Natural gas: European prices surge as LNG flows stall – ING

ING strategists Warren Patterson and Ewa Manthey report that European Natural gas benchmark TTF jumped over 9%, moving back above EUR60/MWh as hopes for a US–Iran deal fade. They warn that each day without Persian Gulf LNG flows and falling European storage levels, now below 2021 benchmarks, increases vulnerability to price spikes during the 2026/27 heating season.

Storage worries into 2026/27 heating season

"Fading optimism over a potential deal between the US and Iran has also seen European natural gas prices surge higher once again."

"TTF settled more than 9% higher yesterday, taking it back above EUR60/MWh."

"Every day that goes by without a resumption of Persian Gulf LNG flows leaves the market more vulnerable as we head closer towards the 2026/27 heating season."

"Gas storage is now below 2021 levels both in terms of percentage full and in absolute terms."

"The EU’s lower storage target of 75% ahead of the winter is looking as though it will be tough to hit."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)