Tanker Fire Off Oman Coast After 'Unknown Projectile' Strike in Strait of Hormuz

A tanker caught fire off the coast of Oman on Monday night after being struck by an “unknown projectile” in the Strait of Hormuz, according to the United Kingdom Maritime Trade Operations (UKMTO).

Separately citing two unnamed US officials, news outlet Axios reported that Iran’s Islamic Revolutionary Guard Corps (IRGC) fired at least two missiles at commercial ships transiting through the strait on Monday night. The report added that two ships suffered significant damage but there were no casualties. It is unclear if one of the ships is the same one reported on by UKMTO.

The reports of attacks on shipping in the strait come as sensitive peace negotiations continue between the United States and Iran to bring a lasting end to their war, which began on February 28.

One of the key sticking points in the talks is the Strait of Hormuz, which Iran effectively closed to shipping after US-Israeli strikes began.

The attacks also come amid days of funeral processions for former Iranian Supreme Leader Ayatollah Ali Khamenei, who was killed in US-Israeli strikes on February 28, the first day of the war.

Here is a closer look at what has happened in the Strait of Hormuz, and whether this could threaten the peace process.

What has happened in the Strait of Hormuz?

The UKMTO reported early on Tuesday that a tanker had been struck by a “projectile” on its port side while moving southbound about 8 nautical miles (15km) off the coast of Limah in Oman, causing a fire.

Iranian television reported claims that the LNG tanker came under attack after ignoring warnings, but Tehran did not directly claim the assault. Neither the US Central Command (CENTCOM) nor the IRGC commented on the incident.

However, three unidentified sources told the Reuters news agency the ship was a Qatari tanker called Al Rekayyat, carrying liquefied natural gas (LNG), and that the crew were safe. The ship sent out distress signals when it was hit. However, it may be at risk of exploding due to a fire in its engine room, another source briefed on the incident told Reuters.

A second ship is believed to be a Saudi-flagged crude oil tanker which was also damaged in the Strait of Hormuz when the IRGC fired missiles, sources told Reuters.

Hossein Royvaran, a Tehran-based analyst, told Al Jazeera that the Qatari tanker might have been targeted because it strayed into an area where Iranian teams were performing mine-clearing operations.

“The area near Oman is likely full of mines,” said Royvaran.

“There is a possibility that these ships headed in directions where Iranian teams in that area are clearing mines, and the ships’ movement might have threatened those teams.”

In April, the IRGC released a map showing a safe route through the strait for shipping traffic it had approved. Although it has not confirmed the presence of mines in the strait, it noted that its approved route – which diverts ships much closer to its own coastline – would avoid any mines.

What is the current status of the strait?

Data tracking company Kpler said in an X post on Monday that traffic in the Strait of Hormuz over the weekend showed “resilience” with a total of 108 verified crossings.

There were 43 crossings on July 3, 34 on July 4 and 31 on July 5, it said.

Before the war, an estimated 120-140 vessels crossed through the strait each day, roughly half of them oil tankers moving approximately 20 million barrels per day. At the height of the US-Israel war on Iran, traffic through the waterway collapsed to as few as two tankers a day.

The narrow waterway linking Gulf oil producers to the open ocean, through which 20 percent of the world’s oil and gas supplies were shipped before the war began, has become a focus of peace talks.

Since early March, Iran has restricted shipping through the strait, at times allowing passage by vessels from select countries only, which were required to negotiate transit with the IRGC, with some reportedly paying as much as $2m per ship at one point during the war. The US imposed its own corresponding naval blockade on Iranian ports, including those in the strait, in June.

Even after a preliminary US-Iran memorandum of understanding (MoU) was announced on June 14, only seven ships crossed the strait over the following four days, according to the shipping tracker MarineTraffic.

The MoU stipulated that the strait would be free to all shipping for at least 60 days. But uncertainty about its vague wording relating to the strait and other issues, such as Israel’s assault on Lebanon, plus the lack of clarity about mines in the channel, caused shipping operators to hesitate, analysts said.

What do the latest attacks on shipping mean for talks?

Experts say that while the agreement between the US and Iran has eased tensions between the two parties, the vague wording relating to provisions for the strait is contentious.

The war has been paused under the MoU signed last month, which provided 60 days for negotiations for a permanent deal. However, a round of indirect talks in Qatar concluded last week with no sign of headway towards a lasting peace.

One issue is whether Iran will charge fees to ships using the strait in the future, something the US strongly rejects.

“The idea to impose environmental or service fees, possibly with Oman, reflects Iran’s effort to convert its sovereignty over half of the strait into lasting influence,” Mohsen Milani, a professor of politics at the University of South Florida, told Al Jazeera.

Milani added that Iran is weaponising Hormuz geographically to bolster its bargaining power.

“Washington, by contrast, seeks to prevent any arrangement that expands Iranian control under the principle of freedom of navigation,” Milani, the author of Iran’s Rise and Rivalry with the US in the Middle East, said.

Trump has repeatedly threatened to resume bombing if Iran does not make a deal, most recently on Monday when he told reporters in the Oval Office: “We’re either going to make a deal or we’re going to finish the job. OK. And it won’t be tough to finish the job. I’d rather make a deal, because I don’t want to affect 91 million people.”

“We can knock down their bridges in one hour, we can knock out their energy supply.”

Iran’s Foreign Minister Abbas Araghchi said such threats violated the terms of the MoU.

He claimed the recent funeral processions for the late supreme leader have demonstrated Iranians’ unity.

“Millions of proud Iranians rallied in unity to honour Grand Ayatollah Khamenei and his legacy. Neither them nor our Brave Armed Forces are moved by any threats,” he wrote below a picture of a huge crowd of mourners.

“Negotiations on final Deal will not commence if threats continue,” he wrote. “Honor your signature.”