Nigeria’s Bonny Light has climbed to $80 per barrel, up from $70, marking its highest level since July 2025.
The surge follows coordinated military strikes on Iran by the United States and Israel, which have rattled global energy markets and disrupted crude flows from the Middle East.
Other benchmark crudes also posted sharp gains. Brent Crude rose to $79.08 per barrel from $72.87, while Murban Crude advanced to $81.05 from $74.24. In the United States, West Texas Intermediate (WTI) climbed to $72.24 per barrel, up from $62.
Oil prices began firming on Sunday amid reports that Iran’s crude production — estimated at about three million barrels per day and largely exported to China and other Asian buyers — had been affected by the conflict.
As hostilities intensified, traders priced in the risk of a broader supply shock, pushing prices higher across major benchmarks.
According to the Organization of the Petroleum Exporting Countries, Iran holds vast hydrocarbon reserves in addition to significant deposits of natural gas and key minerals including copper, iron ore, zinc and sulphur.
At $80 per barrel, Bonny Light now trades $15.15 above Nigeria’s 2026 budget benchmark of $64.85 per barrel.
The 2026 fiscal plan is based on crude production of 1.84 million barrels per day and an exchange rate of ₦1,400 to the dollar, meaning sustained higher prices could strengthen government revenues if output targets are met.
However, analysts caution that prolonged instability in the Middle East may translate into higher global petroleum product prices, potentially increasing domestic pump prices in the weeks ahead.
Meanwhile, the OPEC+ alliance agreed to raise output following a virtual meeting held on March 1, 2026.
The eight participating countries, Saudi Arabia, Russia, Iraq, UAE, Kuwait, Kazakhstan, Algeria and Oman, resolved to begin unwinding 1.65 million barrels per day of voluntary production cuts first announced in April 2023.
In a statement, OPEC+ said the group would implement a production adjustment of 206,000 barrels per day starting in April 2026, citing steady global economic conditions and relatively low oil inventories.
The alliance added that the return of the curtailed 1.65 million barrels per day would be gradual and subject to market conditions, stressing flexibility to increase, pause or reverse adjustments if necessary.
