European gas prices rise above 100 euros per megawatt-hour

European natural gas prices have risen above 100 euros per megawatt-hour for the first time in nearly four years, ERR reported, as supply concerns and low reserves put pressure on the market.

The price on the Dutch TTF gas exchange climbed above that level on Wednesday evening. The last time European gas prices exceeded 100 euros per megawatt-hour was in December 2022. Prices were falling then and had dropped below 50 euros by February 2023.

The current trend is the opposite: prices have risen sharply over the past month. In late September, gas cost about 70 euros per megawatt-hour in Europe.

ERR said the increase reflects unresolved military conflicts in the Middle East, which have raised uncertainty over gas supplies from the region, as well as historically low gas reserves in Europe. Political statements from the United States have also contributed to the rise. The United States has reportedly told countries in the Middle East that it plans a new wave of strikes against Iran.

The arrival of the heating season and disruptions to supplies from Norway have also pushed prices higher.