Gas Prices Increase Following a Deadly Explosion at a Pipeline Hub in Austria

Today, a deadly explosion at a major gas pipeline hub located in Austria prompted the natural gas prices of the United Kingdom to spike.

The Baumgarten site that is located in Austria pumps gas across Europe from Russia.

The operator, Gas Connect Austria, said that the site had been closed down, and the fire brigade stated that one person had been killed and eighteen people were injured.

In the United Kingdom, gas for immediate delivery increased by 40 percent to 95p per therm, a high that is not seen since 2013.

Colder temperatures in the United Kingdom have caused the demand for gas to heighten.

The situation in the United Kingdom was made even worse by the fact that the major Forties pipeline in the North Sea was closed down yesterday because of a crack in a pipe, causing Brent crude oil prices to bounce to a two-year high.

Meanwhile, Italy, which heavily relies on the pipeline, declared a state of emergency as the Italian wholesale day-ahead prices rose 150 percent to their highest recorded level.