With Iran effectively blocking a key oil passage responsible for 20 per cent of the world’s supply, the United States is exploring ways to use Iranian crude already at sea to reduce market volatility, Treasury Secretary, Scott Bessent, revealed on Thursday.
Speaking in an interview with local media, Bessent explained that approximately 140 million barrels of Iranian oil are currently floating at sea, enough to supply global markets for about 10 days to two weeks.
“In the coming days, we may unsanction Iranian oil that is on the water”, he said, adding that the crude was originally destined for China.
“In effect, we will be using Iranian oil against Iran while continuing our broader campaign”, Bessent added, stressing that the measure is intended to help stabilize prices without undermining ongoing sanctions on Iran’s wider oil sector.
The Treasury Secretary also emphasized that the U.S. anticipated Tehran’s temporary closure of the Strait of Hormuz, a vital chokepoint for global oil and liquefied natural gas shipments.
“This is a temporary chokehold, and we are taking steps to mitigate its impact on energy markets”, he said, highlighting Washington’s efforts to protect global energy stability while maintaining pressure on Iran.
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