European Gas Prices Soar to 6-Week High as Weather Tends to Drop Further

European gas prices saw an uptick once again, rising to nearly six-week high on November 30 with unusually cold weather expected to start eroding gas inventories along with several outages at a few key facilities on Tuesday.

This unusual cold weather will be the first test to Europe’s resilience on the gas crisis after the fallout with Russia earlier this year over the latter’s action toward Ukraine.

Dutch TTF Natural Gas Futures rose to EUR136 per megawatt-hour, the highest since October 14.

Storage sites are still about 94% full on average, according to Gas Infrastructure Europe, as the bloc restlessly pumped every last bit of gas from the Russian pipeline before the delivery was completely shut.

“Latest weather forecasts show temperatures starting to drop below seasonal normal across parts of Northern Europe next week and gas inventories are expected to start declining,” said analysts at DB Group Europe in a note.

In the meantime, operation issues at the Troll field in Norway and the UK’s Barrow North terminal on Tuesday also contributed to the rise in gas price. Meanwhile, the Karsto processing plant in Norway has a maintenance schedule starting today.