Brent oil prices have risen above $101 a barrel as growing concerns about disruptions to global supplies put pressure on the market.
Brent crude was trading around $101.39 a barrel on Wednesday, up about 0.8%, while US West Texas Intermediate crude rose 0.7% to about $90.05 a barrel.
The latest increase came amid concerns over possible disruptions to oil production and refining operations in the United States and the Middle East.
A storm in the Gulf of Mexico was threatening offshore facilities responsible for a significant share of US crude and natural gas production. Several major refineries were also at risk of disruption.
The market has also been watching developments in the Middle East after attacks and heightened military tensions raised concerns about the security of regional energy infrastructure.
US crude inventories fell by more than 2 million barrels in the latest week, according to industry data cited by Reuters, adding to concerns about tightening supplies.
The rise in prices comes against a backdrop of an already tight global oil market.
The US Energy Information Administration has raised its oil-price forecasts as global inventories decline and diesel markets remain tight. The agency expects Brent prices to average around $105 a barrel in the fourth quarter of 2026 and about $98 for the full year.
Some industry executives have warned that readily available oil supply buffers are becoming increasingly limited as global demand remains high.
The developments are particularly important for oil-producing countries such as Nigeria, where changes in international crude prices can affect government revenue, foreign exchange earnings and the wider economy.
However, higher global oil prices do not automatically translate into lower petrol prices or immediate improvements in household finances. The effect on Nigeria also depends on crude production levels, exchange-rate movements, domestic refining capacity and the structure of fuel supply.
Nigeria’s position as a major oil producer means sustained increases in crude prices could improve export earnings if production remains stable. At the same time, supply disruptions and higher energy costs globally could increase pressure on economies that depend heavily on imported energy products.
Analysts and market participants are therefore watching both physical supply levels and geopolitical developments as the oil market enters the final quarter of the year.
For now, the market remains sensitive to any further disruption to production, exports or refining capacity.