M/T Kylo sinks after U.S. strikes three Iranian-linked tankers

  • U.S. forces struck three crude carriers after Iranian missile attacks on two Navy warships.
  • Brent settled at $96.28 a barrel, rising 7.6% during the week.
  • Kpler data counted four commodity vessels crossing Thursday, down from nine Wednesday.

The M/T Kylo, also known as Noxen, sank in the Gulf of Oman after U.S. forces struck three crude carriers following multiple ballistic missile attacks by Iran's Islamic Revolutionary Guard Corps (IRGC) on a U.S. aircraft carrier and guided-missile destroyer. The warships evaded the attacks and no U.S. personnel were injured. CENTCOM said Kylo was unladen, its crew had been told to abandon ship, and the vessel was hit at multiple points before sinking. American forces also permanently disabled the M/T Downy off Kharg Island and M/T Stark 1 near Jask, describing all three tankers as part of a multibillion-dollar network that finances the IRGC and its regional partners. Iran said it targeted three tankers using what it called unauthorized routes through the Strait of Hormuz, plus three U.S.-linked vessels elsewhere, and later claimed to have struck an unmanned U.S. vessel entering the strait; those claims were not independently confirmed, and the United States had not confirmed the unmanned-vessel claim. The attacks took place after weekend oil markets closed. Brent had settled Friday at $96.28 a barrel, up 7.6% for the week, while WTI ended at $91.48, nearly 10% higher. Preliminary Kpler data showed four commodity vessels crossed the Strait of Hormuz on Thursday, compared with nine on Wednesday and a 10-day average of about 15, excluding ships with tracking transponders turned off. Before the conflict began in February, roughly 125 large commercial vessels crossed the waterway daily. Markets will focus on whether the exchange further restricts tanker traffic or regional oil exports, with prolonged disruption potentially adding pressure to crude prices and inflation expectations, while easing hostilities or improving shipping flows could reduce the geopolitical risk premium.

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