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Iran Closes Strait of Hormuz as Tankers Halt, OPEC+ Raises Output and Oil Jumps

Limited alternative routes leave markets vulnerable to a prolonged shutdown.

Overview

  • More than 150 tankers carrying crude and LNG anchored on both sides of Hormuz after Iran’s Revolutionary Guard declared the waterway unsafe for transit.
  • A Palau‑flagged tanker, the Skylight, was struck near Oman’s Khasab, with four crew injured and the 20‑member crew evacuated, Omani authorities said.
  • OPEC+ approved a 206,000 barrels‑per‑day increase for April, a move analysts say offers little relief if Gulf exports cannot depart the region.
  • Brent crude rose about 10% in off‑market trading to roughly $80 a barrel, with some analysts expecting an early move toward $100 and higher if disruptions persist.
  • The EIA estimates about 20 million barrels per day normally transit Hormuz, while alternative routes can handle only around 2.6 million, leaving most flows—largely to Asia—bottled up.