The Feb’26 Brent Futures contract fell from $61.31/bbl at 13:30 GMT to $60.85/bbl at 15:59 GMT. Prices then rallied to $61.35/bbl at 17:47 GMT (time of writing). In the news, Russian state oil and gas revenue is projected to drop nearly 50% y/y in December to $5.17 Bn, driven by lower crude prices and a stronger rouble. This key budget source, funding a quarter of federal spending amid Ukraine war costs, will fall 23% for the full year to ~$105 Bn, missing the ~$108Bn forecast. The drop in revenues reflect Western efforts to squeeze Russia’s oil exports. In other news, Iran will hike gasoline prices for heavy users starting Saturday, charging 50,000 rials/L (4c/L) for consumption over 160L monthly, while lighter users retain subsidized tiers up to 60 L at 15,000 rials (~1c) and 100 L at 30,000 (~2c). This targets inefficiencies like smuggling, outdated vehicles, and summer demand spikes that push daily needs to 140 million litres against 110 million in production. Officials cite fiscal burdens and irrational subsidies amid economic woes from sanctions, avoiding broad hikes to prevent 2019-style protests. An explosion hit Nigeria’s Escravos-Lagos natural gas pipeline on December 10 near Delta State communities, causing a pressure drop and halting supply to industrial users and power plants, NNPC confirmed. The cause remains under investigation, with emergency teams prioritizing community safety and environmental protection. The incident follows a fresh NNPC-Heirs Energies deal to capture flared gas from OML 17 for power, LPG, and CNG uses. Finally, the front-month Feb/Mar and 6-month Feb/Aug spreads are at $0.28/bbl and $0.55/bbl respectively.
