Iran-US war latest: Trump’s surprise threat to ‘blow up’ US ally Oman sparks backlash

US Centcom says that Kuwaiti forces managed to intercept a ballistic missile heading towards the country late last night local time.

“This egregious ceasefire violation by the Iranian regime occurred hours after Iranian forces launched five one-way attack drones that posed a clear threat in and near the Strait of Hormuz,” a statement read.

“All drones were successfully intercepted by U.S. forces which also prevented a sixth drone launch from an Iranian ground control site in Bandar Abbas.”

Iran’s IRGC said on Thursday that it had targeted a US airbase in response to an attack near Bandar Abbas Airport.

Behind the headline issues, a source close to negotiations said this week that the last sticking point to be agreed concerns some $24bn (£17.85bn) in Iranian funds frozen in banks around the world.

As the United States pushes for an end to the three-month war, Iran is expected to try to recoup around a quarter of the withheld payments stored overseas.

But Trump allies warn such a concession would come at a political cost for the US, looking too much like a win for Iran and weakening American leverage.

Here’s what the frozen assets are and why they matter so much for Iran:

As the war grinds on, conservative estimates put the cost of munitions to the US in the multi-billions. But some analysts suggest the figure could already be as high as $1 trillion.

Professor Linda Bilmes, senior lecturer in public policy at Harvard Kennedy School, told The Independent that the reported upfront costs are just the “tip of the iceberg”.

“When the Pentagon talked about their figures of $29bn, they systematically underestimate the cost because they are basing this on the historical cost of inventory of munitions. But the actual replacement costs are much higher,” explained Professor Bilmes, who served as assistant secretary and CFO of the US department of commerce during the Clinton administration.

“When you put together the replacement costs … the obligations we have for rebuilding … and the long-term cost of caring for veterans, benefits, the paying debt service on all the borrowing and the increases to the base that come as a consequence of this war, you very quickly reach a trillion dollar figure,” Professor Bilmes said.

“When I look at it, there’s no way it can end up costing less than that.”

Iran has condemned the reported US strikes in Bandar Abbas and warned against the ‘dangerous’ threats to Oman.

Foreign ministry spokesperson Esmaeil Baghaei said on Thursday that claimed US attacks were “a gross violation of international law”.

He also expressed solidarity with the “friendly country of Oman”, stating the “threat to destroy” a UN member state was “another dangerous sign of the normalisation of lawlessness and bullying in international relations”.

Negotiations to end Donald Trump’s war in Iran were thrown into chaos again on Wednesday after the White House dismissed Iran’s latest terms and rejected reports of a draft peace deal as a “complete fabrication”.

“Iran want very much to make a deal. So far they haven’t gotten there… We’re not satisfied with it, but we will be. We will be either that or we’ll have to just finish the job,” Trump told reporters at the White House.

As the war grinds on, conservative estimates put the cost of munitions to the US in the multi-billions. But some analysts suggest the figure could already be as high as $1 trillion.

Professor Linda Bilmes, senior lecturer in public policy at Harvard Kennedy School, told The Independent that the reported upfront costs are just the “tip of the iceberg”.

“When the Pentagon talked about their figures of $29bn, they systematically underestimate the cost because they are basing this on the historical cost of inventory of munitions. But the actual replacement costs are much higher,” explained Professor Bilmes, who served as assistant secretary and CFO of the US department of commerce during the Clinton administration.

“When you put together the replacement costs … the obligations we have for rebuilding … and the long-term cost of caring for veterans, benefits, the paying debt service on all the borrowing and the increases to the base that come as a consequence of this war, you very quickly reach a trillion dollar figure,” Professor Bilmes said.

“When I look at it, there’s no way it can end up costing less than that.”

Iran’s IRGC said on Thursday that it had targeted a US airbase in response to an attack near Bandar Abbas Airport.

It was unclear which base had been struck, but sirens sounded in Kuwait on Thursday morning, too.

The IRGC said that Washington bears responsibility for the consequences of its actions.

But it added that any further attacks would trigger ‘a more decisive’ response, suggesting it would not continue to escalate unless pressed.

Iran and the US are still working through terms to end the war, which started three months ago today.