The United States has attacked “the jewel in the crown of Iran”: the island of Kharg, through which 90% of the Islamic Republic’s crude oil exports pass and is key to the international oil market.
President Donald Trump announced early Saturday morning (in Spain) that the attack, one of the “most powerful in the history of the Middle East,” had “completely eliminated all military objectives on the island.” “Our weapons are the most powerful and sophisticated the world has ever known, but, for reasons of decency, I have chosen NOT to destroy the island’s oil infrastructure,” the Republican added on his Truth Social social network.
However, he has warned that “if Iran or any other country did anything that interfered with the free and safe transit of ships through the Strait of Hormuz,” the US could attack that key infrastructure for the Iranian regime and also for the stability of the energy markets.
An attack that would put the Jarg terminals out of service would further depress the price of crude oil, as it would be equivalent to taking all of Iran’s daily oil exports off the market. “It is too important for global energy markets,” Neil Quilliam, an expert at the Chatham House think tank, told The Guardian.
Lynette Nusbacher, a former British Army Intelligence officer, also agreed that destroying Jarg or damaging export facilities “risks causing an increase in the price of oil that would affect the economy and would not fall quickly.”
No damage to oil facilities
This Saturday, Iranian authorities assured that oil facilities have not been affected by the US attack, which was limited to military facilities, according to the semi-official Fars news agency.
“Export and import operations, as well as the activities of companies based on the island, continue normally,” said Ehsan Jahaniyan, deputy governor of Bushehr province, of which Jarg is a part, in statements reported by Nour News, a media close to Iran’s Supreme National Security Council. Jahaniyan has also assured that life is going on normally on the island and that the attacks caused no victims.
Official Iranian sources, cited by the Mehr agency, have indicated that the island remains under total control of Iran after the attack, which “did not achieve its objectives.” The same sources have stated that essential oil infrastructure was not damaged and that all operations continue normally. For its part, the Tasnim agency, close to the Revolutionary Guard, has assured that there were no casualties among the armed forces, employees of oil companies or residents of the island.
The US Army Central Command itself said in a statement that the early morning attack “destroyed naval mine storage facilities, missile bunkers and other military sites,” up to a total of 90 military targets, but “without damaging oil infrastructure.”
Typically, between 1.3 and 1.6 million barrels of oil a day pass through Jarg, although Iran increased the volume to 3 million a day in mid-February, according to investment bank JP Morgan, in anticipation of a US-led attack. That financial entity estimates that 18 million barrels of reserves are kept in the island’s facilities.
For its part, the Iranian Army has responded to the US bombing with a threat that is not very reassuring for world markets.
“In the event of an attack on the oil, economic and energy infrastructure of the Islamic Republic of Iran, all oil, economic and energy infrastructure belonging to oil companies throughout the region that have US shares or cooperate with the United States will be destroyed and turned into a pile of ashes,” the Central Headquarters spokesperson warned.
Source: www.eldiario.es
