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Market Chatter: US-Iran Deal Must Be 'Material' to Resume Hormuz Transit, Mitsui OSK Lines Chief Says

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The US-Iran deal must be "material" to give shipowners the confidence to transit through the Strait of Hormuz, the Financial Times reported Tuesday, citing Mitsui OSK Lines chief executive Jotaro Tamura.

Despite the recent US-Iran agreement that includes the reopening of the channel, Tamura reportedly said that many operators would wait before crossing as they take a more cautious approach following several false restarts in the past.

The deal should translate into "real" situations in the Strait, the chief executive told FT, noting that the resumption of transit will likely take "at least a couple of weeks, or if not, a month."

Mitsui, the world's biggest tanker operator in terms of number of vessels, has a fleet of 900 ships. Of this total, more than 200 carry crude oil, petroleum products and chemicals.

It was able to get four vessels out of the Gulf before the deal announcement, Tamura reportedly said, without having to pay any fees to Iran. At present, Mitsui has at least seven ships stranded in the Gulf.

has reached out to Mitsui to seek further information about its plans for the remaining tankers.

The International Maritime Organization, on Monday, said its plan to evacuate seafarers stuck in the area "will require time to ensure that all necessary safety and security guarantees are in place."

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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