Nigeria is set to benefit from a significant increase in crude oil revenue as its premium crude grades, Brass River and Qua Iboe, surged to $113 per barrel on Thursday, well above the international Brent benchmark of $96 per barrel. Market data accessed by Channels Television at 9:54 AM WAT showed Brass River trading at $113.82 and Qua Iboe at $113.72 per barrel, reflecting strong global demand and a shift in trade flows amid Middle East tensions.
The surge comes as Nigeria’s crude oil production reached 1.8 million barrels per day, according to Finance Minister Wale Edun, who spoke on the sidelines of the IMF-World Bank spring meetings in Washington. Edun noted that rising output would boost government revenue, foreign exchange reserves, and provide fiscal space to support vulnerable households.
The spike in Nigerian crude prices is partly driven by the ongoing conflict between Israel, the United States, and Iran, which has disrupted global energy markets. Iranian threats to shipping have halted nearly a fifth of the world’s oil and gas supplies transiting the Strait of Hormuz, prompting buyers in Europe and Asia to seek alternatives. Nigerian crude has become an attractive option, with countries like Japan placing new orders to offset lost Middle Eastern supplies.
Meanwhile, the U.S. dollar held near its lowest level since early March against major currencies, buoyed by optimism over potential peace talks with Iran. The dollar index remained steady at 97.969, having declined for eight consecutive sessions. In Nigeria, the naira appreciated in Thursday’s opening session of the Nigerian Foreign Exchange Market, trading at approximately N1,344.20 per dollar, supported by improved foreign currency inflows and the Central Bank’s efforts to clear forex backlogs.
Nigeria’s crude oil revenue for 2025 was estimated at roughly N55.5 trillion, based on production of about 530.41 million barrels. While output improved to between 1.38 and 1.8 million barrels per day in early 2026, the sector continues to miss OPEC quotas due to operational challenges and pipeline issues. Key export terminals include Forcados, Bonny, Qua Iboe, and Escravos.
Adding to the global supply shift, U.S. crude oil exports surged last week to 5.2 million barrels per day—the highest in seven months—narrowing net imports to just 66,000 barrels per day, the lowest on record. Nearly half of U.S. exports went to Europe, with significant volumes also heading to Asia, as buyers scramble to replace disrupted Middle Eastern supplies.
With Nigeria’s oil benchmark set at $60 per barrel for 2026, the current price surge offers a rare fiscal windfall, reinforcing the sector’s critical role in the country’s economy amid ongoing reforms and production challenges.
