Detained for 3 Months... Imminent Release of Korean Chemical Ship and Captain Held by Iran

Possibility of Resolving Frozen Funds Issue for Iranian Crude Oil Exports in Korea Increases
Interpretation That Iran, Burdened by Long-Term Detention, Is Close to Making a Decision

Korean vessel Hankook Chemiho detained in Iran. Photo by DM Shipping

[Asia Economy Reporter Kim Heeyoon] There are observations that the release of the Korean vessel 'Hanguk Chemiho' and its captain, currently detained in Iran, is imminent.

On the 2nd, a diplomatic source stated, "I understand that consultations between Korea and Iran regarding the detention issue have made significant progress," and added, "The Hanguk Chemiho and its captain will be released soon."

Accordingly, it was reported that the diplomatic authorities expect a high possibility of the vessel and captain being released next week.

Currently, in Iran, there are a total of 14 people including 5 Korean crew members including the captain, 6 Myanmar nationals, 2 Vietnamese nationals, and 1 Indonesian national. Among them, only the captain is detained, while the other crew members are staying to maintain the vessel and prepare for the release.

Meanwhile, the specific reasons behind the imminent release have not been confirmed.

Previously, on January 4th, the Iranian Revolutionary Guard Corps seized the Korean oil tanker Hanguk Chemiho (17,426 tons) near Oman in the Gulf region, accusing it of violating marine environmental laws. At the time of the seizure, the Iranian side did not properly follow the relevant judicial procedures, causing controversy.

Subsequently, Iran claimed that the Korean government was holding $7 billion (about 7.7 trillion KRW) of Iran's crude oil export proceeds as 'hostage,' implying other motives behind the seizure of the vessel. Iran's claim was later confirmed to be related to the $7 billion of Iran's crude oil export proceeds frozen in Korean private banks due to U.S. sanctions.

In response, the two countries have been discussing transferring part of the frozen funds to an Iranian account in Switzerland to be used through the Swiss Humanitarian Trade Arrangement (SHTA). Additionally, the Korean government has been making efforts to expand trade of humanitarian goods such as medicines using the frozen funds.

Some speculate that Iran understands the difficulty of unfreezing funds without U.S. consent and is considering the release in recognition of the Korean government's efforts. There is also an interpretation that from Iran's perspective, it would have been burdensome to continue holding the vessel for over three months.

Earlier, the Ministry of Foreign Affairs stated regarding the frozen funds in Iran, "We have explained to the Iranian side that we will promptly proceed with matters that our government can resolve independently, and will conduct transparent consultations with the U.S. on issues requiring coordination with them."

This content was produced with the assistance of AI translation services.