Sailors reportedly offered $25K per trip to move oil out of the Persian Gulf amid strikes, drone attacks

Key Points:

• Sailors are being offered up to $25,000 per trip to transport oil through the dangerous Persian Gulf, with producers spending up to $40 million for multi-day voyages amid ongoing war-related risks.
• Despite increased attacks on vessels near the Strait of Hormuz, crude exports surged to 16.5 million barrels per day in September, recovering from a low of 5 million barrels in March after the Iran conflict began.
• The high-risk shuttle runs using very large crude carriers (VLCCs) have driven record costs, with daily tanker hire rates to China soaring from $40,000 in January to over $1.2 million by late September.
• Shipowners and crew members, particularly from India, the Philippines, and China, are earning unprecedented profits and premiums, sometimes exceeding annual salaries for lower-level workers, due to the hazardous conditions requiring stealthy night operations.
• In response to high fuel prices ahead of the US midterm elections, the G7 agreed to release 100 million barrels of diesel and crude reserves, while President Trump is expected to expand tax-exempt diesel access to help reduce consumer fuel costs.