Crude Oil Prices Surge to $115, Petrol Hike Looms in Nigeria

International crude oil prices have surged to $115.18 per barrel, raising concerns of a potential increase in petrol prices in Nigeria. Currently, Dangote Petroleum Refinery and other depot owners are selling petrol at N1350 at their gantries.

The rise in crude prices is attributed to escalating tensions in the Middle East, particularly fears of renewed military strikes on Iran, which could disrupt global oil supplies. Brent crude reached a five-month high, climbing by 1.8 percent, while West Texas Intermediate crude futures increased by two percent.

Although no immediate price hikes have been announced by refiners or importers, sustained increases in crude prices typically lead to higher domestic petrol prices due to increased replacement costs. The situation is compounded by attacks on energy infrastructure in the Middle East, including recent actions by Houthi militants in Saudi Arabia, which have raised concerns about further disruptions to energy supplies.