US–Iran Crisis Pushes Nigerian Crude Toward $120 as Global Oil Prices Surge
Nigeria’s crude oil market is once again feeling the heat of global tensions, as the ongoing US–Iran crisis drives prices closer to the $120 per barrel mark. Bonny Light, Nigeria’s flagship crude grade, is currently trading at about $117 per barrel, according to data linked to the Central Bank of Nigeria, reflecting a sharp rebound fueled by instability in the Middle East.
The surge comes as oil markets react to renewed conflict between the United States and Iran, which has already pushed global crude prices up from around $70 per barrel. At the height of the crisis, prices nearly touched $140 per barrel, highlighting how sensitive global energy markets remain to geopolitical shocks. Nigeria’s crude typically sells at a premium above Brent benchmark prices, making the country a key beneficiary of rising oil demand.
Tensions escalated further after reports that Iran submitted a response to a United States peace proposal through Pakistani mediation. While diplomatic efforts continue, negotiations have reportedly stalled, with both sides still far apart on major demands including sanctions relief, nuclear restrictions, and control of strategic oil routes such as the Strait of Hormuz—a vital passage responsible for about 20% of global oil shipments.
On the diplomatic front, Iran insists on the release of frozen assets, an end to US sanctions, and compensation for war damages, while Washington continues to demand limits on Iran’s nuclear programme and greater control over oil transit routes. US President Donald Trump has warned that time is running out for Tehran to reach an agreement, raising fears of further escalation in the already volatile region.
Despite ongoing talks and mounting international pressure, both sides are preparing for the possibility of renewed conflict. Iranian officials say they are “fully prepared for any eventuality,” while US financial authorities are pushing for tighter sanctions enforcement. As uncertainty deepens, global energy markets—including Nigeria’s oil-dependent economy—remain highly exposed to sudden price swings.
source: PUNCH