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IRGC Vows 'Not A Drop Of Oil & Gas Will Be Exported' From Region Amid Sustained Cross-Gulf Fighting

Tyler Durden's Photo
by Tyler Durden
Authored...

Summary:

  • Iran-US fighting is sustained but in tit-for-tat pace, with new reported strikes across the Gulf.
  • Trump declares FULL blockade on Iranian ports, while IRGC asserts 'wartime control' of Hormuz.
  • Trump drops 20% transit fee plan; oil prices ease.
  • Multiple tanker attacks over past day again disrupt shipping & cause casualties.
  • Regional conflict expands with reported Houthi missiles on Saudi Arabia.
Strait of Hormuz traffic returns to normal by August 31?
Yes 12% · No 89%
View full market & trade on Polymarket

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IRGC: Iran to 'Control Entire Strait in Wartime'

Amid ongoing cross-Gulf attacks today between Iranian and US forces, the IRGC says they targeted enemy weapons and parts storages in Bahrain and Kuwait. This after the US appeared to attack some critical Iranian infrastructure on coastal islands.

The IRGC has issued a fresh statement via state media on Tuesday, saying that "as long as the US evil stays in the region, not a drop of oil and gas will be exported from the region." It said further, per the press release:

  • US aggression will have no result other than delaying the opening of the Strait of Hormuz.
  • Targeted drone ramp in Kuwait's Ali Al Salem air base; today's attacks in response to US attacks on Iran.

ABC is meanwhile reporting during the mid-afternoon (US time) that American airstrikes on Iran have been underway for the last couple of course. And yet still, Iran's IRIB has said that the Islamic Republic "must control the entire Hormuz Strait in wartime".

The region is being plunged back into full-fledged war, also as fighting between the Saudis and Houthis in Yemen appears to be breaking out.

Morning warnings from Tehran late Tuesday: Iran's deputy foreign minister says if the US thinks its military attacks and blockade will force them to request negotiations, it's making a mistake.

Trump Backs Off 20% Fee Plan For Hormuz, Asserts 'FULL Blockade' 

It's the return of another TACO Tuesday as President Trump in a lengthy Truth Social missive appears to have reversed his plan to collect a 20% of cargo fee for international vessels wishing to transit the Strait of Hormuz.

"Oil is flowing like never before," he began (except it's not...), before writing, "Based on highly productive conversations with Middle East leadership, I have decided to replace the 20% United States Reimbursement Fee with Trade and Investment Deals that the various Gulf States will be making into the United States. Those Investments will be MASSIVE but, at the same time, extraordinarily good for them, and their future." He echoed the same in follow-up with reporters at the White House:

So Gulf allies, and likely officials within his own cabinet, have talked Trump out of the 20% collection scheme idea, which would have likely in the end just shifted leverage back over to Iran, given its own much cheaper passage protocol scheme.

US OIL PARES GAINS, WTI TRADES NEAR $78/BBL

Oil prices decline on the stated reversal in plans:

...amid emerging reports of fresh Iranian attacks on Kuwait:

The battle for Hormuz has ramped up after the United States has undertaken three consecutive nights of major bombing raids against Iranian targets.

All the while President Trump is said to be "very serious" about his plan to impose a 20% toll on cargo transiting through the Strait of Hormuz, a Semafor report says, citing a White House official who says the president has desired such a plan for months. Both warring sides are insisting that it is their side alone which will be 'guardian' over the strait.

AFP/Getty Images

Iran FM Trolls Trump Toll Scheme

Iran's foreign minister Abbas Araghchi took some jabs at the proposed US plan soon after Trump unveiled it on Truth Social.

"POTUS is absolutely right. Whoever provides secure and safe passage of commercial vessels through the Strait of Hormuz should be compensated for this service," Araghchi wrote on X. "20% is of course too much. We will be fair," he added.

Below: ongoing reports that the Houthis are entering the war after Monday missile attacks on the kingdom:

The same day, a clip of Secretary of State Marco Rubio from late June insisting that "no country" can extract tolls went viral. "That's the law. It's an international waterway. No country is allowed to charge tolls or fees on an international waterway," Rubio said.

"That's existing international law. That's the way it is in international waterways all over the world and that's the way we'll expect it'll be here." He added: "I think all the countries in this region would agree."

Meanwhile Iranian sources continue to warn the West, also with dramatic images of tankers exploding:

Gulf Air Defenses Active Night & Morning

German shipping company Hapag-Lloyd says also agrees that charging fees for what is in reality international waters and thus under the control of no single nation "would be fundamentally wrong".

Even amid a relentless bombing campaign, Iranian forces have not shown signs of backing off their enforcement of their navigation protocol.

The Islamic Revolutionary Guard Corps has on Tuesday newly "targeted and disabled" two supertankers for switching off navigation systems which involved "ignoring warnings and endangering navigation," according to Tasnim.

Al Jazeera reports early Tuesday, "It's been an active night and morning for air defense systems in several countries in this region because of missiles and projectiles fired from Iran."

"This has affected the ship traffic passing through the Strait of Hormuz. Yesterday, we saw the lowest number of ships passing in five weeks," it continues, adding: "There were only six ships. The day before that, there were 14."

Multiple Tankers Attacked Over Past Day, Casualties

At least three tankers have been struck overnight into Tuesday, with among them:

The tanker Stolt Magnesium has caught ⁠fire after the “explosion of an unidentified external device” as it was ⁠sailing in the Arabian Sea off Oman, its ⁠manager, Stolt Tankers, says.

The incident occurred at 12:40am (20:40 GMT on Monday) and caused a fire in the ‌vessel’s engine room, the company said in a statement.

The UAE and Gulf allies have strongly condemned the 'brazen' attacks on international shipping.

Source: CNN

There are growing deaths among seafarers in what's obviously the world's most dangerous and volatile energy transit water way. India has formally summoned Iran's deputy ambassador after an Indian sailor was killed.

According to the UAE defense ministry, the casualty occurred when two Iranian cruise missiles targeted two UAE vessels in the crucial shipping lane, leaving one Indian national dead and eight others wounded.

More latest developments

via Newsquawk...

  • US President Trump reiterated that Iran has no air force, no navy and no military, while he said they will hit Iran very hard on Monday night and on Tuesday. Trump said they had a deal yesterday and that Iran breaks deals, as well as commented that the MoU was built to test Iran and that Iran didn't honour it. Trump also stated that they will hit 'Pickaxe Mountain' pretty soon and have their eyes on the site all the time, which is a good potential target
  • US Central Command announced that it conducted and completed a third consecutive night of strikes against Iran, with US strikes reported in Bushehr, Bandar Abbas and Bandar Kangan, while explosions were also reported in Iran's Qeshm Island and Kish Island. More recently, there have been reports of explosions have been heard near Bandar Abbas, Bushehr and Choghadak.
  • Details of US President Trump’s proposed Strait of Hormuz toll plan are still being finalised, according to Semafor, saying Trump is 'very serious about the tolls.
  • Iran's armed forces have begun targeting US naval vessels in the Strait of Hormuz with cruise missiles, Al Mayadeen reported.
  • Iranian Army Spokesperson said the Strait of Hormuz will not be open with US aggressions and war, SNN reported.
  • IRGC said it targeted weapons warehouses, satellite communications centres, and US forces' housing building at Bahrain's Juffair base. Iran's army also targeted US military facilities and equipment in Kuwait with drones, as well as targeted a 'hostile' US vessel with cruise missiles, while it was separately reported that a US military base in Jordan was hit by a missile attack and that a missile attack hit an Iranian Kurdish opposition group site east of Iraq's Erbil.
  • UKMTO received a report that a tanker was hit by an unknown projectile 40NM northeast of Qalhat, Oman. UKMTO reports of an incident 13NM southeast of Lima, Oman, the tanker was reportedly hit by a missile transiting outbound on the southern route
  • The UAE Defence Ministry reported that two national tankers were targeted by Iranian cruise missiles in the southern Strait of Hormuz, with the incident occurring in Omani territorial waters, although the fires on both tankers were brought under control, and it reserved the right to respond to the escalation.
  • ADNOC confirmed tankers "Al Bahyah" and "Mombasa B" were hit in the Strait of Hormuz.
  • Oman’s Foreign Minister said complex talks are under way to make a long-term arrangement to guarantee freedom of navigation through the Strait of Hormuz.
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