Why attacks on Iran's Kargh Island could keep oil prices high

The bombardment took aim at military assets on the island, and has so far spared oil facilities

Oil tankers and cargo ships line up in the Strait of Hormuz as seen from Mina Al Fajer, United Arab Emirates, Wednesday, March 11, 2026. (AP Photo/Altaf Qadri)

About 20 miles off the coast of Iran lies the source of the petrostate’s economic lifeblood and the latest target of US military aggression: a small coral island through which nine in every 10 barrels of Iranian crude passes each day.

The US president’s decision to launch a weekend attack on Kharg Island, the home of Iran’s processing hub and the heart of its economy, is an unsurprising counterstrike to the Iranian regime’s ongoing chokehold on the oil market’s trade artery.