Investing.com - Iran and Israel continued to attack each other on Tuesday as the U.S. military continues to prepare for possible strikes on energy targets in Iran, according to multiple officials cited by the Wall Street Journal.
Iran’s paramilitary Islamic Revolutionary Guard Corps has threatened to broaden out attacks beyond neighboring countries, targeting the infrastructure of the U.S. and its partners, Reuters has reported. IRGC said it would disrupt regional oil and gas flows for years.
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A strike has hit a railway bridge in Iran’s Kashan area, killing two people, according to the country’s state-controlled news agency, citing a provincial official.
Earlier, an Iranian official said mediation efforts by Pakistan are nearing a "critical, sensitive stage," as President Donald Trump’s Tuesday evening deadline for Tehran to make a ceasefire deal or face intense bombardments on its infrastructure approaches.
In a social media post, Reza Amiri Moghadam, Iran’s ambassador to Pakistan, did not offer further details, saying only "[s]tay tuned for more."
Trump has vowed to decimate "every bridge" and "power plant" in Iran should the Islamic Republic not agree by his Tuesday 8 p.m. ET deadline to a deal which would reopen the strait -- whose effective closure to tanker traffic has pushed up oil prices, threatening to drive inflation higher and weigh on global growth. Roughly one-fifth of the world’s oil squeezes through the waterway off of Iran’s southern coast. Oil prices hovered around $110 a barrel on Tuesday, well above pre-war levels of about $70 a barrel.
If the fresh U.S. attacks happen, Trump warned, it would take Iran "100 years to rebuild."
But the bellicose language was accompanied a caveat from Trump that a diplomatic resolution could still be found to the war, which began with joint U.S. and Israeli strikes on Iran in late February. Trump may delay planned military action against Iran if there are signs that a diplomatic agreement is within reach, media reports stated.
Axios, citing U.S. officials, said Trump remains open to accepting any deal that emerges from ongoing talks, although it is unclear whether Iran is prepared to make the necessary concessions.
Iran has set preconditions for talks with the United States on a "lasting peace," Reuters also reported on Tuesday, citing a senior Iranian source. The news agency said these preconditions would include an immediate halt to strikes, guarantees these attacks would not be repeated, and compensation for damages.
Under a permanent ceasefire agreement, Tehran would also begin collecting fees for ships passing through the Strait of Hormuz, Reuters said, adding that those charges would vary based on vessel types and cargoes.
Tehran, for its part, previously rejected a proposal from U.S. and regional mediators to bring an end to the fighting for 45 days in exchange for unblocking the Strait of Hormuz. Iran’s has issued its own 10-point plan to Washington, Iranian state media said, although reports said it was unlikely to appease Trump’s demands.
The war has widened to include countries across the Middle East. Israel has hit targets in Iran, as well as Tehran-aligned Hezbollah militants in Lebanon. Along with attacks on Israel and the virtual shuttering of the Strait of Hormuz, Iran has responded with strikes on key energy infrastructure in the Persian Gulf, further exacerbating concerns over the worldwide flow of crude supplies.
(Ayushman Ojha and Senad Karaahmetovic contributed reporting.)
