On Friday, Donald Trump said US Central Command had carried out "one of the most powerful bombing raids in the history of the Middle East," claiming the strikes had destroyed all military targets on Kharg Island, a critical hub for Iran's oil exports.

He added that, "for reasons of decency," the United States had chosen not to target the island's oil infrastructure.

Iran holds 10 percent of the world's proven oil reserves and 15 percent of its gas.

Iranian state media reported the oil facilities were not damaged. The Fars News Agency said the strikes instead targeted air defense systems, a naval base, the airport control tower and a helicopter hangar.

After the strikes, Iran's military warned that if its energy facilities were attacked, oil and energy infrastructure belonging to companies working with the United States would be "immediately destroyed and turned into a pile of ashes."

Why is this island seemingly such a key target for the US?

Where is Kharg Island?

Kharg Island is a small coral island in the Persian Gulf, located 55 kilometers northwest of the Bushehr port and about 28 kilometers from the Iranian mainland.

Despite its size, the island is home to major oil storage tanks, export terminals and housing for thousands of workers. It has long served as the central hub for Iran's offshore oil operations.

Satellite imagery and shipping data from maritime intelligence firm TankerTrackers.com show that oil tankers have continued loading crude there even after the latest escalation.

Why is it important?

1. Center of Iran's oil exports

Kharg Island handles 90 percent of Iran's crude oil exports, approximately 950 million barrels every year. Iran has exported around 13.7 million barrels since the war began on February 28, with shipments leaving from the island.

Oil sales are a major source of revenue for Iran, with exports flowing to buyers including China.

The island measures about 8 kilometers long and 4–5 kilometers wide, and its surrounding deep waters give it a natural advantage as an oil export hub. The depth allows large supertankers to dock safely and load crude oil bound mainly for Asian markets, with China the largest importer.

The terminal receives crude from three major offshore fields – Aboozar, Forouzan, and Dorood – which is transported through a network of subsea pipelines to processing facilities on the island before being stored or shipped abroad.

2. A critical economic lifeline

The island has storage tanks in the south, along with housing for thousands of workers. The refineries and depots on the island that make Kharg one of Iran's most valuable and sensitive assets.

Energy analysts say the island effectively acts as the main gateway of Iran's oil economy.

Petras Katinas, an energy researcher at the Royal United Services Institute, said Kharg Island is crucial to funding Iran's government and military. If Iran lost control of the facility, it would be extremely difficult for the country to function economically.

Taking the island would effectively cut off the the Islamic Revolutionary Guard Corps' (IRGC) economic lifeline, impacting its ability to be able to conduct war.

3. A potential pressure point

Analysts say targeting Kharg Island could dramatically affect the balance of the conflict.

Research from JPMorgan warns that a direct strike on the island could halt most Iranian crude exports, triggering wider consequences in global energy markets.

It could also provoke retaliation in the Strait of Hormuz, the narrow shipping lane through which a large share of the world's oil supply passes.

Striking it would risk escalating the war dramatically by disrupting oil supplies and threatening energy infrastructure across the Gulf.

4. Why it has rarely been attacked

Despite its importance, Kharg Island has rarely been directly targeted in conflicts.

The last time the island came under sustained attack was during the Iran–Iraq war in the 1980s, when Iraq repeatedly bombed its oil facilities. Despite the damage, the strikes did not stop crude exports from the terminal. 

TankerTrackers said that even after Iraqi forces destroyed several storage tanks, the island continued operating and "was still able to export over 1.5 million barrels per day."  

There has been speculation over whether US forces might at some point attempt to seize Kharg Island.

Such a move could not only cut off Iran's oil exports but also provide a strategic base for potential operations against the mainland.

US media have reported that amphibious ships carrying up to 5,000 Marines and sailors are being deployed to the Persian Gulf, fueling further speculation.

The United States Department of Defense has declined to comment.