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U.S. President Donald Trump said a “largely negotiated” memorandum of understanding between the United States and Iran could soon reopen the Strait of Hormuz, a key global oil shipping route disrupted since the outbreak of the U.S.-Israel conflict with Iran earlier this year. Trump announced on Truth Social that the final details of the agreement were still under discussion and would be revealed soon.
However, Iran’s Fars news agency disputed Trump’s statement, claiming the proposed arrangement would instead allow Iran to oversee the Strait of Hormuz and describing Trump’s version of events as inaccurate. The disagreement highlights ongoing tensions despite reported diplomatic progress.
According to Axios, the proposed Iran peace deal includes a 60-day extension of the ceasefire and the reopening of the Strait of Hormuz without shipping tolls. In return, Iran would reportedly regain the ability to sell oil freely while entering negotiations over limits to its nuclear program. The United States is also expected to ease sanctions on Iranian oil exports and lift restrictions on Iranian ports.
The draft framework reportedly contains commitments from Iran not to pursue nuclear weapons and to discuss suspending uranium enrichment activities. Reports from The New York Times added that Iran may also agree to surrender its highly enriched uranium stockpile, although the details would be finalized in later negotiations.
Pakistan has played a major role as mediator in the talks. Pakistani military officials described the negotiations as “encouraging,” while Iranian officials confirmed discussions are ongoing. Sources familiar with the negotiations said the plan would move in phases, beginning with a formal end to the war, followed by restoring stability in the Strait of Hormuz and broader diplomatic talks.
Despite diplomatic momentum, Iranian officials warned that unresolved issues remain, particularly concerning U.S. military threats and sanctions. Meanwhile, global energy markets continue closely monitoring developments surrounding the Strait of Hormuz and Iran’s nuclear program.
