Tag Archives: Iran natural gas

Why the Iran War Feels Like Opening a Can of Worms

Iran has attacked dozens of vessels in the strait, often with small, unmanned boats carrying explosive charges or airborne drones. Other ships have been hit by projectiles, in the strait and in the Gulf of Oman and the Persian Gulf. Iran has began laying plans to allow select ships through, with Tehran’s Parliament considering a law to charge tolls. It raised the prospect that Iran could leverage its position and make deals with nations that need oil, gas and other commodities produced in the Persian Gulf region. “In practice, this creates a form of coerced interdependence: states that seek access to gulf energy may find themselves needing to accommodate Iran, whether directly or indirectly,” said Danny Citrinowicz, a national-security fellow at the Atlantic Council…

The extent to which Iran has seeded naval mines in the strait couldn’t be determined. It has a large array of different mines, including versions that can be anchored to the sea floor and detonated by remote control when a ship passes… Only 24 miles wide at its narrowest point, the Strait of Hormuz is such a confined space that cruise missiles can be fired from hundreds of miles away and still hit ships moving through it…

Houthi militants in Yemen, who are aligned with Iran, waged a two-month campaign in 2025 with missiles, drones and unmanned boats against international shipping that parallels Iran’s closure of the strait. The U.S. struck more than 1,000 targets in Yemen, but never succeeded in halting Houthi attacks fully until the two sides declared a truce in May 2025.

Excerpt from  David S. Cloud et al.,, U.S. War Planes and Helicopters Kick Off Battle to Reopen Hormuz, WSJ, Mar. 19, 2026



,

The Unintentional Making of a Global Power: Iran

In 2024, Iran, under Supreme Leader Ali Khamenei’s leadership, thwarted decades of U.S. pressure and emerged from years of isolation largely by aligning itself with Russia and China…Iran’s economy remains battered by U.S. sanctions, but oil sales to China and weapons deals with Russia have offered financial and diplomatic lifelines…Today, Tehran poses a greater threat to American allies and interests in the Middle East than at any point since the Islamic Republic was founded in 1979. 

Iran’s military footprint reaches wider and deeper than ever. Iranian-backed armed groups have hit Saudi oil facilities with missiles and paralyzed global shipping in the Red Sea. They have dominated politics in Iraq, Lebanon, Yemen and Syria, and launched the most devastating strike on Israel in decades, when Hamas attacked in October. Iran launched its first direct military attack from its soil on Israel in April 2024. It has also orchestrated attacks on opponents in Europe and beyond, Western officials say. 

“In many respects, Iran is stronger, more influential, more dangerous, more threatening than it was 45 years ago,” said Suzanne Maloney, director of the foreign-policy program at the Brookings Institution, who advised Democratic and Republican administrations on Iran policy. 

U.S. policy has at times unintentionally contributed to Iran’s strength. The 2003 toppling of Saddam Hussein removed a sworn enemy from Iran’s borders. Washington’s failure to stabilize postwar Iraq bolstered Tehran’s influence…

Excerpts from Sune Engel Rasmussen and Laurence Norman, How Iran Defied the U.S. to Become an International Power, WSJ, July 2, 2024

How Iran Copes with Sanctions?

According to the latest figures from the Natural Gas Vehicle Knowledge Base, Iran, with the world’s second-largest natural gas reserves after Russia, in 2011 became the world leader in natural gas vehicles with some 2.9 million on the road, narrowly edging Pakistan, which is trailed by Argentina, Brazil and India, respectively.  Iran’s reliance on its cleaner fossil fuel seems unlikely to diminish as international sanctions continue to bear down on its nuclear program, which in turn have curbed imports of gasoline; though Iran has large oil reserves, its ability to refine its own gasoline falls well short of its needs.  But for ordinary Iranian motorists, natural gas is less a geopolitical or environmental issue than a pocketbook concern. “This sort of fuel is cheap, and it gets me home every day — that’s what I care about,” said Sasan Ahmadi, a 42-year-old office assistant filling up his Iranian-made Kia Pride at a natural-gas station for his hour commute home.

The government began promoting natural gas about a decade ago, and not just in response to American-led sanctions. A big initial reason was the increasingly thick yellow blankets of smog that often engulf greater Tehran and its 12 million inhabitants. That was a result of rising auto sales by domestic carmakers like Iran Khodro and Saipa, which took off as oil revenue began rising sharply around 15 years ago, enriching tens of millions of Iranians…..

As a means to counter outside economic pressure, natural gas’s usefulness is clear. Because of its inadequate investment in oil refineries, Iran has long been forced to refine a portion of its own crude at refineries in Europe to satisfy rising domestic demand for gasoline. So when the European Union in July barred gasoline sales to the country, natural gas helped to blunt the blow.

Despite the sanctions against Iran, motorists like Mr. Ahmadi can make their commute for the equivalent of less than a penny a mile using the alternative fuel at subsidized prices. Gasoline is more expensive, especially because government subsidies have been reduced, but it is still incredibly cheap by Western standards: less than $1 a gallon….

Excerpt, THOMAS ERDBRINK, Oil-Rich Iran, Natural Gas Turns Wheels, New York Times, Oct. 23, 2012