Brent hits highest level since 2022 amid Iran-Israel escalation, raising fresh concerns over fuel costs in Nigeria….
Global oil markets surged sharply on Thursday as escalating tensions in the Middle East triggered fears of supply disruptions, pushing crude prices to their highest levels in nearly three years.
Brent crude jumped by 6.24 percent to $114.08 per barrel its first time crossing that threshold since May 2022 while West Texas Intermediate crude rose by 0.97 percent to $96.33 per barrel.
The spike follows a series of coordinated attacks on critical energy infrastructure involving Iran and Israel, marking a dangerous escalation in a conflict now drawing in global powers.
Iran reportedly launched missile strikes targeting energy facilities in Qatar and Saudi Arabia, in retaliation for Israel’s earlier attack on its key gas infrastructure at the South Pars gas field.
Qatar’s state-owned energy giant, QatarEnergy, confirmed that missile strikes on Ras Laffan home to its core liquefied natural gas processing facilities caused extensive damage, raising alarm across global energy markets.
Saudi authorities also disclosed that air defense systems intercepted four ballistic missiles headed for Riyadh and successfully thwarted a drone attack targeting a gas facility, preventing further damage to its energy infrastructure.
The South Pars field, jointly shared between Iran and Qatar (where it is known as the North Field), is the largest natural gas reserve in the world, making any disruption to its operations a major concern for global supply chains.
Tensions escalated further after Donald Trump warned that the United States could take direct action against Iranian energy assets if attacks on regional facilities persist.
The ripple effects are already being felt far beyond the Middle East. In Nigeria, rising global crude prices are beginning to translate into higher domestic fuel costs. The Dangote Refinery recently acknowledged its exposure to global price benchmarks, noting that international developments directly impact its pricing structure.
Earlier in March, the refinery raised its ex-gantry petrol price to ₦1,175 per litre, reflecting the pressure from rising crude costs.
Meanwhile, Nigeria’s oil output remains under strain. Data from the Organization of the Petroleum Exporting Countries shows that the country’s crude production dropped to 1.31 million barrels per day in February, adding another layer of concern for Africa’s largest oil producer.
With geopolitical risks intensifying and supply routes under threat, analysts warn that oil prices could remain volatile in the coming weeks raising the stakes for energy-importing nations and putting additional pressure on economies already battling inflation.
