Global oil markets saw a significant uptick on Monday, with Brent crude reaching $79 per barrel following a four percent price increase. This spike stems from intensifying friction between the United States and Iran, which has sparked anxiety regarding the security of international crude supplies.
Markets reacted to recent military skirmishes and Iran’s declaration that it would shutter the Strait of Hormuz—a vital conduit for 20 percent of the world’s oil. President Donald Trump has countered that the passage will stay open, though he revealed plans to impose a blockade on Iranian ports, restricted only by a 20 percent tariff on third-party vessels.
This volatility marks a major shift from the downward price trends observed over previous weeks, which had been driven by sluggish global demand and increased OPEC+ output. Prices had dipped to $72 last week before the latest geopolitical instability forced the sudden rebound.
For Nigeria, this price hike coincides with a notable rise in domestic output. The Nigerian Upstream Petroleum Regulatory Commission reported that daily production of crude and condensate hit 1.74 million barrels per day in June, a 2.3 percent increase over May figures. By producing 1.56 million barrels of crude alone, Nigeria successfully surpassed its 1.5 million barrel OPEC quota for two months running.
This output level is the highest the nation has seen since April 2020. The commission credited the steady growth to improved infrastructure security, fewer pipeline interruptions, and streamlined evacuation processes. With peak daily production reaching 1.89 million barrels in June, Nigeria is steadily moving toward its goal of two million barrels per day.