Iran announced on Sunday that an agreement with Oman to establish new shipping routes through the Strait of Hormuz is nearing completion. However, Tehran emphasized that the strategic waterway will only reopen once the United States fulfills additional demands.
A US official indicated on Friday that the Iran-Oman deal was close to being finalized, potentially paving the way for reopening the strait, which previously handled about 20% of global oil and liquefied natural gas shipments. Iran had blocked the passage in response to US and Israeli military actions.
Iranian Foreign Minister Abbas Araqchi confirmed the agreement was in its “final stages,” but reiterated that the strait would remain closed until certain conditions are met. The deal would define the new shipping lanes to be used once the US complies with these requirements and the strait reopens.
Despite ongoing indirect communications through intermediaries, Iran and the US are not engaged in direct talks. Araqchi stated that Tehran will not initiate negotiations as long as Washington violates an interim agreement signed in June.
Among Iran’s demands are US compensation for damages caused by widespread attacks and the lifting of sanctions. The US began air strikes against Iran in late February, aiming to prevent Tehran from acquiring nuclear weapons or threatening regional stability through missile programs or proxy groups. Although a ceasefire was agreed upon in June, the US reinstated a blockade on Iranian shipping in the Gulf in July, which Iran considers a breach of the truce.
The US official noted that lifting the blockade on Iranian ports would coincide with the announcement of restored commercial shipping without restrictions. However, US actions would be contingent on Iran fulfilling its commitments. This delicate sequencing suggests the agreement might grant Iran control over vessels entering the Gulf via the strait, a prospect that shipping companies find challenging.
Additional conditions outlined by Iran include ending US threats and aggression against Iran and its allies in Lebanon, Palestine, Yemen, and Iraq, lifting sanctions, and releasing Iranian assets. Mohammad Baqer Zolqadr, secretary of Iran’s top national security council, highlighted these demands as prerequisites for reopening the strait.
Ultimate authority on the matter rests with Supreme Leader Mojtaba Khamenei, who has not appeared publicly since an air strike on February 28 killed his father and predecessor, coinciding with the start of US-Israeli air strikes on Iran. State media reported that President Masoud Pezeshkian met with Khamenei in late July, and a paramilitary leader promised forthcoming public footage of the supreme leader, who was reportedly injured in the strike.
Meanwhile, the United Arab Emirates accused Iran of attacking a vessel linked to its state oil company on Saturday. Iran has not commented, but the Revolutionary Guards, known for previous attacks on ships passing through the strait without coordination, are suspected.
In a related development, Yemen’s Houthi rebels, allied with Iran, have intensified attacks on shipping at another critical oil chokepoint between the Red Sea and Gulf of Aden. The Houthis declared a naval blockade against Saudi Arabia last month, citing a Saudi siege on Yemen, which Riyadh denies.
On Sunday, the Houthis targeted Saudi Aramco’s Jazan refinery with a drone strike, two days after Saudi Arabia signed a defense pact with Turkey and Pakistan to counter regional instability stemming from the US-Israeli conflict with Iran. The Saudi energy ministry confirmed a fire broke out at the refinery but was extinguished without injuries. Jazan processes approximately 400,000 barrels of crude oil daily.
It remains unclear whether Pakistan or Turkey will participate in any Saudi response to this attack. Turkish Foreign Minister Hakan Fidan stated that the new alliance is not aimed at any specific country but serves as a general commitment to regional security. The allies will consult to determine the nature and extent of support if any member is attacked.
