Tanker stealth transits lift Hormuz oil flow to 60% and steady prices

As Iran maintains its blockade of the Strait of Hormuz, more tankers are passing through while turning off their automatic identification system (AIS), contributing to a recovery in crude supplies and maintaining relatively stable international oil prices. Kpler, a European commodities analytics firm, reports that the average volume of crude passing through the Strait of Hormuz in August was 9.36 million barrels a day, up 3.56 million barrels from the previous month.

This represents the highest figure since the start of U.S.-Iran military clashes at the end of February and has brought the flow to around 60% of the 15 million barrels a day that typically passed through before the conflicts. Analysts attribute part of this recovery to an increase in tankers transiting the strait with their AIS turned off, making it more difficult to track their positions and reducing the risk of drone attacks or seizure.

Saudi Arabia and Iraq have been stepping up crude shipments through the Strait of Hormuz. Saudi Arabia, which initially rerouted its oil exports through the Red Sea following a drone attack on a pipeline, is now expanding exports back through the strait. Saudi state oil company Aramco has even launched a spot tender to supply crude from September to November via ship-to-ship transfer off Oman.

Iraq, which usually relied on the Strait of Hormuz for over 90% of its crude exports before the clashes, has little choice but to continue using the strait to maintain its exports. As crude transport through the Strait of Hormuz improves, international oil prices remain relatively stable. West Texas Intermediate (WTI) futures traded at $91–$95 a barrel on August 25, approximately 20% lower than the record high of $119 a barrel reached during the U.S.-Iran military clashes.