Iran helps Syria ship oil to China: sources

Reuters ^ | 3/31/2012 | Jessica Donati

[U-238]

Iran is helping its ally Syria defy Western sanctions by providing a vessel to ship Syrian oil to a state-run company in China, potentially giving the government of President Bashar al-Assad a financial boost worth an estimated $80 million.

Iran, itself a target of Western sanctions, is among Syria's closest allies and has promised to do all it can to support Assad, recently praising his handling of the year-long uprising against Assad in which thousands have been killed.

China has also shielded Assad from foreign intervention, vetoing two Western-backed resolutions at the United Nations over the bloodshed, and is not bound by Western sanctions against Syria, its oil sector and state oil firm Sytrol.

"The Syrians planned to sell the oil directly to the Chinese but they could not find a vessel," said an industry source who added that he had been asked to help Sytrol execute the deal but did not take part.

The source named the Chinese buyer as Zhuhai Zhenrong Corp, a state-run company hit by U.S. sanctions in January.

A Zhuhai Zhenrong spokeswoman said: "I've never heard about this." She declined further comment.

The U.S. State Department said in January that Zhuhai Zhenrong was the largest supplier of refined petroleum products to Iran, on which the West has imposed sanctions because it suspects Tehran of trying to develop nuclear weapons.

China's willingness to start importing Syrian oil offers a rare break in the country's growing isolation.

Syria, a relatively modest oil exporter, has been unable to sell its crude into Europe, its traditional destination until September last year when European Union and U.S. sanctions halted exports.

The crude oil cargo, worth around $84 million assuming a discounted price of about $100 a barrel,

[gleeaikin]

Sneaky bunch of so and sos.

[U-238]

You can track the tanker at vesseltracker.com

[no-to-illegals]

Thanks for the ping.
A Zhuhai Zhenrong spokeswoman said: "I've never heard about this." She declined further comment.

Surprised this is in print. Makes one wonder what is being said 'off the record'.

[tobyhill]

I'm convinced that there is becoming a break between OPEC. It's like the civil war of oil. Some will sell to China, India, North Korea, Russia while others will sell to Europe, US, Japan, Australia.

I also think that Canada and Mexico will end up siding against the US and our allies because Obama has already rejected them and they know that we won't get our own. Brazil has already gone to the Chinese side.

[SunkenCiv]

• Obama: "I want to make sure we end before the call to prayer"
• Iran Deploys Troops, Ballistic Missiles To Eritrea [2008]

[SunkenCiv]

Thanks gleeaikin. Gosh, if I didn’t know better, I’d say Iran supports the Assad regime. Must be another explanation though... ;’)

[U-238]

Excellent point.There is seems to be a split in OPEC.