US-Iran Crisis Pushes Oil to $87, Nigeria Gains $22 Per Barrel. The escalating crisis between the United States and Iran has pushed global oil prices higher, with Brent crude rising to about $87 per barrel and boosting Nigeria’s potential earnings from crude exports.The surge was driven largely by renewed concerns over disruptions to global oil supplies amid tensions surrounding the reopening of the Strait of Hormuz, a key route for international energy shipments.At the prevailing oil price, Nigeria is estimated to be earning an additional $22.15 per barrel above the benchmark used in the 2026 national budget.
The 2026 budget was based on a crude oil price benchmark of $64.85 per barrel, daily oil production of 1.84 million barrels and an exchange rate of N1,400 to the dollar.The increase in crude prices could provide additional revenue for the Federal Government and other oil-producing stakeholders, provided Nigeria sustains its production levels.However, the volatility in the international oil market also poses risks to Nigeria, particularly if geopolitical tensions eventually ease and crude prices decline.Meanwhile, oil prices continued to climb on Wednesday, with Brent crude trading close to $90 per barrel amid renewed uncertainty over a possible US-Iran agreement and continued disruption around the Strait of Hormuz.
Joseph Akwagiobe is a media contributor from Cross River State, Nigeria, currently based in Abuja. He is a graduate of Microbiology and has earned several professional certifications across diverse fields, reflecting his commitment to continuous learning, professional growth, and excellence.