Oil tanker explosion in the Persian Gulf. International shipping insurers are terminating policies
A tanker located northwest of the Strait of Hormuz caught fire. The ship's captain has sent out an SOS distress signal. The incident occurred about 30 nautical miles from Kuwait's Al-Mubarak Port. At the time of the explosion, a "small vessel" was near the tanker, which "quickly left the area" after the explosion.
International oil prices rebounded briefly yesterday and then resumed their upward trend. The current price of Brent crude futures has risen to about $83.8 per barrel. Although the Strait of Hormuz is actually blocked, there has been no significant surge in oil prices. Experts believe this is mainly because the global oil market has not yet faced severe shortages, and most contracts signed previously are still being fulfilled. However, if the issue of tankers passing through the Strait of Hormuz continues for several more weeks, oil prices may gradually "rise" to at least $100 per barrel.
Large marine insurance companies, including Lloyd's, have recently begun notifying customers to cancel existing policies. The insurance companies stated that the contract terms do not cover large-scale military conflicts, so if a vessel is attacked or lacks security and cannot perform the transportation task, the insurance company will not bear the liability for compensation.
The insurance for 220 tankers, bulk carriers, and container ships moored in the Persian Gulf has been canceled. Another approximately 300 vessels sailing in the Persian Gulf will lose their insurance coverage by this Friday.
Original article: toutiao.com/article/1858819360230809/
Statement: This article represents the personal views of the author.