Iran's Blacklist Threatens to Paralyze Gulf Oil Exports

Iran has issued a blacklist of 45 tankers that allegedly violated its rules for traversing the Strait of Hormuz. In response, three Indian refining companies and a global energy major have decided to stop using these vessels.

The black list was announced by Iran on Sunday, coinciding with the US Treasury's new sanction package against Tehran. The sanctions target brokers, companies, and vessels operating in various countries that transport Iranian oil and channel revenues to the Islamic Revolutionary Guard Corps and other Iranian entities.

According to Reuters, the clampdown will affect shuttles used by the UAE and Saudi Arabia to get oil out of the Persian Gulf and transfer it to larger tankers for export. One of the unnamed sources who works at an Indian refinery said that they would 'avoid our chartered vessels dealing or STS or anything to do with non-compliant ships for Middle Eastern cargoes.'

The Strait of Hormuz is a critical waterway, and any disruptions could have significant implications for global oil markets. The US squeeze on Iran-related tankers and Iran's response could exacerbate the situation, potentially leading to further price volatility.