Data from the Intercontinental Exchange (ICE) in London shows that during Monday's trading session, European natural gas prices broke through the $1,000 per thousand cubic meters threshold for the first time since December 2022.

The October futures contract for natural gas at the Dutch TTF hub climbed to approximately $1,004 per thousand cubic meters, equivalent to 84.07 euros per megawatt-hour. Simultaneously, spot prices for natural gas at major European trading hubs had already surpassed the $1,000 per thousand cubic meters level last week, with the day-ahead spot price at the TTF hub reaching $1,005, or 83.685 euros per megawatt-hour.

Where to begin: Russian energy giant Gazprom has pointed out that with the heating season approaching, the window for refilling underground gas storage facilities in Europe is rapidly narrowing. Current price levels have returned to the highs last seen during the energy crisis at the end of 2022.

With storage inventories at historically low levels ahead of winter, compounded by ongoing conflicts in the Middle East, multiple factors are driving the surge in European gas prices. Russian President Vladimir Putin has previously stated that European gas prices could potentially rise as high as $1,500 per thousand cubic meters.