Iran-Gulf Hormuz Deal Collapses Before Unveiling — SkimNews
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- Iran, Oman, and neighboring Gulf states were scheduled to meet in Salalah on Monday to unveil provisions of a deal for managing the Strait of Hormuz, but Oman's foreign minister announced a postponement before the meeting could take place.
- Iran viewed Gulf buy-in as a step toward resuming negotiations with Washington and resolving the strait's closure — a central issue from a June memorandum of understanding — while the Trump administration has been stepping up efforts to undermine Iran's hold over the waterway.
- Houthis, Iran's partners in Yemen, captured additional Red Sea territory over the past week, strengthening their ability to threaten Saudi shipping through the Bab al-Mandeb Strait.
- Pro-Iran militias in Iraq attacked Saudi energy facilities in the past week, adding to oil market volatility alongside the Hormuz closure threat.
- Tehran's leadership appears united in the belief that leveraging the strait is the best path forward, while Washington has shown few signs of backing down — pointing to continuing instability in oil markets.
Why it matters: With the Salalah deal collapsing, Iran's diplomatic path back to Washington via Gulf intermediaries is blocked, leaving strait-based coercion as Tehran's remaining tool. Houthis expanding Red Sea reach and Iraqi militias striking Saudi energy sites inject sustained supply-risk premiums into oil markets regardless of whether the two sides ever return to the table.
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