President Donald Trump’s decision to reimpose sanctions on Iran threatens to tighten global oil markets and could derail tens of billions of dollars in business deals. Trump’s order on Tuesday blocks new contracts immediately and sets 90- and 180-day clocks for companies with existing Iranian business commitments. On top of that, the U.S. will impose sanctions on Iran’s energy sector and on petroleum-related transactions with firms including National Iranian Oil Company, Naftiran Intertrade Company, and National Iranian Tanker Company. RBC Capital Markets chief commodities strategist Helima Croft said that “depending on the enforcement rate” she expects Iranian oil exports to be curtailed by between 200,000 and 300,000 barrels per day. The company has signed a $3 billion deal for 30 737 Max jets with Iran Aseman airline and a $16.6 billion deal with national carrier Iran Air for 80 aircraft.

Source: Hindustan Times May 09, 2018 02:26 UTC