US May Lift Sanctions on Stranded Iranian Oil Tankers

The United States is considering the removal of sanctions on Iran oil currently stranded in tankers to bolster global supplies and reduce energy costs. U.S. Treasury Secretary Scott Bessent announced on Thursday that the administration may soon release approximately 140 million barrels of crude that are presently held on the water. > In the coming days, we may unsanction the Iranian oil thats on the water. Bessent noted that this volume represents roughly 10 days to two weeks of global supply. The potential policy shift comes as Brent Crude Oil prices have remained elevated, often exceeding $100 per barrel, following the closure of the Strait of Hormuz and recent attacks on maritime shipping. The Treasury Department recently implemented a similar measure for stranded oil from Russia, which successfully added 130 million barrels to the market. In addition to lifting sanctions, the U.S. plans a unilateral release from the Strategic Petroleum Reserve, moving beyond the 400 million barrels already committed in a coordinated G7 action. > So, to be clear, were not intervening in the financial markets. The Secretary emphasized that the focus is on supplying physical markets to mitigate the daily deficit of 10 million to 14 million barrels caused by regional instability. He explicitly stated that the Treasury would not attempt to intervene in oil futures markets. Diplomatic discussions are also set to take place with Japan. President Donald Trump is scheduled to meet with Prime Minister Sanae Takaichi to discuss the Japanese navy's potential role in securing safe passage through the Strait of Hormuz, a vital route for Japan's energy imports. > Shes very pro-U.S. I think were going to have a very good discussion today. Bessent suggested that Takaichi might also authorize further releases from Japan's own strategic reserves. Additionally, the Treasury Secretary criticized China for becoming an unreliable supplier, citing Beijing's decision to halt exports of jet fuel and other refined products to its Asian neighbors.