Gas Prices Jump on Reports of Extended US Blockade on Iranian Ports

Wholesale gas prices across Europe surged on Wednesday following reports that the United States may extend its blockade on Iranian ports, intensifying geopolitical tensions and raising fears of further supply disruptions.

According to a report by the The Wall Street Journal, U.S. President Donald Trump has instructed aides to prepare for a continuation of restrictive measures targeting Iran’s port activity, in a move aimed at increasing pressure on Tehran.

The developments triggered immediate reactions in energy markets. Data from the Intercontinental Exchange showed that the Dutch benchmark gas contract for near-term delivery at the Title Transfer Facility rose by 5.35 percent to €45.93 per megawatt-hour, equivalent to approximately $15.73 per million British thermal units.

In the UK, the front-month gas contract climbed 5.16 percent to 114 pence per therm, reflecting heightened market anxiety over the potential impact of prolonged geopolitical tensions on energy supply chains.

Iran, on its part, warned of an “unprecedented military response” if vessels linked to the country continue to be detained, signaling a possible escalation that could further disrupt key shipping routes and energy flows.

The price surge underscores the sensitivity of European energy markets to geopolitical developments, particularly those affecting critical transit routes and major energy exporters. Traders and analysts are closely monitoring the situation, as any escalation could amplify volatility and place additional upward pressure on already strained energy markets.