Three Iran-linked oil tankers are gradually on their way to the United States after being seized by naval forces as President Donald Trump first imposed a blockade on the regime.
The Tifani And Majestic X are now off the coast of Brazil after being boarded in the Indian Ocean in April. according to Bloomberg. A third ship known as the Lenore as well as the Davinahas just left the Cape of Good Hope at the southern tip of Africa and is heading west into the Atlantic after being stopped in the Indian Ocean in June.
All three tankers are very large crude oil carriers that can each hold 2 million barrels of crude oil. Brent futures are currently trading at around $106 per barrel.
“Nearly six million barrels (worth nearly $600 million) of seized Iranian crude oil are quietly crossing the Atlantic toward the United States of America.” Tanker tracker released on X on Wednesday.
The U.S. launched its naval blockade in April against ships attempting to enter or leave Iranian ports. It also applied to Iran-linked ships anywhere in the world, including the Indian Ocean and the Pacific Ocean.
After the blockade was lifted by a brief ceasefire over the summer, Trump reinstated it weeks later as he turned to economic warfare and away from bombs.
Meanwhile, the legal route the administration uses to seize the tankers and enforce confiscation is known as the prize law has its roots in the Middle Ages.
Unlike civil confiscation laws, which require the U.S. government to establish a violation of law and determine jurisdiction, maritime prize law does not require a hijacker to have a warrant or tie the seizure of a vessel to a violation of any existing law.
Instead of requiring law enforcement agencies such as the Coast Guard to seize a vessel under civil seizure laws, the Department of Defense can seize an enemy vessel instead.
In the United States, the prize law is enshrined in the Constitution, which sets out rules for the hijacking and confiscation of enemy ships in time of war Captures clause. During the Civil War, President Abraham Lincoln used the Prize Act of 1812 to… Blockade of Confederate seaports. This law was last invoked during the Spanish-American War.
If the tankers carrying Iranian oil do end up at a U.S. port, it would likely be on the Texas coast, home to leading refineries and the Houston-based U.S. attorney for the Southern District of Texas.
The office, led by Aaron Reitz, told Bloomberg that it was prepared to represent the U.S. “in adjudicating awards” brought to Texas through federal courts.
In a statement last month to Fortune’s Sasha Rogelberg, Reitz did not indicate whether the Justice Department will invoke the Prize Act of 1812, the Captures Clause or another law.
“Our national security interests may require that the U.S. military seize ships or cargo supporting the enemy during a military conflict. If that occurs, our federal courts must be ready to rule on the disposition of these captured ships and cargo,” he said. “Prize Law is an ancient maritime law – already codified in law but which we are now reviving – that sets the rules for how seized maritime property is condemned, returned or disposed of.”