate signs of relief in sight.