The price of gas in Europe soared this Thursday, March 19, by 35% following attacks on energy infrastructure in the Middle East, in particular an Iranian attack on the largest liquefied natural gas (LNG) production facility in the world, in Qatar.
Shortly after trading began at 7am today (6am in Lisbon), the Dutch TTF futures contract, considered the European benchmark, rose 28.06% to 70 euros per megawatt-hour, after rising 35%.
Qatar’s state energy company today reported “considerable damage” to the Ras Laffan gas complex after renewed missile attacks on the crucial site, fueling fears over international energy supplies.
Doha later clarified that all fires at the site were “under control”, adding that there were no injuries and that cooling and safety operations were continuing.
US President Donald Trump threatened to destroy the South Pars gas field in Iran if the country launched another attack on gas facilities in Qatar.
The drone attack also hit one of Kuwait’s largest refineries this morning, causing a fire in one of its units, according to state media.
Oil prices also rose today, equally influenced by developments in the conflict in the Middle East, with Brent crude recording an increase of more than 5%.
A barrel of Brent oil for delivery in May rose almost 5% today, reaching around 113 dollars, due to increased tensions in the Middle East following attacks on gas installations.
At 06:00 today, the price of Brent oil, the benchmark in Europe, rose 4.75%, to 112.97 dollars. Meanwhile, Texas Intermediate crude rose 1.28% to $96.54.
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