Oil Prices Struggle after Crashing to Lowest Since May

Stories by Emmanuel Addeh in Abuja 

Nigeria’s oil benchmark, Brent Crude, added just over $1 yesterday, after it settled at $62.73 a barrel, down $2.49, or 3.82 per cent at the weekend, the lowest since May 7 this year.

Also, US West Texas Intermediate (WTI) crude finished at $58.90 a barrel down $2.61, or 4.24 per cent, the lowest since early May.

In the 2025 budget, Nigeria set a target crude production (including condensates) of roughly 2.06 million barrels per day (bpd) and a benchmark price of $75 per barrel.

The development came as a ceasefire between Israel and Hamas came into effect in Gaza, as an end to the war could remove worries about disruptions to oil supplies, which had kept crude’s price higher than it otherwise would have been.

The Gaza ceasefire deal means the focus can move back to the impending oil surplus, as the Organisation of Petroleum Exporting Countries (OPEC) proceeds with the unwinding of production cuts.

But prices rose on Monday after hitting five-month low in the previous session, as investors focused on potential talks between the Presidents of the United States and China that could ease trade tensions between the world’s two largest economies and oil consumers.