Iran's draft Hormuz plan would bar US and Israeli vessels, oil prices rise
Oil prices climbed after Iran circulated a draft plan that would ban US and Israeli vessels from the Strait of Hormuz, a chokepoint for roughly a fifth of global oil supply. Traders are watching for signs the restrictions could escalate tensions in the Gulf and disrupt tanker traffic. Iran's chief negotiator separately accused the US of pursuing what he called "theater diplomacy" as shipping through the strait nears a standstill.
Oil prices rose on Friday after Iran circulated a draft plan that would bar American and Israeli vessels from the Strait of Hormuz, the narrow waterway through which roughly a fifth of the world's seaborne oil passes. Traders reacted quickly to the prospect of tighter restrictions in one of the world's most critical energy corridors.
Iran's chief negotiator accused Washington of pursuing "theater diplomacy," saying talks over the strait's status have made little real progress even as shipping traffic through Hormuz nears a standstill. Officials in Tehran have separately said a related agreement with Oman on managing the strait is in its final stages.
Analysts warned that any formal restriction on US or Israeli-linked shipping could further strain an already fragile security situation in the Gulf, with insurers and shipping companies bracing for higher costs and longer rerouting times. Oil benchmarks extended gains on the news, adding to a run of price increases this week.
Read next
Iranian footballers who left the national team become Australian citizens
Two of seven Iranian women footballers who sought humanitarian visas while playing in Australia have now been granted Australian citizenship. The other five players changed their minds and returned to Iran. The development follows a lengthy process after the athletes' decision to leave the national team.
Turkey's Erdogan to visit Saudi Arabia: What to expect from the talks
China influence claims stir frustration at Pacific Islands Forum
Why was Taiwan's president evacuated in the middle of the night?
