Brent crude oil price rose to $110 a barrel on Friday for the first time since May as renewed tensions in the Middle East raised fears of further disruptions to global oil supplies.
The international oil benchmark later settled at $109.86 per barrel, up 3.7 percent, its highest closing price since May 19, according to Reuters.
US West Texas Intermediate (WTI) crude also rose, gaining 3.5 percent, to settle at $101.41 per barrel, its highest level since September 17.
The increase in oil prices followed reports of possible attacks on Saudi energy infrastructure and growing disruption to shipments through the Strait of Hormuz.
Energy Aspects, an energy consultancy firm, said oil prices had risen again after earlier losses as rumours of attacks on Saudi energy facilities circulated.
“Israeli reports suggest Iran may be preparing a pre-emptive strike following unusual military movements detected by Western intelligence. Although unverified, these developments reinforce our view that persistent escalation risks will keep flat prices supported,” Energy Aspects said.
Also, Reuters reported that a Saudi-led coalition said it had intercepted and destroyed a ballistic missile launched towards Yanbu, a Red Sea port that allows Saudi Arabia to ship oil without passing through the Strait of Hormuz.
The rising oil prices have also pushed up petrol prices in Nigeria.
The federal government on October 8 announced a 30-day petrol discount at NNPC filling stations, alongside plans to cap petrol landing costs at N1,350 per litre to help stabilise prices.
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