European energy stocks slump on prospect of end to Iran war

Oersted A/S

06/05/2026 11:32

** Shares of European oil and gas companies, biofuel makers and renewable energy firms fall sharply in a rising market .STOXX after a media report on a possible memorandum to end the U.S-Israeli war with Iran send crude prices down sharply

** The memorandum, confirmed by a Pakistani source, would result in both sides of the conflict lifting restrictions around transit through the Strait of Hormuz, the report says

** Norwegian oil & gas group Equinor EQNR.OL is down 9%, further extending losses after earlier posting Q1 cash flow below forecasts, while domestic peers Var Energi VAR.OL and Aker BP AKRBP.OL both fall more than 7%

** Among energy majors, Italy's Eni EMI.MI, Spain's Repsol REP.MC, France's TotalEnergies TTEF.PA and the UK's BP BP.L and Shell SHEL.L are down between 3.5 and 4.7%

** Finnish biofuel maker and oil refiner Neste .NESTE.HE falls 6%

** Among renewable stocks, Orsted ORSTED.CO, RWE RWEG.DE, Fortum FORTUM.HE, Verbund VERB.VI and EDPR EDPR.LS fall between 1.6 and 4%, as easing energy security concerns weigh

** Europe's oil and gas index .SXEP is down 3.6%, leading sectoral fallers in the region, as futures for Brent LCOc1, the international benchmark, drop over 6% to around $103

** The region-wide STOXX 600 .STOXX gains over 2%. Utilities .SX6P also lag, down 0.7%

 (Reporting by Boleslaw Lasocki)

 ((boleslaw.lasocki@thomsonreuters.com; +48 58 769 66 00;))