Global oil prices pulled a surprise on Tuesday, trading above $110 a barrel amid supply disruptions following Russia’s invasion of Ukraine.
High oil prices mean more subsidy payments for the Nigerian government to sell petrol below the international market rate.
The development is coming even as the United States and other member states of the International Energy Agency (IEA) agreed to release 60 million barrels of oil reserves to tame rising prices.
Brent crude was trading up 7.80% to $112.70 per barrel – up nearly $8 per barrel from Tuesday and the highest since February 2011.
West Texas Intermediate Crude futures proportionally gained 7.54 percent to $110.95 a barrel.