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Camels are seen beyond an oil well near the Khurais oil facility in an area where operations are being expanded, about 60 miles southeast of Riyadh, Saudi Arabia, Monday, June 23, 2008.

AP Photo

Journal Article - Quarterly Journal: International Security

A Crude Threat: The Limits of an Iranian Missile Campaign against Saudi Arabian Oil

The widespread concern that Iran would retaliate for an attack on its nuclear program by launching missiles at oil installations in the Persian Gulf may be largely unfounded.  Although such an attack would lead to a temporary spike in oil prices because of perceived oil shortages, Iran almost certainly does not have the missile capability to make a significant impact given the redundancies in Saudi Arabia’s oil infrastructure.  The threat would become serious only if Iran greatly increased the range and accuracy of its missiles, in which event the states around the Persian Gulf would be wise to increase their defenses.  In addition to demonstrating that oil is not a particularly vulnerable target, this research also suggests that, although there may be other reasons for not attacking Iran’s nuclear program, concerns about oil shortage should not be one of them.