Iraq, Pakistan secure separate Iran agreements for Hormuz oil, LNG transit

Iraq and Pakistan have struck separate agreements with Iran to secure the transit of oil and LNG cargoes through Hormuz, Reuters reports, citing sources it says have knowledge of the matter.

Iraq gets the crude through

The crude track: Iraq secured Iranian approval for two VLCCs, each carrying around 2 mn barrels of crude. The vessels crossed Hormuz after Baghdad submitted detailed cargo and vessel documentation, including ownership, destination, and shipping specifications — underscoring how tightly managed the approval process has become.

Not business as usual: “Two tankers being allowed to pass through the Strait does not necessarily mean regular traffic will be re-established,” global oil markets strategist and former head of research at Onyx group Harry Tchilinguirian tells EnterpriseAM. Iraq may have a better shot at securing passage because of its alignment with Tehran, but the sanctions risk remains the hard limit. “Any payment to Iran for safe passage through Hormuz would constitute a violation of US sanctions,” he says.

Pakistan’s LNG lane gets messy

The LNG track: Pakistan has separately arranged for Qatari LNG cargoes to move through Hormuz under a Tehran-mediated framework designed to secure energy imports amid tightening regional supply conditions. But execution has been uneven, with one Qatar-loaded LNG carrier bound for Pakistan turned back after attempting to cross Hormuz, highlighting the fragility of what remains a case-by-case clearance system.

Pakistan’s Iran option is born of risk, not strategy: “Most of Pakistan’s LNG imports used to come from Qatar on a long-term contractual basis but also from the UAE,” Tchilinguiria notes. “Both suppliers are exposed to the current regional tensions and the risk of further Iranian attacks. Pakistan, therefore, may have to turn toward Iran to meet domestic demand, with Iran becoming the geographically closer and potentially more secure alternative,” he adds.

The new Hormuz logic

A broader trend? Other energy-importing states are reportedly exploring similar arrangements with Tehran as supply security concerns intensify, particularly across Asia. The shift reflects a growing willingness to trade standardized maritime neutrality for ensured, transaction-specific passage.

The strategic implication: Hormuz is increasingly functioning less as a universally open international waterway and more as a managed corridor — where access is contingent on prior Iranian authorization.