Brent crude, the international benchmark for oil, was trading as high as $50.69 per barrel on Monday, from about $49 on Friday.
Avengers initially halted hostilities for two weeks, following talks with the federal government and the withdrawal of troops from the Niger Delta region.
The talks, according to Ibe Kachikwu, state minister of petroleum resources, had yielded results, pushing Nigeria’s oil production from below 1.4 million barrels to 1.9 million.
The increase in Nigeria’s production levels, following peace talks, sunk global crude oil prices below $50.
After many refusals, Mudoch Agbinibo, spokesman of the group, acknowledged the peace talks, saying “we want a peace with honour not a peace of our time”.
Before the attacks over the weekend, another militant group, Ultimate Warriors of the Niger Delta, said militants were losing their patience, claiming to resume hostilities.
“Our patience is running out and we have decided to let the world know our grievances pure and plain again,” read the statement signed by Sibiri Taiowoh, spokesman of the group.
“We are sounding this as a last warning before the whirlwind gets down. The tsunami that would descend in coming days would be severe for the current government to handle.
“We bet you this government wouldn’t be able to handle what would happen in the Niger Delta in the days ahead.”
Resumed hostilities saw NDA blow up five pipelines including Nigerian National Petroleum Corporation (NNPC) Crude Oil Trunk Line to Warri Refinery, two Nigerian Petroleum Development Company (NPDC) crude trunk lines in Delta state.
Kachikwu, while speaking in China, said he remains optimistic that crude oil prices will rise to mid $50s before the end of 2016, with Nigeria’s production levels to climb above 2.2 million barrels per day. Click to signup for FREE news updates, latest information and hottest gists everyday
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Better, let them continue so that price will go higher,hahaha
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