Tehran, IRNA - The Greek government released an Iranian-flagged oil tanker, which was seized two months ago, media sources said.

The ship carrying Iran's oil cargo had been seized by Greece under the US pressure to tighten its sanctions on the Islamic Republic of Iran.

The AFP news agency quoted a source in the Greek port police as saying that the seizure of the PEGAS tanker has been lifted and that the oil tanker may set sail again.

On April 19, Greek authorities impounded the 115,500-deadweight tonnage PEGAS, with 19 Russian crew members on board, on the southern coast of the island of Evia.

The tanker was reportedly carrying 115,000 tons of Iranian oil. Late in April, it was reported that the US Department of Justice had confiscated 700,000 barrels of the Iranian oil cargo.

The new development came after in mid-June, the Greek government overturned its recent decision to confiscate the Iranian oil tanker.

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