After the US imposed sanctions on subsidiaries of Cosco, European refiners have received an unexpected boost, as less crude oil from the North Sea and West Africa heads east, Reuters reports. What is more freight rates have risen as oil producers seek non-blacklisted vessels.
According to Bloomberg the costs of oil tankers are rapidly increasing, following the US’s sanctions against Chinese companies accusing them of hauling Iranian crude. The rates for vessels hauling 2 million-barrel cargoes of Middle East oil to Asia rose to 19%; Meanwhile, the cost to transmit US crude to Asia on supertankers increased by 6.3% to $8.5 million on Thursday, as Bloomberg reports.
About two months after the White House banned the purchase of Iranian oil, tankers are offloading millions of barrels of Iranian oil at Chinese ports, resulting to piles of cargoes. Bloomberg reports that the store of oil could lead to a push down of global prices, in the possibility that Chinese refiners decide to draw on it.
In November 2018, the US government issued Significant Reduction Exemptions (SREs) waivers to eight countries that were committed to decreasing the purchase of Iranian oil; China, India, Italy, Greece, Japan, South Korea, Taiwan and Turkey.
Amid the imposition of sanctions related to Venezuela, and the current political volatile situation in the country, MSC informed that it will apply, with immediate effect a War Risk Premium surcharge on cargo coming from worldwide destinations into Venezuela.
According to Bloomberg, US President Donald Trump provided an executive order banning the purchase of Iranian iron, steel, aluminum and copper, worsening the tensions with the Islamic Republic a day after he declared he may begin enriching uranium again in two months.
The US Secretary of State Mike Pompeo announced on April 22 that the United States will end all exceptions for countries currently purchasing oil from Iran. As he specifically, said the country will no longer grant any exceptions. ‘We’re going to zero across the board’. Countries that had previously bought Iran’s crude oil have been transitioning to new suppliers.
Prof. Dr. Dieter Schwampe, Partner at Arnecke Sibeth Dabelstein, IUMI Professional Partner, talks about the sanctions that are taking place around the world, regarding Iran. The start was made with the termination of the US participation from the Joint Comprehensive Plan of Action (JCPOA), on 5 August 2018, with EU following by publishing the Blocking Regulation.
The US in coordination with Canada and the EU imposed sanctions to six Russian companies, including shipbuilders and marine equipment manufacturers. The sanctions were announced on March 15 in response to Russia’s continued and ongoing aggression in Ukraine.
Indian refiners are to lift 8 million barrels of Iranian oil in April, a decrease of 12% in comparison to March because the nation is under discussions with the US to renew the waiver from US sanctions against Tehran, Reuters reports.
Chief Engineer refuses engine room rating, gets excluded from duty16/11/2019
Watch: Oldest Arctic ice is disappearing16/11/2019
CHIRP mostly receives reports from pilots due to lack of safety measures15/11/2019
Watch: Bulk carrier suffers fire off Vietnam15/11/2019
NEAFC adopts fishing conservation and enforcements measures for 202015/11/2019
Grain LNG sets record for gas send-out from a European terminal15/11/2019
Oil and gas players join forces to qualify subsea gas separation15/11/2019
US natural gas production, consumption, exports achieve record in 201815/11/2019
Hazira Passenger Ferry Terminal to begin operations15/11/2019
Port of Savannah sets October tonnage record15/11/2019