Iran is moving to expand crude storage at Kharg Island as pressure builds from the ongoing United States blockade on Iranian ports.
Reports indicate that Iran is reactivating the ageing oil tanker M/T Nasha as floating storage, allowing excess crude to be held offshore as onshore facilities approach capacity. Maritime analysts say this step reflects growing strain on the country’s main export hub.
Industry estimates suggest that only about 13 million barrels of storage space remain at Kharg Island, while inflows continue at roughly one million barrels per day. At this rate, storage could reach full capacity within days, potentially forcing Iran to reduce production.
Experts warn that if storage limits are reached, Iran may need to shut down certain oil wells, particularly those requiring continuous operation, which could risk long-term damage to output capacity.
Despite ongoing tensions and disruptions, tanker activity at Kharg Island has continued, highlighting efforts to maintain exports. The use of floating storage is seen as a strategic measure to manage supply amid restricted shipping access.
