The United States and Iran appear to be moving toward a possible agreement aimed at ending the ongoing conflict and reopening the Strait of Hormuz, with US President Donald Trump saying over the weekend that negotiations had been “largely completed.”
However, uncertainty remains over when the agreement could be finalized and how its provisions would be implemented. Trump’s remarks followed discussions with Middle Eastern allies, including separate talks with Israel. Information about the negotiations has come from two regional officials and one US official who requested anonymity due to the sensitive nature of the talks.
War Could Come to an End
Iran has consistently maintained that any agreement must include a halt to fighting across the region since the conflict began 12 weeks ago with US and Israeli attacks on Iran that killed several senior figures, including Supreme Leader Ali Khamenei.
Tehran’s demands also cover Lebanon, where the Iran-backed Hezbollah group has been engaged in clashes with Israel since the early stages of the war.
A fragile ceasefire has remained in place since April 7. Ending the conflict would likely ease tensions across the Middle East, where Iranian missile and drone attacks previously targeted Gulf countries and major travel hubs such as the United Arab Emirates. It would also restore shipping through the Strait of Hormuz, a critical route for around 20% of global oil and natural gas supplies.
Regional officials said the draft agreement includes ending hostilities between Israel and Hezbollah and a pledge not to interfere in the internal affairs of regional states, including Iran. The issue is closely tied to Iran’s support for allied armed groups such as the Houthis in Yemen, Hamas in Gaza and Shiite militias in Iraq.
One regional official said the US wants Israel to retain the right to respond to perceived threats in Lebanon, while Iran opposes that position. A US official said the agreement would preserve Israel’s right to act in self-defense against imminent threats.
Gradual Reopening of Strait of Hormuz
Iran’s nuclear activities, missile programme and regional proxy support were cited by the US and Israel as key reasons for launching attacks on Iran. But Iran’s subsequent restrictions in the Strait of Hormuz quickly became a major international concern, leaving hundreds of ships carrying oil, gas and other goods stranded.
Under the proposed arrangement, the strait would gradually reopen as the US lifts the blockade on Iranian ports imposed on April 17, according to regional officials. The blockade has significantly affected Iran’s oil exports and economy.
The US is also expected to permit limited Iranian oil sales through sanctions waivers. One official familiar with the talks said broader sanctions relief and the release of billions of dollars in frozen Iranian assets would be negotiated during a 60-day process.
Iran May Surrender Highly Enriched Uranium
Iran’s nuclear programme remains at the center of the dispute, particularly concerns that Tehran could eventually develop nuclear weapons.
According to regional officials, Iran may agree to hand over its stockpile of highly enriched uranium as part of the deal. One official directly involved in the talks said further discussions during the 60-day period would determine how the material would be handled. Some uranium could be diluted, while the remainder might be transferred to another country, possibly Russia, which has reportedly offered to take custody of it.
A US official confirmed that sanctions relief would depend on Iran giving up the uranium stockpile.
The International Atomic Energy Agency says Iran currently possesses 440.9 kilograms of uranium enriched to 60% purity, which is technically close to weapons-grade level.
Iran insists its nuclear programme is peaceful and says it has the right to nuclear technology. President Masoud Pezeshkian said on state television Sunday that Iran was ready “to assure the world” it is not seeking nuclear weapons.
Trump also said on social media that relations with Iran were becoming “more professional and productive,” while reiterating that Tehran must not obtain nuclear weapons.
Key Issues Still Unclear
Several major issues remain absent from current descriptions of the proposed agreement, including the future of Iran’s uranium enrichment activities and its missile programme, which Israel has long sought to curb.
The possibility of regime change in Tehran — previously discussed by the US and Israel during anti-government protests earlier this year — also appears to be off the table.
Likewise, there has been no indication that the agreement would involve the withdrawal of US troops from the region or compensation for war-related damage sought by Iran.