The United States and Iran are reportedly close to finalizing a 60-day ceasefire extension that would allow Iran to resume oil sales and facilitate negotiations regarding its nuclear program. According to a US official familiar with the draft agreement, the deal could be announced as soon as Sunday, although officials have warned that it may still collapse before being signed.
Under the proposed memorandum of understanding, Iran would clear mines from the Strait of Hormuz and permit ships to pass without tolls. In return, the US would lift its blockade on Iranian ports and provide limited sanctions waivers to allow Iran to sell oil freely during the 60-day period.
The US official characterized the arrangement as “relief for performance,” indicating that economic relief would be contingent on specific actions taken by Iran rather than being granted upfront. The draft also includes commitments from Iran not to pursue nuclear weapons and to negotiate the suspension of uranium enrichment and the removal of its stockpile of highly enriched uranium.
Any broader sanctions relief or unfreezing of Iranian funds would be discussed during the ceasefire but would only be implemented as part of a final, verified agreement. US forces in the region would remain during the ceasefire and would withdraw only if a final deal is reached.
The agreement is also reportedly linked to efforts to end the conflict between Israel and Hezbollah in Lebanon, with Israeli Prime Minister Benjamin Netanyahu expressing concerns about this condition in a recent call with President Trump. A US official stated that Israel would still be permitted to act if Hezbollah attempts to rearm or launch attacks.
Several Arab and Muslim leaders, including officials from Saudi Arabia, Qatar, Egypt, Turkey, Pakistan, and the UAE, have supported the diplomatic effort, with Pakistan playing a key mediation role. Field Marshal Asim Munir has traveled to Tehran to assist in finalizing the deal. The White House is optimistic that remaining issues could be resolved quickly, but US officials cautioned that the ceasefire could end prematurely if they determine that Iran is not serious about nuclear negotiations.
