On Thursday morning, gas reference prices at the wholesale market in the Netherlands and the UK increased sharply after Russian President Vladimir Putin warned that Russia might interrupt its remaining gas flows to Europe. This statement raised serious supply concerns across the continent, especially following QatarEnergy's announcement of a force majeure on liquefied natural gas (LNG) shipments, allowing them to escape liability for any supply failures.

As a result, the Dutch front-month contract, which serves as a key reference for European gas prices, climbed 2% to €49 per megawatt-hour by 09:28, after an earlier surge of 8.3% to €52.80/MWh in the session. Similarly, the British April contract, which had risen 7.2% earlier, was up 2.1% to £129.5 according to ICE data. These fluctuations highlight the volatility and sensitivity of gas markets to geopolitical tensions and supply disruptions.

In response to European plans to ban gas imports from Russia via pipeline by the end of 2027 and halt new Russian LNG contracts, Putin's remarks showcase the ongoing tug-of-war between Europe and Russia regarding energy supplies. As Europe's dependency on Russian gas continues to be scrutinized, the market is increasingly reacting to the threats and announcements coming from the Kremlin, indicating a challenging winter ahead for energy availability in the region.