Explosions hit Iran’s key oil hub Kharg Island as war escalates

TEHRAN: Explosions were reported on Iran’s Kharg Island on Tuesday, Iranian media said, in what could mark a major escalation in the conflict involving the United States and Israel, targeting a facility that handles the bulk of Iran’s crude exports.

Kharg Island, located in the Gulf, is Iran’s most critical oil export terminal, accounting for about 90 per cent of the country’s crude shipments. Any disruption to the facility risks significant fallout for global energy markets already strained by the conflict.

Iranian outlets, including the semi-official Mehr News Agency, reported multiple blasts on the island, though there was no immediate confirmation of the extent of damage or casualties.

The reported strikes come as tensions intensify ahead of a deadline set by U.S. President Donald Trump for Iran to reopen the Strait of Hormuz, a vital oil shipping route Tehran has disrupted during the conflict.

Strategic target in widening conflict

Kharg Island has long been seen as a strategic vulnerability for Iran. The terminal is connected to the country’s largest oil fields and serves as the primary loading point for tankers exporting crude, much of it to Asia.

The island was last heavily targeted during the 1980s Iran-Iraq war under Saddam Hussein, highlighting its longstanding role as a high-value military and economic target.

Analysts say any sustained attack on the facility could severely dent Iran’s revenues and further disrupt global oil supplies, particularly as the conflict has already led to sharp price increases and supply uncertainty.

Part of broader military escalation

The reported blasts follow weeks of escalating strikes between Iran and its adversaries. Iranian media have previously attributed attacks on infrastructure, including bridges and other facilities, to U.S. and Israeli forces, though independent verification remains limited.

The conflict, which began with large-scale strikes on Iranian targets in late February, has expanded across the region, drawing in multiple countries and threatening key energy infrastructure.

Iran has rejected calls for a ceasefire and warned of further retaliation, while Washington has signalled it could expand attacks if its demands are not met.

Global oil markets on edge

Markets reacted nervously to the reports, with oil prices rising and global equities slipping amid fears of further disruption to energy supplies.

The Strait of Hormuz, through which roughly a fifth of global oil passes, remains partially blocked, exacerbating concerns about a prolonged supply shock.

Energy analysts warn that any prolonged outage at Kharg Island could deepen the global energy crisis and push prices higher, as alternative export routes lack the capacity to fully replace the terminal.

There has been no immediate comment from U.S. or Israeli officials on the reported strikes.