Brent crude oil prices surged by 6.24 per cent on Thursday to $114.08 per barrel, marking the first time prices have reached that level since May 2022.
US West Texas Intermediate crude also increased by 0.97 per cent to $96.33 per barrel.
The rise follows attacks on energy facilities in the Middle East involving Israel and Iran.
Iran launched missile strikes on energy facilities in Qatar and Saudi Arabia in retaliation for Israel’s attack on its South Pars gas field, signalling a major escalation in the conflict involving the United States.
On Wednesday, QatarEnergy disclosed that Iranian missile strikes on Ras Laffan, the site of the country’s key liquefied natural gas (LNG) processing operations, caused “extensive damage” to its energy hub.
Saudi Arabia also confirmed that it intercepted four ballistic missiles headed towards Riyadh on Wednesday and foiled a drone attack targeting a gas facility.
Iran had earlier warned of possible evacuations at oil facilities in Saudi Arabia, the United Arab Emirates (UAE), and Qatar as it prepared to respond to strikes on its South Pars and Asaluyeh energy infrastructure.
South Pars is Iran’s section of the world’s largest natural gas reserve, which it shares with US ally Qatar, where it is known as the North Field.
Following the attacks, United States President Donald Trump threatened to destroy the South Pars gas field if Iran continues its strikes on energy facilities in Qatar.
The disruption in supply caused by the Middle East conflict has also impacted petrol prices in Nigeria.
Dangote refinery stated on March 9 that it is not insulated from global developments, as it sources crude oil based on international benchmarks.
On March 13, the refinery raised its ex-gantry petrol price to N1,175 per litre.
Meanwhile, Nigeria’s crude oil production declined to 1.31 million barrels per day in February, according to data from the Organisation of Petroleum Exporting Countries (OPEC).