Economy
Oil Prices Fall as Traders Weigh Trump’s Policy Direction
By Adedapo Adesanya
Oil prices continued to head south on Tuesday amid the further impact of policies by the administration of President Donald Trump of the United States.
Brent crude futures shed 24 cents or 0.32 per cent to trade at $75.93 per barrel and the US West Texas Intermediate (WTI) crude futures declined by 46 cents or 0.63 per cent to close at $72.70 a barrel.
Traders weighed President Trump’s latest move to exert maximum pressure push against Iran, warning that the Middle East nation cannot have a nuclear weapon.
He has accused former President Joe Biden of failing to enforce oil-export sanctions rigorously on Iran, therefore allowing the oil-producing country to sell oil to fund a nuclear weapons program and armed militias in the Middle East.
While Iran’s oil exports neared zero during his first term after reimposing sanctions, they rose under former President Biden’s tenure as Iran succeeded in evading sanctions.
Iran, the third-largest producer in the Organisation of the Petroleum Exporting Countries, extracts about 3.3 million barrels of oil per day, or around 3 per cent of global output.
Also, a new 10 per cent US tariffs on Chinese imports took effect on Tuesday, creating retaliatory tariffs by China.
On Monday, Mr Trump suspended his threat of steep tariffs on Mexico and Canada, agreeing to a 30-day pause in return for concessions on border and crime enforcement.
The ongoing trade tensions between the US and China may dampen demand for oil, further pressuring prices.
Market analysts noted that these actions are likely to give rise to a stronger US Dollar which will in turn weaken oil prices.
This is also coming as OPEC and its allies, known as OPEC+ are still on track to increase oil supply gradually from April.
Meanwhile, the American Petroleum Institute (API) estimated that crude oil inventories in the US rose by 5.025 million barrels for the week ending January 24.
For the week prior, the API reported a 2.86 million barrel build in US crude oil inventories, while gasoline inventories saw a hefty build for multiple weeks in a row.
In 2024, crude oil inventories in the US dropped by more than 12 million barrels, according to the API’s inventory data, with the downward trend continuing beyond the new year.
The official data from the US Energy Information Administration (EIA) will be released later on Wednesday.
By Aduragbemi Omiyale
Nigeria slightly surpassed its quota set by the Organisation of the Petroleum Exporting Countries (OPEC) in July 2026.
In the month under review, the country produced about 1.57 million barrels of crude oil per day.
It was the third consecutive month Africa’s largest oil-producing nation was meeting its monthly quota, set to stabilise the price of the commodity on the global market by the oil cartel.
Data released by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) on Wednesday showed that the 1.5 million barrels per day ceiling for Nigeria was surpassed last month.
The agency disclosed in a statement today that the country produced 1.505mbpd of crude oil and 0.17mbpd of condensate, bringing the combined daily production to 1.67mbpd.
In the month under review, the daily peak production of crude oil and condensate was 1.78mbpd, while the lowest daily production was 1.57mbpd.
Although Nigeria met its OPEC quota in the month of July, the statistics show that on a month-on-month basis, production fell by 4 per cent.
This was attributed to the decline in production due to operational challenges experienced at the Erha and Akpo fields, which impacted crude oil output during the period under review.
These disruptions constrained production volumes and contributed significantly to the overall reduction in national crude oil output.
Despite the challenges, production operations across most other producing assets remained relatively stable, with operators implementing measures aimed at maintaining production efficiency and minimising the impact of operational constraints, NUPRC stated.
By Aduragbemi Omiyale
The over 9 billion shares of Lasaco Assurance Plc issued to shareholders of the company via a rights issue have been listed on the Nigerian Exchange (NGX) Limited.
The equities were brought to Customs Street on Wednesday by the organisation, increasing its total issued and fully paid-up share capital.
Lasaco Assurance, which scaled the recapitalisation hurdle of the National Insurance Commission (NAICOM) in July 2026, raised fresh capital from the capital market to shore up its capital base.
The underwriting firm got about N18.5 billion from the rights issue, which involved the issuance of 9,236,321,546 ordinary shares at a unit price of N2.00.
The exercise was on the basis of five new ordinary shares for every existing six ordinary shares held as of the close of business on Friday, February 20, 2026.
Confirming the listing of the additional stocks of Lasaco Assurance today, the Head of Issuer Regulation Department of NGX RegCo, Mr Godstime Iwenekhai, announced in a circular that, “Trading licence holders are hereby notified that an additional 9,236,321,546 ordinary shares of 50 Kobo each of Lasaco Assurance Plc were today, Wednesday, August 12, 2026, listed on the daily official list of Nigerian Exchange Limited.
“The additional shares arose from the company’s rights issue of 9,236,321,546 ordinary shares of 50 Kobo each at N2.00 per share on the basis of five new ordinary shares for every existing six ordinary shares held as of the close of business on Friday, February 20, 2026.
“With the listing of the additional 9,236,321,546 ordinary shares, the total issued and fully paid-up share capital of Lasaco Assurance Plc has now increased from 11,083,585,855 to 20,319,907,401 ordinary shares of 50 Kobo each.”
By Adedapo Adesanya
The Nigerian Insurers Association (NIA) has said the successful recapitalisation of the insurance industry will strengthen the sector’s ability to support financial stability and economic growth.
NIA Chairman, Mrs Ebelechukwu Nwachukwu, said a well-capitalised insurance industry would be better positioned to meet its obligations promptly, underwrite complex and large-scale risks and serve as a dependable pillar of the Nigerian economy.
She made the remarks while commending the National Insurance Commission (NAICOM) for its structured implementation of the new minimum capital requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
Mrs Nwachukwu said NAICOM’s clear guidelines, systematic verification process, defined timelines and rigorous supervision had provided operators with a credible framework for navigating the recapitalisation exercise.
She described the outcome as a major milestone for the industry and congratulated the 43 insurance and reinsurance companies that have successfully met the prescribed minimum capital requirements.
According to her, the exercise represents “a major win not just for regulators and operators, but for policyholders, investors and the wider Nigerian economy.”
Mrs Nwachukwu said the association would continue to work with NAICOM and other stakeholders to consolidate the gains of the exercise, with emphasis on sustainable industry growth, stronger market conduct and improved consumer confidence.
The official also expressed solidarity with the eight companies still undergoing final verification and regulatory review, urging them to remain confident as NAICOM completes the process within the 14-day review period.
The NIA chairman assured policyholders and the wider business community that the insurance industry would emerge from the recapitalisation exercise stronger, more resilient and better positioned to contribute to Nigeria’s economic development.
