Iranian Oil Tycoon Shamkhani Reportedly Linked to Supplying Missiles and Drone Components to Russia

Hossein Shamkhani, an Iranian businessman and son of Ali Shamkhani, a senior advisor to Supreme Leader Ayatollah Ali Khamenei, reportedly plays a significant role in the supply of Iranian arms to Russia.

According Bloomberg, his business network facilitates approximately 25% of Iranian weapons shipments to Moscow, primarily through maritime routes across the Caspian Sea.

Shamkhani oversees a complex web of companies involved in oil exports and logistics, with operations spanning countries outside the reach of international sanctions. This includes firms like Dubai-based Crios Shipping LLC, which has been central to recent arms transfers.

Since mid-2023, several Crios vessels have shifted from Mediterranean and Black Sea routes to the Caspian, making frequent trips between Iran and Russia. Ships like Sea Castle (Tooka) and Sea Anchor (Roja) have been involved in at least five voyages from Iranian ports to Russia’s Astrakhan, according to Bloomberg’s ship tracking data. These vessels, though small by international shipping standards, are sufficient for transporting arms on short journeys across the Caspian.

In 2023, at least two vessels linked to Shamkhani’s companies transported missiles, drone components, and dual-use goods from Iran to Russia, according to Bloomberg. The shipments, conducted under strict secrecy to avoid leaving paper trails, coincide with Moscow’s increasing use of Iranian weaponry in its operations in Ukraine.

The Shamkhani network reportedly includes a fleet of oil tankers and cargo ships, hedge fund offices in London, Geneva, and Singapore, and other entities that have operated in collaboration with Iran’s Ministry of Defense and Armed Forces Logistics. Ships like the Sea Castle and Sea Anchor have conducted multiple voyages between Iranian ports and Russia’s Astrakhan since mid-2023, transporting weapons and other goods. These ships, though modest in size, are sufficient for short-distance arms deliveries.

Trade between Russia and Iran reportedly includes barter exchanges, with Moscow compensating for arms deliveries with petroleum shipments.

A US State Department spokesperson emphasized that the US has been warning about the growing security partnership between Russia and Iran since Russia’s full-scale invasion of Ukraine. The spokesperson stated, “This partnership threatens European security and illustrates how Iran’s destabilizing influence reaches beyond the Middle East and around the world.”

Earlier, Ukrainian Intelligence identified 238 Russian vessels as part of a shadow fleet, which includes aging tankers used in joint oil operations with Iran. These vessels, often flagged under convenience countries, are crucial to bypassing sanctions. The shadow fleet has allowed both Russia and Iran to continue exporting oil.