Natural-Gas Prices Rise in Europe After Ukraine Cuts Flows (US.LNG) (US.CHKN) (US.SWN) (US.EQT) - 11 mai 2022
Natural-gas prices in Europe jumped Wednesday after Ukraine said it would reduce flows from Russia through its territory, blaming interference by Russian forces with pipelines in the east of the country. Futures for natural gas in the Netherlands, Europe’s benchmark for a fuel widely used in home heating, industrial processes and power generation, rose 5.4% to 98.80 euros, equivalent to $104.21, a megawatt-hour.
Europe has been shoring up its energy supplies ahead of a planned European Union-wide embargo on Russian oil, being hashed out this week. Some member states, especially Germany, have also scrambled to find alternative supplies of gas amid the threat of a potential severing of gas exports by Moscow. Despite these moves, Europe is still heavily reliant on Russian gas, a slug of which flows through Ukraine.