Hormuz closure drives record tanker rates, boosts Teekay earnings in International Shipping News 18/05/2026 The effective closure of the Strait of Hormuz and the loosening of Venezuelan crude flows propelled midsize tanker rates to among the highest levels on record, Teekay Tankers executives told investors May 14, crediting the geopolitical environment for a surge in first-quarter earnings. Teekay Tankers reported first-quarter 2026 net income of $153.6 million, or $4.42 per share, roughly double the $76 million it earned a year earlier. Adjusted net income was $128.3 million, or $3.69 per share, compared with $41.8 million a year earlier. The owner of 33 oil and product tankers said Suezmax and Aframax/LR2 spot rates averaged $61,000/day in Q1, with Suezmaxes earning $62,124/day and Aframax/LR2s $59,934/day. Quarter-to-date Q2 rates have climbed further, with Suezmaxes booked at $121,800/day on 60% of available days, Aframax/LR2s at $98,000/day on 53%, and the company’s lone VLCC at $141,800/day on 71%. CEO Kenneth Hvid attributed the results to ongoing geopolitical disruption. “Spot rates were close to the highest on record for a first quarter, primarily due to geopolitical events in both Venezuela and Iran,” Hvid said. “The US blockade and the effective closure of the Strait of Hormuz, an unprecedented event which has not directly impacted the operations of our vessels, continues to disrupt the oil and tanker markets and has propelled our second quarter of 2026 to-date tanker rates to new record levels.” Changing trade flows Following the start of US and Israeli strikes against Iran on Feb. 28, and a subsequent blockade of the strait by Iran and then the US, Middle East crude exports have fallen by about 10 million b/d versus prewar levels, even after Saudi Arabia and the UAE diverted some volumes to Yanbu on the Red Sea and Fujairah on the Gulf of Oman, the company said. The Atlantic basin and the West Coast of the Americas have increased exports by about 4-4.5