Iraq Oil Minister Hayan Abdel Ghani confirmed direct negotiations with Iranian authorities to secure passage for Iraqi tankers through the Strait of Hormuz. The shipping lane remains largely closed to international vessels following escalations between the U.S., Israel, and Iran.
The blockade pushed Brent crude prices above $100 per barrel. U.S. diesel prices exceeded $5 per gallon for only the second time in history.
The International Energy Agency (IEA) initiated its largest-ever coordinated emergency reserve release to stabilize global markets.
A successful deal would create a specific exception to the current blockade. While market volatility remains high, traders view the talks as a potential easing of the severe supply disruption.