EMEA News
Iranian Fuel Oil Exports Rising Pre-Sanction Lift with Discounted Shipments to Fujairah
Even before sanctions have been officially lifted off of Iran, the country's oil and products exports have already seen a significant boost, courtesy of shipments of discounted fuel oil to the United Arab Emirates (UAE), Reuters reports.
Since a tentative deal was reached earlier in the summer, sources say that Iran and its trading partners have been busily preparing for a new normal, with state-owned National Iranian Oil Co. (NIOC) reportedly having begun to offer larger amounts of fuel oil with steeper discounts.
"Now because they think the sanctions are over, they are shipping more," said an unnamed source.
"I have seen around 6 to 7 shipments (of fuel oil) coming through Fujairah with fake documents, the volumes are bigger now."
A recent U.S. State Department message reminding worldwide governments that sanctions are still in place have also reportedly appeared to have little effect.
"People are ready to buy it if they can offer $2-3 discounts on the price." said the source, adding that Iran has also begun using its own vessels to ship fuel to the UAE.
According to reports, the NIOC and the Port of Fujairah were not available for comment.
Last month, Ship & Bunker reported that several countries had indicated that they were preparing to ramp up crude imports from Iran.
