Nigeria’s flagship crude oil grades are trading robustly above \$65 per barrel, defying broader market uncertainties following OPEC+’s decision to gradually lift production caps from October 2024.
At its latest meeting, the producer alliance confirmed an increase of 500,000 barrels per day, aimed at tempering market volatility without tipping the balance into oversupply. Despite this, Nigeria’s Bonny Light, Forcados, and Qua Iboe blends remain in healthy demand, commanding a premium over the Brent benchmark.
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Traders say European and Asian refiners are sustaining interest, with Nigeria’s low-sulphur crude fetching between \$65 and \$68 per barrel. Market resilience is being linked to improved output levels and the cleaner refining qualities of Nigerian crude.
While global oil prices have steadied, earlier volatility—driven by sluggish Chinese and European growth and U.S. trade tensions—had pushed prices below \$60 in April. The modest OPEC+ adjustment now seeks to balance supply with lingering demand concerns.
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