SEOUL, Sept. 17 (UPI) -- A loss of insurance coverage on Iranian crude oil deliveries meant South Korean purchases dropped to zero in August, government records show.
South Korea was one of several countries that secured sanctions waivers from the U.S. government for making "significant" declines in the amount of crude oil imported from Iran this year.
U.S. and European sanctions targeting the Iranian energy sector went into force during the summer. European sanctions passed in July prevented countries like South Korea from insuring their tankers. By August, refiners had lost their insurance coverage and purchases of Iranian crude oil fell to zero, reports Bloomberg News.
South Korea last year took on nearly 10 percent of Iranian oil deliveries. The country in August 2011 bought 8.3 million barrels of oil from Iran.
Iran's semiofficial Fars News Agency in August quoted an official said to be close to the South Korean Economic Ministry as confirming expected deliveries for September.
"The oil will be loaded in Iran to be shipped by Iranian tankers under Iranian insurance cover," the official said. Deliveries were expected late September.
South Korea is the No. 5 oil importer in the world.
