US Treasury Grants Two-Month Temporary License for Iranian Oil Imports

The U.S. Treasury Department on Monday permitted the production, delivery, and sale of Iranian oil, a move consistent with a temporary agreement reached between the United States and Iran last week. The general license, issued as both sides continue their talks aimed at concluding a final agreement, allows for the production, delivery, and sale of Iranian-origin crude oil, petrochemicals, and petroleum products until August 21st. U.S. Treasury Secretary, Scott Pysant, stated in a post on the "X" platform that "in line with the fruitful ongoing talks in Switzerland, Iran committed to free and open passage in the Strait of Hormuz, and to allowing International Atomic Energy Agency inspectors into the country." Pysant added that "as part of this framework, the Treasury Department issued a general temporary license for 60 days permitting the production, delivery, and sale of Iranian oil." The United States had agreed, under the memorandum of understanding signed last week between Washington and Tehran, to issue waivers for the export of Iranian crude oil, petroleum products, derivatives, and all related services, including banking transactions, insurance, and transportation. The new license includes authorized transactions for the import of crude oil, petrochemicals, and petroleum products into the United States. The license stipulates that Iranian oil can be imported into the United States under the waiver when necessary to complete its sale or delivery, while emphasizing that the license does not authorize transactions involving North Korea or Cuba, two countries subject to stringent U.S. sanctions.