Key facts
- An interim agreement has been reached between the U.S. and Iran to end the Middle East war.
- A 60-day ceasefire extension is in place to facilitate negotiations for a permanent truce.
- Iran will be permitted to sell oil and fuel immediately upon signing the agreement.
- The U.S. will lift its blockade on Iranian ports.
- Passage through the Strait of Hormuz will be restored.
- A $300 billion private fund for reconstruction, with over half committed, is part of the deal.
An interim agreement has been reached between the U.S. and Iran to end the Middle East war, extending a ceasefire for 60 days to allow for negotiations on a permanent truce. Under the deal, Iran will be permitted to sell oil and fuel, and the U.S. will end its blockade of Iranian ports, restoring passage through the Strait of Hormuz. A key component of the framework is a $300 billion private fund for reconstruction, with over half of the capital already committed by companies from various regions.
U.S. President Donald Trump stated that the agreement clearly prohibits Tehran from developing a nuclear weapon. A senior U.S. official confirmed that Iran can resume oil and fuel sales immediately. The reconstruction fund, potentially financed by Gulf states, aims to provide economic incentives for Iran to comply with the terms. Negotiations in the coming 60 days will focus on Iran's nuclear program.
Despite the agreement, Israeli Prime Minister Benjamin Netanyahu stated that Israel is not bound by it. A Hezbollah spokesperson indicated that Iran would not agree to a permanent truce without an end to the Israeli occupation. Iran's military command issued a warning to Israel regarding attacks on southern Lebanon. Trump has publicly criticized Netanyahu's handling of the military campaign.
Oil prices fell more than 2% following the news of the deal. Shipping companies are adopting a cautious approach, awaiting confirmation of sustained peace before fully resuming operations through the Strait of Hormuz, which normally handles a significant portion of global oil and LNG trade. Iranian state television reported operations to lift the maritime blockade, but vessels will still need to coordinate with Iran's Revolutionary Guards.