The development had raised concerns among traders that the conflict between Iran and Israel could disrupt supplies coming from the energy-rich region.
Global oil prices surged sharply following Israel’s airstrike on Iran, raising fears of a potential Premium Motor Spirit (PMS) price hike in Nigeria. Brent crude jumped to $75.15 per barrel, while NYMEX Light Sweet and West Texas Intermediate (WTI) climbed to $73.20 and $74, respectively — marking the highest levels seen since February 2025.
This spike surpasses Nigeria’s 2025 budget benchmark of $75 per barrel, but experts warn the gains could be short-lived as rising crude prices often translate into higher PMS costs. Currently, fuel prices in Lagos and Abuja hover between N870 and N910 per litre.
The price surge stems from traders’ fears that the ongoing Israel-Iran conflict could disrupt oil supplies from the Middle East. Meanwhile, Dangote Refinery, which depends on US crude imports, may see rising input costs. The escalating conflict has prompted responses from global powers including the UN, US, China, and Saudi Arabia.