Lana Luster Delivers Iranian Oil to Northern China After $31 Billion Sanctions-Evasion Trade
Updated
Updated · The Jerusalem Post · May 28
Lana Luster Delivers Iranian Oil to Northern China After $31 Billion Sanctions-Evasion Trade
1 articles · Updated · The Jerusalem Post · May 28
Lana Luster—sanctioned by the US on May 19—sailed to waters near Rizhao after taking Iranian crude from the Nora in a late-April ship-to-ship transfer off Malaysia, according to LSEG tracking data.
The voyage illustrates how Iran keeps oil flowing to China through a shadow fleet that switches flags, obscures ownership and disables tracking, with transfers clustered in the Eastern Outer Port Limits, a legal gray zone.
China remains the linchpin: despite reporting no official Iranian oil imports since 2022, it generated about $31 billion in revenue for Tehran, roughly 90% of Iran's foreign oil sales and 45% of its budget.
Enforcement has had limited impact so far. Malaysia fined the Nora just $33,000 in January, and Vortexa estimates about 90 million barrels of Iranian oil were already outside the blockade, leaving Iran likely to keep receiving payments until October.
Are US sanctions creating a ticking environmental time bomb with aging, uninsured oil tankers?
As China helps build Iran's military, is the US blockade focused on the wrong threat?
Iran’s Shadow Fleet Exposed: The Mechanics, Risks, and Global Impact of Sanctions Evasion in the Oil and Petrochemical Sectors
Overview
Iran has built a sophisticated network to evade international sanctions, especially in its oil and petrochemical sectors. This network uses deceptive practices, such as employing vessels like LUNA LUSTER, to move illicit cargo and finance. In response, the United States has intensified efforts to dismantle these operations, launching a sustained campaign targeting Iran’s export infrastructure, financial networks, and maritime logistics. A key example is the U.S. Treasury’s action against Amin Exchange, a major player in Iran’s foreign exchange market, which highlights the scale and complexity of Iran’s sanctions evasion tactics.