With the US signalling the willingness to lift sanctions on Iranian petroleum trade, a huge wave of tanker scrapping could be expected in the coming months.

Clandestine companies have amassed large tonnage in recent quarters for the high-risk, high-reward trade, and their vessels have complemented National Iranian Tanker Co (NITC)'s own fleet.

Tanker experts believe most of the ships would be too old to compete with modern tonnage if sanctions are lifted, and that their demolition would bode well for long-term market fundamentals.