Kharg Island and the Strait of Hormuz: A Critical Flashpoint in the Iran Conflict

The strategic Kharg Island, a key hub for Iranian oil exports, has become a focal point in the escalating conflict between Iran, the United States, and Israel. Recent U.S. Strikes targeting military infrastructure on the island, while deliberately avoiding oil facilities, underscore its vital importance to both energy markets and regional security. The possibility of seizing Kharg Island is being considered as a means to pressure Iran to reopen shipping lanes in the Strait of Hormuz, which Tehran has effectively closed since the start of the war last month, driving up global oil prices.

The Strategic Importance of Kharg Island

Located in the northern Persian Gulf, Kharg Island is a narrow coral outcrop approximately five miles long. Despite its small size, it serves as the backbone of Iran’s crude oil export system. Energy analysts estimate that roughly 90% of Iran’s crude exports pass through terminals on the island [Iran International]. In 2025, the island handled about 96% of Iran’s crude exports, equivalent to roughly 1.54 million barrels per day out of a national total of about 1.6 million barrels per day [Iran International].

The island’s loading terminals were originally designed to handle up to seven million barrels per day and can service eight or nine supertankers simultaneously. Over 50 crude storage tanks on Kharg Island can hold more than 34 million barrels [Iran International]. Most of the crude shipped from Kharg originates from pipelines connecting mainland oil fields in southern Iran.

The Strait of Hormuz: A Global Energy Chokepoint

The Strait of Hormuz is the world’s most critical energy chokepoint. Approximately one-fifth of global oil consumption, around 21 million barrels per day, transits this narrow 21-mile-wide passage, along with a fifth of the liquefied natural gas trade, primarily from Qatar [National Interest]. Energy exports from Saudi Arabia, Kuwait, Iraq, Qatar, Bahrain, the UAE, and Iran all rely on this vital waterway to reach markets in Europe, India, China, and Japan [National Interest].

Disruptions to traffic through the Strait, as seen with Iran’s recent actions, have already sent oil prices soaring, impacting global supply chains [National Interest].

U.S. Military Operations and Potential Seizure of Kharg Island

On March 14th, President Trump announced that the United States had attacked military facilities on Kharg Island in what he described as “one of the most powerful bombings in the history of the Middle East.” U.S. Officials stated the strike was intended as a warning ahead of a possible ground operation [AP News].

Sources indicate that the U.S. Military intends to further weaken Iran’s military capabilities in the Strait of Hormuz before considering a seizure of Kharg Island. One source familiar with the White House’s position suggested that it would take approximately a month to achieve this weakening, seize the island, and then leverage it as leverage in negotiations [AP News].

The operation would necessitate an increase in U.S. Troop deployment to the region, with the Pentagon reportedly accelerating the transfer of several thousand Marines and sailors to the Middle East in preparation [AP News].

However, retired U.S. Vice Admiral Mark Montgomery cautioned that a mission to capture Kharg Island could put U.S. Troops at unnecessary risk, given the uncertain prospects for peace with Iran [AP News].

Other Key Islands in the Region

While Kharg Island is central to Iran’s oil exports, other islands also play a strategic role. Qeshm Island, located closer to the mouth of the Strait of Hormuz, hosts a number of Iranian missile bases [National Interest]. Other islands in the region, such as Lavan Island and Sirri Island, have smaller export capacities, processing roughly 200,000 and providing around 4.5 million barrels of storage, respectively [Iran International].

The situation remains fluid, and the potential for further escalation in the region is high. The control of Kharg Island and the security of the Strait of Hormuz will continue to be critical factors in determining the trajectory of the conflict.