US will not renew crude sanctions waiver for Iran

The US Department of Treasury (DoT) said it will not extend a previous authorisation allowing purchases of seaborne Iranian crude, set to expire on 19 April.

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The US treasury department issued the waiver last month, allowing about 140 million bbls of Iranian oil to reach global markets, in a bid to ease some supply disruptions caused by the ongoing US-Iran conflict.

The US DoT will pursue “Economic Fury” on Iran – ​an allusion to Operation Epic Fury, the US-led campaign targeting the country’s military and energy infrastructures.

“The short-term authorization permitting the sale of Iranian oil already stranded at sea is set to expire in a few days and will not be renewed,” the US DoT said in a statement.

Earlier this week, the US Central Command (CENTCOM) imposed a blockade on vessels entering and exiting Iranian ports, after Washington and Tehran failed to reach a deal.

Brent crude’s price gained following the development as concerns about the freedom of navigation through the Persian Gulf region escalated – effectively eroding hopes of a ceasefire deal.

By Aparupa Mazumder

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