Nigerian crude traded around $68 per barrel as oil prices rose on reports of potential Israeli action against Iranian nuclear sites. Brent crude topped $66, and WTI jumped 5% before easing. Market volatility continues amid uncertainty over Iran-U.S. nuclear talks, which could increase oil supply if resolved.
Tensions over a possible Israeli strike on Iran could derail nuclear talks and destabilize the Middle East, a key oil supplier, keeping crude prices elevated. The news briefly boosted safe-haven currencies like the Swiss franc and Japanese yen. Israel has considered such strikes before, but past plans were reportedly paused due to U.S. caution under President Biden.
OPEC plans to release oil reserves, while U.S. shale output remains below peak and unsustainable under $50/barrel. Iran’s leader doubts progress with U.S. talks. Despite sanctions, Iran’s oil exports grow, with output up by 1 million barrels/day, says Goldman Sachs.Nigeria produced 200.08 million barrels of crude oil in the first four months of 2025—18.7% below the projected 247.2 million barrels. This shortfall threatens the country’s 2025 budget, which the World Bank says relies on overly ambitious revenue targets. Falling oil prices and a 46.4 million-barrel production drop further deepen fiscal risks for the oil-dependent economy.
