US-Iran deal offers sanctions relief, delays nuke talks as Tehran claims victory

The most sensitive issue — Iran's nuclear programme — would not be resolved immediately. Instead, the draft agreement envisages a 60-day period of negotiations focused exclusively on Tehran's nuclear activities.

In Short

• Draft text links frozen Iranian assets release to verified Iranian compliance
• Oman and Iran would jointly oversee traffic through the strategic waterway
• Nuclear negotiations would continue separately for another 60-day period under the framework

The United States and Iran appear to be edging closer to a deal to end months of conflict, with both sides signalling that an initial agreement could be signed within days. While negotiations are still underway, details emerging from the proposed memorandum suggest a framework that would reopen the Strait of Hormuz, ease economic pressure on Tehran and leave the most contentious issue — Iran's nuclear programme, which Trump cited as the reason for the war — to be addressed in subsequent negotiations.

A senior US administration official told Reuters that Washington and Tehran had agreed on a draft text and were in a "very good place" to finalise an initial accord. Iranian Foreign Minister Abbas Araqchi, while cautioning that changes were still possible, portrayed the tentative agreement as a strategic success for Tehran.

"Iran is the winner of the war with the US," Araqchi said in remarks carried by Iranian state television.

WHAT'S IN THE DEAL?

According to Reuters, the proposed deal largely reflects terms originally put forward by Tehran, according to Western, Iranian and Pakistani sources. Under the draft agreement, Iran would reopen the Strait of Hormuz in exchange for a phased release of frozen Iranian assets and relief from some US sanctions, particularly those targeting oil exports.

The strait, through which nearly a fifth of global oil and gas supplies moved before the conflict, was closed by Iran following US and Israeli strikes earlier this year. Araqchi said Iran, alongside Oman, would oversee maritime traffic through the waterway, signalling that Tehran intends to retain significant influence over one of the world's most strategically important shipping routes.

NUCLEAR PROGRAMME DEFERRED

The most sensitive issue — Iran's nuclear programme — would not be resolved immediately. Instead, the draft agreement envisages a 60-day period of negotiations focused exclusively on Tehran's nuclear activities.

US officials maintain that the eventual goal is the dismantling of Iran's nuclear programme, including the destruction or removal of its stockpile of highly enriched uranium and the implementation of a long-term inspection regime to verify compliance.

Iran, however, has signalled resistance to dismantling its programme. Araqchi said Tehran's preferred solution would be to dilute its stockpile of highly enriched uranium rather than surrender or destroy it. Iranian officials have consistently maintained that the country's nuclear programme is peaceful and intended for civilian purposes. “For Tehran, the only preferred solution for its highly enriched uranium stockpile is down-blending the material,” Reuters quoted Araqchi as saying.

Reports from sources involved in the negotiations also suggest the deal could include discussions on possible war reparations for Iran and a softening of longstanding US demands regarding Tehran's missile programme, although US officials have disputed those claims.

"None of their money released until they perform. Strait of Hormuz will be open. No Iran funding of terrorist groups," said a US official, who spoke on condition of anonymity to Reuters. "This is what they have agreed to. This is a performance-based deal."

ISRAEL'S CONCERNS

The proposed agreement has already drawn scrutiny because Israel, which fought alongside the United States during the conflict, is not a party to the negotiations. Israeli Prime Minister Benjamin Netanyahu has said his government will not be bound by the agreement and has indicated that Israel intends to preserve its freedom to act against perceived threats.

MARKETS CHEER BREAKTHROUGH

Financial markets reacted positively to signs of a breakthrough. Global equities gained ground while oil prices fell sharply, reflecting expectations that the reopening of the Strait of Hormuz could ease concerns over energy supplies and reduce geopolitical risk across the Gulf region.

If finalised, the agreement would mark the most significant diplomatic engagement between Washington and Tehran since the collapse of the 2015 nuclear deal, which was abandoned by President Donald Trump during his first term. Whether the emerging framework can deliver a lasting settlement may ultimately depend on the far more difficult negotiations that lie ahead over Iran's nuclear future.

- Ends
With inputs from Reuters