AT least three iron ore cargoes operated by Anglo American have been diverted mid-voyage as the US and Israeli military campaign against Iran chokes one of the world’s most critical shipping corridors, said Bloomberg News on Thursday.
Ship-tracking data from analytics company Kpler show Anglo American’s Cape Shangrila rerouting from Bahrain to Singapore, the Cape Jasmine redirecting to Vietnam instead of Bahrain, and the Mineral Zimbabwe switching its destination from Oman to Qingdao in China, said Bloomberg News.
In addition, two vessels of iron ore from Brazil’s mining company Vale, which were bound for Oman, have similarly been diverted, to China and Malaysia respectively, said the newswire. Anglo American and Vale did not respond to requests for comment.
Maritime traffic through the Strait of Hormuz has effectively halted following Iranian attacks on vessels in the days since US and Israeli strikes were launched. Other ships have been forced to pause outside the Arabian Gulf, according to Kpler data.
The disruption has significant implications for the direct reduced iron sector, which relies heavily on premium iron ore pellets. Oman and Bahrain are key pellet producers in the region, with Vale operating a plant at Sohar. Macquarie Group estimates Gulf DRI production totalled around 14 million tons in 2025, said Bloomberg News.
“The war in the Middle East has significantly tightened iron ore pellet supply,” said Kpler analyst Alexis Ellender, noting that China had already lost around 10Mt per year of Iranian pellets, with output in Bahrain and Oman now also under threat.
Benchmark iron ore futures rose 1.3% to $105.55 a tonne in Singapore, their highest level since mid-January, compounded by elevated freight costs.
