Iran and its biggest oil customer China have agreed to change the terms of their long - term oil deal to a delivered ex - tanker , basis , so that Iran will cover all the costs and risk of delivering crude , along with handling the insurance for oil shipments . The move is in response to the US re - imposing sanctions on the Middle Eastern country and differs from the previous free - on - board terms . In July , all 17 tankers chartered to deliver Iranian oil to China were operated by National Iranian Tanker Co. ( NITC ) , with a load of 23.8 million barrels of crude .
Iran and its biggest oil customer China have agreed to alter the terms of their long-term oil deal to a delivered ex-ship, basis, so that Iran will cover all the costs and risk of delivering crude, along with handling the insurance for oil shipments. The move is in response to the US re-imposing sanctions on the Middle Eastern country and differs from the previous free-on-board terms. In July, all 17 tankers chartered to deliver Iranian oil to China were operated by National Iranian Tanker Co. (NITC), with a load of 23.8 million barrels of crude.