Proposed Iran-Oman Deal Could Grant Tehran Hormuz Control
At a glance
- A proposed Iran-Oman deal could give Tehran control over the Strait of Hormuz.
- US officials deny agreeing to Iranian control of the strait.
- Iran warns Gulf states of retaliation if US attacks its territory.
Story so far
Tensions between the United States and Iran have escalated over the Strait of Hormuz, a critical shipping lane. US President Donald Trump has issued warnings to Iran, indicating a 'last chance' for a deal, while Iran's foreign ministry has denied direct negotiations. Reports suggested a potential interim deal to reopen the strait, mediated by Oman and Qatar, which initially caused oil prices to decrease. Amidst these developments, a proposed deal between Iran and Oman has emerged, which, according to Reuters, could grant Tehran control over ships entering the Gulf through the Strait of Hormuz. However, US officials have contradicted this, stating they would never agree to Iranian control. Iran has also warned Gulf states of retaliation against critical energy infrastructure if the US attacks its territory.
Latest development
A proposed deal between Iran and Oman, aimed at resolving the US-Iran conflict, reportedly includes a provision that could grant Tehran control over the Strait of Hormuz, though US officials deny agreeing to such terms. Iran has also issued a warning of retaliation against Gulf states if attacked by the US.
Latest updates
A proposed deal between Iran and Oman, aimed at ending the five-month conflict between Iran and the United States, could grant Tehran control over ships entering the Gulf through the Strait of Hormuz, according to a senior Iranian source and two regional officials cited by Reuters. This potential concession is considered one of the most significant offered to Iran yet. However, US officials have repeatedly stated they would never agree to Iran controlling access to this vital trade route for energy supplies, despite earlier indications from President Donald Trump that a deal to reopen the strait was imminent. Meanwhile, Iran has warned Gulf states that any new US attack on its territory would trigger retaliation against critical energy infrastructure across the region.
Hopes for a potential deal between the United States and Iran to reopen the Strait of Hormuz have caused significant movement in the global oil market. Following positive diplomatic signals, crude oil prices saw a notable decrease, with Brent crude falling below $78 per barrel for the first time since July 13, and West Texas Intermediate (WTI) dropping to $74.50 per barrel. Meanwhile, Iran has reportedly blamed the United States for delays in reaching an agreement on the Strait of Hormuz, while talks between Iran and Oman regarding the strait have entered a new phase.
US President Donald Trump has reportedly issued a final warning to Iran, stating that the Strait of Hormuz is expected to reopen today and urging Tehran to accept a deal.
United States President Donald Trump has issued a fresh warning to Iran, stating that a deal to reopen the Strait of Hormuz could come as soon as Wednesday, but cautioned that Iran would get “hit very hard” if negotiations fell through. Speaking on Tuesday, President Trump indicated that negotiators “had a very good day” and that a deal could happen “tomorrow or the next day.” He had earlier adopted a more threatening tone, asserting that the strait would be open very soon, or Iran would face severe repercussions, adding, "All you can do is fight your way out."
The transit of the Strait of Hormuz has been a major sticking point, leading to renewed fighting after an April ceasefire. Iran has reportedly tightened its grip on Hormuz, seeking to control the strait and charge tolls, powers it did not exercise before the war began on February 28. Amidst the volatile situation, one crew member was reported missing on Tuesday from a merchant ship hit by a projectile in Hormuz, and an Indian ship in the Red Sea sank following an unattributed attack.
Iran-US tensions have risen following President Donald Trump's fresh warning to Tehran, leading to an ongoing "war of words" against Iran's leadership. Speculation has also emerged regarding Iran potentially ending talks with the United States.
Iran has reportedly issued a naval ultimatum to the United States and released a fierce message amidst rising tensions.
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