European natural gas prices slipped below €72/MWh on Tuesday, reversing gains from the previous session, as traders continued to assess the bloc’s winter supply outlook amid ongoing disruptions to LNG shipments through the Strait of Hormuz. Negotiations between the US and Iran over a potential agreement to reopen the key waterway remain deadlocked, with Tehran holding to conditions that President Trump has refused to accept. Prolonged disruptions have already prompted QatarEnergy to extend its force majeure on LNG deliveries to Italy’s Edison through early December.
Storage levels across Europe stand at about 71% of capacity, well under the five-year seasonal average of 87%. Germany, the bloc’s largest economy, is in an even more precarious position, with storage just above 57% full. The supply picture is further strained by intense competition for LNG cargoes from Asian buyers and by ongoing maintenance on Norway’s gas infrastructure, a crucial source of pipeline gas for Europe. With the heating season approaching, the combination of low inventories and persistent uncertainty over Gulf supplies is leaving the market exposed to renewed bouts of price volatility.
