Iraq and Pakistan Strike Energy Transit Deals With Iran

Iraq and Pakistan reached deals with Iran to ship oil and gas through the Strait of Hormuz. Tehran is now managing access to the waterway as global prices rise.

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Iraq and Pakistan secured energy transit deals with Iran to navigate the Strait of Hormuz during regional conflict. The agreements allowed two crude tankers and two LNG vessels to pass through the corridor on Sunday. These deals signal a shift toward Iranian control over a route that typically handles 20% of global oil and gas.

### Iran Shifts from Blockade to Control A blockade and closure of the Strait of Hormuz have reduced traffic to around 5% of pre-war levels, down from approximately 3,000 vessels per month. Claudio Steuer of the Oxford Institute for Energy Studies said the waterway has transformed from a neutral route into a controlled corridor. Iran now demands detailed vessel documentation, including ownership and cargo specifications, before granting passage.

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