European Natural Gas Prices Rise Amid Reduced Norwegian Supplies

European natural gas prices have increased as supplies from its top provider have been reduced due to a new round of scheduled maintenance. The reference futures contracts gained up to 1.2% on Thursday, June 5, 2025, as Norway’s Kollsnes gas processing unit began its seasonal maintenance work. Norway accounted for roughly one-third of the European Union’s imports last year. Traders are focusing on securing supplies to replenish depleted regional storage facilities while also keeping an eye on geopolitical developments surrounding US tariffs and ongoing efforts to end Russia’s war in Ukraine. However, weak demand in China is boosting LNG flows to Europe, alleviating some supply concerns this summer. “LNG offerings into European networks are increasing, helping cover a significantly larger storage deficit than last year,” noted Patricio Alvarez, an analyst at Bloomberg Intelligence. He expects European gas prices to remain around €35 per megawatt-hour until the end of this year. “Relaxed storage targets, weak domestic demand, and subdued Chinese LNG imports are easing supply pressure, even as short-term production from American LNG and Norwegian gas slows due to maintenance,” Alvarez stated. Dutch front-month futures, the European benchmark for natural gas, added 1.1% to €36.16 per megawatt-hour in Amsterdam.