Why US is weighing Kharg Island takeover — and why it is a major risk

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Amid the war in West Asia, US President Donald Trump initially suggested that he may not put “boots on the ground” in Iran. He may end up doing so after all — not in the mainland but in Iran’s strategic oil export terminal of Kharg Island.The US news outlet Axios reported Friday that the US administration is considering plans to occupy or blockade the island to pressure Iran into reopening the Strait of Hormuz. Iran’s effective blockade of the narrow maritime passageway, which accounts for a fifth of the world’s energy supplies, has sent energy prices spiralling.Kharg Island is a narrow, 8-km-long rocky outcrop that sits deep inside the Persian Gulf, around 50 km off the coast of Iran.The US, on March 13, bombed military targets on the island — through which about 90% of Iran’s oil exports flow — but spared its oil facilities. At that time, it seemed like the US was simply issuing a warning to Iran. The bombing raid now appears to have been a measure to lay the groundwork for a potential ground operation on this strategically located outcrop.Kharg Island is a crucial cog in the war in West Asia. But any mission to take over the island is fraught with danger — not only in terms of human casualties but also damage to oil facilities that could have a devastating effect on Iran’s economy as well as global oil flows. Here’s a look at the issue.The importance of Kharg IslandKharg Island is arguably Iran’s most sensitive economic target. Now, Trump is planning to take over the island through ground troops. The Axios report quoted a US official as stating that “three different Marine units are on their way to the region” and that “the White House and the Pentagon are considering sending even more troops soon”.But any move to take control of Kharg Island could potentially put American troops directly in the line of fire. This would be something that Trump would be reluctant to do given his pre-electoral promise of ending America’s “forever wars” and the general opposition to any such move within his MAGA (Make America Great Again) base.Story continues below this adAlso Read | Iran war: Why Ras Laffan and South Pars attacks compound India’s worriesThe problem, though, for the Americans is that Iran’s stranglehold over merchant traffic flowing through the Strait has pushed up global oil and gas prices. This is seen as strong leverage that the Iranian regime has in this conflict and its exports through Kharg have been a vital economic lifeline for the Islamic Revolutionary Guard Corps, enabling the regime to fight on.Axios said such an operation would only be launched after the American military “further degrades Iran’s military capacity around the Strait of Hormuz”.But an invasion also risks damaging the oil facilities on the export terminal. There’s a reason the US and Israel have left Khar Island’s oil infrastructure untouched so far — even amid the March 13 bombing raid.Story continues below this adAnd its location, so close to the Iranian mainland, also complicates matters.Destroying it would amount to neutralising almost all of Iran’s daily crude exports. That, in turn, would trigger a sustained increase in the already surging oil prices. It is unclear if a ground invasion of the island is able to effectively avoid any such damage. Kharg Island is very close to the Iranian mainlandControlling the Strait of HormuzApart from Kharg, there are at least three key islands in the region under Iranian control — Abu Musa, Greater Tunb and Lesser Tunb.Lesser Tunb, which Iran has controlled since 1971, is at the heart of a decades-long dispute with the neighbouring UAE.Story continues below this adWho is in charge of these islands would have a strong bearing on who controls the Strait, considered vital to the passage of both oil tankers and warships.According to experts, the waterway can be dominated better from these islands than from the Iranian mainland. And from a strategic standpoint, the islands could offer a better option for Americans if they were to indeed choose to put boots on the ground, given that it might be a comparatively better option than being stationed on the Iranian mainland.Graphs, Data and Perspectives | Amid West Asia war, why central banks are between a rock and hard placeThe flow of oil through KhargOn an average, around 1.5 million barrels of oil pass through Kharg every day, though Iran had sharply ramped up volumes to 3 million barrels a day in mid-February, according to the investment bank JP Morgan. This was in anticipation of a US-led attack. A further 18 million barrels are stored on Kharg as a backup, JP Morgan said in a note.Story continues below this adAs of late 2025 and early 2026, Iran’s total oil exports, including crude and condensate, were estimated to be around 1.8 million barrels per day, with the majority going to China. Production in early 2026 was reported near 3.1 million  barrels per day. Much of this was clearly routed through Kharg.Kharg is where pipelines from Iran’s oil fields in the middle and the west of the country terminate. Set up by a US oil conglomerate, American Oil Company or Amoco, it was seized by Iran during the 1979 revolution. Amoco continues to retail fuel brands under BP ownership.There is a view that since the Americans helped set up all this, they have a rightful stake on the oil infrastructure in Iran, including Kharg Island. That resonates with the American administration’s view on Venezuela’s oil infrastructure, which too the Americans helped set up almost half a century ago.