As Russia attacks Ukraine's energy infrastructure, the price of gas in Europe is rising.

The Dutch and British wholesale prices of gas closed higher on Monday amid concerns about supply as Russia fired missiles against energy infrastructure in Sumy, a city located north-east Ukraine.

LSEG data show that the benchmark front-month contract for the Dutch TTF hub at 1600 GMT was 1.17 euros higher, at 35.37 Euros per Megawatt Hour (MWH), which is $11.81 mmBtu.

The benchmark TTF contract fell to its lowest level since July, before recovering slightly in the morning of Tuesday.

Russia fires missiles at

Energy Infrastructure

In the northeast Ukrainian town of Sumy, power was cut in some areas after a drone strike overnight. The authorities were forced to use backup power systems.

The Sumy region borders the Russian Kursk region where Ukrainian forces launched an important cross-border invasion on August 6, and where is located the last remaining transit route for gas from Russia into Ukraine.

The Ukrainian energy ministry stated that Russia's attack caused an fire at a substation, and power was cut to over 281,000 customers. It said that power was partially restored later.

Gas traders said that the attacks have raised concerns about the safety of gas transit across the region.

Gas Infrastructure Europe's (GIE) latest data shows that European gas storage is 93.4% filled.

The Norwegian gas flow is expected to increase sharply after Friday with the completion of maintenance at Kaarstoe & Kollsnes.

The day-ahead contract in the British market closed 1.95 pence lower at 83.25p/therm.

The benchmark contract on the European carbon markets was 0.15 euros higher, at 64.36 Euros per metric ton.

(source: Reuters)