The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has announced sweeping new sanctions targeting Iran’s shadow fleet operations, designating 29 vessels and multiple shipping companies involved in transporting Iranian petroleum products through deceptive practices.
Since President Trump resumed office, the Administration has sanctioned more than 180 vessels responsible for shipping Iranian petroleum and petroleum products, a measure designed to drive up costs for Iranian oil exporters and reduce the revenue Iran receives per barrel. The designated vessels transport various Iranian petroleum products, including crude oil, fuel oil, bitumen, naphtha, and condensate.
Sanctions Target Key Players in Iran’s Shadow Fleet
The Treasury has targeted several key players in Iran’s shadow fleet, including UAE-based Phoenix Ship Management FZE, which operates four vessels that have transported hundreds of thousands of barrels of Iranian petroleum products. The company is responsible for managing the NEBULA DRIFT and AETHER SAIL, both flagged in Palau, as well as the TIDAL RHYTHM and VOYAGER HAVEN, flagged in Panama.
The Treasury has also targeted Hatem Elsaid Farid Ibrahim Sakr, an Egyptian shipping businessman operating from the UAE. Sakr’s company, Red Sea Ship Management LLC, manages three Palau-flagged tankers that have transported Iranian petroleum products including naphtha, bitumen, and fuel oil. One of Sakr’s vessels, the SKYLIGHT, was acquired in June 2023 and immediately used for a ship-to-ship transfer of Iranian condensate in coordination with Sahara Thunder, a front company associated with Iran’s Ministry of Defense and Armed Forces Logistics.
Sanctions Extend to Companies Involved in Ship Management
The sanctions also extend to UAE-based Qatrat Alnada Almasi Ship Management L.L.C, which took over management of several vessels from Sakr’s companies. Four of Qatrat Alnada’s vessels have transported Iranian petroleum products and made port calls to Houthi-controlled ports in Yemen.
Treasury Secretary Outlines Goals of Sanctions
Treasury Secretary Scott Bessent outlined the goals of the sanctions, stating that they are designed to disrupt the Iranian regime’s revenue streams and curb its nuclear ambitions. “Today’s action continues Treasury’s campaign to cut off funding for the Iranian regime’s development of nuclear weapons and support of terrorist proxies,” said Bessent. “Disrupting the Iranian regime’s revenue is critical to helping curb its nuclear ambitions.”
Sanctions Follow Comprehensive Expansion of Sanctions Against Iran’s Oil Export Infrastructure
The sanctions come as part of a comprehensive expansion of sanctions against Iran’s oil export infrastructure, which targeted dozens of companies, individuals, and vessels involved in funding the Iranian military through illicit crude oil sales. The Treasury has also designated several entities involved in the transfer of Iranian petroleum products to Houthi-controlled ports in Yemen.
As a result of the designations, all property and interests in property of the designated persons that are in the United States or in the possession or control of U.S. persons are blocked. OFAC‘s regulations generally prohibit all transactions by U.S. persons or within the United States that involve any property or interests in property of blocked persons.
Original Article: Trump Administration Hits Iran’s Shadow Fleet With New Sanctions on 29 Ships — Gcaptain