Iran General NewsS. Korea halts crude imports from Iran after insurance...

S. Korea halts crude imports from Iran after insurance lost

-

Bloomberg: South Korea stopped buying crude oil from Iran in August after its refiners lost insurance coverage on ships carrying the fuel from the Persian Gulf nation. Bloomberg

By Sangim Han

South Korea stopped buying crude oil from Iran in August after its refiners lost insurance coverage on ships carrying the fuel from the Persian Gulf nation.

Purchases fell to zero last month, reducing imports from Iran for the first eight months of this year by 34 percent from a year earlier to 5.39 million tons, according to data posted on the Customs Service’s website today. South Korea bought 1.14 million tons of crude oil, or 36,738 tons a day, from Iran in August 2011.

South Korean refiners reduced Iranian crude purchases this year as the U.S. and European Union ratcheted up sanctions to pressure the Persian Gulf nation to halt a nuclear program that the U.S. and Israel say is aimed at developing atomic weapons. An EU ban introduced on July 1 prevented Korean refiners from insuring their tankers.

Iran offered to provide its own tankers to supply the oil, a South Korean government official said on June 29, asking not to be identified because the matter is confidential. SK Innovation Co., one of the two buyers of Iranian crude in the Asian country, said on Aug. 17 it would resume imports in September as it is near agreement on using Iran’s tankers.

The U.S. exempted South Korea, India and five other economies from its financial sanctions on oil imports from the Islamic Republic because they have demonstrated commitments to cut purchases of Iranian crude, Secretary of State Hillary Clinton said on June 11. India and Japan offered state-backed insurance for cargoes from Iran. Indian insurers have agreed to give as much as $100 million of cover per voyage, Shipping Corp. of India Chairman Sabyasachi Hajara said in August. In June, Japan’s parliament passed a bill to provide $7.6 billion of sovereign insurance for owners of tankers that carry Iranian oil.

Iran was the sixth-largest supplier of crude to South Korea last year, accounting for 9.4 percent of its overall oil purchases, Korean government data showed. Iran’s share in Korean oil imports fell to 6.3 percent as of the first eight months of this year.

Latest news

Iran’s Regime’s New Hijab Bill Seeks to Silence Women

On May 21, Ebrahim Raisi’s government approved and sent a bill on "Chastity and Hijab" to Iran’s Parliament (Majlis)....

Iranian Opposition Condemns Release of Tehran’s Convicted Diplomat-Terrorist Assadollah Assadi

The recent prisoner exchange between Belgium and Iran, announced by the government of Oman, has sparked strong condemnation from...

World leaders call on Biden to adopt new Iran policy

In a joint letter, 109 former world leaders signed a letter calling for accountability in Iran and urging U.S....

The Unsettling Child Marriage Epidemic Sweeping Iran

The horrific scene of a man holding the severed head of his 17-year-old wife, Mona Heydari, in southwest Iran,...

How Iran’s Housing Crisis Can Trigger More Protests

Renting a home in Iran has become nearly impossible for tenants who not only have buried their dream of...

Iran’s Budget Deficit Has Doubled

In the absence of statistics from Iran’s Central Bank and despite the government's false claims that the budget for...

Must read

13 Iraqi officers involved in torture ring flee to Iran

Iran Focus: Baghdad, Dec. 20 – More than a...

Nuclear deal will not just buy Iran time: Kerry

AFP: Secretary of State John Kerry vowed Wednesday that...

You might also likeRELATED
Recommended to you