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US Expands Iran Oil Sanctions Amid Protest Crackdown
Eight Firms, Nine Ships Sanctioned for Iran Oil Trade
Washington: The United States today imposed sanctions beginning with an India-based shipping management company for its role in transporting Iranian petroleum products, as Washington intensified measures aimed at cutting off revenue streams that it says enable the Iranian regime to repress its population and finance destabilising activities abroad.
Aayat Ship Management Private Limited, based in Rajasthan, India, was among eight companies designated by the U.S. Department of the Treasury for operating in the Iranian petroleum sector. The firm was linked to the Comoros-flagged vessel AVON, which transported multiple shipments of Iranian liquefied petroleum gas to Bangladesh and Pakistan in 2025. Informed sources said the company has 2 directors/key management personnel, Raju Bano and Yusuf Ali Khan. U.S. authorities said the action formed part of a broader effort to dismantle Iran’s so-called “shadow fleet” of tankers and shell companies used to move petroleum and petroleum products through obscure and fraudulent mechanisms.
The sanctions were announced in a press statement issued by Thomas “Tommy” Pigott, Principal Deputy Spokesperson, and accompanied by a detailed release from the Treasury Department’s Office of Foreign Assets Control. Together, the statements said the United States was acting to deny the Iranian regime resources that it uses to oppress its people and to fund foreign proxies, weapons programs, and security services.
According to the Treasury Department, eight entities and nine vessels were sanctioned for having shipped hundreds of millions of dollars’ worth of Iranian petroleum and petroleum products, including liquefied petroleum gas, crude oil, condensate, methanol, naphtha, and high-sulfur fuel oil. The revenue from these shipments, U.S. officials said, should belong to the Iranian people but is instead diverted to sustain repression at home and malign behaviour abroad.
The action came amid what U.S. officials described as a brutal crackdown by Iranian authorities on peaceful protesters and a complete shutdown of internet access to conceal abuses. They linked the sanctions directly to conditions inside Iran, pointing to massive inflation, deteriorating infrastructure, and persistent shortages of water and electricity as evidence that national wealth is not being used for the benefit of ordinary Iranians.
“As the Iranian people protest the Iranian regime’s catastrophic economic mismanagement, the regime continues to fund foreign proxies and missiles over the basic needs of Iranians,” the statement said. It added that the regime “refuses to put Iranians first,” even as living standards fall.
Treasury Secretary Scott Bessent said the sanctions were designed to strike at a critical channel through which Iran generates funds used to repress its population. He described the situation as a “ritual of economic self-immolation,” arguing that Tehran’s decision to prioritise support for terrorist groups over domestic welfare has driven Iran’s currency and living conditions into free fall. He said the Treasury would continue to track tens of millions of dollars that the regime has allegedly attempted to transfer to banks outside Iran.
The measures were taken pursuant to Executive Order 13902, which targets Iran’s petroleum and petrochemical sectors, and in support of National Security Presidential Memorandum 2, issued on February 4, 2025, directing maximum economic pressure on Iran. U.S. officials said the goal was to further restrict Iran’s ability to export petroleum and petroleum products and to constrain its capacity to bankroll repression and international destabilising conduct.
Beyond the Indian company, the sanctions covered firms based in several jurisdictions. Horizon Harvest Shipping Limited Liability Company of the United Arab Emirates was cited for operating the Palau-flagged vessel SEA BIRD, which transported hundreds of thousands of barrels of Iranian liquefied petroleum gas to East Asia, Djibouti, and the United Arab Emirates. Black Stone Oil and Gas of Oman was linked to the Palau-flagged vessel AL DIAB II, which carried multiple shipments of Iranian liquefied petroleum gas to Pakistan and Somalia in 2025. Galeran Service Corporation of Seychelles was associated with the Palau-flagged crude oil tanker CESARIA, which transported millions of barrels of Iranian crude oil to East Asia since late 2025.
Longevity Shipping Limited of the Marshall Islands was identified as the owner and manager of the vessel LONGEVITY 7, which transported hundreds of thousands of barrels of Iranian clean condensate received through ship-to-ship transfers and had previously carried Iranian methanol in 2022. U.S. officials said LONGEVITY 7 has operated as part of Iran’s shadow fleet since at least 2020, transporting Iranian petrochemicals to East Asia.
Odyssey Marine Incorporated of the Marshall Islands was connected to the Palau-flagged vessel EASTERN HERO, which transported hundreds of thousands of barrels of Iranian high-sulfur fuel oil since 2025. Benoil Shipping Incorporated of Liberia was cited for the Panama-flagged vessel AQUA SPIRIT, which carried hundreds of thousands of barrels of Iranian petroleum products, including liquefied petroleum gas, to Pakistan and other destinations since 2025. Trade Bridge Global Incorporated of the Marshall Islands owned and operated the Comoros-flagged vessels CHIRON 5 and KEEL, which transported hundreds of thousands of barrels of Iranian naphtha since 2025.
All eight companies were designated under Executive Order 13902 for operating in the petroleum sector of the Iranian economy. The nine vessels were identified as blocked property of those designated entities.
As a result of the action, all property and interests in property of the designated or blocked persons that are in the United States or in the possession or control of U.S. persons are blocked and must be reported to the Office of Foreign Assets Control. Any entities owned, directly or indirectly, 50 per cent or more by one or more blocked persons are also blocked. Unless authorised or exempted, U.S. regulations generally prohibit all transactions by U.S. persons or within U.S. jurisdiction involving the property or interests of blocked persons.
The Treasury Department warned that violations of U.S. sanctions may result in civil or criminal penalties for both U.S. and foreign persons. Civil penalties may be imposed on a strict liability basis. Financial institutions and other parties may also face exposure to sanctions for engaging in transactions or activities involving designated or blocked persons, including the provision or receipt of funds, goods, or services.
Officials emphasised that the power and integrity of sanctions derive not only from designations but also from the possibility of removal from the Specially Designated Nationals List when behaviour changes in accordance with the law. They said the ultimate objective of sanctions is not punishment but the achievement of positive changes in conduct.
The Office of Foreign Assets Control formally added the eight companies and nine vessels to its Specially Designated Nationals List. The entities include Aayat Ship Management Private Limited of Rajasthan, India; Benoil Shipping Incorporated of Liberia; Black Stone Oil and Gas of Oman; Galeran Service Corporation of Seychelles; Horizon Harvest Shipping Limited Liability Company of the United Arab Emirates; Longevity Shipping Limited of the Marshall Islands; Odyssey Marine Incorporated of the Marshall Islands; and Trade Bridge Global Incorporated of the Marshall Islands.
The vessels added to the list include the liquefied petroleum gas tankers AL DIAB II, AQUA SPIRIT, AVON, and SEA BIRD; the crude oil tanker CESARIA; the chemical and products tankers EASTERN HERO and LONGEVITY 7; and the products and shuttle tankers CHIRON 5 and KEEL. Each vessel was identified with its flag state, year of build, and International Maritime Organisation registration number and linked to the designated company that owns or manages it.
U.S. officials said the latest round of sanctions demonstrates Washington’s intention to continue enforcing National Security Presidential Memorandum 2 and Executive Order 13902 to deprive the Iranian regime of revenues that support repression at home and destabilizing activities abroad, while asserting that the wealth generated from Iran’s energy sector should benefit the Iranian people rather than be used for security forces, missiles, and foreign proxies.
– global bihari bureau
