Trump threatens to seize Iran's Kharg Island and other oil infrastructure
President Donald Trump threatened to take Iran's Kharg Island and other oil-export infrastructure, escalating the conflict that has pushed Brent crude above $88 a barrel. The island handles roughly 90% of Iran's 1.6 million barrels-per-day exports.
Speaking at a White House briefing, Trump said "We will be taking Kharg Island, and we will be taking other oil infrastructure points." Pentagon officials confirmed to Reuters that CENTCOM commander Gen. Erik Kurilla is reviewing operational options. The island runs 14 loading berths handling 1.4 million barrels a day, equal to about 1.5% of global crude flows.
Brent crude climbed to $88.40 a barrel in Asian trading, with WTI rising to $84.90. Goldman Sachs analyst Daan Struyven told clients that an actual disruption of the Strait of Hormuz could push Brent into a $110-$130 band. JPMorgan strategist Natasha Kaneva said markets were not yet pricing in that scenario and still expected a controlled escalation.
A spokesperson for Iran's Revolutionary Guards said the statement would amount to "a declaration of war." Tehran's stock exchange index fell 4.2%, and the Turkish lira touched 41.80 against the dollar. This is not investment advice.
Read next
Bahrain releases footage of damage caused by intercepted Iranian drones
Bahrain's Interior Ministry released video showing damage from Iranian drones intercepted near the US Fifth Fleet headquarters in Manama. Fourteen drones were intercepted in 24 hours; one residential wall was partly destroyed, but no civilian casualties were reported.
Vance says Israeli PM Netanyahu 'has got some things wrong' on Iran strategy
Australia's Treasurer Chalmers warns of 'binary choice' as One Nation soars
Marles 'stood up' on AUKUS trip after UK Defence Secretary's shock resignation
Three Indian sailors killed in US strike on tanker in Gulf of Oman
