Oil rises above $100 as attacks on ships hit new high, amid reports Trump is discussing launching strikes before the US midterms
A tanker sailing off the north coast of Qatar has been attacked, causing an unknown number of casualties, a British maritime security agency said. The attack came as Iran declared it would close a route in the strait of Hormuz being used to circumvent Tehran’s blockade of traffic.
The vessel was in the Gulf, about 500km (300 miles) west of the strait of Hormuz, when it reported being struck “by multiple projectiles”, the UK Maritime Trade Operations said on Wednesday. The UK authority did not specify the origin of the ship.
Wednesday’s attack comes as strikes on tankers sailing through the strait of Hormuz hit their highest weekly level since the Iran war began, according to maritime security firms, as oil prices to climbed above $100 per barrel.
Oil prices aren’t the specific metric affecting the go/no go decision for captains. The tanker daily rate is, and currently tankers are making ~1.4M/day to transit the strait. Ship owners are offering crews 6+ months of salary as bonuses for transiting the strait
That seems like a pretty good deal considering Iran’s targeting seems pretty precise and not too many people have been killed in their boat strikes.