Nigerian Crude Oil Prices Surge Above $113 Amid Crisis

Nigerian crude oil prices have risen sharply above $113 per barrel amid a crisis in the Middle East and ongoing supply constraints. The Brent crude price increased by 2.5 percent to $108 per barrel, while West Texas Intermediate (WTI) approached $97 per barrel.

The Nigerian light sweet grades, including Bonny Light, Qua Iboe, and Brass River, were reported to trade as high as $130 per barrel. Analysts attribute this spike to strong demand from Asian and European refiners seeking alternatives to Middle Eastern supplies, particularly due to the blockade of the Strait of Hormuz.

Despite the higher prices, Nigeria's crude oil production is at 1.84 million barrels per day, which aligns with the country's 2026 budget benchmark and exceeds its OPEC quota of 1.5 million barrels per day. However, challenges remain in balancing export revenues with domestic refining needs.

Dr. Femi Adeyemi and analyst Chioma Ez highlight that Nigeria's strategic imports are affected by global supply shocks, making West African grades more premium.