Europe’s gas issues could last until 2023, with forward prices for the summer already hitting record-highs.
- Traders believe the ongoing gas issues will push through until early 2023, with the forward prices already more than double in the past month.
- Forward prices for the summer season have already hit a record-high of over 100 euros or $113 a megawatt-hour this week.
- Europe continues to face an energy crisis as Russia curbed supplies and nuclear outages in France, exacerbating the strain in grids during the coldest season.
- Russia’s controversial Nord Stream 2 pipeline is unlikely to be approved in the first half of 2022, pushing supplies to be limited in the summer.
- Analysts do not see any immediate help on the way, with the growth in the forward prices indicating another year of volatility for the market.