Iran moves floating oil stocks closer to China amid regional strains

Iran continues to load crude oil tankers at a steady pace while shifting part of its floating storage closer to China, according to ship-tracking firms cited by Reuters.

The move comes as Tehran navigates renewed tensions following last week’s regional flare-up. Iran still relies on a “shadow fleet” of tankers to bypass US sanctions reimposed in 2018 over its nuclear program.

Despite attacks on energy infrastructure in both Iran and Israel, including Iran’s South Pars gas field and Israel’s Haifa refinery, the Kharg Island export terminal remains operational.

This week, only the eastern jetty on Kharg Island has been used for loadings, according to Kpler analyst Homayoun Falakshahi. The western jetty, which is closer to open water, has remained idle.

In response to rising threats, Iran has moved part of its 40 million-barrel floating stock, spread across 36 tankers, toward China to reduce supply disruption risks, Vortexa said.

Roughly 10 tankers carrying 8 million barrels are now anchored off China’s coast.

These vessels had previously been near Singapore, where around 20 million barrels still remain.