US Seizes MT Tifani, Revealing Iran’s Shadow Oil Trading Network in Indian Ocean

MT Tifani’s Oil Trading Activities Exposed in Indian Ocean Seizure

In the year leading up to its dramatic seizure by US forces in the Indian Ocean, the oil tanker known as the MT Tifani made several trips between Iran and a stretch of water off the coast of Malaysia, around 60 miles from the glitzy skyscrapers of Singapore. During these trips, it often loitered in a small area before dropping anchor and switching off its mandatory automatic identification system (AIS), according to MarineTraffic data reviewed by CNN.

Shadow Fleet Operations in Eastern Outer Port Limits

The seizure of the MT Tifani on Tuesday — and the 1.9 million barrels of Iranian oil US authorities say it was carrying — has pushed the war with Iran into the waters of the Indo-Pacific, thousands of miles from the Persian Gulf. It’s also put a spotlight on this patch of water off Malaysia, roughly half the size of Rhode Island, which expert and CNN analysis shows acts as a floating gas station for Iran, used by its shadow fleet to trade and store oil, funneling desperately needed cash to the regime as the war grinds on.

EOPL: A Hotspot for Ship-to-Ship Transfers

Synthetic Aperture Radar (SAR) satellite imagery shows ships inside the Eastern Outer Port Limits off Malaysia’s coast on April 18th, 2026. Sentinel 1/European Space Agency While not officially defined, the area is commonly known as the Eastern Outer Port Limits (EOPL) anchorage. It lies near the eastern entrance to the Singapore Strait, one of the world’s busiest shipping pathways, about 43 miles off the coast of peninsular Malaysia, in the country’s exclusive economic zone (EEZ). It’s most visible on satellite imagery where, at times, hundreds of vessels can be seen loitering in the area.

MT Tifani’s Activities Revealed Through Satellite Imagery

On one occasion last August, it was seen inside this zone offloading unspecified cargo to another vessel called the Macho Queen (IMO: 9238868), according to satellite images reviewed by CNN. After the transfer, the Macho Queen briefly turned on its AIS and began sailing northeast toward China, before turning its tracker off again after the US sanctioned it for smuggling Iranian oil to China.

Malaysian Authorities’ Permissive Attitude

A second oil tanker boarded and seized by the US Thursday, the MT Majestic X, had also traveled between the Middle East and the Singapore Strait toward the EOPL several times, according to MarineTraffic data. The EOPL is a hotspot for the shadow fleet because of its convenient location and the permissive attitudes of nearby authorities, said Farzin Nadimi, a senior fellow with the Washington Institute think tank, specializing in Iran.

Ramp-Up Enforcement Against Illegal Ship-to-Ship Transfers

At least 679 ship-to-ship transfers took place in the EOPL in 2025, up from 471 in 2024 and 280 in 2023, according to satellite data compiled by nonprofit United Against Nuclear Iran (UANI). These numbers underestimate the true picture because the satellite does not pass every day and can’t detect ships in bad weather. CNN has reached out to the Malaysian government for comment.

Malaysia’s Pledge to Ramp Up Enforcement

Last July, Malaysia pledged to ramp up enforcement against illegal ship-to-ship transfers in its waters, with Foreign Minister Mohamad Hasan admitting the issue is “a thorn in our side,” state media Bernama reported. Under new regulations, any vessel caught conducting an unauthorized transfer would be detained, Mohamad said, according to Bernama.

Iran’s Oil Exports and China’s Dependence

Iran is one of the world’s top oil producers, exporting an average of 1.69 million barrels per day in 2025, according to trade data and analytics company Kpler. Roughly 90% of its oil goes to China, according to Kpler.

Original Article: EOPL: The lawless floating gas station where the Iranian shadow fleet trades oil — Cnn