Indonesia To Auction Seized Iranian Tanker With 167,000 Metric Tons Of Oil At $69.5 Million

Indonesia’s Attorney General’s Office has announced that it will auction the Iranian-flagged oil tanker MT Arman 114 along with its cargo of light crude oil on 30 January.

The decision comes after an earlier auction held in December 2025 failed to attract any buyers.

The MT Arman 114 is a Very Large Crude Carrier (VLCC) measuring more than 300 metres (984.25 ft) in length.

Indonesian authorities seized the vessel in 2023 in the North Natuna Sea, after suspecting it of carrying out an illegal ship-to-ship transfer of crude oil without the required permits.

According to the Attorney General’s Office, the tanker and its cargo, estimated at about 167,000 to nearly 170,000 metric tons, or roughly 1.25 million barrels, of light crude oil, will be sold together as a single package.

The auction will be conducted through the Batam office of the State Assets and Auction Service Office, with bids submitted via Indonesia’s official auction portal.

The minimum price has been set at 1.17 trillion rupiah, or about $69.5 million, and bidders must provide a guarantee of 118 billion rupiah.

The vessel, built in 1997 in South Korea, is currently anchored off Batu Ampar in Batam, located in Indonesia’s Riau Islands province.

Authorities said the tanker will be sold on an “as is, where is” basis.

Participation in the auction is limited to companies that hold valid oil processing or oil trading licences under Indonesia’s energy ministry regulations, with required documents to be submitted by 27 January.

The seizure followed an investigation into an illegal oil transfer that took place in July 2023.

The ship’s Egyptian captain was later convicted in absentia on pollution charges and sentenced to seven years in prison, leading the court to order the forfeiture of both the tanker and its cargo.

Iran denied in 2023 that the tanker was owned by Tehran. Indonesian authorities also said that they were unable to contact the operators of the MT Arman 114.

Reference: Reuters

Source: Maritime Shipping News