US targets nine 'shadow fleet' vessels, including LPG carriers and a VLCC, in latest Iran sanctions

The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) announced on 23 January that it had designated four LPG carriers and five additional crude oil, product, and chemical tankers – including one VLCC – for their involvement in Iranian trade.

According to OFAC, these vessels “have collectively transported hundreds of millions of dollars’ worth of Iranian oil and petroleum products to foreign markets,” with significant volumes moved last year and continuing into 2026.

“Today’s sanctions target a critical component of how Iran generates the funds used to repress its own people,” said US Secretary of the Treasury Scott Bessent. “As previously outlined, the Treasury will continue to track the tens of millions of dollars that the regime has stolen and is desperately attempting to wire to banks outside of Iran.”

OFAC noted last month – when it sanctioned an additional 29 vessels – that it has now designated more than 180 ships involved in the transport of Iranian petroleum and petroleum products since Donald Trump re-entered the White House.

Focus on LPG flows

Among the newly designated vessels is Sea Bird, managed and operated by UAE-based Horizon Harvest Shipping, which OFAC said “has transported hundreds of thousands of barrels of LPG to East Asia, Djibouti, and the UAE.”

Avon, owned by India-based Aayat Ship Management Private Ltd, reportedly moved multiple shipments of LPG to Bangladesh and Pakistan last year. Another vessel, Al Diab II, owned by Oman-based Black Stone Oil and Gas, is said to have delivered several shipments of LPG to Pakistan and Somalia since late 2025.

The fourth LPG carrier, Aqua Spirit, owned by Liberia-based Benoil Shipping Inc, has allegedly transported petroleum products – including LPG – to Pakistan and other destinations since 2025.

OFAC also designated VLCC Cesaria, owned by Seychelles-based Galeran Service Corp, for transporting “millions of barrels of crude oil to East Asia since late 2025.”

Four additional chemical/product tankers were blacklisted: Longevity 7 (owned by Marshall Islands-based Longevity Shipping Ltd), Eastern Hero (owned by Marshall Islands-based Odyssey Marine Inc), and Chiron 5 and Keel (both owned by Marshall Islands-based Trade Bridge Global Inc).

Notably, OFAC said Longevity 7 has transported clean condensate and multiple methanol cargoes as part of the shadow fleet since at least 2020.