Greek Tankers Reroute Russian Oil Via Africa Amid Red Sea Threats

Amid escalating security threats in the Red Sea, several Greek-managed oil tankers transporting Russian crude to Asia have rerouted via Africa’s Cape of Good Hope. This shift follows deadly Houthi attacks that have significantly disrupted one of the world’s key maritime corridors.

Rising Threats in the Red Sea

• Recent deadly Houthi attacks have made the Red Sea increasingly dangerous.

• A Greek-operated ship attack killed four seafarers; another vessel was sunk in July.

• Attacks are linked to Houthi support for Palestinians amid the Gaza conflict.

Shift in Shipping Routes

• Greek tankers now take the longer route around Africa, doubling journey time.

• Key tankers like Minerva Elpida, Minerva Vera, and Nissos Ios are bypassing the Red Sea.

• These ships are en route to India with around 300,000 metric tons of Russian Urals crude.

Insurance and Sanctions Context

• Ships are covered by P&I insurers like Gard and NorthStandard for liability.

• War risk insurance is now mandatory but its providers for these tankers remain unclear.

• Greek firms remain active in Russian oil trade, complying with the $60/barrel G7 price cap.

Economic & Strategic Impact

• Detouring adds cost and time — a Cape route voyage takes nearly 30 days versus 15 through Suez.

• War risk premiums have doubled since the attacks, adding significant expenses.

• Ships associated with Israeli ports may be higher risk targets for Houthi militants.

The rerouting of Greek tankers carrying Russian oil highlights the growing dangers in the Red Sea and the rising costs of maintaining maritime security in global energy trade routes. As tensions continue, more shippers may follow suit, reshaping traditional oil shipping lanes.