Iran, Oman Near Deal on Hormuz Route
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- Iran's foreign ministry said an agreement with Oman on a Strait of Hormuz shipping route is "in the final stages," with spokesman Esmaeil Baqaei confirming the "geographical coordinates of the route" have been agreed.
- Iran's Deputy Foreign Minister Kazem Gharibabadi told Irna the route would be temporary and remain open for two to four months, while Baqaei warned the US naval blockade still threatens security.
- The proposed deal would give Tehran control over ships entering the Gulf, per Reuters, with Iran seeking fees of 5–7% of cargo prices, Oman discussing around 3%, and Washington demanding zero.
- President Trump warned Iran would be "hit very hard" if the strait did not open "very soon," after senior US officials said talks had progressed enough for shipments to potentially resume later this week.
- Iran has blocked the Strait of Hormuz since the US and Israel launched strikes on 28 February, through which roughly 20% of the world's oil and LNG normally passes; a June MoU to stop fighting and reopen the strait collapsed within days.
- Iran's new Supreme Leader Mojtaba Khamenei, wounded in the opening strikes and unseen publicly since, has communicated only through written statements; President Pezeshkian said contact is "difficult at the moment."
- Brent crude edged down 0.3% to $79.24 in Asian trade Thursday as investors awaited confirmation of a deal.
Why it matters: Roughly 20% of global oil and LNG transits the Strait of Hormuz, so any reopening would ease the supply shock driving wild price swings since Iran's February blockade. The unresolved fee split (Iran 5–7%, Oman ~3%, US zero) and the US naval blockade mean a signed agreement is not the same as restored traffic, especially since Iran already attacks vessels ignoring its orders.
