JUST IN: ADNOC Says 230 Oil Tankers Ready but Strait of Hormuz Remains Closed
Published on Reflecto News | World News | Energy & Geopolitics
In a stark warning to global energy markets, the Abu Dhabi National Oil Company (ADNOC) has announced that approximately 230 oil-laden vessels are loaded and ready to sail—but the Strait of Hormuz remains effectively closed despite a recently announced US-Iran ceasefire. ADNOC’s CEO has condemned Iran’s continued restrictions as “coercion” and called for the immediate, unconditional reopening of the vital waterway.
The development exposes a growing gap between diplomatic announcements and physical reality on the ground, with global energy flows still severely disrupted more than 30 hours after the truce took effect .
ADNOC’s Statement: ‘Conditional Passage Is Not Passage’
Dr. Sultan Al Jaber, Managing Director and Group CEO of ADNOC, who also serves as the UAE’s Minister of Industry and Advanced Technology, delivered a forceful statement on LinkedIn condemning the ongoing restrictions .
“So let’s be clear: the Strait of Hormuz is not open,” Al Jaber wrote. “Access is being restricted, conditioned and controlled” .
He elaborated on the nature of the restrictions: “Iran has made clear—through both its statements and actions—that passage is subject to permission, conditions and political leverage. That is not freedom of navigation. That is coercion” .
Al Jaber emphasized that the strait, as a natural waterway governed by the United Nations Convention on the Law of the Sea (UNCLOS), guarantees passage as a right—not a privilege to be granted by any single nation .
“The Strait must be open—fully, unconditionally and without restriction,” he declared. “The weaponization of this vital waterway, in any form, cannot stand. This would set a dangerous precedent for the world—undermining the principle of freedom of navigation that underpins global trade and, ultimately, the stability of the global economy” .
The Scale of the Crisis: 230 Vessels Stranded
According to ADNOC, an estimated 230 vessels loaded with oil are currently stuck at the waterway and ready to sail . These tankers represent a massive backlog of global energy supply that cannot reach its destinations.
The cargo distribution is particularly significant for Asian markets:
| Metric | Figure |
|---|---|
| Loaded vessels waiting | ~230 tankers |
| Oil and products stranded | 172 million barrels |
| Percentage destined for Asia | 80% |
| Global population served by Asian markets | Half the world’s population |
Sources: ADNOC, Kpler, Reuters
Al Jaber warned that the last shipments to transit the strait before the conflict are now reaching their destinations, exposing what he called “the 40-day gap in global energy flows” .
“This is where the paper traded markets are meeting physical reality, and the 40-day gap in global energy flows is truly exposed,” he explained .
The Ceasefire Controversy: Open on Paper, Closed in Practice
A two-week ceasefire between the United States and Iran was announced, with terms that reportedly included the reopening of the Strait of Hormuz. However, ADNOC’s statement confirms that the waterway remains functionally closed.
According to Iranian authorities, vessels may transit the waterway but passage must be coordinated with Iranian forces for security reasons, effectively maintaining Tehran’s control over shipping movements . The Iranian Ports and Maritime Organization has announced two designated safe routes for vessels entering and exiting the strait, established to avoid the potential presence of sea mines in the main shipping zone .
However, shipping firms remain deeply skeptical. “Conditional passage is not passage,” Al Jaber reiterated. “It is control by another name” .
Iran’s Proposed Transit Fee: A New Flashpoint
One of the most contentious developments is Iran’s reported proposal to impose a transit fee on vessels passing through the strait. According to shipping sources, the fee could amount to approximately $2 million per vessel, to be shared with Oman .
Shipping associations have raised serious concerns over the move, calling it a departure from long-standing international maritime norms and warning it could complicate the resumption of normal trade flows .
The Broader Shipping Crisis: Over 1,000 Vessels Trapped
The backlog extends far beyond the 230 tankers cited by ADNOC. According to shipping data, more than 1,000 ocean-going vessels remain trapped within the Gulf . Ship tracker Kpler reported that some 187 laden tankers carrying 172 million barrels of crude oil and refined products were afloat inside the strait as of Tuesday .
Industry experts warn that clearing the backlog will take considerable time. Daejin Lee, global head of research at Fertmax FZCO, told Reuters that with more than 1,000 vessels trapped, “it would likely take more than two weeks to clear the backlog even under normal conditions” .
He added: “A 14-day window is simply too short to restore the level of confidence needed to fully unwind the embedded uncertainty premium—particularly for Arabian Gulf loading routes” .
Market Impact: Prices Remain Elevated
The continued closure has kept energy markets under pressure. While oil prices dropped approximately 14% following the ceasefire announcement, they remain significantly above pre-conflict levels . Brent crude had surged above $111 per barrel at the peak of the conflict, and while prices have moderated, they still hover near $100 per barrel .
Al Jaber outlined the compounding consequences of each day the strait remains restricted: “Every day the Strait remains restricted, the consequences compound… supply is delayed, markets tighten, prices rise” .
Beyond Oil: The Strait’s Broader Importance
While oil and LNG receive the most attention, the Strait of Hormuz is also a vital conduit for other critical industrial commodities :
| Commodity | Percentage of Global Flow Through Strait |
|---|---|
| Sulphur | 50% |
| Urea | ~30% |
| Ammonia | ~30% |
These commodities are vital to fertilizer manufacturing, meaning the strait’s closure has implications for global food security as well as energy markets .
ADNOC’s Position: Ready to Move
Despite the challenges, ADNOC has confirmed its readiness to resume full operations once the strait is reopened.
“At ADNOC, we have loaded cargoes, and we will expand production within the constraints of the damage we have suffered,” Al Jaber stated, referring to war-related damage to the company’s infrastructure .
“We have a responsibility to our customers and our partners to move them, as long as the safety of our people is ensured” .
The UAE and other Gulf producers have been forced to shut in production of oil, gas, and refined products because of the Hormuz blockage . Al Jaber had previously called Iran’s blockage of the waterway “economic terrorism” .
International Shipping Industry Response
The global shipping industry remains in a wait-and-see mode. Jakob Larsen, chief safety and security officer at shipping association Bimco, said the industry was awaiting technical details from the US and Iran .
“Leaving the Gulf without prior coordination with the US and Iran would entail heightened risk and would not be advisable,” Larsen stated .
Danish shipping group Maersk said the ceasefire may create transit opportunities for vessels in the Strait of Hormuz, but that it did not yet provide full maritime certainty .
Two shipbrokers told Reuters that shipowners are likely to remain in a wait-and-see mode before allowing vessels to enter the Gulf .
Asian Economies: The Most Exposed
The continued closure hits Asian economies particularly hard, as they are the main buyers of oil shipped through the strait. Al Jaber emphasized that 80% of Gulf oil shipments are bound for Asia, where half the world’s population lives .
Several Asian nations are actively working to secure passage for their stranded vessels. Indonesia’s foreign ministry said it is working with Iranian authorities to secure the passage of two Pertamina vessels that have been stranded in the Gulf .
“Several technical matters are being followed up to ensure safe passage through, including matters such as insurance and crew readiness,” said ministry spokesperson Vahd Nabyl Achmad Mulachela .
China’s foreign ministry expressed hope that all parties would make joint efforts to facilitate early resumption of normal trade through the strait, while Japan’s Prime Minister held talks with Iran’s president .
Supply Normalization: A Long Road Ahead
Even if the strait were to reopen immediately, experts warn that full supply normalization will take considerable time. The International Monetary Fund and the World Bank have warned of serious consequences for global economic growth due to the war and the energy supply shock .
Key factors delaying normalization include:
- Production Shutdowns: Several oil production facilities in the Gulf have been shut, and some have suffered damage requiring repairs .
- Tanker Dislocation: Massive diversions around the Cape of Good Hope have effectively reduced global tanker capacity by 10% to 12% .
- Insurance Premiums: War-risk insurance premiums remain elevated, adding to shipping costs .
- Confidence Deficit: Many blue-chip shipowners will wait several days to ensure the ceasefire holds before committing vessels .
Industry experts project that restoring full operational normalcy across the Middle East energy corridor will realistically take several months .
What ADNOC Demands
Al Jaber outlined a clear set of demands for the strait’s reopening:
- Unconditional access – No permission requirements from any nation
- No restrictions – Freedom of navigation as guaranteed by UNCLOS
- No transit fees – No nation has the right to impose charges for passage through international waters
- Full restoration of flows – Not partial access or temporary measures
“The immediate priority is clear: close that gap,” Al Jaber said, referring to the disconnect between paper markets and physical supply .
“Stability now depends on restoring real flows. Not partial access, not temporary measures, not controlled passage, but full and reliable supply,” he concluded. “That is how we slow the economic shockwave already moving through the system” .
Conclusion: A Test of the Ceasefire’s Promise
ADNOC’s announcement that 230 loaded tankers remain stranded despite the ceasefire exposes the fragile nature of the diplomatic agreement. While the truce may have paused direct military hostilities, the economic warfare—manifested in controlled access to the world’s most important energy chokepoint—continues.
The coming days will reveal whether Iran’s restrictions are truly a temporary security measure or a more permanent assertion of control over global energy flows. For now, 230 tankers wait, global markets remain tight, and ADNOC’s message is clear: conditional passage is not passage at all.
Frequently Asked Questions (FAQs)
1. What did ADNOC announce regarding the Strait of Hormuz?
ADNOC CEO Sultan Al Jaber announced that approximately 230 oil-laden vessels are loaded and ready to sail, but the Strait of Hormuz remains effectively closed. He called for the strait to be reopened “fully, unconditionally and without restriction” .
2. Why is the strait still closed despite the US-Iran ceasefire?
While the ceasefire reportedly calls for the strait’s reopening, Iran continues to restrict access. Iranian authorities require vessels to coordinate passage with Iranian forces and have established designated corridors. Iran has also proposed imposing a transit fee of approximately $2 million per vessel .
3. How many vessels are stuck in the Gulf?
According to shipping data, more than 1,000 ocean-going vessels remain trapped within the Gulf. This includes approximately 187 laden tankers carrying 172 million barrels of crude oil and refined products .
4. Where is the stranded oil destined?
Approximately 80% of the cargoes stuck in the strait are destined for Asian markets, where half the world’s population lives .
5. What has been the impact on oil prices?
Oil prices surged above $111 per barrel at the peak of the conflict. Following the ceasefire announcement, prices dropped approximately 14% but remain near $100 per barrel—still significantly above pre-conflict levels .
6. What other commodities are affected by the closure?
Beyond oil and LNG, the strait handles 50% of the world’s sulphur and nearly 30% each of urea and ammonia—all vital to fertilizer manufacturing and global food security .
7. How long will it take to normalize supply if the strait reopens?
Experts project that restoring full operational normalcy will take several months. Factors include infrastructure repairs, tanker backlogs, elevated insurance premiums, and the need to rebuild confidence among shipowners .
8. What is ADNOC’s position on Iran’s restrictions?
ADNOC has condemned Iran’s restrictions as “coercion” and a violation of international law. Al Jaber stated that no country has a “legitimate right to determine who may pass and under what terms” through this international waterway .
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