Iran may secure control of inbound traffic from proposed Hormuz deal

A proposed Iran-Oman deal could give Tehran greater oversight of ships entering the Gulf via Hormuz, even as Houthi attacks keep regional shipping on edge

A proposed deal between Iran and Oman would give Tehran control over ships entering the Gulf through the Strait of Hormuz, a senior Iranian source and two regional officials told Reuters on Wednesday, in one of the biggest concessions yet to Iran. 

Despite the apparent step towards yielding to ⁠Iranian demands, the sources pushed back against assertions by United Sates (US) President Donald Trump that a deal reopening the strait was imminent, saying important details still had to be agreed. 

“The concession has already been made regarding some form of control over Hormuz,” one of the regional sources told Reuters. 

 

The other regional source said there were still details to be determined about how “control” would be defined, with Gulf negotiators insisting regional countries supervise inspections of ships, and that any payment of fees be voluntary. 

The senior Iranian source said that the text of an agreement already on the table envisioned ​Iran having control of ships heading into the Gulf through the strait, and that ​one of the main sticking points was what role Iran would also have over ships heading in the opposite direction. 

There was no immediate reply from Washington to the disclosures about the proposed agreement. US officials have repeatedly ​insisted that they would never accept any arrangement that lets Iran control access to the world's most important trade route for energy supplies.  

Oil prices ticked higher on Wednesday after Houthi movement in Yemen said it had fired on a Saudi-flagged tanker in the Red Sea, the latest attack on West Asia shipping that has disrupted global energy supplies. 

But global crude prices remain close to their lowest levels since early ​July, having plunged sharply over the past two days after Trump called off fresh attacks on Iran citing new talks he said could end the conflict. 

While there are no direct talks between Tehran and Washington, Iran has been negotiating with Oman, ‌which controls the opposite shore of the strait. Iran rejected an earlier Omani proposal last week as giving it too little say. 

Trump told Fox News overnight that talks ​were “moving along nicely” and “an all-day negotiation” had taken place on Tuesday.

The Strait of Hormuz “is going to be open very soon,” Trump added. “If they back out again, they are going to get hit really hard. They know that; they understand that. I have no choice. They can’t have a nuclear weapon. It’s very simple.”

 

Iran, Oman agree on Strait coordinates 

The geographic coordinates for a shipping route through the Strait of Hormuz have been agreed by Iran and Oman, and a joint announcement is being finalised, provided no third parties interfere, Iran’s Foreign Ministry spokesperson Esmaeil Baghaei said on Wednesday. Baghaei added that any such agreement between Iran and Oman would not, by itself, guarantee security in the strategic waterway.   (Reuters)