Iran and U.S. Issue Conflicting Accounts Over Tanker Fire in Strait of Hormuz

Iran’s Persian Gulf Strait Authority warned insurers, protection and indemnity clubs, and classification societies not to provide services to vessels on its updated list of “violating” ships, threatening consequences for those that assist them.
Iran reportedly designated only a northern passage along its coast as safe and has been charging vessels fees to use that route, while mining the southern passage.
U.S. Central Command called Iran’s account “another example of their lies and intimidation attempts” and said Tehran was trying to impede commercial vessels in the strait.
Before the current conflict, roughly one-fifth of the world’s oil supply passed through the Strait of Hormuz; the waterway also carried liquefied natural gas and fertilizer exports from Gulf states.
Iran and the US are telling completely different stories about what happened to the Panama-flagged supertanker El Gaia in the Strait of Hormuz. IRGC claims the vessel hit Iranian naval mines while using a forbidden southern route and caught fire. US Central Command says the tanker was already damaged by an Iranian missile and drone strike, and is now being towed. The conflicting accounts show how dangerous the Strait has become for commercial ships.
Before this conflict, about one-fifth of the world's oil moved through the Strait of Hormuz. IBTimes reports that Iran has now mined the southern passage and declared only a northern route safe—but charges fees to use it. Iran is also warning insurance companies and maritime firms not to help ships on its "violating" list, threatening serious consequences for those that do.
According to Iran's Islamic Revolutionary Guard Corps, the El Gaia was engulfed in flames after striking naval mines in the southern passage of the Strait. IRGC said the vessel was using a prohibited route and became fully disabled by the explosion. The Iranian navy stated that efforts to contain the situation were underway.
Iran has taken control of the Strait's shipping lanes. The Persian Gulf Strait Authority designated only the northern passage—running along Iran's coast—as safe for transit and is collecting fees from vessels that use it. China Daily Asia reports that Iran reiterated the waterway remains closed and under Iranian control.
US Central Command rejected Iran's mine story entirely. The U.S. military said El Gaia was previously disabled by an Iranian missile strike and then hit again by an Iranian drone while already crippled. The vessel is currently being towed to safety. US Central Command called Iran's account "another example of their lies and intimidation attempts."
The U.S. accuses Iran of deliberately blocking commercial traffic through the Strait. US Central Command said Tehran is trying to impede vessels and destabilize global shipping. The exact sequence of events remains unclear, but both accounts agree the tanker was damaged or attacked—only the cause of the final fire is disputed.
Iran is using a two-pronged strategy: physical blockades and administrative threats. By mining the southern passage and offering only a costly northern route, Iran can deter ships from transiting while staying technically ambiguous about a formal closure. IBTimes reports Iran is demanding that insurance companies and classification societies refuse service to ships on its violation list.
This approach spreads costs across the entire global shipping industry. Insurers, protection-and-indemnity clubs, and maritime firms face fines or blacklisting if they assist flagged vessels. Even if some ships continue using the Strait, higher insurance premiums, longer routes, and delayed shipments will raise prices for oil, liquefied natural gas, and fertilizer worldwide.
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