U.K. says Iran unsuccessfully targeted British-American Diego Garcia base

Iran unsuccessfully targeted a joint U.S.-U.K. military base in the Indian Ocean, the U.K. said Saturday.

"Iran's unsuccessful targeting of Diego Garcia was before yesterday's update on the use of U.K. bases by the U.S.," the U.K.'s Ministry of Defence (MoD) told CNBC in an emailed statement.

British Prime Minister Keir Starmer's office said Friday that ministers had approved U.S. forces' use of British bases to defend the region, including "U.S. defensive operations to degrade missile sites and capabilities being used to attack ships in the Strait of Hormuz."

The MoD said the U.K. has given the U.S. permission to use its bases at RAF Fairford in England and at Diego Garcia in the Chagos Islands for "specific and limited defensive operations."

Iran fired two intermediate-range ballistic missiles at ​Diego Garcia but did ‌not hit the U.S.-U.K. military base in the Indian ​Ocean, The Wall Street Journal first reported on Friday, ⁠citing multiple U.S. ​officials.

One of the missiles failed ​in flight, while a U.S. warship fired an SM-3 interceptor ​at the other, ​although it could not be determined ‌if ⁠the interception succeeded, the newspaper said.

"Iran's reckless attacks, lashing out across the region and holding hostage the Strait of Hormuz, are a threat to British interests and British allies," the U.K. said in its statement. "[Royal Air Force] jets and other U.K. military assets are continuing to defend our people and personnel in the region."

The reported attack marked Iran's first operational use of intermediate-range ballistic missiles and a significant attempt to reach far beyond the Middle East and threaten U.S. interests, the Wall Street Journal said.

The U.K. agreed in May 2025 to hand sovereignty of the Chagos Islands, where the Diego Garcia base is located, to Mauritius, which has long disputed the U.K.'s acquisition and ownership of the archipelago in the Indian Ocean.

U.S. President Donald Trump has repeatedly criticized the U.K.'s plan.

Trump told reporters on Friday he is not interested in a ceasefire with Iran.

"We could have dialogue, but I don't want to do a ceasefire," Trump said from the White House South Lawn before departing for Florida. "You know you don't do a ceasefire when you're literally obliterating the other side."

"They don't have a navy. They don't have an air force. They don't have any equipment," Trump continued.

In a Truth Social post later Friday afternoon, Trump claimed that the U.S. is "getting very close to meeting our objectives as we consider winding down our great Military efforts in the Middle East."

The war, which began on Feb. 28 with U.S. and Israeli airstrikes against Iranian targets, has effectively choked off the narrow and economically crucial Strait of Hormuz, which separates Iran from the United Arab Emirates.

Around one-fifth of the world's oil transits the Strait. Daily transit calls have tumbled to nearly zero from highs above 120 seen earlier this year, according to data analyzed by Charles Schwab. Much of the crude from the Gulf usually heads to Asia.

Benchmark Brent crude oil futures for May rose 3.26% to $112.19 a barrel on Friday, its highest close since July 2022. U.S. West Texas Intermediate futures for April settled 2.27% higher at $98.32 a barrel.

The Trump administration's latest attempt to ease prices came late Friday, when it waived sanctions on the purchase of Iranian oil at sea for 30 days. The move is expected to bring 140 billion barrels of oil to global markets, U.S. Treasury Secretary Scott Bessent posted ​on X.

"This temporary, short-term authorization is strictly limited to oil that is already in transit and does not allow new purchases or production," he said. "Further, Iran will have difficulty accessing any revenue generated and the United States will continue to maintain maximum pressure on Iran and its ability to access the international financial system."

The license authorizing the sale and delivery, posted after market hours on ⁠the ‌Treasury Department's website, allows Iranian oil into the U.S. when necessary for its sale, delivery or offloading. Iranian oil hasn't been meaningfully imported to the U.S. since the 1979 Iranian revolution.

Iranian Foreign Minister Abbas Araghchi said Tehran is ready to facilitate the passage of Japanese vessels through the Strait of Hormuz, adding that negotiations with Japan on the issue are ongoing.

"We have not closed the strait. It is open," Japanese news agency Kyodo quoted Araghchi as saying in an interview on Friday.

He also said that Iran is seeking "not a cease-fire, but a complete, comprehensive and lasting end to the war."

Araghchi said Iran has not closed the strategic waterway but has imposed restrictions on vessels belonging to countries involved in attacks against Iran, while offering assistance to others amid heightened security concerns, Kyodo reported.

He added that Iran is prepared to ensure safe passage for countries such as Japan if they coordinate with Tehran.