U.S. Targets Oil Smuggling Networks Following Strikes on Iran's Nuclear Facilities

On July 3, the United States unveiled new sanctions targeting a network of companies, vessels, and individuals linked to the smuggling of Iranian oil. This move came shortly after airstrikes on Iran’s nuclear sites. As reported by the U.S. Treasury and State Department,these sanctions are intended to disrupt financial channels that allegedly support terrorism funded by Iran.

The Treasury has zeroed in on businesses that have facilitated the purchase and transport of Iranian oil worth billions, often misrepresented as originating from Iraq. These companies reportedly employed forged documents and mixed oils to disguise their true source, enabling them to sell it in Western markets.

A prominent player in this operation is Salim Ahmed Said, an Iraqi-British entrepreneur who has been implicated in these activities as at least 2020. He oversees VS Tankers—formerly known as Al-iraqia Shipping Services & Oil Trading (AISSOT)—a UAE-based company that U.S. officials claim he operates covertly.

VS Tankers and its affiliates have allegedly played a crucial role in smuggling oil for both the Iranian government and the Islamic Revolutionary Guard Corps-Qods Force (IRGC-QF), which is designated as a terrorist association by Washington. The Treasury noted that some proceeds from these illicit sales have directly benefited this military faction.

In addition to targeting Said’s network,the State Department announced penalties against six othre firms and identified four vessels involved in facilitating Iran’s oil exports while concealing their origins. These operations are seen as efforts to help Iran circumvent existing sanctions while maintaining its presence in global markets.

Both departments are acting under National Security Presidential Memorandum 2 aimed at exerting maximum pressure on Tehran’s regime. Treasury Secretary Scott Bessent emphasized ongoing efforts to cut off funding sources for destabilizing activities attributed to Iran.

The latest sanctions freeze all U.S.-based assets belonging to those targeted while prohibiting American entities from engaging with them commercially.

This announcement follows recent military actions where airstrikes were conducted on June 22 against three notable nuclear facilities within iran—including fordow—a heavily fortified enrichment site. The Pentagon suggested these strikes could possibly delay Iran’s nuclear ambitions by up to two years—an estimate more aggressive than previous assessments indicated.

Despite such military interventions, President Donald Trump hinted at possible future easing of certain sanctions if diplomatic progress occurs with Tehran regarding peace negotiations; he even mentioned China might continue purchasing Iranian oil despite ongoing tensions with its leadership.

In related developments, Axios reports that U.S. and Iranian representatives are set for discussions next week in Oslo concerning nuclear matters—a sign of potential thawing relations amid heightened scrutiny over financial dealings linked with groups like Hezbollah.

Additionally, new restrictions were placed on Al-Qard Al-hassan—a financial institution associated with Hezbollah—alongside several senior officials involved in clandestine transactions benefiting the group while obscuring their connections through seemingly legitimate means.