Panama Moves to Deregister 3 US-Sanctioned Tankers

PANAMA · SHIPPING

Washington’s latest strike on Iran’s oil fleet reached Panama’s ship registry, and Panama moved against the three ships the same day.

Panama’s maritime authority has begun removing three Panama-flagged tankers from its registry after the United States sanctioned them on Thursday, 8 October. The US Treasury says the ships carried Iranian naphtha, fuel oil and bitumen in breach of US sanctions.

The three are part of 17 vessels Washington blacklisted as the remainder of Iran’s “shadow fleet.” For US companies, banks and insurers, any dealing with these ships is now largely off limits.

What Washington Sanctioned

The action came from the Office of Foreign Assets Control (OFAC), the Treasury unit that enforces US sanctions. It named 17 vessels and 17 companies under Executive Order 13902, which targets Iran’s petroleum and petrochemical sectors.

Treasury called the move part of “Operation Economic Outcast,” a campaign it first announced on 24 August 2026. It said the action effectively neutralizes the vast majority of Iran’s remaining shadow fleet network.

Treasury Secretary Scott Bessent said Treasury is “starving the tyrannical regime in Tehran” of money it uses for war. He added that “no enabler of Iranian sanctions evasion is safe.”

The release lists the three Panama-flagged tankers by name and owner. STARWAY, owned by China-based Hechuang International Group, carried over 3 million barrels of Iranian naphtha since 2025.

MACKEREL, owned by Betta Shipping Inc. of the Marshall Islands, carried over 500,000 barrels of high-sulfur Iranian fuel oil since December 2025. BITU, owned by Ornella Shipping Inc., also of the Marshall Islands, moved over 170,000 barrels of Iranian bitumen in 2026.

Treasury did not give a total value. It said only that the shadow fleet moved “billions of dollars’ worth” of petroleum.

How Panama Responded

The Autoridad Marítima de Panamá (AMP), the state agency that runs Panama’s ship registry, confirmed the listings to La Estrella de Panamá. It said it had placed restrictions on the three ships in its system.

The AMP said it “inició de oficio el proceso de cancelación” of their registration, acting on its own initiative. It cited Executive Decree No. 512 of 28 October 2024 as the legal basis.

Britain’s sanctions list against Russia’s shadow fleet, issued the same day, named six vessels that tracking platforms linked to Panama. The AMP said all six had left its registry between 29 January and 6 August 2026.

Why the Panama-Flagged Tankers Matter

Ships register under a national flag, and that flag state certifies them and answers for them under maritime law. Losing a flag makes it far harder for a tanker to find insurance, ports and buyers.

The US statement identifies the Panama-flagged tankers only by flag and owner. La Estrella noted that it does not say Panamanian authorities took part in the trade.

Panama-flagged ships are already exposed to regional tensions: a projectile struck the vessel On Peace in international waters on Monday, 5 October. Twelve crew members were injured, the AMP said.

What It Means for You

Property of the listed ships and companies held in the US or by US persons must be blocked and reported. US persons are generally barred from transactions with them, and OFAC can impose penalties on a strict-liability basis.

Foreign banks that knowingly handle significant transactions for the listed parties risk losing access to US correspondent accounts. Shipping, insurance and commodity firms with Panama exposure should screen the three IMO numbers: 9531765, 9273246 and 9234628.

For oil markets, Washington is squeezing Iranian supply further. For Panama, swift deregistration helps shield its registry from US pressure and banking risk.

What Is Not Known

It is not known when the AMP will complete the cancellations or whether the owners will contest them. As of Friday morning, the AMP had not posted a statement on the sanctions on its website.

The current location of the three tankers, and whether they still carry Iranian cargo, has not been disclosed. It is also unclear whether Washington raised the ships with Panama before Thursday’s listing.

What Comes Next

The AMP’s cancellation process now runs under Decree No. 512, after which the ships must find another flag or sail without one. Treasury signalled that Operation Economic Outcast will continue against anyone who helps Iran evade sanctions.

The listing does not mean the US has sanctioned Panama or its registry. Treasury also delisted two tankers, HAKUNA MATATA and PINOCCHIO, after their sale to US-aligned operators.

Frequently Asked Questions

Which Panama-flagged tankers did the US sanction?

The US Treasury named BITU, STARWAY and MACKEREL on Thursday, 8 October. They are three of 17 tankers it says formed Iran’s remaining shadow fleet.

What is Panama doing about the ships?

Panama’s maritime authority placed restrictions on the three ships and began cancelling their registration on its own initiative. It cited Executive Decree No. 512 of 2024.

Did the US accuse Panama’s government of wrongdoing?

No. The Treasury statement identifies the ships by flag and owner and does not say Panamanian authorities took part.

What is Operation Economic Outcast?

It is a US Treasury sanctions campaign against Iran’s oil revenue, first announced on 24 August 2026. Thursday’s action targeted the tankers Iran uses to ship petroleum abroad.

What does the listing mean for US companies?

US persons must block any property of the listed ships and companies and generally may not deal with them. Foreign banks that facilitate significant transactions risk losing US correspondent accounts.

Sources: US Department of the Treasury, press release of 8 October 2026; Autoridad Marítima de Panamá, On Peace statement; La Estrella de Panamá; La Prensa (Panama) (all accessed 9 October 2026).