Iran: No More Free Oil Shipping for India

Iran and India have reached an agreement on terminating free shipping of Iranian crude oil to India which was in place for three years during the sanctions against Tehran. 

Iran decided to ship its oil for free on board its tanker fleet in 2013 as international companies were reluctant to do so following imposing of sanctions in order to maintain its exports.

Now that the sanctions have been lifted, Iran wants to be reimbursed for the outstanding debts, with the payments being made in Euros instead of Indian rupees, Mehr news agency reports.

The deal has been reached during Indian Oil Minister, Dharmendra Pradhan’s recent visit to Iran which included bilateral talks on oil purchase, development of Farzad-B gas field and investment in petrochemical projects, the National Oil Company of Iran (NIOC) said.

According to Iran’s Oil Minister Bijan Zangeneh, two more banking channels will be opened to handle the transactions, paving way for Iran to be paid USD 6.5 billion that India owes to the Persian Gulf nation.

The debt is expected to be paid in installments.

As for the future shipments, Iran has offered a 50% discount for transportation of oil.

 World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Jun 2018 >>
MTWTFSS
28 29 30 31 1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 1

TRANSTEC 2018

TRANSTEC 2018 welcomes participants to explore Russian Ports and Shipping development opportunities…

read more >

Europort 2018

From 15-17 May 2018, the 12th edition of Europort Romania willl take place in the IDU Hall in Constanta…

read more >

The 27th World Gas Conference

The 27th World Gas Conference is the leading global industry event and is the definitive gathering of influential leaders, buyers and sellers, policy-makers and experts from around the world.

You will hear critical business insights and lively debates on the most topical issues facing the global gas industry today and in the future.

From 25-29 June 2018, Washington DC is expected to host 12,000 attendees, 500 speakers and 350 exhibitors representing, more than 600 companies from 100 countries.

Presented by the IGU, this is the largest and most high-profile gas event that is conducted by the industry for the industry.

Read More

read more >

SMM 2018

This is a must-attend event – a unique opportunity to meet key players, display business strengths, establish new contacts and exchange…

read more >