US, Iran Inch Closer to Interim Deal

U.S., Iran Near Interim Agreement

The United States and Iran are nearing an interim agreement that would extend a ceasefire, reopen the Strait of Hormuz, and allow Iran to sell oil freely, according to a U.S. official. This development, anticipated to be announced as early as Sunday, May 25, 2026, aims to de-escalate regional tensions and alleviate pressure on global oil markets. The proposed deal involves a 60-day Memorandum of Understanding (MOU) that could be extended by mutual consent.

Under the terms of the draft MOU, Iran would agree to clear mines from the Strait of Hormuz, ensuring free passage for shipping without tolls. In return, the U.S. would lift its blockade on Iranian ports and issue sanctions waivers to facilitate Iranian oil sales. This arrangement is designed to provide economic relief to Iran while benefiting the global oil supply. The U.S. official emphasized a "relief for performance" principle, linking sanctions relief to tangible Iranian concessions.

The agreement also includes Iranian commitments to negotiate on its nuclear program, specifically regarding the suspension of uranium enrichment and the removal of highly enriched uranium stockpiles. While Iran has verbally committed to these concessions, the full lifting of sanctions and unfreezing of funds would only occur as part of a verifiable, final agreement.

U.S. forces mobilized in the region would remain for the 60-day period, withdrawing only if a comprehensive deal is reached.

The draft MOU also stipulates an end to the conflict between Israel and Hezbollah in Lebanon.