Iran, US, Oman Close to Hormuz Deal: Key Demands of Each Side

Tehran, Washington and Muscat are reportedly closing in on an agreement that could ease tensions around the Strait of Hormuz, one of the world's most critical oil chokepoints. Sources familiar with the negotiations say the proposed deal would see the strait reopened for a 60-day period, with Iran assuming control of inbound traffic. The development comes as US President Donald Trump warned that the conflict "can't go much longer," hinting at a push for a swift resolution.

What Each Side Wants

Iran's primary demand centres on retaining a degree of authority over shipping lanes through the strait, a position that has been a sticking point in earlier talks. By controlling inbound traffic, Tehran would secure a strategic foothold while also signalling its willingness to de-escalate after weeks of heightened military posturing. For Washington, the immediate priority is a halt to hostilities and the uninterrupted flow of oil, a concern that has global markets on edge.

Oman, which has long played the role of mediator in regional disputes, is seeking to cement its status as a neutral broker. The sultanate's diplomatic heft has been crucial in bridging the gaps between the two adversaries, and a successful deal would bolster its influence in Gulf affairs.

The 60-Day Window

The proposed 60-day reopening is being viewed as a test phase rather than a permanent solution. It would allow all parties to gauge compliance and build confidence, while leaving room for further negotiations on a long-term framework. However, the arrangement is not without risks — any violation during this period could reignite tensions and undo months of behind-the-scenes diplomacy.

US officials have not yet confirmed the specifics of the deal, but Trump's recent remarks suggest a desire to avoid a prolonged conflict. The president's reference to the "biggest attack since World War II" being halted has added intrigue, though he has not elaborated on what stopped the strike.

Regional and Global Stakes

The strait handles roughly a fifth of global oil consumption, making its stability a matter of international concern. A prolonged closure would send energy prices soaring and disrupt supply chains, a scenario that neither side can afford. Analysts note that both Iran and the US have economic incentives to reach a compromise, even as their political rhetoric remains sharp.

India, which imports a significant portion of its crude from the region, is watching the developments closely. Any disruption in the strait would directly impact fuel prices in the domestic market, a factor that New Delhi has flagged in diplomatic channels.

What Happens Next

Negotiators are expected to finalise the terms in the coming days, with Omani mediators shuttling between Tehran and Washington. If the 60-day window holds, it could pave the way for broader talks on regional security. For now, the world waits to see whether this fragile momentum can translate into lasting peace.