Oman Reports Positive Hormuz Talks as Iran Warns Deal Will Not Immediately Reopen Strait
Oman has announced that positive discussions are underway with Iran to establish a secure shipping route through the Strait of Hormuz. However, Tehran has cautioned that any potential agreement will not result in the immediate reopening of the critical maritime waterway.
While both sides indicated on Saturday that negotiations are progressing, a clear timeline for finalising a deal remains undetermined. In the meantime, Oman's foreign ministry has warned that continued attacks on shipping could severely hamper these diplomatic efforts.
Iranian Foreign Minister Abbas Araghchi stated that the bilateral talks are currently in their final stages. However, he emphasised that the full reopening of the strait remains subject to other conditions, providing only a brief overview of those requirements.
Proposed Shipping Route and Blockade Context
The Strait of Hormuz is a vital global transit point through which approximately one-fifth of the world's oil and natural gas typically flows. Tehran has maintained an effective blockade of the waterway since February, following the initiation of attacks against Iran by the United States and Israel.
Recent diplomatic discussions have focused on a proposed agreement between Iran and Oman to establish a new transit route through the strait. Under the proposed framework, both nations would share responsibility for the route, which officials hope will facilitate progress toward resuming commercial shipping traffic.
According to Araghchi, a complete reopening of the busy maritime passage depends on the resolution of outstanding issues. Specifically, he stated that Iran is demanding compensation from the United States for what Tehran describes as violations of a Memorandum of Understanding (MoU) signed by both sides in June. That agreement, which aimed to cease hostilities and advance peace talks, collapsed shortly after signing, leading to a resumption of tit-for-tat attacks.
Iranian Demands and Regional Blockades
Separately, Mohammad Baqer Zolqadr, Iran's security chief, told the semi-official Tasnim news agency that the Strait of Hormuz will remain closed until the United States corrects its behaviour. Zolqadr outlined six specific Iranian demands that Washington must meet, including the cessation of threats against Iran, the removal of the naval blockade on Iranian ports, and the release of frozen Iranian assets.
The maritime tensions extend beyond the Strait of Hormuz. Since July 20, Yemen's Iran-backed Houthi movement has maintained a separate blockade targeting Saudi Arabian ports in the Red Sea.
United States Response and Toll Disagreements
The United States has expressed varying degrees of optimism regarding the negotiations. Earlier this week, US President Donald Trump suggested that a deal with Iran could be reached soon. However, Vice-President JD Vance expressed greater caution on Saturday, telling Fox News that significant work remains.
Vance stated that the US is employing a combination of diplomatic, economic, and military tools to secure the best outcome. He also asserted that the same volume of oil would eventually emerge from the Gulf as did prior to the start of the US military operation on February 28, though he did not provide specific details to support this projection.
Addressing the practicalities of the talks, Vance noted that current efforts are focused on establishing a traffic scheme to ensure safe passage for vessels. He also downplayed reports that Iran planned to impose transit fees, stating that Iranian officials have denied any plans to toll the Strait of Hormuz. Previous reports by Reuters, citing an Iranian official, had suggested Tehran was seeking fees of 5% to 7% on cargo values.
Recent Maritime Incidents
The diplomatic discussions are occurring against a backdrop of ongoing maritime insecurity. On Saturday, the United Arab Emirates (UAE) reported that Iran had targeted an oil tanker affiliated with its state-owned firm, Adnoc, with a missile strike in the strait. The UAE foreign ministry confirmed the attack but stated there were no casualties.
Additionally, the UK Maritime Trade Operations (UKMTO) agency reported that a vessel was struck by an unknown projectile off the coast of Oman, sparking a fire that was subsequently extinguished. No casualties were reported in that incident, and it remains unclear if the UKMTO and UAE reports refer to the same vessel.
