The Department of the Treasury's Office of Foreign Assets Control (OFAC) has intensified its efforts against Iran's oil exports by designating Hebei Xinhai Chemical Group Co., Ltd., a "teapot" refinery, and three port terminal operators in Shandong Province. These entities are implicated in the purchase or facilitation of Iranian oil worth hundreds of millions of dollars. This marks OFAC's third action against a teapot refinery and the first targeting terminal operators in Shandong Province.

"As part of President Trump's broad and aggressive maximum pressure campaign, Treasury today is targeting another teapot refinery that imported Iranian oil," stated Secretary of the Treasury Scott Bessent. "The United States remains resolved to intensify pressure on all elements of Iran’s oil supply chain to prevent the regime from generating revenue to further its destabilizing agenda."

The action is executed under Executive Order 13902, targeting Iran's petroleum sector, and Executive Order 13846, focusing on support to the National Iranian Oil Company (NIOC). NIOC was designated under counterterrorism authority for supporting Iran’s Islamic Revolutionary Guard Corps-Qods Force.

Hebei Xinhai Chemical Group Co., Ltd., based in China, received multiple shipments from sanctioned vessels like URGANE I and HORNET. The company is also linked to Xing AO Energy PTE. LTD., an entity now added to OFAC's Specially Designated Nationals and Blocked Persons List.

Additionally, three firms operating at Dongying Port have been targeted: Baogang (Dongying Donggang) Logistics and Warehousing Co., Ltd., Shandong Jingang Port Co., Ltd., and ShandongBaogang International Port Co., Ltd. These companies have handled significant quantities of Iranian oil through sanctioned vessels.

Iran's shadow fleet uses ship management companies to obscure its petroleum shipments via ship-to-ship transfers with sanctioned vessels. Vessels like STAR TWINKLE 6, LAMD, SKADI, BIG MAG, IMPALAS, and THANE have transported substantial volumes of Iranian oil to China and other regions.

Entities owning these vessels include Hong Kong-based Star Twinkle Shipping Limited, Hong Kong Prime Trading Co., Ltd., Skadi Limited; United Kingdom-based Propitious Forever Trading Co Ltd; Hong Kong-based Embrace Que Limited; and Marshall Islands-based Nissho Lines Incorporated. They are designated for their roles in the petroleum sector related to Iran.

OFAC has also designated two vessel captains: Indian nationals Ketan Agarwal and Lincoln Francisco Viegas for their involvement in transporting Iranian oil aboard sanctioned vessels.

As a result of these actions, property and interests in property within U.S. jurisdiction belonging to these designated persons are blocked. Transactions involving such property by U.S. persons are generally prohibited unless authorized by OFAC.

OFAC emphasizes that sanctions aim not only at punishment but also at promoting positive behavioral changes. The agency provides mechanisms for seeking removal from its lists if conditions permit compliance with legal requirements.

For more details on the individuals, entities designated today can be accessed through provided links.