ICE: gas prices in Europe exceed $2,600 per thousand cubic meters for the first time since early March

MOSCOW, 16 Aug — The cost of gas in Europe for the first time since the beginning of spring exceeded $2,600 per thousand cubic meters, according to the London ICE exchange.

Fuel prices are rising by almost 13%.

At the opening, the price of September futures (according to the index of the largest European hub TTF) was about $2418, but after a while, it fell below $2400. At the same time, the minimum reached 2348 dollars per thousand cubic meters.

However, by the middle of the day, quotes began to increase their growth rates. At 13:43 Moscow time, they exceeded $2,500, and by 15:42 they crossed the mark of $2,600. As of 15:52 Moscow time, the price high was 2631.7, which is 13.3% higher than the settlement price the day before.

The European market faced a gas collapse last year. Experts attributed the current situation to limited supply from major suppliers, low levels of occupancy of underground gas storage facilities in Europe, and high demand for liquefied natural gas in Asia.

Now Europe continues to be under pressure due to the ongoing tension with supplies from Russia. The export of Russian gas decreased after the start of the military operation in Ukraine: supplies through the Nord Stream and through the Ukrainian gas transportation system decreased significantly, and the Yamal-Europe pipeline stopped altogether.

The average monthly settlement price of the nearest gas futures on ICE, according to calculations in July, jumped by almost 50 percent – to about $1,805 per thousand cubic meters from $1,180 in June, while in the middle of last summer it did not exceed $500. Such persistently high prices have not been seen in the history of gas hubs in Europe since 1996.

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