Iran Seizes Saudi Oil Tanker Amid Escalating Tensions in Strait of Hormuz

The US is facing escalating tensions in the Middle East as Iran seizes Saudi Arabia's giant oil tanker, Sidr, in the Strait of Hormuz. The tanker, capable of transporting 2 million barrels of oil, was targeted by three missiles fired from Sirik in the Hormozgan province, before being seized by Iranian forces.

The incident comes amid a significant decline in oil flows through the Strait of Hormuz, with combined average oil flow dropping to 6.92 million barrels per day, roughly 11-12 million barrels per day below pre-war levels. The US Strategic Petroleum Reserve (SPR) has also reached its lowest level since 1982, standing at 286.6 million barrels after a decline of 3.1 million barrels last week.

The Iranian president, Masoud Pezeshkian, warned that if the US returns to its commitments under the Memorandum of Understanding signed in June, Iran will respond immediately. The Memorandum aimed to facilitate peace negotiations and included provisions for reopening the Strait of Hormuz.