Crude Prices Slide as Iran Deal Looms; Nigeria’s New Oil Blend Hits Market

Nigerian oil prices have come under pressure amid indications that Iran is open to reviving a nuclear deal with the United States, a move that could increase global oil supply.

On Tuesday, Nigeria’s crude sold at around $68.34 per barrel, falling below the 2025 budget benchmark. Analysts warn prices could dip further by Thursday as traders grow cautious.

In Thursday’s Asian market session, Brent crude fell to $65 per barrel, while West Texas Intermediate (WTI) dropped to $61.62. The decline followed news that Iran is willing to negotiate a deal with former U.S. President Donald Trump’s administration, provided sanctions are lifted.

Ali Shamkhani, a key adviser to Iran’s Supreme Leader, signaled Tehran’s readiness to reach an agreement under the right conditions. However, market uncertainty lingers due to the Trump administration’s historically tough stance on Iran.

Nigeria Launches Obodo Crude for Export

In a boost to Nigeria’s oil portfolio, the country has successfully launched the export of its latest oil blend, Obodo crude.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) confirmed the shipment by Conoil Producing Limited. NUPRC’s Chief Executive, Gbenga Komolafe, described the milestone as a significant win for Nigeria’s indigenous oil sector and a sign of increasing self-reliance in production.

He noted that the new blend strengthens Nigeria’s export options and aligns with the government’s goals of raising output, attracting investment, and optimizing local participation in the energy sector.

Nigeria Secures $8 Billion in Energy Investment

The federal government announced that it has secured more than $8 billion in investment commitments for Deepwater and gas projects in the past year—an increase from the $6.7 billion recorded in 2024.

According to Presidential Adviser on Energy Olu Verheijen, this growth stems from recent reforms that streamlined regulatory approvals, improved fiscal policies, and made gas-to-power projects more attractive to investors.

She credited proactive leadership and policy overhauls for transforming Nigeria’s energy investment landscape, stating, “We’ve gone from stagnation to momentum in under a year.”

U.S. Oil Inventory Spike Stokes Oversupply Concerns

The U.S. Energy Information Administration (EIA) reported a surprise increase in American crude stockpiles last week, with inventories rising by 3.5 million barrels to 441.8 million barrels—against expectations of a drawdown.

The surge has heightened fears of a global supply glut, especially as OPEC+ members continue to ramp up production. As a result, U.S. oil prices dropped by over $1 per barrel as traders reacted swiftly to the bearish signal.