EUROPE GAS-Prices up 5% on reports of extension to US blockade of Iranian ports

LONDON, April 29 (Reuters) - Dutch and British wholesale gas prices rose by around 5% on Wednesday afternoon on fading prospects of any U.S.-Iran peace deal soon and the resumption of liquefied natural gas supplies through the Strait of Hormuz.

U.S. President Donald Trump urged Iran on Wednesday to "get smart soon" and sign a deal, following days of deadlock in efforts to end the conflict and a media report that the U.S. would extend its blockade of Iran's ports.

The Wall Street Journal cited U.S. officials as saying the president had instructed aides to prepare for an extended blockade of Iran's ports in a bid to force Tehran to capitulate.

Separately, Trump met with top officials from Chevron and other energy companies on Tuesday to talk about steps that could be taken to calm oil markets if it is necessary to continue the blockade of Iranian ports for months, a White House official said on Wednesday.

The benchmark Dutch front-month contract at the TTF hub TFMBMc1 rose by 5.4% to 45.95 euros per megawatt hour (MWh) by 1416 GMT, ICE data showed.

The British front-month contract NGLNMc1 was up nearly 5% at 113.50 pence per therm.

The moves tracked Brent crude futures, which also rose on Wednesday afternoon. O/R

"If that blockade is extended by the U.S., it's not exactly a good sign that LNG will come out of Hormuz anytime soon," a UK gas trader said, adding that the market has not been hopeful of any peace deal since talks have been stalled.

Earlier this week, an LNG tanker managed by the UAE's ADNOC crossed the Strait of Hormuz and appeared to be near India, ship-tracking data showed. If confirmed, it would be the first loaded LNG tanker to cross the strait since the war started on February 28.

However, one tanker would not necessarily mean others would follow. In addition, Iranian attacks knocked out 17% of Qatar's LNG export capacity in March, which QatarEnergy's CEO said would take three to five years to repair.