Iran and Energy Transit Routes of the Caspian Basin

Due to an increase in dependence of international economics on the hydrocarbonenergy resources, extended tensions in the Middle East and rise of Russia as amain actor in international energy market, Caspian oil and gas and their transitroutes to the consumption market gained more attention among the largeindustrial powers. The Islamic Republic of Iran has the best geographicallocation for transfer of the energy resources to the international market, but theUnited States ignores this route as the safest, the most economic and theshortest route for much transfer. From U.S. geopolitical viewpoint, Iran’sgeographical potential as the only country connecting two supplier warehousesprovides Iran with a major asset in the 21st century’s geopolitics. Hence, suchpossibility has to be neutralized in order to protect regional and global securityas perceived by the United States. This paper seeks to examine Iran’sgeopolitical challenges and opportunities in transferring Caspian energy to theworld markets.