First LNG tanker since US-Iran war crosses Strait of Hormuz
What's the story
The liquefied natural gas (LNG) tanker Mubaraz appears to have crossed the Strait of Hormuz, marking the first such transit since hostilities in West Asia escalated two months ago. The vessel, which had loaded its cargo from Abu Dhabi National Oil Company's Das Island facility in the United Arab Emirates (UAE) around early March, is now passing the southern tip of India. It is reportedly heading to China.
Market impact
Strait of Hormuz blockade
The Strait of Hormuz is a crucial chokepoint for the global energy market, with traffic through it having nearly come to a standstill in recent months due to rival blockades by Iran and the United States. This has tightened the market and pushed prices higher as around one-fifth of the world's LNG supply passes through this waterway.
Shipping route
Mubaraz signaling Chinese terminal as destination
The Mubaraz is currently signaling a terminal in China as its destination, with an estimated arrival date of May 15. The successful transit of the Mubaraz through the Strait of Hormuz comes amid rising geopolitical tensions between Iran and the US. Despite these tensions, ship data can be manipulated or updated to mask detection. Ships often turn off transponders when passing through Hormuz as a common tactic to avoid detection.