Natural gas prices soar 9% to their highest level since 2008 as Russia's war on Ukraine shifts more US supplies overseas

• Natural gas prices soared as much as 9% on Tuesday as Russia's war against Ukraine drags on.
• Natural gas prices crossed $8.00 per million British thermal units, the highest level since September 2008.
• As prices rise, US-based natural gas companies are exporting more of their product overseas.

US natural gas prices soared as much as 9% on Tuesday as Russia's war against Ukraine continues to drag on and disrupt various commodity supply chains.

Prices crossed above $8.00 per million British thermal units and hit a high of $8.17, representing the highest level since September 2008. Henry Hub prices settle 6.4% higher at $7.954.

The surge comes as US-based energy companies see a spike in demand for their product overseas. About 30% of planned US liquefied natural gas export capacity has been secured since Russia's attack against Ukraine, according to a Bloomberg report.

That heightened activity has helped renew financing for the beleaguered sector that saw a sharp, years-long downturn amid the bust of the 2015 shale boom.

Energy Transfer said it made an 18-year supply deal with South Korea's SK Gas Trading on Tuesday, just one day after it announced a 20-year contract with Gunvor Group. Additionally, the French utility company Engie SA secured 2 million tons of liquefied natural gas from NextDecade's proposed gas plant.

Rising demand for US energy comes as few countries want to buy gas from Russia, which remains one of the world's largest producers of the commodity. And a combination of low winter gas inventories and a potentially hot summer that increases energy demand for air conditioning could continue to put upside pressure on natural gas prices.