AMSTERDAM: European natural gas prices extended gains for a fourth day, the longest streak since the end of January, as traders focus on the fragility of global energy supplies.
Benchmark futures jumped as much as 6.2 percent on Monday, extending last week’s gains. Prices have started to rally recently after plunging as much as 30 percent since the start of the year, indicating that traders are paying more attention to factors that will affect fuel purchases ahead of next winter.
Outages at global gas liquefaction facilities – from Malaysia to the US – are sending jitters through the market as Europe approaches the last weeks of its heating season. Colder-than-normal temperatures are expected across parts of northern Europe next week before heading higher.
Meanwhile, flows to the Freeport LNG export plant in Texas remain reduced as the operator has said some works will last through April.
Dutch front-month futures, Europe’s gas benchmark, advanced 5.7 percent to pound 28.57 a megawatt-hour at 9:28 a.m. in
Amsterdam.
Source: Emirates News Agency