Iran warns of energy market shock as conflict with US, Israel intensifies
Iran on Monday accused Israel of committing “ecocide” after shelling fuel depots in the capital Tehran, warning of severe environmental and health consequences for residents as hostilities in the region continue to escalate.
Iranian Foreign Minister Abbas Araghchi said the attacks violated international law and could cause long-term environmental damage. Writing on the social media platform X, he warned that contamination of soil and groundwater could affect public health for generations and called for Israel to be punished for what he described as war crimes.
Explosions were reported early Monday in Tehran and the nearby city of Karaj, according to Iranian media, as tensions remain high following joint military strikes launched by Israel and the United States on Feb. 28. Iranian officials say the attacks have killed around 1,300 people, including the country’s then–Supreme Leader Ayatollah Ali Khamenei.
Iran has responded with extensive drone and missile strikes targeting Israel as well as Jordan, Iraq and several Gulf countries hosting US military assets, further widening the regional confrontation.
Meanwhile, Iranian officials warned that any attack on Kharg Island—Iran’s main oil export hub—could significantly disrupt global energy markets. Alireza Tangsiri, commander of the Islamic Revolutionary Guard Corps (IRGC) Navy, said targeting the island’s oil infrastructure would create a “dangerous and unprecedented equation” for global oil prices and distribution. Kharg Island handles roughly 90% to 95% of Iran’s crude exports, averaging between 1.54 million and 1.7 million barrels per day in 2025.
The warning came after US President Donald Trump said the United States had destroyed military targets on the island and threatened to strike its oil facilities if Iran continued blocking shipping through the Strait of Hormuz.
Iran has effectively closed the strategic waterway since early March following the start of the joint US-Israeli attacks, raising concerns over global energy supplies.
Iran’s Islamic Revolutionary Guard Corps also dismissed US claims that its naval capabilities had been destroyed. IRGC spokesman Brig. Gen. Ali Mohammad Naini said Iran maintains full control over the Strait of Hormuz and challenged the United States to deploy naval forces to the Persian Gulf “if it dares.”
Naini said Iran has launched around 700 missiles and 3,600 drones against US and Israeli targets since the conflict began, vowing that attacks would continue until what he called the aggressors recognize Iran’s military strength.
