VLCC rates hit record $1.27M/day as Saudi diversions tighten tanker market

Ship-to-ship crude transfer capacity off Oman is maxed out after Saudi Arabia diverted flows from Yanbu port due to Houthi attacks, selling ~60 million barrels for September/October delivery via Gulf of Oman transfers. This has driven VLCC rates to a record $1.27 million per day, reflecting acute tanker scarcity and rerouting of Middle East crude. The development signals sustained disruption to Red Sea shipping and elevated energy transport costs, with implications for global oil supply chains.