Amid rising tensions, the UAE navigates oil shipments with trackers off to evade Iranian scrutiny
Category: Business
In the tense waters of the Strait of Hormuz, where geopolitics and energy supply intersect, a dramatic shift is underway. As the Agios Fanourios I, a 330-meter-long tanker loaded with Iraqi crude oil, set sail for Vietnam in May, it became a focal point in a complex web of maritime control orchestrated by Iran. The vessel's passage, which should have taken five hours, stretched into a two-day ordeal, marked by inspections and the shadow of Iranian authority.
The Agios Fanourios I's voyage began in late April when it arrived off the coast of Basra, Iraq. Under a deal overseen by Iraq's Prime Minister Mohammed Shia al-Sudani, the tanker was cleared to navigate through the strait, which is responsible for about 20% of the world’s oil supply. Navigating the Strait of Hormuz has become increasingly perilous as Iran tightens its grip on this strategic chokepoint, enforcing a multi-tiered system that complicates the movement of vessels.
As Iran consolidates its control over the Strait of Hormuz, it has implemented a mechanism that includes government-to-government arrangements and intense vetting processes. This system gives preference to ships linked to its allies, such as Russia and China, with less favorable treatment for other nations. The U.S. has issued warnings against complying with Iran's controls, yet some shippers are willing to take the risk.
During the Agios Fanourios I's transit, the vessel was stopped by speedboats from the Islamic Revolutionary Guard Corps (IRGC) near Hormuz Island. The IRGC, which plays a central role in Iran's maritime strategy, inspected the ship for several hours before granting it permission to continue. According to Konstantinos Sakellaridis, operations manager for Eastern Mediterranean Shipping, no payments were made for the passage, but there were indications that Iran turned a blind eye to the transit due to pressure from Iraq and Vietnam.
“Once we were informed Agios passed Hormuz, we breathed a sigh of relief,” said one observer monitoring the ship's progress. This statement highlights the anxiety surrounding maritime navigation in a region where tensions are high and the stakes are even higher.
Amid these developments, the United Arab Emirates (UAE) has adopted a controversial strategy to move oil through the Strait of Hormuz. By switching off ship trackers—a tactic often associated with sanctions evasion and the so-called “dark fleets”—the UAE has attempted to navigate the increasingly hostile waters without attracting Iranian scrutiny. In April 2026 alone, ADNOC, the UAE's state-owned oil company, exported at least 6 million barrels of oil using this clandestine approach.
Some cargoes were transferred ship-to-ship outside the strait, others were unloaded into storage in Oman, or sailed directly to South Korean refineries. This maneuvering reflects a broader trend as ADNOC has cut its exports by more than 1 million barrels per day from last year's pace of 3.1 million barrels per day due to tightening access through Hormuz.
On May 4, the situation escalated when the UAE accused Iran of attacking the ADNOC tanker Barakah with drones as it attempted to transit the strait. No injuries were reported, but the incident underscored the risks involved in shipping through these contested waters. Days later, ADNOC Logistics reported a small bunker fuel leak off the coast of Oman, prompting cleanup efforts and raising concerns about environmental risks in one of the world’s busiest maritime corridors.
The turmoil in the Strait of Hormuz has had tangible effects on global oil prices, which have surged above $100 a barrel. This spike is linked to the increased risks associated with shipping routes in the region and the disruptions caused by both Iranian controls and the UAE's evasive tactics. The situation has left many shipping companies grappling with the decision to comply with Iranian demands or risk losing their vessels.
In this complex environment, the U.S. has responded by imposing its own blockade on Iranian ships, seeking to maintain a semblance of order in a region fraught with uncertainty. The U.S. Navy has enforced a cordon outside the strait, leading to a dramatic reduction in the number of vessels passing through. Between April 18 and May 6, fewer than 60 ships managed to navigate the strait, a stark decline from the typical 120 to 140 ships that transited daily before the war.
The implications of Iran's tightening grip on the Strait of Hormuz extend beyond immediate shipping concerns. As the IRGC continues to expand its control and enforce new mechanisms for vessel passage, the maritime community faces a new reality where compliance with Iranian regulations has become a necessity for many. The risks of non-compliance are high, potentially resulting in attacks or detentions.
“The straits will be blocked or opened up only by the approval of the Iranian regime,” said Danny Citrinowicz, a senior Iran researcher at Israel’s Institute for National Security Studies. He emphasized that this new norm has forced ship owners to navigate a treacherous path between political alliances and financial imperatives.
As the Agios Fanourios I continued its voyage, it was eventually intercepted by the U.S. Navy after exiting Iranian waters, drifting for six days as American forces conducted paperwork related to their blockade. Sakellaridis noted that Vietnam exerted pressure on the U.S. to allow the ship to pass, emphasizing the complex interplay of international relations in maritime navigation.
In a region where every move is examined and every shipment carries the weight of international politics, the future of shipping through the Strait of Hormuz remains uncertain. The Agios Fanourios I's ordeal is just one example of how the balance of power is shifting in these waters, reshaping the dynamics of global energy supply and security.