Europe's Natural Gas Prices Poised for Third Straight Weekly Gain

European natural gas prices are poised to log their third consecutive weekly gain after pulling back from March highs.

The Dutch front-month futures and British wholesale gas contracts have maintained substantial weekly advances, driven by concerns over low underground storage levels and shipping disruptions through the Persian Gulf.

Although prices retreated off early-week peaks following reports of diplomatic talks aimed at securing commercial transit through the Strait of Hormuz, wholesale hub prices remain elevated compared to late-summer averages, reflecting a high structural risk premium embedded across continental energy curves.

Data from Gas Infrastructure Europe shows that European Union storage caverns are holding at approximately 62% of total capacity, a significant injection deficit compared to the five-year seasonal average of nearly 79%.