Global oil prices declined on Friday after Omani authorities confirmed that crude export activities at the country’s key Mina al Fahal terminal were continuing without disruption.
Brent crude oil, against which Nigerian crude oil is priced, fell by 84 cents to $94.19 per barrel, while U.S. West Texas Intermediate (WTI) crude dropped $1.13 to $91.91 per barrel as traders reacted to the clarification from Oman.
The market had earlier been unsettled by reports of an explosion near mooring facilities at Mina al Fahal, one of Oman’s most important crude export terminals.
Initial concerns raised fears of potential loading disruptions that could affect regional oil supplies and further tighten global markets already dealing with geopolitical uncertainties.
However, Omani authorities later confirmed that operations at the terminal were proceeding normally, helping to calm supply concerns and prompting a pullback in oil prices.
Mina al Fahal handles between 800,000 and 900,000 barrels of crude exports daily, making it a significant export hub for the Gulf nation.
Despite Friday’s decline, both oil benchmarks remain on track to post their first weekly gains in three weeks. Brent crude is up about 2.4 percent for the week, while WTI has advanced approximately 5.1 percent amid ongoing geopolitical tensions in the Middle East.
Oil markets have remained highly sensitive to developments in the region, particularly as uncertainty surrounding negotiations between the United States and Iran continues to influence investor sentiment.
Concerns over shipping activity through the Strait of Hormuz, one of the world’s most critical oil transit routes, have contributed to elevated volatility across energy markets.
Additional support for oil prices has come from tighter global supply conditions. Recent data showed a substantial decline in U.S. crude inventories driven by strong export demand and refinery activity, indicating that global consumption remains resilient despite economic uncertainties.
Analysts note that while the latest update from Oman removed immediate concerns over export disruptions, the broader market remains focused on geopolitical developments, supply security and the outlook for global demand.
The Organization of the Petroleum Exporting Countries (OPEC) continues to project oil demand growth of about 1.2 million barrels per day in 2026, reflecting expectations of continued consumption growth despite ongoing market challenges.
For investors, the latest price movement highlights the importance of geopolitical developments in shaping crude oil markets. While supply fears eased following Oman’s clarification, persistent tensions across key oil-producing regions are expected to keep crude prices volatile in the weeks ahead.
