UK Natural Gas Prices Decline
2026-06-02 06:29
By
Judith Sib-at
1 min. read
UK natural gas futures fell below 117 pence per therm, following the prior session's sharp gains amid a lack of clear progress in the US-Iran peace talks.
Prices surged 7.5% on Monday, fueled by escalating geopolitical tensions after Iran halted indirect negotiations amid Israel’s intensified attacks in Lebanon and warned it could expand its blockade from the Strait of Hormuz to the Bab el-Mandeb Strait, a key maritime passage at the southern gateway to the Red Sea.
Meanwhile, President Donald Trump stated that discussions were continuing and that he anticipates a deal over the next week, easing some market concerns.
The ongoing closure of the Strait of Hormuz has disrupted roughly 20% of global LNG shipments, tightening supply and intensifying competition for cargoes among importing nations.
With storage facilities currently only 38% full, the prolonged disruption complicates Europe’s efforts to refill inventories before next winter.