THE SANCTIONS MAZE –WHERE WE ARE AND WHERE WE ARE GOING

MIKE SALTHOUSESHIPPING AND THE LAW NAPLES – 7/8 OCTOBER 2014

WHERE WE ARE

Extraterritorial

Target Financial Services

Highly Effective

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REDUCTION IN OIL EXPORTSTOP ENERGY BUYERS FROM IRAN AND REDUCTIONS (amounts in barrels per day, bpd)

Country/Bloc 2011 Average Current Average EUROPEAN UNION (ParticularlyItaly, Spain and Greece)

600,000 Negligible

China 550,000 420,000

Japan 325,000 210,000

India 320,000 200,000

South Korea 230,000 150,000

Turkey 200,000 120,000

South Africa 80,000 0

Malaysia 55,000 Negligible

Sri Lanka 35,000 Negligible

Taiwan 35,000 Negligible

Singapore 20,000 Negligible

Other 55,000 Negligible

Total 2.5 mbd 1.1 mbd3

EFFECT ON IRANIAN ECONOMY

Hard CurrencyDepletion

GDP DeclineCurrency Decline

InflationIndustrial

Production

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WIDESPREAD APPLICATION

5

USA

WIDESPREAD APPLICATION

6

EUROPE

WHAT DO THEY MEAN IN PRACTICE?

Trade Prohibitions

Operational Interference

Unlawful Trading

Cover Exclusions

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WHAT DO THEY MEAN IN PRACTICE?

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WHAT’S COMING UP

IRAN

SYRIA

RUSSIA/UKRAINE

DPRK

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CONCLUSION

Sanctions Are Here To Stay

2010 - Ignorance

2014 – Detailed Knowledge

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THANK YOU