LONDON, April 2. /TASS/. The world’s largest energy traders, including Vitol, Trafigura, and Mercuria, have faced serious difficulties due to the conflict around Iran, having been unable to immediately benefit from sharp market volatility, the Financial Times (FT) newspaper reported.
The military actions that began on February 28 were accompanied by attacks on tankers and oil infrastructure, as well as the blocking of ships in the Persian Gulf, which created uncertainty around supplies through the Strait of Hormuz, according to the publication. Companies including Vitol, Trafigura, and Mercuria suffered losses due to logistical disruptions and poor market positions, the newspaper noted. In particular, over ten cargoes of Vitol were blocked, with two vessels destroyed, resulting in the death of a crew member, the paper wrote. Ship insurance costs in the region have increased more than six-fold. Furthermore, traders have encountered problems with the physical delivery of raw materials, being forced to raise additional financing. For example, Vitol and Trafigura secured credit lines of $3 bln each, and Gunvor secured a $1.5 bln credit line.
Meanwhile, experts believe high volatility in the future could contribute to the growth of industry profits, and 2026 as a whole could be a profitable year for traders.
The US and Israel launched a military operation against Iran on February 28. Major Iranian cities, including Tehran, were hit. Iran's Islamic Revolutionary Guard Corps (IRGC) launched retaliatory strikes against Israel and US military facilities in Bahrain, Jordan, Iraq, Qatar, Kuwait, the UAE, and Saudi Arabia.
Iranian authorities also decided to close the Strait of Hormuz to vessels linked to the US, Israel, and countries that supported the aggression against the Islamic Republic. During the conflict, several tankers were attacked for transiting the strait without Tehran’s permission. On March 25, Foreign Minister Abbas Araghchi announced that Iran had allowed friendly countries, including Russia, India, Iraq, China, and Pakistan, to transit the Strait of Hormuz.