ReferIndia News What is Kharg Island? Iran’s vital oil hub at center of Trump’s explosive threat - Global fuel price shock already leading to a sharp rise

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What is Kharg Island? Iran’s vital oil hub at center of Trump’s explosive threat - Global fuel price shock already leading to a sharp rise

Published on: March 31, 2026, 7:28 p.m. | Source: The Economic Times

Kharg Island is located 24 kilometres off the coast of Iran in the northern Persian Gulf. It is relatively small — about 8 kilometres long and 4–5 kilometres wide — but hosts extensive infrastructure, including storage tanks, pipelines, and offshore loading terminals. Its strategic value is enormous. Iran is one of the world's largest oil producers, and oil and gas exports account for the majority of the country's revenue. Before the war, the small island was responsible for 90% of Iran's oil exports. US President Donald Trump said the US will "completely" obliterate Iran's electric generating plants, oil wells, and Kharg Island if the strategically vital Strait of Hormuz is not "immediately" reopened and a peace deal is not reached "shortly."

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