European benchmark natural gas prices surged 6% at the open on Monday in Amsterdam, reaching $97.31 per megawatt-hour (€84.275), the highest level since the 2022-2023 energy crisis and surpassing prices from January 2023. This increase is primarily due to escalating tensions in the Middle East, with Saudi Arabia shutting down its critical East-West oil pipeline, which helps bypass the Strait of Hormuz, exacerbating risks to oil and gas supplies. Furthermore, European natural gas inventories are currently below 70%, significantly lower than 82% at the same time in 2025 and the five-year average of over 80%, leaving Europe facing its lowest natural gas reserve levels in nearly two decades heading into winter.