Brent crude hits $92 a barrel — first time since November 2022

Oil price, on Friday, edged up to over $90 a barrel for the first time since November 2022.

Brent crude, the global oil benchmark, increased by 1.69 percent to $92.23 a barrel, while US West Texas Intermediate jumped 2.02 percent to $89.05 a barrel at 16.46 WAT. 

Last week, Brent reached $89 a barrel for the first time in 10 months, an increase reportedly driven by cuts from Saudi Arabia and Russia – Organisation of Petroleum Exporting Countries (OPEC) leaders.  

The increased price of the commodity is said to be bolstered by a tighter supply outlook.

On Tuesday, OPEC said global oil demand would rise by 2.25 million bpd in 2024, compared with growth of 2.44 million bpd in 2023.

“The ongoing global economic growth is forecast to drive oil demand, especially given the recovery in tourism, air travel and steady driving mobility,” OPEC said in its monthly report.

“Pre-COVID-19 levels of total global oil demand will be surpassed in 2023.”

Nigeria, a key member of OPEC and allies, known as OPEC+, has experienced a steady increase in crude oil output levels.

The Nigerian National Petroleum Company (NNPC) Limited had said Nigeria’s crude oil production level (including condensate) averaged 1.67 million barrels per day (bpd) as at August, 2023.

“May I also use this opportunity to say that I was just checking the data for Wednesday. The actual data for crude oil and condensate production is at 1.67 million barrels per day,” Mele Kyari, group chief executive officer (GCEO) of the national oil company said.