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Iran and Oman negotiate Hormuz route, 20% of oil at risk

Filed · 3 publisher pages · upstream origin unresolved

Talks between Iran and Oman on a jointly managed shipping corridor in the Strait of Hormuz are progressing, yet no timetable has been set for reopening the waterway that moves roughly 20% of global oil and gas. The lack of a clear schedule sustains heightened geopolitical risk for maritime trade.

Oman’s foreign ministry reported positive discussions on Saturday, while Iranian Foreign Minister Abbas Araghchi said talks are in their final stages but reopening remains "subject to other conditions." Tehran demands U.S. compensation for alleged treaty violations, a halt to threats, removal of its naval blockade, and release of frozen assets, among six listed prerequisites. Iran has blocked the strait since U.S. and Israeli attacks began in February.

The continued closure keeps tanker freight rates and war‑risk insurance premiums elevated, reinforcing pressure on global energy prices and prompting investors to monitor any shift in shipping flows. The impasse also compounds the Red Sea blockade imposed by Yemen’s Iran‑backed Houthis, affecting broader regional trade dynamics.

Oman expresses optimism about the negotiations, whereas Iran cautions that a full reopening will not occur until all U.S. demands are met, highlighting a clear divergence in expectations and no agreed timeline for a new route to become operational.

Pages read

  1. npr — Week in Politics: Blanche confirmed as attorney general; Iran-Oman Strait deal stalls ·
  2. bbc — Hormuz talks positive, Oman says, as Iran warns deal would not open strait ·
  3. france24 — Iran sets tough terms to reopen Strait of Hormuz ·

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