Iran Stores Oil In Tankers As Sanctions Tighten

Reuters estimates that 56 percent of Iran’s oil tankers — a capacity of 33 million barrels — are being used to store crude offshore as buyers cut back because of sanctions. Sources familiar with Iran’s main oil export terminal tell Reuters that 14 of National Iranian Tanker Company’s (NITC) fleet of 25 “very large crude carriers” each with a capacity of about 2 million barrels, are now anchored as floating storage. Five of Iran’s Suezmax tankers, with capacity of one million barrels per ship, are also parked offshore. The use of oil tankers as floating storage would indicate that Iran is experiencing increasing difficulty in finding customers for its crude as international sanctions tighten on Iran’s oil exports.