Nigerian crude and major oil contracts reversed early losses to trade slightly higher in Asian trade on Thursday, following better-than-expected first-quarter growth data from top importer China.
Latest Price action showed Brass River, a major Nigerian crude, traded at $113 per barrel, even as Brent crude dipped below $95 a barrel.
Bonny Light, Nigeria’s flagship grade, has lately seen a downward trajectory over the last week.
Physical spot prices for West African grades have surged toward $140–$150 per barrel due to a “scramble” by refiners to replace lost Middle Eastern supply, but have fallen below the $120 per barrel mark.
However, crude suffered sharp losses this week, and any gains were largely capped by expectations of easing U.S.-Iran cease-fire negotiations and tensions.
West Texas Intermediate crude futures remained steady at $88 per barrel, while Brent oil futures increased by 0.1 per cent to $95 per barrel.
China’s economy expanded faster than anticipated in the first quarter of 2026, thanks to robust export demand and a recovery in domestic consumption after years of poor performance. GDP increased by 5% annually, exceeding Beijing’s yearly goal.
Although several other readings indicated that economic momentum slowed toward the end of the first quarter, the print helped boost optimism regarding oil demand in the world’s largest crude importer.
Peace talks between US and Iran calm volatility in the crude oil market
The U.S. and Iran are considering extending the ceasefire by two weeks to give more time to negotiate a peace agreement.
This would lessen the likelihood of new hostilities despite an escalating standoff over the Strait of Hormuz.
A person who asked not to be named, discussing sensitive matters, said mediators are seeking technical talks to resolve the most controversial issues preventing a longer-term agreement, as the initial truce is scheduled to expire next week.
These include the future of Iran’s nuclear program and the reopening of Hormuz. The strait, a vital waterway for gas and oil that has been essentially closed since the war began nearly seven weeks ago, remains a source of great tension.
The U.S. established a naval blockade and reported on Wednesday that ten ships had been forced to reverse course to stop Iranian shipments. Most of the other traffic is kept out of the Strait by Tehran.
A few ships and oil tankers crossed the Strait of Hormuz this week.
As part of a peace agreement, Iran might consider permitting ships to pass freely through the Omani side of Hormuz without fear of attack.
There had been no fresh reports of strikes since late last week, suggesting that the precarious ceasefire between Washington and Tehran was being held.
However, the ceasefire is scheduled to end on April 21.
Several reports on Wednesday revealed that the U.S. intended to send more than 10,000 troops to Iran, raising concerns about a potential escalation of the conflict.
Since the start of the Iran war, oil prices have risen to as high as $120 per barrel, but they have struggled to maintain gains amid numerous emergency reserve releases in major economies.
The IEA and OPEC warned of weaker demand this week because of disruptions from the Iran war, which put pressure on crude. Iran has blocked the Strait of Hormuz, which has now become a major focal point in the conflict.
