The United States is revoking a license that allowed the sale of Iranian oil, the US Treasury Department's Office of Foreign Assets Control (OFAC) said. As part of the new general license X1, all participants in previously approved transactions are given no more than 10 days to complete them. New contracts related to the production, supply and sale of Iranian crude oil, petrochemicals and petroleum products are prohibited starting July 7.
According to Reuters, the decision followed a series of attacks on commercial ships in the Strait of Hormuz. In recent days, the crews of three tankers reported being hit by unknown shells. No one has yet claimed responsibility for the attacks.
An American official, who wished to remain anonymous, told the publication that preliminary data indicates that the shelling was carried out by the Iranians. Another administration official stressed that Tehran's actions in the Strait of Hormuz are “completely unacceptable” and will not go without consequences.
“Iran can only count on benefits if it demonstrates responsible behavior. Iran's actions in the Strait of Hormuz were completely unacceptable to the United States and will have consequences. Our negotiators continue to work in good faith to reach a final agreement,” the US representative said.
Soon on Tuesday, US Central Command said it had launched a series of strikes against Iran in response to what Washington described as a “clear violation of the ceasefire.”
“U.S. Central Command forces have begun launching a series of powerful strikes against Iran to force it to pay a heavy price for targeting commercial shipping and attacking in international waters,” the report said.
A spokesman for Iran's Foreign Ministry said the Islamic Republic was “faithfully fulfilling its obligations” under the memorandum of understanding and called on regional states as well as shipping companies to refrain from any actions contrary to its provisions.
In addition, the Iranian side warned that commercial ships following routes not agreed with Tehran, or interfering with the operation of ship tracking systems, “expose themselves to risk.”
The US Navy-led Joint Maritime Information Center (JMIC) raised the threat level for passage through the strait from “substantial” to “severe”, citing the likelihood of deliberate hostile action in the current environment.
Energy prices rose almost 6% in trading, with the cost of Brent crude oil approaching $76 per barrel, Reuters reports.
