The price of natural gas on the European market rose sharply on Monday morning after Iran renewed its blockade of the Strait of Hormuz. The price of the benchmark European gas contract for delivery next month on the TTF exchange in Amsterdam increased by almost 6% to 41.02 euros per megawatt hour (MWh). TASR informs about it based on the report of the DPA agency.
Iran initially announced the opening of the Strait of Hormuz on Friday (4/17), but reversed the decision the following day after US President Donald Trump said the US would continue a naval blockade of Iranian ports until a peace deal was reached. Tensions escalated on Sunday (20/04) when the US Navy seized an Iranian cargo ship in the area. Tehran called it an act of piracy and vowed to retaliate.
The war with Iran and the de facto blockade of key trade routes for the supply of oil from the Persian Gulf region led to a temporary increase in the price of natural gas up to 74 euros per MWh in March. Before the start of the war, the price was around 31 euros.
