Iran's floating oil reserves, used for China sales, completely depleted, analysts say - report
At their peak, these reserves consisted of almost 90 million barrels of oil, according to Kpler. By October 5, the reserves dropped to fewer than one million barrels, and have since been exhausted.
Iran's floating oil reserves, which were used to supply China, have been completely exhausted, according to Kpler analysts, as reported by The Wall Street Journal. At their highest, these reserves amounted to nearly 90 million barrels. By October 5, the reserves had dwindled to less than one million barrels and have since vanished. Kpler's head of crude-oil analysis, Homayoun Falakshahi, stated, "There's no more oil to dispatch to China anymore."
Some analysts suggest that Chinese payments to Iran may take up to two months to arrive, implying that the regime could still receive some funds from previous sales. This news could pose significant challenges to Iran's economy, which relies heavily on oil sales—accounting for roughly 30-40% of its government revenue. Kpler's Falakshahi commented, "It seems the US gamble is that the economy will either force the regime back into negotiations for a nuclear deal, or trigger internal protests that the regime will struggle to control."
Iman Nasseri, senior vice president of Middle East and Asia at energy-analytics firm FGE NexantECA in Dubai and a former researcher with Iran's oil ministry, believes the US strategy is effective, but cautions against underestimating Iran's resilience. "We should wait another year to see if the system can withstand," he said.
Iran-backed groups, such as Hezbollah, Hamas, and Shiite militias in Iraq, are diverting funds to Iran's Islamic Revolutionary Guard Corps (IRGC) amid the country's economic struggles following a nine-month war. US Central Command (CENTCOM) chief Adm. Brad Cooper disclosed in a video statement that these actions have cost Iran an estimated $25 billion in lost oil revenue. The US Naval blockade has also led the Treasury Department to freeze $350 million in Iranian cryptocurrency assets recently.
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