Iran state oil company proposes crude purchases to Japanese firms

2026-07-04

Iran's state oil company had sounded out major Japanese oil refiners and others about buying Iranian crude, according to Iranian diplomatic sources interviewed on the 3rd. A memorandum signed by the United States and Iran in June included a provision allowing U.S. crude exports.

Security in the Strait of Hormuz

Japanese diplomatic sources, meanwhile, took a cautious stance, saying that safe navigation through the Strait of Hormuz, a key route for energy shipments, has not been sufficiently secured and that the chance of reaching an agreement is not 'realistic'.

Imports halted by sanctions

Iran was once one of Japan's major crude suppliers, but imports to Japan stopped after the first Trump administration imposed a full ban in 2019.

Expanding contact with foreign firms

According to Iranian diplomatic sources, the state oil company had begun contacting multiple foreign companies, including those in Japan and South Korea, before the memorandum was signed on June 17. The Iranian side wants to move the talks into full swing, saying the signing opened a path for Japanese companies and others to buy crude. It also explained specific procedures for purchases.

Hope for export resumption

The same source said crude exports to friendly Japan would be welcome and stressed that if a sales contract is concluded, tankers could be dispatched from Kharg Island, Iran's oil loading hub in the Persian Gulf, within weeks. If a final agreement with the United States is reached, it also expressed hope for Japanese companies to invest in the energy sector.

Enjoyed this article? Share it with your network!