Global crude oil prices continued their upward trajectory, closing at approximately $108 per barrel as tensions in the Middle East intensified. Iranian authorities sustained their criticism of a 15-point peace initiative introduced by Donald Trump, describing the proposal as biased and structured primarily to benefit the United States and Israel. The surge in oil prices—rising by nearly 6 percent—followed Iran’s rejection of ongoing diplomatic efforts aimed at resolving the conflict. This increase reflects growing uncertainty in global energy markets, largely driven by geopolitical instability in the region. Earlier in the week, prices had dropped from $103 to $98 per barrel after indications that Washington and Tehran might engage in negotiations. However, renewed tensions quickly reversed that trend, underscoring how sensitive oil markets remain to developments in the Middle East. Impact on Nigeria’s Fuel Market In Nigeria, the effect of rising global oil prices continues to be felt domestically. The state-owned oil company, NNPC Limited, currently sells petrol at about N1,261 per litre in Abuja, while private marketers offer it at around N1,371 per litre. This marks a significant increase compared to pre-crisis levels in late February, when petrol was sold between N860 and N880 per litre. The sharp rise highlights the broader economic consequences of international conflicts on local fuel pricing. Iran Maintains Strategic Position Despite rejecting the U.S. proposal, Iranian officials have not entirely ruled out diplomacy. A senior official indicated that while there is currently no viable framework for meaningful negotiations, dialogue remains a possibility if more balanced terms are presented. Tehran also reaffirmed its authority over the strategically important Strait of Hormuz, emphasizing that control of the waterway is both a sovereign and lawful right. The strait remains a critical chokepoint for global oil supply, making it central to ongoing geopolitical tensions. Key U.S. Demands and Iran’s Response The U.S. peace plan reportedly includes demands such as dismantling Iran’s nuclear program, limiting its missile capabilities, and relinquishing influence over the Strait of Hormuz. It also calls for an end to Iran’s support for regional allies. Iran, however, dismissed these terms as unrealistic and one-sided. Officials argue that the proposal fails to meet basic criteria for a fair agreement and instead advances only U.S. and Israeli interests. Escalating Rhetoric Between Washington and Tehran President Trump urged Iran to take negotiations seriously, warning that delays could worsen the situation. He also claimed that Iranian leaders were hesitant to openly acknowledge talks due to internal pressures. In response, Iranian authorities denied actively engaging in negotiations, stating that indirect communications do not constitute formal dialogue. The exchange highlights deep mistrust between both sides, further complicating peace efforts. Disagreements Over Negotiation Channels Iran has also expressed reluctance to engage with certain U.S. representatives, including Middle East envoy Steve Witkoff and advisor Jared Kushner. Instead, Tehran reportedly prefers dealing with Vice President J. D. Vance, whom it views as more pragmatic in foreign policy matters. This shift reflects Iran’s skepticism toward previous negotiation efforts, which it believes may have been used as a cover for military actions. Military Developments Intensify Crisis Amid ongoing hostilities, Israel announced the killing of Iranian naval commander Alireza Tangsiri, who was reportedly overseeing operations related to the Strait of Hormuz. Israeli Prime Minister Benjamin Netanyahu described the action as part of continued strategic coordination with the United States. The development signals further escalation, raising concerns about broader disruptions to global oil supply chains. U.S. Considers Control of Iranian Oil During a cabinet meeting, President Trump suggested that taking control of Iran’s oil resources remains a possible strategy. Drawing comparisons to U.S. involvement in Venezuela, he noted that similar approaches had yielded favorable outcomes for Washington. This statement adds another layer of complexity to an already volatile situation, as control over energy resources remains a central issue in the conflict.
LAGOS — Concerns are growing among Nigerians that the cost of Premium Motor Spirit (PMS), commonly known as petrol, as well as Automotive Gas Oil (diesel), may continue to increase following a fresh surge in global crude oil prices, which climbed above $100 per barrel on Thursday. Earlier in the week, many citizens had anticipated a reduction in fuel prices after crude oil fell to around $92 per barrel on Wednesday, raising hopes that energy costs would decline. However, the situation changed rapidly after renewed tensions involving the United States, Israel, and Iran. The newly appointed Iranian Supreme Leader, Ayatollah Mojtaba Khamenei, reportedly maintained a firm stance that the strategic Strait of Hormuz could remain effectively closed as part of geopolitical pressure, a development that immediately affected global oil supply expectations. Both Dangote Petroleum Refinery and the Nigerian National Petroleum Company (NNPC) Limited had earlier announced slight reductions in petrol prices earlier in the week. This move created optimism among Nigerians that pump prices might fall further. Nevertheless, the sudden increase in crude oil prices on the international market has weakened those expectations, as higher global prices often translate to higher domestic fuel costs. On Wednesday, crude oil had briefly dropped to about $88 per barrel, down from roughly $110 per barrel the previous day, after the International Energy Agency (IEA) confirmed that its 32 member nations agreed to release approximately 400 million barrels of oil from strategic reserves. The decision was intended to stabilize supply and reduce the impact of a possible disruption caused by the threatened closure of the Strait of Hormuz. Despite this intervention, market stability proved short-lived. Following renewed warnings from Iranian leadership about sustaining the blockade, crude oil prices began rising again. Market monitoring indicated that prices fluctuated between $96 and $117 per barrel, depending on crude grade and trading conditions. As of the latest market checks, petrol prices across Nigeria remain elevated, averaging around ₦1,200 per litre or higher in many locations nationwide. Depot Owners and Marketers Maintain High Pump Prices Market surveys conducted across major fuel depots revealed that prices have remained largely unchanged despite earlier expectations of a reduction. In Lagos, depot operators such as Matrix, Menj, NIPCO, Pinnacle, and Rainoil reportedly sold petrol at approximately ₦1,200, ₦1,180, ₦1,175, and ₦1,200 per litre, respectively. In Warri, depot owners including Danmarna, Matrix, Parker, Prudent, and Zamson sold at prices ranging between ₦1,200 and ₦1,205 per litre, showing little variation in market rates. In Port Harcourt, suppliers such as Bulk Strategic, Liquid Bulk, Masters, Matrix, and Sigmund recorded prices around ₦1,150 to ₦1,220 per litre, depending on supply volume and distribution costs. Similarly, in Calabar, depot operators including Dozzy, Fynefield, Matrix, NorthWest, and Wabeco sold petrol at about ₦1,195 to ₦1,205 per litre, confirming that the national average price remains high. Transporters and Commuters Express Concern Over Rising Fuel Cost Several transport operators and commuters expressed frustration over the continued increase in fuel prices, describing the situation as difficult for both businesses and daily transportation. Some stakeholders called on the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to step in and ensure that oil marketers review their pump prices in line with market realities, especially when temporary price reductions occur in the global oil market. They warned that persistent increases in petrol and diesel prices could lead to higher transportation fares, increased cost of goods, and additional economic pressure on households across the country.
