Hormuz tanker fire · Kyiv energy/nuclear-site hits · EU diesel crisis talks

Three theaters stay elevated into Oct 2. Another Hormuz tanker was struck and caught fire; Russia kept hitting Ukraine’s power grid and related sites after Wednesday’s heavy energy assault; Washington is pressing Europe to release diesel stocks as EU capitals hold crisis talks—and Trump has cooled somewhat on a U.S. export ban.

Middle East: UKMTO Warning 147-26 said a tanker was hit by an unknown projectile at about 1750 UTC Oct 1 while transiting Hormuz, with a fire onboard; crew reported safe, damage and spill risk still unclear. JMIC had already counted four confirmed attacks or disruptions in the prior 96 hours and kept the regional threat at SEVERE. Iranian media called the vessel a “violating” VLCC on an unauthorized southern route. Crude through Hormuz remains near prewar averages (~13.5 million bpd in recent Kpler windows), but refined-product flows stay far below normal and attacks continue.

Ukraine: After Wednesday’s mass energy-grid strike, Russian drones hit the grounds of Kyiv’s Institute for Nuclear Research (VVR-M research reactor undamaged; radiation normal; reactor already shut since 2022), a school in Solomianskyi while children sheltered, and supports on Kyiv’s South Bridge. Ukrenergo reported outages in six regions into Friday morning as repair crews work where security allows. No ceasefire; winter energy pressure continues.

Europe / US energy: Treasury Secretary Bessent urged Europe to “immediately” free more diesel as U.S. diesel recently hit about $6.50/gal. Trump said he “may” ask allies to release reserves and still is “thinking about” a diesel export ban, while acknowledging gasoline downside. EU members hold Friday crisis talks; Reuters cited a French proposal for large stock releases. U.S. diesel still supplies roughly half of EU imports.

For USL readers: keep fuel and winter plans current, watch diesel and shipping costs, avoid panic buys. Higher Hormuz crude volumes are not a safe open strait—or a fixed refined-product market.