U.S. Revokes Iran Oil Waiver After Tanker Strikes

The revocation ends the temporary authorization ahead of its August 21 expiry. The waiver had been the only channel for Iranian oil exports under the current sanctions regime. Without it, Iran loses the ability to sell oil legally into international markets.

The attacks and the U.S. response add to the geopolitical risk premium already reflected in crude prices. Brent crude traded above $73 a barrel earlier this week after drone strikes on tankers near Hormuz, as AlphaScala covered in Hormuz Drone Strikes Push Brent Above $73 as Geopolitical Risk Returns. The revocation tightens the supply outlook further, even as traders watch for any diplomatic moves.

Tanker insurance premiums for the region have already risen, shipping sources said. The U.S. Navy's protection of the route may not be enough to restore confidence if attacks continue. The official said the administration will continue to monitor Iran's behavior.

The decision also affects Iran's ability to fund its government through oil revenue. The interim deal had been meant to provide a path back to negotiations. The revocation signals that the U.S. sees Iran's actions as a breach of the terms.

The official did not specify whether the administration would consider any new waiver. The August 21 deadline has now been superseded by the revocation.