Abu Musa, which is only a few miles square, lies in the
Persian Gulf about halfway between Iran and the UAE. For
most of this century, it did not have more than a few dozen
permanent residents. However, both Iran and the UAE desire
control of the island. Abu Musa is full of oil reserves, which
fuel the economies of both Iran and the UAE. In addition, the
island is located in the Strait of Hormuz, the mouth of the
Persian Gulf. This strategic position could allow a country to
influence the Gulf's valuable shipping lane, or even to close
off the Gulf all together.
Located between Oman and
Iran, the Strait of Hormuz
connects the Persian Gulf
with the Gulf of Oman and
the Arabian Sea. Hormuz is
the world's most important oil
chokepoint due to its daily oil
flow of 16.5-17 million
barrels (first half 2008E),
which is roughly 40 percent
of all seaborne traded oil (or
20 percent of oil traded
worldwide).
Oil
flows
averaged over 16.5 million
barrels per day in 2006,
dropped in 2007 to a little
over 16 million barrels per
day
after
OPEC
cut
production, but rose again in
2008 with rising Persian Gulf
supplies.
At its narrowest point the
Strait is 21 miles wide, and
the shipping lanes consist of
two-mile wide channels for
inbound
and
outbound
tanker traffic, as well as a
two-mile wide buffer zone.
The majority of oil exported
through the Strait of Hormuz
travels to Asia, the United
States and Western Europe.
Currently, three-quarters of
all Japan’s oil needs pass
through this Strait. On
average, 15 crude oil tankers
passed through the Strait of
Hormuz daily in 2007, along
with tankers carrying other
petroleum
products
and
liquefied natural gas (LNG).
Closure of the Strait of
Hormuz would require the
use of longer alternate
routes
at
increased
transportation
costs.
Alternate routes include the
745 miles-long Petroline,
also known as the East-West
Pipeline,
across
Saudi
Arabia from Abqaiq to the
Red Sea. The East-West
Simulation Emergency
The UAE set up a Radar station on Abu Musa against Iran’s protests. Iran took the island back
with military action, closing down the strait.
TASK
Your country must fill out a Problem, Solution, Outcome chart, then propose your solution to
the United Nations General Assembly. One person from each group must be the delegate who
speaks.
Problem
If the oil didn’t pass through
the strait of Hormuz then
many countries will be
affected and they won’t get
any oil. Also, the oil prices will
be very high.
Solution
Agreement between two
leaders so UAE gets 50%
profit from the oil, and Iran
gets 50% percent profit from
the oil
Post this in your electronic portfolio
Outcome
There is peace. The oil keeps
flowing.