Oil prices rise as Middle East tensions flare and Iran-US talks stall

The Islamic Revolutionary Guard Corps (IRGC) said in a statement on Tuesday it targeted a US-linked vessel named “Panaya” with missile fire after what it described as a US strike on an Iranian tanker near the Strait of Hormuz late on Tuesday, which damaged the vessel’s engine room.

It said US forces also hit an IRGC communications tower in southern Qeshm Island, prompting retaliatory missile and drone strikes on what it described as a US air and helicopter base in a regional country and the US Fifth Fleet headquarters.

"Any further disruption to security in the Strait of Hormuz would be met with a severe response," the statement added.

US Central Command (CENTCOM) said on Tuesday that US and partner forces intercepted multiple Iranian ballistic missiles and drones, and conducted self-defense strikes on an Iranian ground control station on Qeshm Island, according to a statement.

CENTCOM said Iran launched missiles toward regional targets, including Kuwait and Bahrain, but said they either failed to reach their intended targets or were intercepted. It also said US forces shot down drones targeting civilian maritime traffic in regional waters.

"No US personnel were harmed. CENTCOM forces remain vigilant and ready to defend against unwarranted Iranian aggression during the ongoing ceasefire," the statement said.

Tanker Trackers said on Tuesday the tanker LEXIE (IMO 9203277), which it described as part of Iran’s sanctioned oil network, has shipped tens of millions of barrels of Iranian crude since 2019.

The vessel is the same tanker US Central Command said it disabled on Tuesday after it attempted to sail toward an Iranian port and ignored repeated warnings, according to earlier CENTCOM statement.

Iranian activist Motahare Goonei said on Tuesday she has grown up with the “horrific consequences of war” and is still struggling with its impact, adding that ordinary Iranians did not start the conflict and warning against attempts to “bury the truth” or shift responsibility away from what she described as the real warmonger.

"I was in prison throughout the entire Twelve-Day War. During the recent war as well, I was staying at my father's house, located in the most militarized area of Tehran. It's stating the obvious, but I'll say it anyway," she posted on X. "I was raised amidst the horrific consequences and aftermath of war, and I still grapple with them to this day. But the people of Iran did not start this war—so now is not the time to play games and sidestep the real warmongers, burying the truth in the process! We are all hostages!"

US forces disabled an oil tanker bound for an Iranian port in the Persian Gulf after its crew ignored repeated warnings and failed to comply with instructions from American forces, US Central Command said on Tuesday.

CENTCOM said a US aircraft fired a Hellfire missile into the engine room of the Botswana-flagged M/T Lexie, preventing the unladen vessel from reaching Iran's Kharg Island. The military said the tanker had disregarded multiple warnings over a 24-hour period while transiting international waters.