Nigerian Crude Oil Hits $113 Per Barrel as Supply Tensions and China Demand Boost Global Prices

Nigerian crude oil has surged sharply on the global market, with Brass River trading at around $113 per barrel, significantly outperforming Brent crude, which fell below the $95 mark. The rally comes as global energy markets react to shifting supply risks and stronger-than-expected demand signals from major importers.

Market data showed that West African crude grades briefly climbed even higher in physical trade, with some cargoes reaching between $140 and $150 per barrel due to a scramble by refiners seeking alternatives to disrupted Middle Eastern supply. However, prices later cooled, slipping back below the $120 level as volatility returned to the market.

Nigeria’s flagship crude, Bonny Light, has not followed the same upward momentum, instead recording a mild downward trend over the past week. Meanwhile, global benchmarks remained mixed, with West Texas Intermediate holding steady at $88 per barrel and Brent edging slightly higher by 0.1% to about $95 per barrel.

A key driver of market sentiment has been China’s stronger-than-expected economic performance. The world’s largest crude importer posted 5% year-on-year GDP growth in the first quarter of 2026, supported by rising exports and a gradual recovery in domestic consumption. Although some indicators suggest slowing momentum toward the end of the quarter, the data has reinforced expectations of sustained oil demand.

However, geopolitical tensions continue to cloud the outlook. Ongoing U.S.–Iran ceasefire discussions, which may be extended by two weeks, have helped ease immediate volatility, but uncertainty remains high over critical issues such as Iran’s nuclear program and access through the Strait of Hormuz. With the ceasefire set to expire on April 21, traders remain cautious as both supply risks and diplomatic negotiations continue to shape global oil prices.

source: nairametrics