US Confiscation of Iranian Oil Cargo Preceded ‘Advantage Sweet’ Tanker Seizure

Reuters April 28, 2023

WASHINGTON, April 28 (Reuters) – The U.S. confiscated Iranian oil on a tanker at sea in recent days in a sanctions enforcement operation, three sources said, and days later Iran seized another oil-laden tanker in retaliation, according to a maritime security firm.

As oil markets remain jittery, the cargo seizure is the latest escalation between Washington and Tehran after years of sanctions pressure by the U.S. over Iran’s nuclear program. Iran does not recognize the sanctions, and its oil exports have been rising.

Tehran says its nuclear program is for civilian purposes while Washington suspects Iran wants to develop a nuclear bomb.

Maritime security company Ambrey said the U.S. confiscation took place at least five days before Iran’s action on Thursday. “Ambrey has assessed the seizure by the Iranian Navy to be in response to the U.S. action,” it said in an advisory to clients.

“Both tankers were Suezmax-sized. Iran has previously responded tit-for-tat following seizures of Iranian oil cargo.”

The sources familiar with the matter, who declined to be identified due to the sensitivity of the issue, said Washington took control of the oil cargo aboard the Marshall Islands tanker Suez Rajan after securing an earlier court order. The tanker’s last reported position was near southern Africa on April 22, ship tracking data showed.

The vessel’s Greece-based manager, Empire Navigation, and the U.S. Department of Justice did not immediately respond to requests for comment.

The U.S. Navy said Iran seized the Marshall Islands-flagged tanker, Advantage Sweet, in the Gulf of Oman on Thursday, the latest seizure or attack by Tehran on commercial vessels in sensitive Gulf waters.

Iranian state TV said on Friday the tanker ignored radio calls for eight hours following a collision with an Iranian boat, which left several crewmen injured and three missing.”Before using force, we tried to call the vessel …to stop but they did not cooperate,” Iranian deputy navy commander Rear Admiral Mostafa Tajodini told the broadcaster.

U.N. Secretary-General Antonio Guterres was aware of the Gulf of Oman seizure and reaffirmed support for international maritime law, a U.N. spokesperson said on Friday.

Last year the U.S. tried to confiscate a cargo of Iranian oil near Greece, which prompted Tehran to seize two Greek tankers in the Gulf. Greece’s supreme court ordered the cargo returned to Iran. The two Greek tankers were later released.

In a step likely to exacerbate tensions, 12 U.S. senators on Thursday urged President Joe Biden to remove Treasury Department policy hurdles that have prevented the Department of Homeland Security from seizing Iranian oil shipments for more than a year.

In 2020, Washington confiscated four cargoes of Iranian fuel aboard foreign ships that were bound for Venezuela and transferred them with the help of undisclosed foreign partners onto two other ships which then sailed to the U.S.

(Reporting by Jonathan Saul in London, Timothy Gardner in Washington, additional reporting by Michelle Nichols in New York and Dubai buro; Editing by Cynthia Osterman)

https://gcaptain.com/us-confiscation-of-iranian-oil-cargo-preceded-advantage-sweet-tanker-seizure/

Russian Oil Still Powering Europe’s Cars With Help of India

By Prejula Prem and Sharon Cho (Bloomberg) — April 28, 2023

Russian oil is still powering Europe — just with the help of India.

Back in December, the European Union barred almost any seaborne crude oil imports from Russia. It extended the prohibition to refined fuels two months later.

However, the rules didn’t prevent countries like India from snapping up cheap Russian crude, turning it into fuels like diesel, and shipping it back to Europe at a markup.

The Asian country is on track to become Europe’s largest supplier of refined fuels this month while simultaneously buying record amounts of Russian crude, according to data compiled by Bloomberg from analytics firm Kpler.

“Russian oil is finding its way back into Europe despite all the sanctioning and India ramping up fuel exports to the west is a good example of it,” said Viktor Katona, lead crude analyst at the firm. “With India taking in so much Russian barrels, it’s inevitable.”

The development is double-edged for the EU. On the one hand, the bloc needs alternative sources of diesel now that it has cut off direct flows from Russia, previously its top supplier. However, it ultimately boosts demand for Moscow’s barrels, and means extra freight costs.

It also means more competition for Europe’s oil refiners who can’t access cheap Russian crude, and comes amid wider market scrutiny about where the region’s diesel imports are coming from.

Repsol SA’s Chief Executive Officer Josu Jon Imaz said on Thursday that Russian diesel is entering Europe illegally and called on authorities to clamp down on the activity. He wasn’t talking about the trade via India but flows of diesel that originated in Russia.

A preliminary inquiry into the matter by Spanish authorities didn’t find evidence that Russian diesel was entering the country, a government official said Friday, adding that a probe is ongoing.

Europe’s refined fuel imports from India are set to surge above 360,000 barrels a day, edging just ahead of those of Saudi Arabia, Kpler’s data show.

Russian crude oil arrivals to India are expected to surpass 2 million barrels a day in April, representing almost 44% of the nation’s overall oil imports, according to Kpler data.

More than half of Russia’s seaborne oil shipments were to the European Union and Group of Seven nations before the bloc began to cut purchases in response to the nation’s invasion of Ukraine in early 2022.

–With assistance from Rodrigo Orihuela and Rachel Graham.

https://gcaptain.com/russian-oil-still-powering-europes-cars-with-help-of-india/

California Invests $30 Million in Shared Port Data System

Mike Schuler April 26, 2023

California Governor Gavin Newsom has announced a $30 million investment towards developing a shared data system aimed at improving the flow of goods at San Pedro Bay ports and other major seaports in the state.

The investment will be shared among the Port of Long Beach, the Port of Los Angeles, the Port of Oakland, the Port of San Diego and the Port of Hueneme. The Port of Long Beach will devote its share of the funding to the ongoing development, enhancement and refinement of its Supply Chain Information Highway, a digital solution designed to maximize efficiency and visibility in cargo movement.

The initiative aims to reduce delays and aid the entire goods movement industry from “docks to doorsteps” by sharing vital shipping data. According to Long Beach Harbor Commission President Sharon L. Weissman, a single, unified clearinghouse of information will move goods more quickly and efficiently.

“Consumers and shippers expect cargo visibility in this era of e-commerce and overnight deliveries,” said Weissman.

In 2021, the Port of Long Beach partnered with St. Louis-based UNCOMN, a leading tech firm, to create the Supply Chain Information Highway, providing partners with access to data to plan, schedule and track cargo containers. With the project now in Phase 2, developers are focusing on enhancing the system’s interoperability, particularly among other seaports. The Port of Oakland, the Northwest Seaport Alliance, the Utah Inland Port Authority, PortMiami and the South Carolina Ports Authority are collaborating and participating with the Port of Long Beach in the project.

“Sharing vital shipping data will reduce delays and aid the entire goods movement industry from the docks to doorsteps,” said Port of Long Beach Executive Director Mario Cordero. “By working together, California’s ports can enable end-to-end visibility and connectivity across the supply chain.”

https://gcaptain.com/california-invests-30-million-in-shared-port-data-system/