Iran ships stranded in Brazil because of sanctions fears depart, officials say

The ships dragged Brasilia into a global standoff as Petrobras refused to provide fuel for fear of breaching US sanctions

Iranian ship Bavand (L), loaded with 48,000 tons of corn, is seen anchored in the port of Paranagua, Brazil, on July 19, 2019.  Brazilian state-run oil company Petrobras informed Friday it won't supply fuel to two ships -Bavand and Termeh- of Iranian company Sapid Shipping, which have been anchored for weeks in southern Brazil, for fear of violating economic sanctions imposed by the United States.
 / AFP / Heuler Andrey
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Two Iranian ships stranded off the coast of Brazil for weeks set sail on Saturday, officials said, after a court ordered state oil company Petrobras to fuel up the vessels.

The bulk carriers had been stuck at Paranagua port in the southern state of Parana since early last month after Petrobras refused to provide fuel for fear of breaching US sanctions on Iran.

The ships dragged Brazil into a global standoff involving Tehran and Washington.

US President Donald Trump has placed crippling sanctions on Iran since he pulled the United States out of the 2015 nuclear deal, which had lifted sanctions on Tehran in exchange for a freeze of its nuclear programme.

The port administrator said the ship Termeh left at about noon, headed to another Brazilian port where it would be loaded with corn. The Bavand, which already has its cargo, was set to leave for Iran on Saturday night. The journey home takes about 30 days, the administrator said.

A representative for Eleva Quimica, the Brazilian company that contracted the vessels, said refuelling started in the early hours of Saturday, with the Termeh receiving 600 tonnes and Bavand 1,300 tonnes of fuel.

Petrobras, whose stock is listed in the US and in Sao Paulo, confirmed it was refuelling the ships.

The Supreme Court order came after Iran's top envoy to Brazil told Bloomberg that Tehran could suspend imports from Brazil if the issue was not resolved.

The ships had reportedly brought urea, which is used to make fertiliser, to Brazil and were to transport corn back to Iran.

Petrobras had said the Iranian vessels and the Iranian company that owns those ships – reportedly Sapid Shipping – were sanctioned by the United States.

"If Petrobras were to supply these vessels, it would be subject to the risk of being included in the same list, which could cause serious damages to the company," it said earlier.