Despite coordinated air strikes by the US and Israel on March 2, 2026, crude oil loading operations resumed at Iran’s Kharg Island terminal two days later, signaling resilience in Tehran’s export infrastructure. The continuity of shipments supports elevated oil market volatility and strengthens supply risk premiums.
- Crude loading at Kharg Island resumed on March 2, 2026, two days after US-Israel strikes
- Loading volumes remained at approximately 2.8 million barrels per day
- WTI crude futures (CL=F) rose 4.2% to $89.30 per barrel post-strike
- VIX index climbed to 28.7, indicating heightened market volatility
- Energy ETF USO gained 3.1% on supply risk concerns
- No confirmed damage to export infrastructure at Kharg Island
Crude oil loading at Iran’s Kharg Island terminal resumed on March 2, 2026, just two days after the US and Israel conducted joint airstrikes under the codename Operation Epic Fury. The terminal, Iran’s primary export hub for crude, remains operational, with loading volumes reported at approximately 2.8 million barrels per day, consistent with pre-strike levels. This sustained output undermines the strategic intent behind the military action, which aimed to disrupt Iran’s oil export capabilities. The resilience of Kharg Island underscores the hardened nature of Iran’s energy infrastructure, even under direct military pressure. Despite the strikes, no major damage to export facilities or storage tanks was confirmed, and tanker movements continued uninterrupted. This continuity suggests that Iran has implemented robust redundancy measures, including underground storage and alternate loading protocols, minimizing operational downtime. The market response was immediate: West Texas Intermediate (WTI) crude futures, tracked by CL=F, rose 4.2% to $89.30 per barrel following the confirmation of resumed loading. The VIX index, a gauge of market volatility, spiked to 28.7, reflecting heightened geopolitical risk premiums. Energy ETF USO also gained 3.1%, reflecting investor concern over supply continuity amid regional tensions. The ongoing operations at Kharg Island have implications beyond price signals. They suggest that coordinated strikes may not achieve their intended economic impact, potentially encouraging Iran to maintain or escalate its support for proxy groups in the region. This dynamic increases the risk of further military escalation, particularly in the Strait of Hormuz, a critical chokepoint for global oil shipments.