US court orders seizure of Iranian gasoline cargoes
A US federal court today authorized the seizure of 1.16mn bl of Iranian gasoline aboard four tankers, which are allegedly transporting it to Venezuela.
Judge James Boasberg of the US district court for the District of Columbia issued a warrant for seizing the cargoes based on a forfeiture complaint filed yesterday by the US Justice Department — the latest step meant to demonstrate US resolve to disrupt transportation of Iranian fuel to Venezuela, after five such deliveries took place in late May and early June.
None of the four tankers — the Bella, the Bering, the Luna and the Pandi — are currently within the reach of US authorities. Washington claims jurisdiction by stating that the ultimate beneficiary of such sales is Iran's Islamic Revolutionary Guard Corps, a paramilitary group the US labels a "terrorist organization." All four tankers are Liberia-flagged, and owned by Greek companies, shipping records show. US attorneys have not disclosed any charges against the tanker owners.
US officials said last month that they deterred the Bella and three other unnamed tankers from delivering gasoline cargoes to Venezuela. But shipping data show that the Bella is now off the southern tip of South America, following a two month journey from Iran through the Indian and Pacific oceans.
The tanker is carrying 302,502 bl of gasoline, according to the US complaint. The Luna and the Pandi are in the Gulf of Oman, and the Bering is off the western coast of India. The three tankers are said to be carrying a combined 860,706 bl of gasoline.
Iran's ability to deliver 1.5mn bl of gasoline and alkylate to Venezuela in May and June, aboard five Iranian-owned tankers, caught the US by surprise. Washington cast the shipments, which challenge the US portrayal of the success of its sanctions programs against the two Opec producers, as another example of bad economic policy advanced by Tehran. But Iranian oil minister Bijam Namdar Zanganeh said last week the shipments were commercial and that Tehran was prepared to supply more gasoline to Venezuela.
For Venezuela, the supply was meant to alleviate a severe fuel shortage that has been sharply aggravated by US oil sanctions imposed in January 2019. And the gasoline shipments came at a fortuitous time for Iranian state-owned NIOC, as it struggled to sell or store oil domestically because of Covid-19 containment measures. Venezuela likely used gold from its central bank reserves to pay for the fuel supply, bypassing the US financial system.
The forfeiture complaint filed by the US attorneys, which they said was based on a confidential tip to the FBI, backs the view that NIOC used at least one of the tankers, the Pandi, as floating storage before the fuel aboard its cargo was transferred to the Bella in April and destined to Venezuela.
The complaint also reveals, as did similar court filings in US courts over the past year, that NIOC was able to use affiliated companies in Switzerland, the UAE and other countries to bypass US sanctions aimed at preventing Iran from being able to charter tankers and doing business with the international maritime community.
The US Justice Department last year filed a forfeiture complaint against a crude oil cargo aboard Iranian tanker Adrian Darya 1, which was detained in Gibraltar. The US action failed to prevent Gibraltar authorities from releasing the tanker, which ultimately delivered its cargo to Syria. Syria is also subject to US sanctions.
The US since then has stepped up the threat of sanctions against foreign port authorities, charterers and insurance providers dealing with Iranian tankers. Washington has been more successful in persuading charterers and tanker owners to cut off ties with Venezuela's state-owned PdV.
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Libyan crude production slips below 600,000 b/d
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Australia's Qantas records higher fuel costs in 2023-24
Australia's Qantas records higher fuel costs in 2023-24
Singapore, 30 August (Argus) — Australian airline Qantas Airways recorded a higher fuel bill in the 2023-24 fiscal year to 30 June, as more flights, sustainable aviation fuel (SAF) expenses and carbon offset programmes weighed on costs. Qantas saw its fuel costs rise by 17pc from a year earlier to A$5.32bn ($3.62bn) in 2023-24, according to the company's full-year financial results released on 29 August. The airline group's passenger carrying capacity was up by 21pc on the previous year, with growth in domestic and international capaicty. This saw the group's overall fuel consumption grow to 29mn bl (79,000 b/d), or 18pc up on the previous year. Qantas expects fuel costs in the first half of 2024-25 to remain stable from a year earlier at about A$2.7bn, including hedging and gross carbon costs, with the group forecasting to consume 15.6mn bl of fuel, including SAF. Qantas forecasts domestic group capacity to rise to 104pc of pre-Covid 19 pandemic capacity in the first half of 2024-25. Its international capacity guidance, excluding Jetstar Asia, is expected to rise by about 16pc from the previous year to achieve 102pc of pre-Covid levels in the first half. The group's passenger carrying capacity, measured by available seat kilometres (ASKs), was up on a year earlier by 21pc to 141mn ASK by 2023-24, although this was still about 93pc of pre-Covid levels. Qantas has agreements to offtake SAF, renewing its agreement to buy SAF for flights out of London Heathrow and doubling the size of its corporate customer SAF programme in 2023-24. But the group saw its 2023-24 profit fall, with underlying profit before tax down by 16pc on the previous year to A$2.08bn. By Cara Wong Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
India lifts curbs on use of sugarcane juice for ethanol
India lifts curbs on use of sugarcane juice for ethanol
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UK eyes new environmental guidance for oil, gas: Update
UK eyes new environmental guidance for oil, gas: Update
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