Iran-Oman Near Strait of Hormuz Deal as Shipping Tensions Persist

Iran and Oman are nearing an agreement on shipping through the Strait of Hormuz, but Tehran says a bilateral deal alone will not be enough to fully reopen the critical global energy route.

Iranian Foreign Minister Abbas Araqchi said the two countries were “very close” to agreeing on a new shipping route through the strait. However, he stressed that restoring normal commercial traffic would depend on broader conditions, including compensation from the United States.

Iranian officials have also demanded an end to U.S. threats and military action, sanctions relief, the release of frozen Iranian assets and measures addressing actions against Iran and its regional allies.

Oman described negotiations with Tehran over Strait of Hormuz shipping arrangements as “positive and constructive.” Muscat also condemned repeated attacks on vessels crossing the waterway and urged all parties to avoid actions that could undermine diplomatic progress.

Araqchi said Iran no longer considers the previous shipping traffic separation system acceptable. Tehran and Muscat are discussing a temporary shipping route while technical and legal issues surrounding a permanent arrangement are addressed.

Despite the diplomatic efforts, security risks remain high. The United Arab Emirates said a carrier linked to its state oil company was struck by a missile while transiting the Strait of Hormuz. No injuries were reported. The UK Maritime Trade Operations said a vessel caught fire after being hit by an unidentified projectile, although the blaze was extinguished without reported environmental damage. Iranian authorities did not immediately comment.

The Strait of Hormuz has become a central issue in the five-month conflict involving Iran, the United States and Israel. Before the war, roughly one-fifth of global oil and gas shipments passed through the strategic waterway.

A U.S. official said Washington expects an Iran-Oman agreement soon that could help normal oil traffic resume. The official added that the United States could lift its blockade of Iranian ports once commercial shipping is restored without obstruction, with U.S. measures linked to Iran fulfilling its commitments.

Iran’s Revolutionary Guards, however, maintain that reopening the Strait of Hormuz ultimately depends on Washington accepting Tehran’s conditions. Continued uncertainty over the waterway has disrupted global energy shipments, pushed oil prices higher and intensified inflation concerns worldwide.