UK Gas Prices Soar Amid Strait of Hormuz Tensions

UK natural gas prices surged to 151 pence per therm on Tuesday as hopes for an immediate resolution to reopen the Strait of Hormuz faded. The US President called for Iran to compensate for people it has killed in conflicts, a move that tempered expectations for a swift deal.

The ongoing disruption in the Persian Gulf has tightened global liquefied natural gas (LNG) supplies, putting pressure on European buyers who are struggling to replenish their gas stockpiles ahead of winter. European gas storage sites have fallen to their lowest seasonal levels since 2009, raising concerns over winter supplies.

Traders are also monitoring supply cuts at Norway's Ormen Lange gas field, Europe's largest pipeline supplier, which could further strain the already tight gas market and amplify price volatility.