Iran strikes 3 tankers in Hormuz as WTI crude climbs to $79.91

Iran's Islamic Revolutionary Guard Corps struck three crude oil supertankers in the Strait of Hormuz overnight, killing one crew member and grinding shuttle-run operations to a halt as WTI crude rose 0.7% to $79.91 a barrel in early Asian trade.

The attacks mark the most direct escalation against commercial shipping since the US-Iran interim peace pact frayed last month, threatening the waterway that carries about a fifth of the world's oil supply — more than 15 million barrels a day worth at least $1.2 billion.

"The barrage of missiles and drones hit ships that specialize in short voyages in and out of the Persian Gulf, making journeys through the strait increasingly risky," ANZ Research analysts said in a report. The so-called shuttle runs had helped the United Arab Emirates surge production and exports after the interim deal in mid-June, with vessels sailing dark — transponders switched off — to avoid detection.

The two UAE-linked supertankers, the Al Bahyah and Mombasa B, each capable of carrying about 2 million barrels of crude, were hit by Iranian cruise missiles while in Omani territorial waters, the UAE Ministry of Defence said. A third vessel, the Liberian-flagged chemical tanker Stolt Magnesium, was struck 40 nautical miles northeast of Oman's Qalhat LNG terminal. One Indian crew member aboard the Mombasa B was killed, and eight others — six Indians and two Ukrainians — were wounded, four seriously. Fires broke out on both supertankers but were brought under control.

The IRGC said it targeted the vessels after they ignored repeated warnings, turned off navigation systems and attempted to pass through what it described as a mined route. It accused the US of "inciting vessels to use an illegal route" and warned that cooperation with the "aggressor enemy" would delay the reopening of the strait and trigger a global energy crisis.

The attacks come as the US and Iran exchange fresh military strikes

President Donald Trump on Monday reinstated a blockade of Iranian shipping and proposed charging a 20% fee on cargoes transiting the strait, saying the US would ensure the waterway remains open — for a price. The US military carried out a third consecutive night of strikes against Iran, while Iran attacked US bases across multiple Gulf states.

Brent futures have risen almost 14% this week, though they remain well below the wartime peak above $126 a barrel reached after the conflict began on Feb. 28, when the US and Israel launched attacks on Iran. The previous escalation in 2019, when Iran attacked tankers off Fujairah and seized vessels near the strait, pushed Brent to around $75 before prices stabilized within weeks as alternative supply routes were established.

Oman, through whose territorial waters ships must pass to transit the strait, has begun complex talks with Iran to shape a "lasting framework guaranteeing freedom of navigation," Foreign Minister Sayyid Badr Al Busaidi told Le Monde on July 12. But Iran's attacks on Omani coastal radar sites, logistics stores and bunkering facilities on July 12 suggest Tehran is pressuring Muscat to drop its insistence on a UNCLOS-compliant solution without passage fees.

Some tanker owners are now pausing transit plans, and several shipbrokers said they are no longer fixing vessels to enter the Persian Gulf in the near term, instead routing ships to call at ports along the Gulf of Oman, the Arabian Sea or the Red Sea. The transshipment points off Fujairah and Sohar that receive Adnoc's cargoes may also face heightened risk after the latest attacks, owners said.

India's Ministry of External Affairs said it was "deeply concerned" by the attacks and summoned the Iranian deputy chief of mission in New Delhi to lodge a strong protest. The UAE said it retains "its full right to respond to this escalation."

This article is for informational purposes only and does not constitute investment advice.