Members will know that the sanctions regime in respect of Iran continues to be in place, despite the extension of the so called "easing" for the 5+1 negotiations with Iran. Recent information indicates there are renewed attempts to circumvent the sanctions on the export of Iranian crude and tanker owners and operators need to remain on alert for this risk. The Association is grateful to Hannaford Forensic Services (Asia) Limited for contributing to this update. Contango and STS operations Members were recently alerted to the risk of Iranian oil being shipped in breach of sanctions by way of Ship to Ship transfer operations (STS) taking place in the Persian Gulf (Iran sanctions and STS). The modus operandi appears to be that Iranian crude is being taken to Iraq, or is being marketed as originating from Iraq, and thereafter is transferred via a STS operation along the Persian Gulf. These shipments are likely to be in breach of sanctions should they not ultimately be received at a country benefiting from the US National Defence and Authorisation Act (NDAA) waiver. With the oil storage trade experiencing a boom following the recent dramatic drop in oil prices there is likely to be more activity in the Persian Gulf and nearby areas involving vessels used as floating storage facilities and repeat STS operations. These developments may make it more likely that Iranian crude is being hidden and disguised by way of a number of consecutive storage and STS operations, as well as blending with other crude, which can make it difficult to trace the true origin of the cargo. The reason is that Iran needs exports to earn foreign currency, and the fall in oil prices will require Iran to sell more to achieve the same revenue level. As such, Iranian activity is likely to increase while oil prices remain at present low levels. Members are therefore advised to take extra care when taking crude oil from the Gulf unless the origin can be easily proven or is physically demonstrated. With r