European natural gas prices climbed toward €54 per MWh on Thursday, rebounding from a three-week low in the prior session, as concerns over future supply persisted. While risk premiums eased following Iran’s announcement that it had reached an agreement with Oman on a proposed shipping route through the Strait of Hormuz, underlying supply risks continued to support the market.
LNG shipments through this crucial chokepoint remain heavily disrupted, delaying summer cargoes from major exporters such as Qatar and complicating Europe’s efforts to build winter inventories. At the same time, strong competition from Asian buyers has further constrained LNG availability.
Adding to the pressure, unusually high temperatures across central and southern Europe have driven up electricity consumption for air conditioning, reinforcing upward momentum in gas prices.
