Iran's Islamic Revolutionary Guard Corps (IRGC) said that it hit a Marshall Islands-flagged tanker in the Strait of Hormuz, Iranian state media reported on Saturday.
The United Kingdom Maritime Trade Operations (UKMTO) issued a warning after receiving a report of an incident 10 nautical miles north of Jubail, Saudi Arabia.
"Vessels are advised to transit with caution and report any suspicious activity," UKMTO said in its statement.
The war between the US, Israel, and Iran has stalled oil transit through the Strait, which is a key naval route for most Gulf states.
China is in talks with Iran to allow crude oil and Qatari liquefied natural gas vessels to pass safely through Hormuz, three diplomatic sources told Reuters on Thursday.
Kuwait cuts oil production as precaution amid Iran tensions, KPC says
Kuwait said it had implemented a precautionary reduction in crude oil production and refining throughput following the ongoing attacks by Iran against Kuwait and "Iranian threats to safe passage of ships through the Strait of Hormuz," Kuwait Petroleum Corporation (KPC) said in a statement on Saturday.
The state oil company said the move was part of its "risk management and business continuity strategy."
It said the adjustment was strictly precautionary and would be reviewed as the situation develops, and it remained ready to restore production levels once conditions allow.
This is a developing story.