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Oil prices rise for third consecutive day amid US–Iran tension
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News Archives | Premium Times Nigeria
Oil prices rose on Thursday, extending gains for a third consecutive day as concerns grew that the United States could take military action against Iran—a key Middle Eastern oil producer—potentially disrupting regional supplies.
Brent crude futures rose by 94 cents, or 1.4 per cent, to $69.34 a barrel by 07:30 GMT, Reuters reported.
Rising threats of US–Iran military action have led analysts to project that oil prices may remain high amid heightened geopolitical risks, US restrictions on Russian oil purchases, and sustained Chinese demand, even as markets entered the year expecting a large oversupply.
At the same time, Nigeria’s deregulated downstream sector means that higher international crude prices are quickly transmitted to domestic fuel prices.
Some analysts have warned that a full-scale conflict disrupting the Strait of Hormuz—a chokepoint for about 20 per cent of global oil flows—could send Brent prices surging to $91 or even $150 per barrel.