Economy March 19, 2026

U.S. Says It Is Not Striking Iran’s Energy Infrastructure; May Clear Blocked Oil Shipments

Treasury chief signals possible sanction relief for oil already at sea and flags options to bolster supply

By Derek Hwang
U.S. Says It Is Not Striking Iran’s Energy Infrastructure; May Clear Blocked Oil Shipments

U.S. Treasury Secretary Scott Bessent told Fox Business Network that Washington is not targeting Iran's energy infrastructure amid tensions with Iran and Israel, and that the administration may lift sanctions on Iranian oil currently on water in the coming days. He also said the U.S. has allowed Iranian oil to keep flowing from the Gulf, flagged about 140 million barrels tied up at sea, and noted the option of another Strategic Petroleum Reserve release to help lower prices.

Key Points

  • U.S. policy is not directed at Iran's energy infrastructure, reducing the risk of deliberate disruption to production or export facilities - impacts energy and oil markets.
  • Approximately 140 million barrels of Iranian oil are currently on the water; the U.S. may lift sanctions on that supply soon, which could increase physical crude availability - impacts oil supply chains and refiners.
  • The Treasury signals possible use of an additional Strategic Petroleum Reserve release to help contain prices while avoiding direct intervention in futures markets - impacts crude benchmarks and downstream fuel costs.

U.S. Treasury Secretary Scott Bessent said Thursday in a Fox Business Network interview that the United States is not attacking Iran's energy infrastructure in the context of the ongoing U.S.-Israel conflict with Iran. He emphasized that Tehran's oil has continued to flow out of the Gulf despite the heightened tensions.

Bessent said Washington may move to lift sanctions on Iranian oil that is already on the water within the coming days. He provided an estimate that the oil currently at sea amounts to roughly 140 million barrels, and suggested there remains additional capacity for policy action to influence overall global oil supply.

On supply-side policy tools, Bessent raised the possibility of another release from the Strategic Petroleum Reserve to help keep prices in check. He stressed, however, that the U.S. Treasury is not intervening in futures markets. Instead, he described the government's current role as creating excess physical supply by easing restrictions on oil that is on the water.

"We are not doing a financial market intervention," Bessent said, clarifying the distinction between actions that affect paper markets and those that alter physical availability of crude.

Addressing international dimensions of energy security, Bessent said he would expect countries such as Japan to be interested in securing oil supplies from the Gulf. He added that U.S. President Donald Trump has an excellent relationship with the Japanese leader, an observation offered in the context of anticipating international cooperation on energy flows.


Summary of key elements:

  • U.S. is not targeting Iran's energy infrastructure amid current conflicts.
  • Iranian oil has been permitted to continue leaving the Gulf; about 140 million barrels are currently on the water.
  • The U.S. may lift sanctions on that oil in the coming days and could consider another Strategic Petroleum Reserve release to ease price pressures.
  • Treasury distinguishes physical supply actions from interventions in futures markets, saying it is not conducting a financial market intervention.
  • Japan is expected to show interest in Gulf oil supplies, with bilateral ties noted between U.S. and Japanese leaders.

Risks

  • Uncertainty over whether sanctions on oil at sea will be lifted and on the timing of any such action - creates volatility for oil traders and energy firms.
  • Reliance on non-market measures such as releasing SPR stocks or clearing blocked barrels could have limited or temporary effects on prices if underlying geopolitical tensions persist - affects energy markets and commodity-linked sectors.
  • Potential for misinterpretation between physical supply moves and financial market intervention could influence market sentiment and trading behavior in oil futures and related instruments.

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