Daily tanker rates for vessels willing to carry crude oil and fuels through the Strait of Hormuz have exceeded $1 million for the first time, adding to the cost of physical oil deliveries. Bloomberg, citing Baltic Exchange data, reported rates of as much as $1.035 million for tankers collecting crude inside the Persian Gulf and $644,000 for vessels carrying crude from the Gulf of Oman to China. Freight costs are also rising from Russia’s Novorossiysk port, where Aframax (medium-sized crude tanker) rates to West India and North China increased for a seventh consecutive week in the period through September 6. The market is facing tighter vessel availability, elevated insurance costs, attacks on shipping and infrastructure, and the closure or paralysis of the Strait of Hormuz. Global observed oil inventories fell by 95 million barrels in August and 507 million barrels since February, according to the International Energy Agency, while oil held on water declined by 65 million barrels. U.S. authorities are investigating suspected cyberattacks on at least two tankers traveling from Europe to the United States, with inspections finding that one crude carrier and one liquefied-gas vessel were attacked near Gibraltar. The disruptions are prompting energy companies to buy second-hand tankers rather than charter vessels, pushing used ships above newbuild prices. Saudi Arabia’s East-West pipeline may remain out of service for weeks after a drone attack, and the country has canceled oil cargoes scheduled for Europe this month.