The missile hit the engine room of the Palau-flagged tanker Settebello near the Strait of Hormuz, triggering a fire onboard.
The vessel was sailing about 20 nautical miles northeast of the Omani port of Sohar when it sent out a distress call.
According to India's Ministry of External Affairs (MEA), the tanker had 28 crew members on board, including 24 Indian nationals.
Rescue teams managed to bring 21 Indians to safety, while efforts remain underway to locate the three missing sailors.
Embassy activated, rescue efforts underway
In a statement, the MEA strongly condemned the attack and said the Indian Embassy in Muscat was in constant touch with Omani authorities coordinating the search and rescue operation.
The ministry said India was closely monitoring developments and extending all possible assistance to the affected crew members and their families.
We have learnt of an incident involving a vessel off the coast of Oman. We are closely monitoring the situation and in close touch with the local authorities. We shall update soon.
— India in Oman (Embassy of India, Muscat) (@Indemb_Muscat) June 10, 2026
Attack linked to wider Gulf tensions
British maritime security firm Ambrey assessed that the strike was likely connected to the ongoing confrontation between the United States and Iran in the Gulf region.
The attack comes amid escalating tensions following Washington's decision in mid-April to impose a naval blockade on Iran-linked shipping after accusing Tehran of attempting to disrupt commercial traffic through the Strait of Hormuz.
Since then, the strategically important waterway has become increasingly dangerous for civilian vessels. According to US Central Command figures, American forces had disabled seven vessels and redirected more than 130 others by June 8 as part of enforcement operations.
Key shipping route under threat
The Strait of Hormuz remains one of the world's most critical maritime chokepoints, handling a substantial share of global oil and gas shipments.
The Settebello attack is the latest in a series of incidents involving commercial vessels in Gulf waters.
Since March, multiple ships have reportedly been struck or caught in hostilities near the coasts of Oman, the UAE and Kuwait.
In late May, another tanker was hit east of Muscat, while earlier this year Iran reportedly targeted a vessel near Oman's port of Khasab.
Indian sailors increasingly at risk
With India supplying one of the world's largest seafaring workforces, Indian nationals have repeatedly found themselves caught in the fallout of growing instability in the region.
The latest attack underscores the risks faced by commercial shipping crews operating in the Gulf as tensions between Washington and Tehran continue to spill into international maritime routes.
Search operations for the three missing Indian sailors were continuing late on Wednesday.