Hormuz Crude Logistics Strain: HPCL Tanker Shortage, Iraq Export Understandings, Sanctioned Ships

· Shipping · Iraq · India

Hindustan Petroleum Corporation Ltd is struggling to secure tankers to lift crude from inside the Persian Gulf through the Strait of Hormuz, as vessel shortages and last-minute withdrawals by shipowners complicate shipments despite recovering regional supplies. Iraq has meanwhile reached understandings with the United States to allow Iraqi oil exports through Hormuz via a shipping lane near Oman, Foreign Minister Fuad Hussein said. Separately, oil traders are seeking US government approval to use some tankers that were previously sanctioned in order to return them to the market. The backlog of restricted tonnage and risk-averse owners is squeezing the tanker pool available for Gulf loadings.

Why it matters：Crude flows out of the Gulf depend on a working tanker pool; if owners keep withdrawing and sanctioned ships stay idle, refiners in Asia face higher freight and delivery risk.

Key points

  • HPCL is competing for scarce tankers as owners pull vessels at the last minute.
  • Iraq's foreign minister said understandings with the US cover a lane near Oman for Hormuz exports.
  • Oil traders want Washington to let some previously sanctioned tankers trade again.

Sources (original reporting)

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