Gibraltar said it could not comply with the warrant, issued by a federal court in Washington, because it was bound by EU law.,

US officials have claimed the oil was destined for a designated terrorist organisation.

The unsealed court documents argued Iran’s IRGC is the ship’s true owners through a network of front companies.

But authorities in Gibraltar said that, unlike in the US, the IRGC is not a designated terrorist organisation under EU, British or Gibraltan law.