European natural gas prices surged 50% from a year ago in July, to around $637 per 1,000 cubic metres on average. The sharp rise is mainly due to the renewed geopolitical tensions in the Middle East.

The energy market had been highly volatile during the month, as market data from Intercontinental Exchange and further calculations by Russian news agency TASS showed.

Gas futures closed at about $510 per 1,000 m3 at the end of June. As of the end of trading on July 31, however, the prices had risen to $709, up 39% from the prior month.

Moreover, the average gas price for the month of July was not just 19% more expensive than that of June, but was also a whopping 55% higher than the average price in July 2025.