Iraq's state oil tanker company said it moved 2 million barrels of crude on a VLCC through the Strait of Hormuz, which its director general called the company's first such transit in decades.
Iraq's state-owned Oil Tanker Company said it transported 2 million barrels of Iraqi crude on a very large crude carrier through the Strait of Hormuz. Director general Ali Qais Abdul Jabbar described the Saturday announcement as the company's first such operation in decades, Reuters reported.
Moving the cargo through the strait, rather than handing it over at Basra, gives state marketer SOMO more choice over where and how the crude is sold. Jabbar said the transit could let SOMO use better sales and pricing windows.
He also said the company is working to buy specialized crude tankers to expand its fleet and compete with regional shippers. Reuters noted that Iraq has previously secured Iranian permission for Iraqi tankers to transit the strait.
The report said Iran has effectively closed the strait during its conflict with the United States. The Iraqi statement did not publish a price, buyer or exact sailing date beyond the Saturday announcement.
Independent tracking of the named vessel was not included in the Reuters account used here. The verified claim is the company's statement that the VLCC transit happened.
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- Director general Ali Qais Abdul Jabbar said the transit could open better sales and pricing options for SOMO.