Shipping struggling with lack of clarity on sanctions - shipowner Prokopiou

Dynagas LNG Partners LP

06/06/2022 15:23

ATHENS, June 6 (Reuters) - Shipowners are struggling to know
what trades are still legal as a raft of sanctions against
Russia and tough measures on other countries including Iran
remain confusing, leading Greek shipowner George Procopiou said
on Monday. 
    Sanctions imposed on Moscow after it invaded Ukraine in
February, including a U.S. ban on its oil imports, have prompted
Russia to pivot to customers in India and China who are picking
up cargoes at a steep discount, according to industry data and
traders.
    Existing restrictions on Iran have also driven their oil
trade towards Asia, with increasing due diligence required by
shipowners to avoid falling foul of U.S. sanctions.    
    "Sanctions have never worked," George Prokopiou, founder of
Dynacom Tankers Management, Dynagas and Sea Traders, told a
Capital Link shipping conference in Athens. 
    "At least my recommendation ... is to be clear on what is
allowed and what is not because we are living in a grey area all
the time, what is legal what is illegal, and we see banks and
insurance becoming more strict than the regulations are and that
creates a lot of misunderstandings," he said. 
    The European Union also decided last week, with some
exceptions, to stop buying all Russian crude oil delivered by
sea - or two-thirds of all EU imports of Russian crude - from
early December, and will ban all Russian refined products two
months later.  urn:newsml:reuters.com:*:nL8N2XQ2K7
    "I think European leaders are making a mistake," Evangelos
Marinakis, chairman of shipping group Capital Maritime, told the
conference, when asked to comment on challenges faced by the
sector. "Instead of penalising Russia, we're penalising
ourselves."

 (Reporting by Lefteris Papadimas; Writing by Renee Maltezou;
Editing by Jonathan Saul and Alex Richardson)
 ((renee.maltezou@thomsonreuters.com; +30 210 3376439; Reuters
Messaging: renee.maltezou.reuters.com@reuters.net))