| 27 May 2024, Monday |

How much are Hezbollah’s profits from Iranian diesel?

The deal between Iran and Hezbollah was shrouded in secrecy, and its details in terms of quantity and prices were not disclosed. Since the Iranian fuel is not included in the global stock market and is not sold at the globally recognized average price, and since demand for Iranian oil does not exist due to US sanctions, the estimates of the price of a ton of Iranian diesel is based on the sales that took place between Iran and China last year and between Iran and Venezuela currently, knowing that Iran, due to sanctions, sells its oil at a discount of 50 percent to its customers.

According to expert’s estimates the price of a ton of Iranian diesel is at $300 after adding the costs of shipping and land transport from Syria to Lebanon. This indicates that Hezbollah is making profits of about $250 per ton, as it has set the selling price of diesel cannister at 140,000 LBP, equivalent to 8.2 million LBP per ton, or $550 dollars, at the exchange rate of 15,000 LBP.

Thus, the first shipment of diesel fuel which involves about 33,000 tons, will generate profits equivalent to about $8 million. If we assume that a part of the diesel was granted free of charge profits may fall to about 5 million LBP per ship.

It is worth noting that the second fuel ship is currently on its way to Lebanon, and it will be followed by a third ship of gasoline and a fourth ship of diesel.

How many millions of dollars will go under the slogan of humanitarian aid?

  • Sawt Beirut International