By Atoyebi Nike
Nigerian crude oil blends held firm above the $71 mark at midweek trading, with Bonny Light and Brass River settling at $71.4 per barrel on Wednesday, even as global benchmarks trended downward.
On Thursday, Brent crude slipped 1 percent to $67 a barrel, while U.S. West Texas Intermediate (WTI) fell by the same margin to $63.4. The declines extend losses from earlier in the week as investors brace for an OPEC+ meeting on Sunday, where producers are expected to discuss another round of output increases.
OPEC+ has already raised output targets by 2.2 million barrels per day between April and September and adjusted the UAE’s quota by 300,000 barrels. Market analysts caution that while supply has been absorbed during peak demand, rising inventories in the winter months could pressure prices further.
The American Petroleum Institute reported a crude stock build of 622,000 barrels for the week ending August 29, countering expectations of a 2-million-barrel draw. Official U.S. inventory data is due later Thursday.
Despite subdued prices, Nigeria’s President Bola Tinubu said the country achieved its 2025 revenue target in August, largely driven by non-oil exports. He stressed that Nigeria is no longer borrowing to finance its budget, adding confidence to the country’s economic outlook.
Meanwhile, the Nigerian National Petroleum Company (NNPC) Limited said security operations have significantly curtailed crude oil theft. Deliveries through pipelines in the Niger Delta are now near full capacity, compared to just 30 percent three years ago.
Nigeria’s oil regulator forecasts production could exceed 2.5 million barrels per day in 2026, the highest since 2005, if stability continues. With India increasing imports of Nigerian crude amid U.S. pressure to scale down Russian supplies, exports could climb beyond two million barrels monthly by year-end.
