Iran exploring oil sales to Japan, buyers seek longer sanctions waiver, sources

DUBAI: Iran has begun talks to sell oil to Japanese companies, though prospective buyers are seeking a longer U.S. sanctions waiver and reassurances on safe shipping conditions in the Gulf, three Iranian and Western sources said.

The United States authorised Iranian oil sales in June, easing decades-old sanctions as it pushes for a final peace deal with Tehran in exchange for commitments on nuclear inspections and freedom of navigation through the Strait of Hormuz.

China has been the main buyer of Iranian oil in recent years after customers in South Korea, Japan, India and Europe halted purchases as sanctions tightened following U.S. President Donald Trump’s withdrawal from Iran’s nuclear pact in 2018.

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The U.S. Treasury Department’s current sanctions waiver allows the sale of crude oil and petrochemical and petroleum products of Iranian origin through August 21.

Japan’s foreign ministry and the U.S. Treasury did not immediately respond to requests for comment.