Iran to reopen Strait of Hormuz, resume unrestricted oil exports under proposed US deal

Iran is expected to reopen the Strait of Hormuz and regain the ability to export oil without restrictions under a proposed interim agreement with the United States aimed at ending the ongoing conflict between the two countries, according to leaked versions of the accord and officials familiar with the negotiations.

The agreement, which is scheduled to be formally signed in Switzerland on Friday, reportedly outlines a framework for ending hostilities and launching a two-month period of negotiations on Iran’s nuclear programme, reports AP.

Under the proposed arrangement, Iran would immediately reopen the strategically important Strait of Hormuz, a key route for global oil and natural gas shipments, while the United States would allow Tehran to resume oil exports. The accord also reportedly includes plans for Iran to receive at least $300 billion for post-war reconstruction and a US commitment to work toward lifting American and United Nations sanctions if a comprehensive nuclear agreement is ultimately reached.

The conflict began on February 28 when the United States and Israel launched military operations against Iran, citing concerns over Tehran’s nuclear ambitions. The interim deal would halt the fighting before any final resolution of those concerns, instead opening the door for further diplomatic negotiations.

The reported concessions to Iran, particularly the immediate resumption of oil exports and the prospect of broader sanctions relief, are expected to draw criticism in Washington. Analysts say the terms appear more favourable to Tehran than those contained in the 2015 nuclear agreement, from which President Donald Trump withdrew during his first term.

The proposed accord would also seek to end hostilities in Lebanon involving Israel and the Iran-backed Hezbollah group, although differences remain over the future of Israeli forces in southern Lebanon.

Several officials and individuals familiar with the discussions said leaked versions of the agreement published by regional and international media outlets largely reflect the contents of the final document. However, neither the White House nor the Iranian government has released an official text.

White House Communications Director Steven Cheung said leaked versions published by media outlets do not fully represent the language of the final agreement but provided no further details.

President Trump, speaking during the G7 summit in France, praised the proposed arrangement, describing it as a strong memorandum of understanding. However, he also warned that the United States could abandon the agreement if it proves unsatisfactory.

“It’s a memorandum of understanding and if I don’t like it, we’ll go back to shooting at them, dropping bombs,” Trump said.

The agreement remains subject to formal signing and could still face political opposition from both US and Israeli leaders, as well as critics concerned about Iran’s nuclear programme and regional influence.