IRAN has seized another foreign tanker in the Gulf, Iranian state media say.
Al Mayadeen TV says Revolutionary Guards boarded the vessel which was allegedly "smuggling fuel" to an unspecified Arab state.
Iran's official media claimed the vessel was Iraqi and that it was smuggling diesel.
Two Iraqi port officials said initial information obtained show that the seized "small ship" belongs to a private shipping company which is owned by an Iraqi private trader.
Iranian state TV said: "Some The IRGC's naval forces have seized a foreign oil tanker in the Persian Gulf that was smuggling fuel for some Arab countries.
"It carried 700,000 litres of fuel. Seven sailors on board of the tanker, who are from different nationalities, were detained."
The "surprise attack" was near tiny Farsi Island, half way between Iran and Saudi Arabia.
While details are scarce, it is not believed the vessel is a major tanker because the largest ships can carry significantly more oil and have a crew of more than 20.
The US Fifth Fleet, based in Bahrain, said it did not have information to confirm the reports. Maritime tracking experts also said they did not have any immediate information about the incident or the vessel.
THIRD SHIP TO BE SEIZED
This would mark the third merchant vessel seized by Iranian forces in recent weeks and the second accused of smuggling fuel.
Tensions have soared in the Gulf in recent months as the US has boosted its military presence and oil tankers have been seized by Iranian forces or targeted by unknown saboteurs.
This is rooted in the US decision last year to withdraw from the 2015 nuclear accord and impose sweeping sanctions on Iran.
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Tensions have spiked between Iran and the West after Iranian commandos seized the British-flagged tanker, which came after UK forces captured an Iranian oil tanker near Gibraltar, accused of violating sanctions on Syria.
Describing the seizure of the Stena Impero in the Strait of Hormuz as illegal, Britain has rejected the idea that it could release the Iranian tanker in exchange for the British-flagged vessel seized by the IRGC.