By Peter Omopo
Global oil prices declined on Wednesday following reports that the United States is preparing to withdraw its troops from Iran, raising hopes of a possible de-escalation of the ongoing conflict.
President Donald Trump disclosed in an interview with Reuters that the US intends to exit Iran “pretty quickly,” while retaining the option to carry out targeted strikes if necessary. He noted that although a precise timeline could not be confirmed, the military campaign— which began on February 28— could end within weeks.
The development triggered a downward trend in global oil markets. Brent crude dropped from about $115 on Tuesday to approximately $101 by Wednesday evening, while West Texas Intermediate (WTI) traded at $99.32. Despite the decline, prices remain more than 40 per cent higher than levels recorded before the conflict began.
Analysts attributed the price drop to expectations of reduced geopolitical tension, although uncertainty persists over the long-term stability of the region.
Tensions remain high as Iran’s Islamic Revolutionary Guard Corps (IRGC) issued threats against 18 American technology and industrial firms operating in the Middle East, including major companies such as Microsoft, Google, Intel, Tesla, IBM, Apple, and Boeing. The IRGC described the firms as “legitimate targets,” alleging their involvement in supporting US and Israeli military operations.
The conflict has also continued to disrupt global energy logistics, particularly through the Strait of Hormuz, a key shipping route for oil and gas. In response to rising market pressures, Brazilian state-owned oil firm Petrobras increased jet fuel prices by about 55 per cent.
In Nigeria, however, local supply conditions appear relatively stable. The Dangote Refinery has continued exporting aviation fuel and diesel to other countries while maintaining domestic supply levels. The refinery assured that its export activities would not affect local availability of petroleum products.
Fuel prices in parts of the country, particularly in the South-West, have shown signs of moderation, with petrol selling at an average of ₦1,250 per litre following recent price adjustments.
While the easing of oil prices offers temporary relief to global markets, stakeholders remain cautious as geopolitical tensions in the Middle East continue to evolve.
