Pentagon poised to ask Congress for up to $200 billion to fund Iran war

Geoff Bennett:

Welcome to the "News Hour."

Iranian strikes on oil and gas facilities across the Persian Gulf sent shockwaves through global energy markets today, a day after Israel struck Iran's main natural gas complex. For his part, President Trump sought to reassure Americans as gas prices surge, even as the Pentagon appears poised to ask Congress for up to $200 billion for the war effort.

Our special correspondent, Leila Molana-Allen, has more.

Leila Molana-Allen:

Today, across the Middle East, oil fields inflames. Iran ramped up its attacks on the economic lifeblood of the region, striking an oil refinery in Saudi Arabia and several in Kuwait, sending the price of Brent crude oil to a staggering $119 a barrel this morning in response to an unprecedented Israeli airstrike on the South Pars gas reserve, a mammoth deposit of gas beneath the Persian Gulf that could supply the entire world for over a decade.

The Iranian-Qatari co-owned reserve is the biggest domestic gas supplier for Iran. President Trump today condemned the strike.

Question, have you talked to Prime Minister Netanyahu about attacking the oil and gas fields?

President Donald Trump:

Yes, I did. I did. I told him, don't do that. And he won't do that. We didn't discuss. We do -- we're independent. We get along great. It's coordinated, but on occasion he will do something and if I don't like it -- then so we're not doing that anymore.

Leila Molana-Allen:

And sitting with Japanese Prime Minister Sanae Takaichi, Trump defended the American decision not to tell allies it would attack Iran with a surprising reference.

President Donald Trump:

One thing, you don't want to signal too much. When we go in, we went in very hard and we didn't tell anybody about it because we wanted surprise. Who knows better about surprise than Japan? OK?

(Laughter)

President Donald Trump:

Why didn't you tell me about Pearl Harbor?

Leila Molana-Allen:

And, today, Iranian Foreign Minister Abbas Araghchi vowed revenge, posting on X that Iran would -- quote -- "use zero restraint if our infrastructures are struck again" after Trump last night posted on TRUTH Social that the U.S. had no knowledge of the attack and that no more strikes would be launched against South Pars unless Qatar was targeted again -- quote -- "In which instance the United States of America, with or without the help or consent of Israel, will massively blow up the entirety of the South Pars gas field at an amount of strength and power that Iran has never seen or witnessed before."

Today, Israeli Prime Minister Benjamin Netanyahu reiterated that Israel acted alone in its attack on South Pars.

Benjamin Netanyahu, Israeli Prime Minister:

Israel acted alone against the Asaluyeh gas compound. Fact number two, President Trump asked us to hold off on future attacks and we're holding off.

Leila Molana-Allen:

Iran yesterday launched massive retaliatory attacks against the world's largest liquefied gas export facility in Qatar, causing a fire so huge it illuminated the entire city skyline, forcing the Gulf nation to completely suspend its liquefied natural gas production, which supplies 20 percent of the worldwide market.

In total, six refineries, facilities and oil fields have been attacked and damaged in the region in the last 24 hours, as well as oil refineries in the Northern Israeli city of Haifa, as Treasury Secretary Scott Bessent today voiced a surprising proposal to alleviate the spike in oil prices.

Scott Bessent, U.S. Treasury Secretary:

In the coming days, we may unsanction the Iranian oil that's on the water. It's about 140 million barrels. So, depending on how you count it, that's 10 days to two weeks of supply that the Iranians had been pushing out that would have all gone to China.

In essence, we will be using the Iranian barrels against the Iranians to keep the price down for the next 10 or 14 days as we continue this campaign.

Leila Molana-Allen:

And the House pressed the intelligence community on whether the United States' closest partner in the war, Israel, had the same goals.

Rep. Joaquin Castro (D-TX):

What does the intelligence community assess Israel's goals in this war to be and are those goals aligned with the goals of the United States?

Tulsi Gabbard, U.S. Director of National Intelligence: We can see through the operations that the Israeli government has been focused on disabling the Iranian leadership and taking out several members, obviously beginning with the ayatollah, the supreme leader, and they continue to focus on that effort.

Leila Molana-Allen:

While, at the Pentagon, Secretary of Defense Pete Hegseth commented on the Pentagon's reported request for an additional $200 billion, nearly a quarter of annual defense spending, for the war.

Pete Hegseth, U.S. Defense Secretary:

It takes money to kill bad guys. So we're going back to Congress and our folks there to ensure that we're properly funded.

Leila Molana-Allen:

To date, the U.S. has spent $15 billion over the first 19 days of this war. But, in those 19 days, the toll and trauma on civilians in the region has been immense.

During Ramadan here in the Gulf, after breaking their fast, friends gather late into the night to talk and reflect. But this year, there's just one topic of conversation.

At this majlis, or gathering place, in downtown Doha, Arabs from across the region have come together. Brahim Al Rumaihi is a catering engineer and entrepreneur. He fears an escalating conflict could destroy the success Gulf nations have worked so hard to build.

Brahim Al Rumaihi, Doha, Qatar, Resident (through interpreter):

I really hope that these events will not affect the economy of our country. In peacetime, we can innovate, but, in wartime, we stop innovating, as we can only think about survival.

Leila Molana-Allen:

As Eid approaches, usually a time of joyful celebration and presence, civilians under fire across the Middle East pray for just one gift, peace.

For the "PBS News Hour," I'm Leila Molana-Allen in Doha, Qatar.