Nigeria’s Bonny Light crude is now trading above Brent for the first time in years, reflecting changing dynamics in the global oil market and renewed investor optimism.
This milestone coincides with Nigeria’s historic first shipment from its new Otakikpo export terminal, and Dangote Refinery’s rising appetite for U.S. crude amid local supply challenges.
In a notable shift in the global oil market, Nigeria’s Bonny Light crude blend is now trading slightly higher than Brent crude, marking a rare moment of price leadership for the West African oil giant. As of last Friday, Bonny Light, along with other key Nigerian blends Qua Iboe and Brass River, was priced at $67.30 per barrel, just edging out Brent, which fell to $66.04 per barrel on Monday.
This development comes amid cautious optimism across global energy markets as investors keep a close eye on peace talks between the United States and China. Both nations have resumed negotiations through their economic and trade consultation mechanism in London, a move seen as potentially easing geopolitical tensions and boosting oil demand.
Meanwhile, U.S. West Texas Intermediate (WTI) crude, another key global benchmark, dipped by just 4 cents to settle at $64.05 per barrel. WTI and Brent both posted gains last week, Brent by 4%, on hopes of a trade resolution, indicating renewed investor confidence.
Nigeria launches new crude export terminal
Amid these positive signals, Nigeria is expanding its presence in the global oil arena with a groundbreaking development in Rivers State. Green Energy International Limited (GEIL) successfully completed the first crude shipment from the newly built Otakikpo onshore terminal on June 8. A Shell-chartered vessel loaded the consignment at approximately 2:00 PM, marking the beginning of operations for Nigeria’s first privately constructed onshore crude export terminal in over five decades.
The terminal is located in the Otakikpo marginal field, and its commissioning represents a major leap for indigenous oil firms in Nigeria. GEIL Chairman Professor Anthony Adegbulugbe described the achievement as “historic,” attributing the success to regulatory support, business tenacity, and what he called “divine favor.”
“We thank all our partners and commend the dedication of our local technical team. This terminal stands as a symbol of what Nigerian innovation and resilience can achieve,” Adegbulugbe said.
Global oil market volatility and OPEC+ strategy
Despite last week’s gains, oil markets continue to operate in a climate of volatility. A recent selloff in April, coupled with OPEC+’s decision to gradually reverse voluntary production cuts, amounting to 2.2 million barrels per day, has raised concerns over potential oversupply.
Eight member countries have agreed to raise output by 410,000 barrels per month through at least July, hoping to claw back market share from high-cost producers. However, as stockpiles rise and trade tensions linger, fears of a global oil glut persist, even though demand for gasoline and distillates is currently surging due to the summer travel season.
Dangote refinery taps U.S. crude
Adding another layer to the Nigerian oil story, the Dangote Refinery has significantly increased its reliance on U.S. crude. In 2025 alone, the refinery imported one-third of its crude from the United States, primarily the WTI Midland grade. By the end of July, the refinery is projected to have taken in over 14 million barrels from the U.S., facilitated by top global trader Vitol Group.
A spokesperson for Dangote explained that the move is driven by the refinery’s rising processing demand and better gasoline yields from WTI crude compared to local options. This trend also reflects the limited domestic crude availability amid ongoing theft and underproduction challenges.
