European Gas Prices Hit Highest Since December 2022 on Iran Transit Bottlenecks and Norwegian Outages

European natural gas prices climbed to their highest level since December 2022 on October 13, driven by a confluence of supply disruptions including Iranian transit bottlenecks and Norwegian field outages, both of which are tightening winter fuel availability. Benchmark Dutch TTF futures extended their rally into a fifth consecutive session, jumping as much as 4.8% intraday, with Asian gas prices also reaching their highest levels in more than three years.

The supply squeeze is arriving at a particularly sensitive moment, as Europe heads into winter with storage levels already under pressure and limited buffer against further shocks. Gas prices in 2026 have surged roughly 130% year to date, though they remain well below the record highs seen during the 2022 energy crisis.

The surge in gas prices also pushed EU carbon allowances to a near nine-month intraday high, as more expensive gas makes carbon-intensive power sources relatively more competitive and lifts overall energy market sentiment. In response to the broader rally in energy costs, the European Union is reported to be examining a windfall profit tax on oil and gas companies, mirroring measures deployed during the 2022 crisis.