According to the latest Reuters report, US sanctions on China Ocean Shipping Company (COSCO) have hit the LNG tanker industry, as Teekay LNG’s shipping joint venture in Russia has been blocked due to its ties to the company.
The US has imposed sanctions on two units of COSCO – COSCO Shipping Tanker (Dalian) Co and subsidiary COSCO Shipping Tanker (Dalian) Seaman & Ship Management Co. – for allegedly carrying Iranian crude oil.
Teekay LNG has said its Yamal LNG shipping Joint Venture had been declared a ‘blocked person’ under the sanctions. The reason being that COSCO Dalian owns 50% of its partner China LNG Shipping (CLNG).
Teekay has since announced it “has not traded and will not trade with Iran and will not act in contravention of any trading sanctions”. The company added that it is working with its partners to resolve the issue.
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/01102019/us-sanctions-on-cosco-impact-lng-shipping-partners/