Nigerian crude oil has risen above $70 per barrel, exceeding the federal government’s 2026 budget benchmark of $64.85. Bonny Light crude last traded at around $71 a barrel, despite a slight dip from $72.3 earlier in the week.
The price increase comes amid growing geopolitical tensions in the Red Sea region, ahead of the third round of US-Iran nuclear talks in Geneva, and ongoing Iranian naval exercises in the Strait of Hormuz, a key route for global oil transport.
Domestically, Nigeria’s oil outlook is improving, with the Dangote Refinery reaching 661,000 barrels per day, surpassing its design capacity and allowing the country to become self-sufficient in petrol while exporting surplus fuel.
Also Read: Nigeria’s Oil Output Rises 30% To 1.6m Barrels Per Day
The federal government’s 2026 budget assumes crude at $64.85 per barrel and a production target of 1.84 million barrels per day. Oil theft and pipeline vandalism, which cost billions in 2025, have begun to decline due to enhanced security and community monitoring.
Leave feedback about this
You must be logged in to post a comment.