Iran conflict disrupts global shipping as tankers are stranded, damaged
Shipping through the strait between Iran and Oman, which carries around one-fifth of oil consumed globally as well as large quantities of gas, has ground to a near halt after vessels in the area were hit as Iran retaliated to U.S. and Israeli strikes. An official from the European Union’s naval mission Aspides said on Saturday that vessels have been receiving VHF transmission from Iran’s Revolutionary Guards saying “no ship is allowed to pass the Strait of Hormuz”. The disruption and fears of prolonged closure have caused oil and European natural gas prices to jump, with Brent crude futures up more than 8% as the conflict triggered multiple oil and gas shutdowns in the Middle East. At least 150 vessels including oil and liquefied natural gas tankers had dropped anchor in the Strait of Hormuz and surrounding waters, shipping data showed on Sunday. Shipping advisories also cited increased electronic interference affecting navigation and tracking systems across the wider area, heightening the risk of accidents. Meanwhile, costs of shipping oil from the Middle East to Asia – already at six-year highs – are set to rise further as the widening Iran conflict is deterring shipowners from sending vessels to the region, market sources and analysts said.

