A burst in Asian demand has emptied at least 4 million barrels of crude stored at sea in Iran.
The Islamic Republic was storing as much as 16 million barrels of crude oil on tankers offshore, down from 20 million last month, traders and shipping sources say.
In October, two very large crude carriers (VLCCs) of Iranian crude have discharged from floating storage for the East. This is more than we usually see, an industry source notes.
Asian refiners have more than offset waning demand from European buyers who have increasingly shunned Iranian crude because of tough international sanctions, which have made financing oil deals with the OPEC member more difficult.
European majors Shell, Total, and Eni remain major buyers of the Islamic Republic's crude oil.