Iran's official agency, IRNA, said the ship, which was seized by Revolutionary Guards Army Marines on the grounds for "smuggling fuel" around Farsi Island in the Persian Gulf south of Iran, belonged to Iraq.

As a result of the operation carried out by the Revolutionary Guards, 700 thousand liters of illegal fuel oil were seized on board, the ship was towed to Bushehr port.

Iraq Says Has No Ties to Oil Tanker Seized by Iran

Iraq’s oil ministry said on Sunday it has no connection with an oil tanker seized by Iran's Revolutionary Guards in the Persian Gulf for smuggling fuel, a report said.

“The ministry does not export diesel to the international market,” the Arab country’s oil ministry said in a statement, Iraqi News Agency reported.

Iraq’s relevant authorities are working to gather information about the seized vessel, it added.

Two Iraqi port officials said initial information obtained show that the seized ship is owned by a private shipping company which is owned by an Iraqi private trader. (ILKHA)