US grants 30-day authorization for sale of Iranian oil

The US has taken action to lower fuel prices that have risen due to the war with Iran. US Treasury Secretary Scott Bessent announced in a social media post that the US is temporarily easing sanctions on Iranian oil and authorizing the sale of oil currently at sea. In his post, Bessent stated, "Iran is the head of the snake in terms of global terrorism. Thanks to President Trump’s Operation Epic Fury (attacks on Iran), we are winning this critical fight even faster than anticipated. In response to Iran’s terrorist attacks on global energy infrastructure, the Trump administration will continue to use the economic and military power of the US to maximize the flow of energy to the world, strengthen global supply, and ensure market stability. Today, the US Department of the Treasury has issued a narrow, short-term authorization allowing the sale of Iranian oil currently at sea (in transit)."

"APPROXIMATELY 140 MILLION BARRELS OF OIL WILL BE PROVIDED RAPIDLY"

Stating that the currently sanctioned Iranian oil is being stockpiled cheaply by China, Bessent said, "By temporarily opening this existing supply to the world, the US will rapidly provide approximately 140 million barrels of oil to global markets, increase the amount of energy worldwide, and help alleviate the temporary pressure on supply caused by Iran. In short, while we continue Operation Epic Fury, we will use Iranian barrels against Tehran to keep prices low."

Bessent warned, "This temporary, short-term authorization only covers oil that is already in transit (at sea) and does not permit new purchases or production." Expressing that Iran’s access to the revenues it will generate will be difficult, Bessent emphasized that the US will continue to maintain maximum pressure to block Iran’s access to the international financial system.

Bessent stated, "The Trump administration has worked to bring approximately 440 million more barrels of oil to the global market so far, weakening Iran’s ability to exploit disruptions in the Strait of Hormuz. President Trump’s pro-energy agenda has strengthened energy security and lowered fuel costs by pushing US oil and natural gas production to record levels. Any short-term disruption that may occur now will ultimately turn into long-term economic gains for Americans, because there is no prosperity without security."

Iran’s closure of the Strait of Hormuz and its attacks on oil tankers due to the attacks by Israel and the US had pushed oil prices above 100 dollars per barrel.

News Source: İHA