Maersk quiz Vitol on Iranian fuel oil shipped to Singapore
Danish shipping and energy conglomerate A.P. Møller - Maersk A/S (Maersk) said it will talk to oil trader Vitol to ascertain whether one of its tankers was used to ship Iranian fuel oil, Reuters reports.
The Maersk Producer was said to have received a fuel oil cargo of Iranian origin from Vitol's floating storage off Malaysia on September 8, 2012 according to the the report.
A document seen by Reuters was said to show the cargo was then shipped to Singapore where it was discharged into a storage terminal leased by Vitol from Tuas Power between September 10, 2012 and September 12, 2012.
Tuas Power said it had been reassured by Vitol that the cargo was not of Iranian origin.
"Our checks showed no indication that the cargo of fuel oil in question was of Iranian origin," said Tuas Power's spokeswoman Talia Tan.
But Reuters said the checks were based on a review of "declaration documents", which in the case of oil held in floating storage commonly refer to the storage vessel as the origin, particularly when fuel of more than one origin is blended in storage.
International Laws
Vitol has admitted to buying and selling Iranian fuel oil, but also said in a statement it is in compliance with all international laws on trade with Iran.
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Not at any point did we know that the vessel would be used to transport oil under embargo
Per Juul, managing director of the agent for Maersk
The Rotterdam and Geneva headquartered firm is not obligated to comply with the ban on trading Iranian product because Switzerland is not participating in the EU and U.S. sanctions against the Islamic Republic.
Maersk was said to have expressed surprise at reports one of its vessels was used to transport Iranian oil.
"Not at any point did we know that the vessel would be used to transport oil under embargo and we will bring this up for discussion with Vitol at the highest level," said Per Juul, managing director of the agent for Maersk.
"If it is confirmed that it was Iranian oil the consequences will have to be discussed with Vitol...we have contacted our insurance company about this issue."
A spokesman for Vitol said the company would "cooperate fully" in any talks with Maersk.
Reports as early as May this year said that Identifying fuel oil from Iran in Singapore was "a major headache" for shipping companies as Iranian product in the world's largest bunker market was "as ubiquitous as salt in seawater," and the sheer volume of bunkers sold in the city state every month makes it exceedingly difficult for shipping companies to guarantee the fuel they take on board is free of Iranian product.