UAE carried out covert strikes on Iran's Lavan Island refinery in April: Report

New findings suggest Emirati forces targeted Iranian energy infrastructure during a sensitive ceasefire window, even as the US ramps up sanctions on Tehran’s oil network.

A startling report has emerged alleging that the United Arab Emirates (UAE) conducted covert military operations against Iranian soil earlier this spring. The disclosure, first highlighted by the Wall Street Journal, suggests that Emirati forces targeted the strategic oil refinery on Lavan Island in early April, a period when a ceasefire was reportedly being brokered by Washington.

The strike on Lavan Island, located in the Persian Gulf, reportedly triggered a massive blaze that severely crippled Iran’s domestic energy production. While the UAE has officially maintained a diplomatic stance regarding the broader regional conflict, these allegations indicate a significant escalation in the "shadow war" currently gripping West Asia.

Regional energy security under fire

The timing of the alleged strike is particularly sensitive. It reportedly occurred just as US President Donald Trump was publicly discussing a cessation of hostilities. Ground reports from the time noted a "major industrial accident" at the Lavan facility, but the involvement of a third-party regional power like the UAE remained a matter of speculation until now.

Local energy analysts suggest the damage to Lavan has had a cascading effect on Iran’s ability to refine fuel for domestic use, adding internal pressure to a regime already battling an 74-day-long internet blackout and mounting unemployment.

Sanctions and the shipping squeeze

Simultaneously, the US Treasury Department has intensified its economic campaign. On Tuesday, fresh sanctions were slapped on 12 entities—including three individuals and nine companies—accused of facilitating the Islamic Revolutionary Guard Corps’ (IRGC) illicit oil shipments.

The web of sanctions stretches from Hong Kong to Oman and includes four UAE-based firms. According to the US State Department, these entities are the "financial lungs" of the IRGC, enabling the movement of Iranian crude to Chinese markets despite the ongoing blockade of the Strait of Hormuz.

Global oil markets react

The ripples of the conflict are being felt far beyond the Gulf. In early Asian trade on Tuesday, Brent crude oil rose to $104.51 a barrel, as traders remain spooked by the fragility of the current ceasefire. The prospect of the US military campaign restarting has become a central talking point in Washington.

HR McMaster, former National Security Adviser, told CNN that the military campaign against Tehran is likely to resume as negotiations deteriorate. "Tehran is driving past another off-ramp," McMaster noted, suggesting that the rejection of US demands makes renewed kinetic action almost inevitable.

The Hormuz bottleneck

The Strait of Hormuz remains the primary flashpoint. The IRGC Navy has reportedly redefined the waterway as a "500-km operational zone," effectively extending its reach from the coasts of Jask to beyond Greater Tunb Island. This expansion has drawn sharp rebukes from Gulf neighbors.

Qatar’s Prime Minister, Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani, speaking at a press conference with Turkish officials, lamented that the waterway is being used as a "weapon in this war." The closure has disrupted not just oil, but one-third of the world’s fertilizer supply, prompting UN warnings of a "massive humanitarian crisis" if global agricultural chains remain severed.

Domestic turmoil in Tehran

Inside Iran, the economic toll is becoming harder to mask. Iranian lawmaker Meysam Zohourian confirmed on Tuesday that over 205,000 citizens have filed for unemployment benefits since the conflict began in late February.

Despite the internal strain, Tehran remains defiant. Ebrahim Rezaei, spokesperson for the Parliament’s National Security Committee, warned that if Iran faces another direct strike, the leadership may authorize uranium enrichment to 90%—a threshold that would put the country on the verge of weapons-grade capability.

Diplomatic efforts on life support

While Qatar and Turkiye have publicly backed Pakistan’s mediation efforts, the rhetoric from Washington remains split. While the Trump administration releases 53 million barrels of oil from the Strategic Petroleum Reserve to stabilize prices, Democratic leaders like Senator Chuck Schumer have slammed the conflict as an "illegal, costly war without an endgame."

As the May 17 ceasefire extension deadline approaches, the reported UAE strike on Lavan Island serves as a grim reminder that the regional peace is far more fragile than the diplomatic statements suggest. For now, the "fingers remain on the trigger," as both sides wait to see if the next move comes from a diplomat’s pen or a drone’s payload.

Diplomatic efforts to quell the raging conflict in the Middle East took a dramatic turn on Tuesday as US President Donald Trump spoke with Russian President Vladimir Putin. However, any hope for an immediate de-escalation was swiftly dashed by Tehran, which issued a stark warning to the global economy: not a single liter of oil will pass through the region unless the attacks stop .

As the conflict enters its second week, the rhetoric has intensified on all sides, with Iran's leadership closing the door on negotiations and the United States vowing to secure global energy supplies "by whatever means necessary."

Putin Offers Mediation, Trump Points to Ukraine

In a highly anticipated hour-long phone call on Monday evening, President Trump and President Putin discussed the escalating situation in Iran and the ongoing war in Ukraine. Kremlin aide Yuri Ushakov described the conversation as "businesslike, frank and constructive" .

According to reports, Putin expressed a willingness to help mediate an end to the Iran conflict, suggesting multilateral talks involving Gulf nations. However, Trump reportedly steered the conversation toward Russia's involvement in Ukraine, suggesting that Moscow's focus should be on resolving that conflict first .

Despite the superpower dialogue, the situation on the ground remains volatile. Shortly after the call, Trump stated that the war with Iran would be over "very soon," though he stopped short of providing a specific timeline .

Tehran Hardens Stance: "No Talks, No Oil"

On the heels of Trump's cautious optimism, Iran delivered a defiant message. Foreign Minister Abbas Araghchi confirmed that negotiations with the United States are "no longer on the agenda," adding that Tehran is prepared to continue its missile and drone campaigns for "as long as necessary" .

The most significant escalation came from the Islamic Revolutionary Guard Corps (IRGC), which issued a direct threat to the global energy market. "The Iranian armed forces… will not allow the export of a single litre of oil from the region to the hostile side and its partners until further notice," an IRGC spokesman declared .

This threat explicitly targets the Strait of Hormuz, a narrow waterway through which nearly 20% of the world's crude oil passes. The warning sent immediate shockwaves through the market, though prices later stabilized after Trump's "end soon" comments .

President Trump responded with a fiery warning on Truth Social, stating that if Iran attempts to block the strait, the US will hit them "twenty times harder than before," promising "Death, Fire, and Fury" .

Regional Fallout: Gulf States Under Fire

The conflict continues to ripple across the Middle East, drawing in nations beyond Iran's borders.

- UAE Under Attack: The United Arab Emirates confirmed it was intercepting drone and missile attacks from Iran on Tuesday. This comes after debris from interceptions recently killed civilians in the UAE .

- Kuwait on High Alert: Kuwait's National Guard intercepted six drones, following the destruction of ballistic missiles just a day prior .

- Lebanon Displaced: The humanitarian toll is rising sharply. UNICEF reported that at least 83 children have been killed in Lebanon amid the exchanges between Israel and Hezbollah, with nearly 700,000 people now displaced in the country .

Australia Joins the Coalition

In a sign of the widening international involvement, Australian Prime Minister Anthony Albanese announced the deployment of a long-range E-7A Wedgetail surveillance aircraft and air-to-air missiles to the UAE. The move is designed to help Gulf nations defend against Iranian attacks and protect airspace over the Gulf for the next month .

The Nuclear Dimension

Overnight, tensions escalated further as Israeli TV Channel 12 reported that Israeli airstrikes targeted nuclear laboratories in Tehran. While Iran has not officially commented, the strikes suggest a broadening of military objectives beyond military installations to include Iran's nuclear infrastructure .

As the world watches the Strait of Hormuz, the next 24 hours will be critical. With Iran blocking diplomacy and threatening the world's oil supply, and the US vowing an overwhelming response, the Middle East teeters on the edge of a wider conflagration.