The war around the Strait of Hormuz has entered an increasingly dangerous tanker-for-tanker phase, with the US striking Iranian state tankers in retaliation for attacks on commercial shipping while a laden VLCC sits abandoned and listing off Oman.
The 320,780 dwt Senegal Prosperity, controlled by South Korea’s Sinokor Maritime, was struck by three projectiles while completing an outbound transit on the evening of August 31, minutes after the Saudi-owned VLCC Sidr was also attacked.
The Liberian-flagged Senegal Prosperity was hit on its port side, engine room and ballast tank. Communications were subsequently lost, the vessel went dead in the water and developed a list to port.
Local authorities evacuated the crew, leaving the ship anchored close to the Omani coast.
No pollution has been reported, but the casualty raises the environmental stakes dramatically. Senegal Prosperity had loaded in Saudi Arabia.
The two near-simultaneous attacks followed a string of strikes against tankers using the southern Hormuz route.
The aframax Metro Venetian was hit on August 24, suffering an engine-room fire and becoming disabled. Al Salam II was struck the following day, while another unidentified tanker was hit near Khasab on August 29.
Iran has repeatedly demonstrated that ships close to the Omani coast remain within reach despite Washington’s efforts to establish a safer southern passage.
The US response has now escalated substantially. CENTCOM confirmed a wave of strikes on September 1 against IRGC air-defence sites, radars, ports, minelaying capabilities and communications infrastructure, saying they followed attempted attacks against commercial shipping and American forces.
US forces have also struck two NITC tankers under what American officials have characterised as a new “tanker-for-tanker” retaliation policy.
In related news, Saudi Arabia’s Bahri has renamed and reflagged older VLCCs to Liberia as tanker operators reshape fleets in the region with Saudi tonnage now in the crosshairs of the Houthis as well.
Public AIS and vessel databases show 11 Bahri-controlled ships switching from the Saudi registry to Liberia and adopting a “Shine” naming theme. Examples include Sahba becoming Ruby Shine, Arsan becoming Silver Shine and Awtad becoming Gold Shine. The vessels are mostly 2009-2011 vintage and several are positioned around Fujairah and Khorfakkan.
The move comes as Gulf producers increasingly rely on shuttle operations to move crude through Hormuz before transferring cargoes outside the strait.
Mines remain another unresolved danger. Washington says it has cleared the internationally recognised Traffic Separation Scheme through Hormuz, but the Joint Maritime Information Center continues to warn of drifting or uncharted mines elsewhere. Global tanker body INTERTANKO has welcomed the clearance while making clear that owners should not interpret it as a return to normality.
Mines are increasingly only one part of the calculation in and around Hormuz. Missile and drone attacks, Iranian interference, US military operations and uncertainty over permitted routing all remain live threats.
The market infrastructure supporting Gulf shipping is beginning to prepare accordingly.
The Baltic Exchange is developing emergency arrangements covering TD3C and other key Middle East Gulf tanker and LPG benchmarks should trading conditions become so disrupted that panellists can no longer assess them reliably.
Around 70% of respondents to its latest consultation rejected two proposed alternative pricing methodologies, highlighting the difficulty of replicating the extraordinary risk premium now attached to Hormuz.
For now, the Baltic will continue publishing the existing benchmarks. If Gulf routes become impossible to assess and no alternative methodology has been approved, they will be suspended.
