UK natural gas futures rose to 120 pence per therm, the highest level in more than five weeks, as concerns over further disruptions to shipping through the Strait of Hormuz persisted.

President Donald Trump cautioned Iran to accept a deal or risk “annihilation,” adding that his patience with Tehran was wearing thin.

His remarks came even as Iran said that around 30 vessels had been permitted to transit the Strait since Wednesday evening.

Washington and Tehran failed to agree on a US-drafted peace proposal earlier this week, leaving the critical waterway largely closed.

Around one-fifth of the world’s LNG supply has been disrupted since the conflict began in late February.

Although most gas from the Persian Gulf goes to Asia, the disruption has tightened global supply and increased competition, fueling concerns in Europe as the region needs to replenish inventories before next winter.

So far this week, UK gas prices have surged more than 11%.
Source: Trading Economics