Global oil markets were thrown into turmoil after crude prices surged by nearly 30 percent in a single trading session, raising fresh concerns that petrol prices in Nigeria could climb toward ₦2,000 per litre if the rally persists. The spike follows escalating tensions involving Iran, Israel, and the United States, which have heightened fears of supply disruptions across the Middle East.
Oil prices record sharp rally
At the peak of the surge, crude prices climbed close to $117 per barrel, marking one of the sharpest daily increases in recent history. At the time of writing 6:40 (AM) West Texas Intermediate (WTI) dropped to $108.10, down 18.91 percent, while Brent crude declined $111.10, fell 19.84 percent.
Energy analysts attribute the rally to growing fears that conflict in the region could disrupt tanker movement through the Strait of Hormuz, a key global oil shipping route.
Pressure on Nigeria’s fuel market
For Nigeria, the development presents a mixed outcome. While higher crude prices could boost export earnings, the domestic fuel market remains vulnerable to global price movements. Analysts warn that if crude prices remain above $110 per barrel, the landing cost of petrol could rise sharply, pushing retail prices closer to ₦2,000 per litre.
The development could further strain households and businesses already dealing with high transportation and energy costs.