Donald Trump has suggested the US could continue its war with Iran and keep the country's oil "like Venezuela". The President made the remarks while in Ireland for the Irish Open golf championship and meetings, where he compared the US action in Venezuela this year to what his administration's next steps in Iran could be.
Oil deal comparison
In January, the US deposed Venezuelan leader Nicolás Maduro and brought him to the US. Since then, Trump has struck a deal giving the US a major role in the state-owned Venezuelan oil industry. US oil giant Chevron, the only US oil company with a large presence in Venezuela, was given more land last week to increase production. This follows a deal with the South American nation involving the development of 17 fields with a proven potential of 65 billion barrels.
War timeline and oil prices
On Sunday, Trump reiterated his belief that the war with Iran will end, possibly after the November midterm elections this year, but also set his sights on Iranian oil. He said: "We'll ultimately get out [of the war], unless we decide to stay and keep the oil like Venezuela." The President claimed revenues from the Venezuelan industry have "paid for the war many times" and said petrol prices at US pumps would "drop like a rock" once the Iran conflict ends.
The price of Brent crude oil is hovering around $100 amid recent escalations. The barrel price was $72.48 on the day Israel and the US launched the war with Iran, on February 28. Despite suggesting the conflict could end this year, Trump added that he would only make the "right deal" while claiming Tehran was "calling constantly" for peace talks.
Strait of Hormuz disruption
Oil prices have remained high since the conflict began after Tehran effectively shut off the Strait of Hormuz, a waterway between Iran and Oman that typically sees a fifth of the world's oil supply pass through. Iran hit tankers and threatened any vessels attempting to pass, bringing the waterway to a standstill. In June, dozens of vessels crossed the Strait of Hormuz, but the waterway still faces extreme shipping constraints.
One person was killed and four wounded when an Iranian cargo vessel was struck off Qeshm Island in the Strait of Hormuz, state media said on Sunday. This came a day before a plan by Tehran to brief regional countries on its contested efforts to manage shipping traffic in the area was postponed.
