By Eyo Nsima

Oil prices have risen to $115 per barrel as speculation spreads that further supply disruptions are imminent in the volatile market.

For instance, the price of Nigeria’s Bonny Light, rose to $115.1 per barrel, from $108 per barrel, recorded on Thursday, this week.

A close market watcher said, “The oil market is set for another leap because of expected disruptions in supply. The European Union, EU, to ban the Russian oil and other impending incidents will likely drive prices further.”

However, the Organisation of Petroleum Exporting Countries, OPEC, has maintained that the out;look pointed to a balanced market.

It stated: “Following the conclusion of the 28th OPEC and non-OPEC Ministerial Meeting, held via videoconference on 5th May, it was noted that continuing oil market fundamentals and the consensus on the outlook pointed to a balanced market. It further noted the continuing effects of geopolitical factors and issues related to the ongoing pandemic.

“The OPEC and participating non-OPEC oil-producing countries, therefore, decided to reaffirm the decision of the 10th OPEC and non-OPEC Ministerial Meeting on 12th April 2020 and further endorsed in subsequent meetings, including the 19th OPEC and non-OPEC Ministerial Meeting on the 18th July 2021.

“Reconfirm the production adjustment plan and the monthly production adjustment mechanism approved at the 19th OPEC and non-OPEC Ministerial Meeting and the decision to adjust upward the monthly overall production by 0.432 mb/d for the month of June 2022, as per the attached schedule.

“Reiterate the critical importance of adhering to full conformity and to the compensation mechanism, taking advantage of the extension of the compensation period until the end of June 2022. Compensation plans should be submitted in accordance with the statement of the 15th OPEC and non-OPEC Ministerial Meeting.”