US eyes Iranian assets for Gulf allies' reconstruction, source says
- By Reuters -
- Jun 07, 2026
The US government will attempt to redirect Iranian assets to Gulf states for rebuilding and repairs of damage caused by Iran, a source familiar with the matter said, as Tehran followed up a wave of strikes against Kuwait and Bahrain with further drone launches.
US Treasury Secretary Scott Bessent has directed a team to assess costs for damages already inflicted on Gulf allies by Iran, the source said, adding that the U.S. will consider using Iranian assets for repairs of any future destruction as well.
The disclosure came a day after Mohsen Rezaei, an adviser to Iran’s supreme leader, told CNN that a peace deal to end the three-month war hinged on the release of $24 billion in Iranian assets frozen by the United States.
The source on Saturday did not specify what kind of assets the Treasury was examining. The language used to describe the new measures did not appear limited to frozen assets.
The threatened redirection of Iranian assets could create a new irritant to a fragile ceasefire between the United States and Iran, which was tested again this weekend with strikes by the US and Iran.
Peace negotiations appear to have stalled, although a minister from mediator Pakistan traveled to Tehran on Saturday with a letter for Iran’s Supreme Leader Ayatollah Mojtaba Khamenei, Iran’s semi-official ISNA news agency reported.
US says it destroyed two Iran drones targeting Hormuz shipping
US forces struck Iranian coastal radar sites in Goruk and Qeshm Island, both in the Strait of Hormuz, early Saturday after shooting down drones launched by Iran that US Central Command says posed a threat to maritime traffic. A further two Iranian attack drones that were threatening shipping in the strait were also shot down, the US military said late on Saturday.
Iran’s Revolutionary Guard said it retaliated against US bases in Kuwait and Bahrain, and Kuwait’s army said on Saturday it engaged seven ballistic missiles that passed over residential areas, resulting in material damage but no casualties.
In Bahrain, sirens sounded and residents were urged to seek shelter. Kuwait and Bahrain condemned the strikes.