Tanker Disabled by Hull Explosives and Pakistani LNG Carrier Attacked as Hormuz Violence Continues

Since the U.S.-Iran war began in February, the Strait of Hormuz has seen repeated attacks on commercial shipping. Two more incidents hit vessels in the past few days, and neither Washington nor Tehran has produced a plan to stop them.

The tanker hit off Khasab

On Thursday, Oct. 29, a small boat approached the port side of an outbound tanker about 25 nautical miles northeast of Khasab, Oman. It attached two explosive devices to the hull above the waterline, the UK Maritime Trade Operations center (UKMTO) said in an advisory on Friday.

The blasts started a fire in the engine room and temporarily disabled the ship. The fire was put out, the crew was safe, there was no environmental damage, and the vessel continued to its next port of call, UKMTO said.

Three maritime security sources identified the ship as the Panama-flagged Louise 1 and said the devices were limpet mines. Two of those sources said it was the first known successful limpet-mine attack on a tanker in the area since the war began. They said a similar attempt in September failed because the devices did not detonate.

The Greece-based risk firm Marisks called the ability of a small craft to approach a transiting tanker, deploy explosive devices and withdraw "a significant security concern" in the strait's congested shipping lanes. Marisks said such explosives are inexpensive and limpet mines have been used against tankers in the region in previous years.

No one has claimed the attack. UKMTO said it was not immediately clear who was behind it.

Iran's account

The Islamic Revolutionary Guard Corps (IRGC) said on Thursday that three tankers struck sea mines, exploded and caught fire while trying to leave through a southern route it calls unauthorized. The IRGC navy said the ships had switched off radar and navigation systems and ignored warnings from Iranian forces. It said the vessels were left along the strait's southern coast.

It is unclear whether the Louise 1 was one of those three. The UKMTO description, explosives attached directly to a hull by a small boat, differs from sea mines, which are placed in the water.

The IRGC's stated position is that it has the right to attack any ship crossing without its permission or with its transponders off. Singapore's Maritime and Port Authority sees it differently. After the container ship GFS Pride sank in mid-October, it called the attacks "unprovoked, unjustifiable, and a breach of international law." All 21 crew were evacuated. Iranian state TV said the ship hit a mine.

On Friday, Iran's navy also said it destroyed a U.S. unmanned vessel in the eastern strait. There was no immediate confirmation from the U.S. military.

A Pakistani LNG cargo and an Iranian green light

On Friday, Oct. 30, the Marshall Islands-flagged LNG carrier Al Mayeda came under fire near the strait while carrying Qatari gas. According to people with direct knowledge of the matter who spoke to Bloomberg on condition of anonymity, Pakistan had negotiated with Iran for safe passage, and Iranian authorities were understood to have given a green light hours earlier.

That account rests on unnamed sources, and Iran has not been quoted confirming it. It is also not clear who fired on the ship.

Iran has publicly appreciated Pakistani and Qatari mediation as fears grow of fresh U.S. strikes, according to Arab News Pakistan.

If the account is accurate, an arrangement with Tehran did not protect a ship. That would be a problem for any country trying to move energy through the strait by negotiating with the IRGC.

The price tag

The waterway carries roughly one-fifth of the world's oil and is a critical route for Gulf LNG. UKMTO counted 254 transits in the week to Oct. 14, about 70% below pre-conflict levels. In the seven days to Oct. 16 it recorded 12 vessels attacked.

Oil reflects the strain. On Friday, Brent December futures rose $2.26, or 2%, to $117.14 a barrel as that contract expired. The more active January contract gained $2.30 to $113.10. West Texas Intermediate rose $1.94 to $103.94. For October, Brent was on course for a gain of about 13% and WTI about 15%.

Gas is worse for Europe. ING's Warren Patterson wrote Thursday that the TTF benchmark settled 4.85% higher and climbed above €100 per megawatt-hour for the first time since 2022. He saw "little sign of imminent relief in Persian Gulf LNG flows" and said QatarEnergy had reportedly extended force majeure declarations for several buyers until the end of the year.

Patterson added that the outlook looks more dire "amid the risk of renewed U.S. strikes on Iran following the U.S. midterm elections next week."

The toll so far

The damage goes beyond cargo. The Safeen Prestige was hit by a missile on March 4 and sank around April 1. The tug Mussafah 2 was hit on March 6 while moving to help. The bulk carrier Cape Dao, attacked Sept. 23, killed one crew member and later sank near the strait.

On Thursday, an outbound vessel was reported on fire 25 nautical miles northeast of Khasab, and a dhow burned and sank nine nautical miles north of the town. Its crew was evacuated safely.

The U.S. midterm elections are next week. Brent is already above $113 and Qatari LNG force majeure reportedly runs through year-end. If Washington resumes strikes on Iran, as ING's Patterson flags, the strait's attackers have shown they can reach tankers with a boat and two charges.