Oil Market: Bonny Light price rises further to $65.01 on OPEC report

Barely 48 hours after the release of the Organisation of Petroleum Exporting Countries, OPEC, Monthly Oil Market Report, MOMR, April 13, 2021, the price of Nigeria’s Bonny Light, has risen further to $65.01 per barrel.

Before the report, the price of the crude had hovered at $61.50 per barrel, due mainly to the prolonged Coronavirus pandemic, which has scuttled demand in many countries, especially China, and India, which are Nigeria’s major oil buyers.

Report

But the latest MOMR, which painted a fairly good prospect of the market, stated: “For 2021, additional US stimulus measures and accelerating recovery in Asian economies are expected to continue supporting the global economic growth forecast, which is now revised up to 5.4%.

“However, this forecast remains clouded by uncertainties, including, but not limited to, the spread of COVID-19 variants and the speed of the vaccine rollout. In addition, sovereign debt levels in many regions, inflationary pressures, and central bank responses are key factors to monitor.

“After a contraction of 3.5% in 2020, US economic growth in 2021 is now expected to reach 5.7%. The Gross Domestic Product, GDP growth forecast for the Euro-zone in 2021 remains at 4.3%, which follows a contraction of 6.8% last year. Japan’s GDP growth forecast remains at 3.1% for 2021, after a contraction of 4.9% in 2020.

“Following growth of 2.3% in 2020, China’s GDP is forecast to increase by 8.4% in 2021. India’s 2021 GDP growth forecast is revised up to 9.8%, compared to a contraction of 7% in 2020. Brazil’s growth forecast remains unchanged at 3.0%, with government estimates showing Brazil’s economy contracted by 4.1% in 2020. Russia’s growth forecast for 2021 remains at 3%, after contracting by 3.1% in 2020.

“The global oil demand contraction in 2020 is revised lower by about 0.1 mb/d compared to last month’s MOMR, now showing a contraction of about 9.5 mb/d y-o-y, with total world oil demand at 90.5 mb/d.”

Demand

On demand, it added: “In 2021, world oil demand growth is expected to increase by about 6.0 mb/d y-o-y, representing an upward revision of about 0.1 mb/d from last month’s report. Indeed, oil demand in the 2H21 is projected to be positively impacted by a stronger economic rebound than assumed last month, supported by stimulus programmes and a further easing of COVID-19 lockdown measures, amid an acceleration in the vaccination rollout, largely in the OECD region.”

However, at the current price of $65.01, Nigeria is not under pressure to fund its 2021 budget, which was benchmarked on $40 per barrel, and 1.8 oil output, including Condensate.

Nevertheless, other crudes, especially Brent, OPEC Basket, and West Texas Intermediate, WTI, also witnessed rose from $61.30, $59.20, and $55.60 to $68.40, $66.70, and $61.60 respectively, on April 16, 2021.

Breaking: ASUU suspends 2-week warning strike

The Academic Staff Union of Universities, ASUU, has suspended its two-week warning strike it declared last week across all public universities in the country. The union announced the suspension on Wednesday at a press conference held at its headquarters in Abuja. President of ASUU, Chris Piwuna, who read a prepared speech before newsmen, explained that the development followed intervention by the Senate and some other well-meaning Nigerians. However, he sad the National Executive Council of the Union resolved to give the government a one-month window to address all contending areas.

JUST IN: If Tinubu Had Told Me, I Wouldn’t Have Agreed To Rivers State Of Emergency Rule – Wike

The Minister of the Federal Capital Territory (FCT), Nyesom Wike, has stated that he would not have agreed with President Bola Ahmed Tinubu if he had discussed his move to declare a State of Emergency in Rivers State. Wike noted that he is not in conflict with the suspended Rivers State Governor, Sim Fubara He stressed his opposition on the State of Emergency rule, stating that only the President knows the right time to lift it. While speaking to journalists in Abuja on Monday, Wike remarked that Fubara has permitted himself to be manipulated by his adversaries to oppose him. The FCT Minister said: “ I made it clear that this impunity will not stand, so what is happening in PDP is what I call undertakers because I see no reason why you will put yourself under that kind of crisis. “I don’t have any crisis with him (Fubara). I’m not the President who declared a State of Emergency; if Mr President had called me, I wouldn’t have agreed to the State of Emergenc...

Woman Burned to Death, Accused of Kidnapping 7yrs Old Boy in Delta

By Tessy ogbemi An angry mob set ablaze a woman accused in a failed child kidnapping attempt in Agbarho community, Ughelli North Local Government Area of Delta State. The incident happened on Wednesday, September 24, 2025. An eyewitness disclosed at the scene of the incident at Ekwvere Road claimed that the woman hid the seven year old boy she allegedly abducted in a sack, adding that she was even carrying a Bible on one hand. Community sources said some residents in the area accosted the lady when they observed the way she was dragging the sack, to know what she had in it. "She was unstable when they asked her to disclose what she was carrying in the sack. When the bag was forced open, they found a seven year old child in it. They shouted and it attracted a large crowd,” a source said. It was gathered that the angry mob immediately brought a used tyre to the scene, which they forced down her neck after beating her to a pulp. “The lady and the tyre we...

FocalPoint Reports

Search This Blog