Iran ready to mine the Strait of Hormuz which will cause a global ‘economic shock’

Iran is preparing to mine the Strait of Hormuz which will push up the price in oil globally which will benefit Vladimir Putin.

Reuters reported that last month Iran loaded naval sea mines onto vessels in the Persian Gulf, citing US officials.

The loading of the sea mines was found after Israel launched their pre-emptive attack on Iran on 13 June, the Kyiv Independent reported.

A former British military intelligence officer Phillip Ingram warned on Sky News last month, that should Iran close the Strait of Hormuz there will be an enormous global “economic shock.”

He told Sky News, “If Iran does shut the Straits of Hormuz, between 20 and 30% of all the world’s oil and gas goes through that strait.

“The economic shock that would cause across the world would make what happened when Russia invaded Ukraine just over three years ago seem like small change.”

If Putin’s ally Iran blockades or releases sea mines into the Strait of Hormuz energy prices and oil will soar which will be a boost for Russia which is dependent on crude oil offering a boon for Putin.

Any disruption to Gulf supplies would push up global crude prices. Prices for Russian crude would rise in line,” John Gawthrop, Argus Eurasia Energy editor, told the Kyiv Independent.

Almost two weeks ago Tehran’s Parliament approved to close the Strait of Hormuz.

“Closure of the Strait is on the agenda and will be done whenever necessary,” said Revolutionary Guards Commander and lawmaker Esmail Kosari, told Iran’s Young Journalist Club.

Retired Indian Navy spokesperson Captain D K Sharma warned, “Iran’s threat to block the Strait of Hormuz could lead to significant disruptions,” Mathrubhumi reported.

Sharma warned that this will push up insurance costs and lead to rerouting shipments which will be more expensive.

Sharma added, “Oil prices are expected to surge due to increased tensions in the region, with some analysts predicting prices to reach $80 – $90 per barrel or even $100 per barrel if Iran responds with retaliatory measures,” which will push investors to invest elsewhere such as safe havens like gold or silver.

According to the US Energy Information Administration (EIA) oil “Flows through the Strait of Hormuz in 2024 and the first quarter of 2025 made up more than one-quarter of total global seaborne oil trade and about one-fifth of global oil and petroleum product consumption.

“In addition, around one-fifth of global liquefied natural gas trade also transited the Strait of Hormuz in 2024, primarily from Qatar.”