European natural gas prices edged higher as traders weighed mixed signals from the United States regarding negotiations with Iran over reopening the Strait of Hormuz.

After falling more than 9% last week, the European benchmark Dutch TTF natural gas futures rose 2.5% on Monday to 73.865 euros per megawatt-hour as of the time of writing.

According to foreign media reports, U.S. President Donald Trump said on September 27 that he expects the United States and Iran to restart negotiations within the coming week.

Trump also said he has been "constantly considering" whether to resume military strikes against Iran, while U.S. forces are assisting in shipping "large volumes of oil" out of the Strait of Hormuz.

The media outlet, citing regional sources, reported that a new round of indirect talks between the U.S. and Iran is expected to take place as early as the 28th, with mediators such as Qatar working to broker the discussions, though significant differences remain between the two sides on key issues.

Iran wants the talks to focus on navigation through the Strait of Hormuz and the lifting of the U.S. naval blockade on Iran, while the Trump administration is demanding that Iran agree to concessions on the nuclear issue.

On September 22, U.S. Special Envoy Witkoff and Trump's son-in-law Kushner held indirect talks with Iranian Foreign Minister Araghchi on the sidelines of the United Nations General Assembly in New York.

According to reports, the Iranian side proposed that if the United States lifts its naval blockade, cancels oil sales sanctions, and restores a regional ceasefire, Iran would reopen the Strait of Hormuz and restart nuclear negotiations within seven days.

However, Trump confirmed to the media on September 26 that he had rejected this Iranian proposal.

Araghchi said in an interview on the 27th that despite Trump's public remarks, the U.S. side has not yet formally conveyed its decision to reject Iran's proposal through the mediator.

Iran is prepared for the resumption of hostilities with the United States and is also ready at any time for diplomatic engagement.

With negotiations making little progress and uncertainty over global winter natural gas supplies mounting, Europe is gradually running out of time to replenish unusually low gas inventories before the heating season arrives.

The Strait of Hormuz previously handled about one-fifth of global liquefied natural gas (LNG) shipments, and the ongoing disruption is setting the stage for fierce competition among global gas buyers.

Marco Saalfrank, head of commodity trading at Axpo Holding AG, said natural gas prices this winter could swing sharply in either direction.

If disruptions to European gas supplies coincide with simultaneous severe cold weather in both Europe and Asia, prices could surge above 100 euros per megawatt-hour.

He added, however, that prices could also fall if the disruption to gas shipments through the Strait of Hormuz is resolved, or if Qatar finds other ways to export LNG, but "even if prices decline, we do not expect them to immediately return to pre-war levels — that is, below 30 euros per megawatt-hour — because some uncertainty is likely to persist."

Currently, Europe's vast gas storage facilities are about 71% full overall, below the five-year average of 87% for the same period.

Nevertheless, LNG imports have rebounded somewhat since mid-August after a sharp earlier decline.

In Germany, which has the largest gas storage capacity in Europe, storage facilities are currently slightly more than 57% full.

According to people familiar with the matter, after struggling to replenish inventories this summer, Germany has discussed with industry the possibility of mandating natural gas storage replenishment next year.