Donald Trump has threatened to seize a tiny island off the coast of Iran that handles 90% of the country's oil exports. If the US followed through, it would amount to a direct seizure of Iran's economic lifeline.
Kharg Island is a narrow, five-mile-long strip of land in the northern Persian Gulf, about 16 miles from the Iranian coast. It hosts Iran's main crude oil export terminal, capable of loading up to 7 million barrels per day. The island sits just northwest of the Strait of Hormuz, a strategically vital shipping lane through which about a fifth of the world's oil passes. For Iran, Kharg is the gateway to global oil markets – and therefore the backbone of its economy.
“Explains Kharg Island's role as Iran's main oil export hub and its strategic importance in the rising US-Iran conflict.”
Tensions over the island have escalated dramatically in recent days. On 11 June 2026, Trump posted on his Truth Social platform that the US would "be hitting Iran VERY HARD TONIGHT" and that "at some point in the not too distant future, we will be taking Kharg Island, and other oil infrastructure points, and assume total control of their Oil and Gas Markets." Hours later, US forces fired 49 Tomahawk missiles at targets inside Iran, including surveillance systems, communications networks and air defences. Iran retaliated by launching strikes against 18 US airbases in the region and closing the Strait of Hormuz to all shipping. The ceasefire between the two countries, already fragile, appeared close to collapse. Three Indian seafarers were killed in a US attack on an oil tanker, according to India's shipping minister.
The island is heavily fortified. Iran has installed additional surface-to-air missiles and laid anti-personnel and anti-armour mines in the surrounding waters, according to US intelligence sources cited by CNN. While analysts say US forces could likely seize Kharg quickly, an occupation would probably expand and prolong the war rather than deliver a quick victory or leverage in negotiations.
For UK readers, the standoff over Kharg Island matters because any disruption to oil exports from the Gulf risks sending global energy prices sharply higher. Britain imports a significant share of its crude oil from the region, and the closure of the Strait of Hormuz – which Iran has already ordered – directly threatens tanker routes that supply the UK. Higher petrol and heating costs could follow, adding pressure to household budgets. Beyond energy, the risk of a wider Middle Eastern war involving US allies in the Gulf, such as Kuwait and Bahrain, could draw in the UK, which maintains military bases and security partnerships in the region.
Q: What is Kharg Island, and why is it important? Kharg Island is a small island in the Persian Gulf that serves as Iran's primary oil export terminal. It handles about 90% of Iran's crude oil exports and can load up to 7 million barrels per day. Its location near the Strait of Hormuz makes it strategically vital for global oil supplies.
Q: Why has Trump threatened to seize it? Trump said the US would "assume total control" of Iran's oil and gas markets, comparing it to US policy in Venezuela. The threat came after ceasefire talks stalled and both sides traded missile strikes. Seizing Kharg would effectively cut off Iran's main source of revenue, but analysts warn it could escalate the conflict further.
Q: How would this affect the UK? The UK could face higher oil prices and potential supply disruptions if the Strait of Hormuz remains closed. British motorists would see increased fuel costs, and the broader economy could suffer from rising energy prices and instability in a region where the UK has strategic interests and military bases.
What happens next is uncertain. Trump has warned of more strikes if Iran does not agree to a US-brokered deal, while Iran has vowed to make the Middle East "hell" for American forces. The Strait of Hormuz remains closed, and diplomatic channels appear blocked. The coming days will determine whether the standoff leads to a full-scale war or a return to negotiations – but the fate of Kharg Island will be central to either outcome.