US Treasury Secretary Scott Bessent said the US Navy may soon escort oil tankers through the Strait of Hormuz as tensions escalate following attacks on shipping and energy infrastructure in the Persian Gulf.
The comments came as global oil prices soared above $100 a barrel and tanker traffic through the key waterway slowed sharply amid fears of further disruptions.
In an interview with Sky News, Bessent suggested that a naval escort could be introduced as soon as the situation allows.
“I believe that as soon as it is militarily possible, the U.S. Navy, perhaps with an international coalition, will escort the vessels,” Bessent said.
Tankers are still passing through the strait
Despite the tensions, Bessent noted that some vessels continue to transit the strategic waterway.
“There are actually tankers coming through now, Iranian tankers, I believe some Chinese flag tankers have come through. So we know they haven’t mined the straits,” he said.
The Strait of Hormuz is one of the most important energy choke points in the world and serves as the only maritime entry and exit point to the Persian Gulf.
Oil surged above $100
Iran’s attacks on shipping and energy infrastructure in the Persian Gulf have rattled global markets.
Oil prices climbed above $100 a barrel on Thursday, while stocks fell globally as investors reacted to escalating geopolitical risk.
Tanker traffic through the strait has slowed significantly, with ship owners increasingly reluctant to move vessels through the region for fear of further attacks.
Strategic reserves released
In response to the supply shock, more than 30 countries agreed to release 400 million barrels of oil from emergency stocks.
The United States alone plans to release 172 million barrels of strategic oil reserves.
The coordinated action represents the largest emergency release of strategic oil reserves in history.
However, the move has so far failed to calm markets as uncertainty over the security of the Strait of Hormuz continues to threaten global oil supplies.
Before the conflict escalated, about 20% of global oil consumption passed through the narrow waterway each day.
With shipping severely disrupted, markets remain on edge as governments seek to stabilize energy supplies and prevent further escalation in the region.
US Navy escort plans are being prepared
Energy Secretary Chris Wright earlier said the US Navy was preparing to escort oil tankers through the Strait of Hormuz, but warned the operation could not begin immediately as US military resources remained focused on ongoing operations against Iran.
Wright told CNBC on Thursday that the Navy could begin escorting the tankers relatively soon, but stressed that preparations are still underway.
“It will happen relatively soon, but it can’t happen now,” Wright said.
“We are simply not ready. All of our military assets are now focused on destroying Iran’s offensive capabilities and the manufacturing industries that supply their offensive capabilities,” he added.
Escort operations could begin by the end of the month
Wright suggested the military may be ready to deploy the escort later this month as planning continues with defense officials.
A social media post prompts a market reaction
Wright’s comments also followed confusion earlier after a post on his social media account incorrectly suggested a US Navy escort had already taken place.
The post claimed the Navy was escorting the tanker through the Strait of Hormuz, but was quickly deleted.
But the news briefly jolted markets and sent oil prices plunging more than 17% to their lowest point on Tuesday.
The Strait of Hormuz is a critical global energy bottleneck, with roughly one-fifth of the world’s oil supplies passing through the narrow passage connecting the Persian Gulf to international markets.
Read also | How an Oil Tanker Carrying Saudi Crude Oil Entered India Through the Strait of Hormuz
