U.S.-Iran ceasefire terms reportedly include free passage through Hormuz
BlockBeats reported on Aug. 26 that a series of fresh updates emerged around the Middle East. Russian media, citing unnamed sources, said the United States and Iran had reached consensus on ceasefire terms that include free navigation through the Strait of Hormuz. An announcement is expected in the next few days.
Iran said a temporary route understanding for the Strait of Hormuz had been reached, but only merchant vessels would be allowed to pass. A joint statement from Iran and Oman said the two sides plan to establish a temporary channel in the strait and agreed to carry out a joint project to clear mines from the waterway.
Public statements remain at odds
Iranian Deputy Foreign Minister Garibabadi said Iran has its own way to respond to any U.S. plan, including confrontation, escalation, and sanctions. Iran also said the Strait of Hormuz would not reopen immediately, and added that Oman agreed to close the southern channel of the strait, with the two sides due to finalize a new permanent route within 60 days.
The White House said there was no talk schedule between Washington and Tehran and that the Strait of Hormuz remained open. U.S. President Donald Trump said he had been told by the U.S. Navy that all mines in international waters of the Strait of Hormuz had been removed and/or detonated. He also said mine-laying boats would be destroyed and that Space Force was watching the strait and nuclear facilities.
Traffic data and crude prices moved at the same time
According to Iran's Tasnim News Agency, people close to the negotiators said Iran's conditions included restoring a memorandum of understanding on Hormuz. Axios, citing U.S. officials, said more than 500 ships had passed in and out through the southern route of the Strait of Hormuz over the past 30 days, and only about 2% of those vessels were hit by Iranian drones or missiles.
Shipping data showed that only one bulk commodity vessel passed through the Strait of Hormuz on Monday, the lowest level since May 7. In markets, Bitget data showed WTI crude briefly fell below $80 a barrel, while Brent crude dropped below $86.
Other diplomatic contacts were also reported
On the diplomatic front, Pakistan's army chief held talks with Iran, focusing on preventing escalation and reopening the strait. Pakistan's interior minister said talks with Iran's leadership had made significant progress.
U.S. media also reported that the State Department is preparing to bring diplomats back to Middle East embassies, which was taken as a sign that Washington does not expect the Iran conflict to break out into a full-scale war again. Saudi media said the United States had proposed lifting the blockade and sanctions on Iran in exchange for reopening the Strait of Hormuz. U.S. Treasury Secretary Scott Bessent said Iran's leadership had acknowledged that economic pressure is working, and that the Trump administration would keep cutting off the economic lifeline supporting the Iranian regime until Tehran is isolated.