Oil prices jump over 3% after US intercepts Iranian missiles – what it means for Nigeria

Early Asian trade on Wednesday, July 29, 2026, saw US benchmark West Texas Intermediate crude rise 3.67% to $82.17 a barrel, while North Sea Brent gained 3.39% to $86.94 after the US military said it had intercepted multiple missiles launched by Iran. President Trump voiced hope that renewed diplomacy could end the conflict, and reports said Oman and Iran were trying to restart shipping through the Strait of Hormuz, a route that normally carries about a fifth of global oil and LNG.

For Nigeria, a major crude exporter, higher prices mean more export revenue and stronger foreign‑exchange inflows, which can ease budget pressures and lessen reliance on fuel subsidies. However, because the country imports most of its refined petrol, a sustained rise in crude costs could eventually push up pump prices if local refineries remain underutilised. Any prolonged disruption to Hormuz shipping would tighten global supply, keeping prices elevated longer.

What to watch: statements from the NNPC and the Ministry of Petroleum on how the extra revenue will be used; local pump prices for any delayed increase; and developments in the Hormuz talks, as a prolonged standoff could keep oil prices buoyant, boosting Nigeria’s fiscal outlook but also raising inflation risks if fuel subsidies are adjusted.

SOURCE: https://www.channelstv.com/2026/07/29/oil-price-up-more-than-3-after-iran-attacks/