Iran, energy transit highway between Central Asia, Persian Gulf

June 10, 2026 - 15:36

TEHRAN- Iran's geographical position can turn the country into the main energy transit route between Central Asia and the Persian Gulf – a capacity that plays a key role in the region's economy.

In today's world, energy is not merely an economic commodity but has become one of the most important tools of power in international relations. Countries that lie along the production or transit routes of energy resources can use this position to strengthen their economic and geopolitical standing. Iran, due to its unique geographical location, sits at one of the world's most critical energy points.

To the north lies a group of Central Asian and Caspian Sea states possessing vast oil and gas reserves, while to the south lies the Persian Gulf, one of the world's largest centers of energy production and export. Iran's position between these two important regions has led many experts to call the country the "energy bridge" between Central Asia and the Persian Gulf. This position can create significant economic opportunities. The transit of oil and gas through Iran, in addition to generating transit revenues, can help develop infrastructure, increase regional cooperation, and strengthen Iran's role in the global energy market. However, utilizing this capacity requires long-term planning, development of energy infrastructure, and expansion of cooperation with neighboring countries. In recent years, the idea of turning Iran into the main regional energy transit route has been discussed more than ever, and many experts believe this capacity has yet to be fully exploited.

* Iran's geographical position at the heart of energy routes

Iran is located in what is effectively a crossroads of global energy. To its north are Central Asian and Caspian Sea states such as Turkmenistan, Kazakhstan and Azerbaijan, which possess large oil and gas reserves. These countries need secure and economical routes to global markets to export their energy resources.

To its south lies the Persian Gulf, one of the world's largest centers of oil production and export. This region supplies a significant share of the oil and gas needed by the global economy every year. Iran's location between these two regions means that energy routes from north to south can pass through Iranian territory.

The existence of an extensive network of oil and gas pipelines inside the country is another major advantage. This network can enable the transfer of energy resources from northern countries to southern ports. Under such conditions, Iran can become an energy transit route between Central Asia and global markets.

Fereydoun Barkeshli, an energy expert and head of the International Energy Studies Group, has repeatedly highlighted the importance of Iran's geographical position in his analyses. He believes Iran is naturally located at the centre of one of the world's most important energy regions, and if this position is used correctly, it can become one of the main axes of energy trade in the region.

* Iran's role in regional oil and gas transit

One of Iran's most important capacities in the energy sector is the ability to transit oil and gas from neighboring countries. Many Central Asian countries lack direct access to open seas and depend on transit routes to export their energy.

Iran can transfer these resources to the Persian Gulf by building new pipelines or using existing infrastructure. In this case, oil and gas from northern countries could be exported to global markets through Iran's southern ports.

In addition to direct energy transit, swap schemes are also among the important options. In this method, Iran receives oil or gas from northern countries at its northern terminals and exports an equivalent amount from its southern ports. This reduces transport costs and increases the speed of energy transfer.

Iran has experience in implementing oil and gas swap schemes, and this experience can serve as a foundation for expanding regional cooperation in the future. Expanding such cooperation would bring significant economic benefits not only for Iran but also for energy-producing countries in Central Asia.

Furthermore, transiting energy through Iran can help diversify export routes in the region. This is very important for producer countries, because dependence on a single route can create economic and political risks.

* Economic and geopolitical opportunities for Iran

Becoming the region's energy bridge does not simply mean transiting oil and gas; it can have far-reaching effects on the country's economy. The primary advantage is transit revenues. The passage of pipelines and energy transit through Iranian territory can create a stable source of income for the country.

Another advantage is the development of energy and transport infrastructure. Becoming a main energy transit route requires expanding pipelines, export terminals and transport networks. This can generate employment and economic growth in various regions of the country.

Geopolitically, Iran's role in the region's energy equations will also increase. Countries known as energy transit routes usually gain a more important position in regional economic and political relations, because the security and stability of energy routes is of vital importance to many countries.

Energy cooperation can also pave the way for the development of broader economic relations between countries. Joint energy projects typically involve long-term investments, which in turn create lasting relationships between governments and energy companies.

Given the expected increase in global energy demand in the coming decades, many experts believe that Central Asia and the Middle East will play a major role in meeting the world's energy needs. In such a scenario, countries that can provide secure and economical transit routes will enjoy significant advantages.

* Conclusion

Iran's geographical position is one of the country's most important strategic assets in the energy sector. Being situated between countries with vast energy resources in Central Asia and major consumer markets in South and West Asia makes it possible for Iran to become the region's energy transit bridge. This capacity, in addition to generating transit revenues, can help develop infrastructure, increase regional cooperation, and strengthen Iran's position in the global energy economy. However, seizing this opportunity requires careful planning, investment in energy infrastructure, and expanding cooperation with neighboring countries.

Past experience in energy transit and swaps shows that Iran has the capability to play such a role. As experts like Fereydoun Barkeshli emphasize, Iran's geographical position is such that it can turn the country into one of the main axes of energy trade in the region. If this capacity is developed in a targeted manner, Iran can play a significant role in connecting Central Asian energy resources to global markets and benefit from the economic and geopolitical advantages.

(Source: Mehr News Agency)

MA

t

Leave a Comment