European natural gas futures prices surged 12.5% on Monday following comments from Germany's new foreign minister on the suspension of the Nord Stream 2 certification process.
Futures traded at €118.7 per megawatt-hour in the Dutch Title Transfer Facility (TTF) for January contracts on Monday from trade at Friday's closing at €105.5 per megawatt-hour.
German energy regulator, Bundesnetzagentur, temporarily suspended the certification procedure for the Nord Stream 2 natural gas pipeline, citing the project's shortcomings in meeting European energy law requirements.
'Based on the current situation, this means that the pipeline does not meet the requirements of the European energy law and cannot be approved as safety issues are still on the agenda,' Germany's Foreign Minister Annalena Baerbock, was quoted as saying by public broadcaster ZDF on Sunday.
The pipeline operator company, Russian gas giant Gazprom, announced the completion of the pipeline construction on Sept. 10.
The Nord Stream 2 will carry 55 billion cubic meters of natural gas from Russia to Germany through the Baltic Sea upon completion.
By Ebru Sengul Cevrioglu