Global oil prices surged on Thursday, with Brent crude climbing 6.24 percent to $114.08 per barrel — its highest level since May 2022 — while US West Texas Intermediate (WTI) rose by 0.97 percent to $96.33 per barrel.
The spike follows renewed tensions in the Middle East, where Israel and Iran have exchanged attacks targeting key energy infrastructure.
Iran fired missiles at energy facilities in Qatar and Saudi Arabia in retaliation for Israel’s earlier strike on its South Pars gas field, significantly escalating the conflict and drawing in the United States.
QatarEnergy said on Wednesday that Iranian missile strikes on Ras Laffan — the centre of Qatar’s liquefied natural gas operations — caused extensive damage to critical facilities. Saudi Arabia also reported intercepting four ballistic missiles aimed at Riyadh and foiling a drone attack on a gas installation.
Tehran had earlier warned of potential evacuations at oil facilities across Saudi Arabia, the United Arab Emirates, and Qatar ahead of its response to attacks on its South Pars and Asaluyeh energy infrastructure. South Pars, which Iran shares with Qatar (where it is known as the North Field), is the world’s largest natural gas reserve.
Following the escalation, US President Donald Trump warned of possible retaliation against Iran’s energy infrastructure if attacks persist.
The disruption to global supply has begun to ripple into Nigeria’s downstream market. Dangote Refinery said it is affected by the volatility, as it sources crude at international prices.
On March 13, the refinery raised its ex-gantry petrol price to N1,175 per litre, days after the worsening crisis. Meanwhile, Nigeria’s crude oil output dropped to 1.31 million barrels per day in February, according to data from OPEC.