Hormuz talks between Iran, Gulf Arab states put on hold

A planned meeting between Iran and Gulf Arab states on the Strait of Hormuz has been suspended, intensifying concerns over global oil supplies amid attacks and disruptions along key energy routes.

Oman’s Foreign Minister Sayyid Badr Albusaidi said Sunday (September 13) that Monday’s meeting was postponed to help build consensus.

Iran and Gulf states were due to discuss maritime traffic through Hormuz and a proposed Iran-Oman arrangement on shipping.

Iran’s Fars news agency said the postponement followed requests from several regional countries and was agreed by Tehran and Muscat.

The move comes as Saudi Arabia keeps its 1,200-km East-West oil pipeline shut after a drone attack. The pipeline is a major alternative route that allows Saudi crude to bypass Hormuz.

Saudi oil traders told Reuters that stocks at the Red Sea port of Yanbu could sustain exports for five to seven days. After that, about 4 per cent of global oil supplies could be at risk, while disruptions through Hormuz are already affecting several million barrels a day.

The UK Maritime Trade Operations agency said a vessel was struck by a projectile while passing through Hormuz on Sunday and caught fire, forcing its crew to evacuate. Iran said a separate attack on a commercial vessel near its coast killed one person and wounded four.

Iranian Foreign Minister Abbas Araghchi said Tehran would not reopen Hormuz until Washington meets its demands.

Oil prices rose above $100 a barrel last week, while US retail diesel prices surpassed $6.20 a gallon, hitting a record high.