Shell: Market Will Replenish Gas Reserves Once Strait of Hormuz Opens
Gas and oil prices in Europe surged due to fears of supply disruptions in the Middle East and declining European reserves.
Translated by Qiyas from الجريدة — Original source
The official added in statements today, Monday, that a shortfall of 20 million tons in liquefied natural gas (LNG) supplies from the Middle East would be mainly offset by supplies from North America.
Natural gas prices in Europe surged to their highest levels since December 2022, amid growing concerns over continued supply disruptions in the Middle East, coinciding with rising oil prices.
European gas futures in Amsterdam rose more than 5% to around 83.7 euros per megawatt-hour, as pressure on the market mounts with European gas stocks falling to just 68% of storage capacity, compared to a five-year seasonal average of 84%, raising the risk of price volatility as winter approaches.
Oil prices also jumped by about 3% today, Monday, amid escalating tensions in the Middle East that have fueled fears of disruptions to energy resource supplies.
Brent crude futures rose $3.14, or 3.00%, to $107.75 per barrel. West Texas Intermediate crude futures increased $3.01, or 3.01%, to $103.06 per barrel, with prices initially rising more than 3% at the market open.
