European natural gas prices extended their decline below €78/MWh on Thursday but remained close to their highest levels in more than three and a half years, as traders evaluated the region’s supply outlook. The continent is heading into winter with gas storage among the lowest in roughly two decades, with inventories at about 68% of capacity. Persistent disruptions to LNG flows from the Persian Gulf, combined with record summer heatwaves, have sharply constrained efforts to rebuild stocks. This has intensified concerns about supply adequacy ahead of the heating season.
At the same time, robust demand from Asia and other importing regions is expected to heighten competition for LNG cargoes once colder weather arrives. Investors are also closely monitoring Germany’s gas procurement strategy; any increase in German buying could add further upward pressure to prices in an already tight global market.
