The United States Department of the Treasury has announced sanctions on four entities and three vessels involved in the trade of Iranian petroleum and petrochemicals. This trade generates substantial revenue for Iran, supporting its nuclear program, ballistic missile development, and terrorist proxy groups such as Hizballah, Hamas, and the Houthis. The maritime industry faces significant risks due to methods used by vessels transporting these goods to conceal their activities.
Simultaneously, the U.S. Department of State is acting against four entities across multiple jurisdictions involved in moving Iranian petroleum.
“Iran’s continues to rely on its shadowy network of vessels, companies, and facilitators to finance the development of its nuclear program, the proliferation of its weapons systems, and support to its proxies,” stated Bradley T. Smith, Acting Under Secretary for Terrorism and Financial Intelligence. “The United States is committed to targeting Iran’s key revenue streams that fund its destabilizing activities.”
The action follows Executive Order (E.O.) 13902 which empowers the Secretary of the Treasury to impose sanctions on critical sectors of Iran’s economy. On October 11, 2024, this authority was used to identify Iran’s petroleum and petrochemical sectors as sanctionable under section 1(a)(i) of E.O. 13902. The Office of Foreign Assets Control (OFAC) has provided guidance for the maritime industry on identifying patterns indicative of sanctions evasion.
Involved companies include Marshall Islands-registered Journey Investment Company owning MS ENOLA; Liberia- and Greece-registered Rose Shipping Limited managing MS ENOLA along with MS ANGIA and MS MELENIA; Passada Maritime Limited owning MS ANGIA; and Hong Kong-based Master Joint Co., Limited coordinating sales with Triliance Petrochemical Company.
Additionally, Seychelles-based Shiny Sails Shipping Ltd; India-based Atlantic Navigation OPC Private Limited; Suriname-based Galaxy Management NV; Hong Kong-based Brecalin Hong Kong Co Ltd are being designated under E.O. 13846 for significant transactions involving Iranian petroleum products.
The sanctioned vessels include AVITAL under Shiny Sails Shipping Ltd’s interest; VIGOR under Galaxy Management NV’s interest; PROGRESS V and SCORPIUS under Brecalin Hong Kong Ltd’s interest alongside TASCA and ELIZA II.
Following these actions, all property within U.S jurisdiction linked to these entities is blocked per OFAC regulations unless specifically authorized. Violations may result in civil or criminal penalties for U.S persons while non-U.S persons are prohibited from causing violations indirectly.
OFAC emphasizes that its sanctions aim not at punishment but encouraging positive behavioral changes by allowing removal from sanction lists upon meeting legal criteria.
For detailed information regarding today’s sanctioned entities or seeking removal from an OFAC list visit OFAC’s website or refer directly through provided links.
