In response to rising global oil prices associated with Middle East tensions, the Nigerian National Petroleum Company Limited (NNPCL) has increased the official selling prices of all 37 Nigerian crude grades for May-loading cargoes.
The national oil corporation raised the price of Nigeria’s flagship crude grade, Bonny Light, by $6.13 per barrel for May compared to April, according to a report by Oilprice.com.
Forcados crude increased by $7.01 per barrel within the same time period, according to the data.
According to Bonny Light and Forcados, “Nigeria reaps the benefit of the Iran war,” according to Oilprice.com. For May-loading cargoes, Nigeria’s national oil firm, NNPC, has increased the official selling prices of all 37 Nigerian crude grades. Its flagship grade, Bonny Light, has increased by a staggering $6.13 per barrel from April, while Forcados has increased by $7.01 per barrel.
The news coincides with reports that Brent crude soared above $110 per barrel due to worries that the dispute between the United States and Iran would drag on.
The United Arab Emirates’ alleged departure from the Organization of Petroleum Exporting Countries, which has sparked concerns about potential realignments in the Middle East energy market, was also connected in the report to market instability.
The Central Bank of Nigeria reports that Bonny Light increased by about $2 on Monday due to conjecture about the possibility of an agreement between Iran and the US to reopen the Strait of Hormuz and permit unrestricted passage of oil vessels.
Before the Middle East crisis worsened on February 28, Bonny Light was trading for about $74, according to data from the apex bank.
If output and exports stay steady, the most recent rise in Nigeria’s crude oil selling prices might boost oil revenue.
