Iran has significantly increased its crude oil exports, with shipments through the Strait of Hormuz reaching their highest levels since the war began. Three U.S.-sanctioned supertankers—Elva, Virgo, and Vigor—carrying approximately 6 million barrels, entered the chokepoint early Monday, indicating destinations off Singapore, a known hub for Iranian crude transfers to China. This surge in activity coincides with ongoing efforts by Tehran and Washington to finalize a lasting peace deal, and reflects the recent lifting of a U.S. naval blockade on Iranian ports that had been in place since mid-April.
Adding to this increase, seven supertankers with a combined capacity of around 14 million barrels departed from Iran's Chabahar port on the Gulf of Oman on June 19. This marks a substantial jump compared to the four vessels observed over the preceding two days. Prior to this, four Iran-linked oil tankers, including two supertankers capable of hauling 2 million barrels each, were seen shifting positions and sailing out of the Strait of Hormuz or Gulf of Oman as a U.S. deal neared, according to vessel tracking data from June 16.
The increased supply has led to a drop in Iranian crude prices. Sellers of Iranian Light crude for July arrival are offering discounts of $2.50 to $5 per barrel against Brent benchmark prices. This is a considerable increase from the approximately $1 per barrel discount offered before the peace deal. The movements underscore Iran's quick resumption of crude production and loading from facilities like Kharg island, now that its shipments can reach global markets without encountering the prior export restrictions. The overall traffic in the Strait of Hormuz is picking up, with other laden tankers, including a Greek-flagged vessel with Iraqi crude, also seen exiting, and several empty vessels entering the Persian Gulf, some with their transponders turned off.
