The United States is close to finalising an interim agreement with Iran and Oman to reopen the Strait of Hormuz, with an announcement expected as early as Wednesday, Axios reported, citing two regional sources and a US official.
According to the report, the proposed arrangement is aimed at restoring the ceasefire between Washington and Tehran, which reportedly collapsed last month, and creating space for renewed negotiations on Iran's nuclear programme and other issues.
The reported breakthrough comes after US President Donald Trump decided on Saturday to hold back from carrying out previously threatened large-scale military strikes against Iran, opting instead to allow more time for diplomacy following consultations with Gulf partners. Axios said Trump had nevertheless warned that military action remained an option if negotiations failed.
The report added that the draft agreement envisages a 60-day temporary arrangement between Oman and Iran governing maritime traffic through the Strait of Hormuz, with provisions for an extension.
Under the proposal, all inbound vessels entering the Gulf would use a northern shipping lane through Iranian waters, while outbound traffic heading towards the Arabian Sea would use a southern lane in Omani waters, coordinated with Iran, the report said.
The report added that no transit fees or tolls would be levied during the 60-day period.
Axios further reported that the agreement includes a plan to clear naval mines from the median shipping lane within 30 days. Once the lane is cleared, it would be used for both inbound and outbound shipping under a permanent arrangement to be negotiated between Oman and Iran.
According to the report, the White House, Oman and regional mediators believed they had secured a similar understanding with Iran nearly three weeks ago. However, the effort reportedly collapsed after Iran allegedly resumed attacks on ships, triggering two weeks of fighting that brought the region close to a broader conflict.
The report said officials from Qatar, Pakistan and Saudi Arabia also played mediation roles alongside Oman, while the White House remained actively involved in the negotiations.
It added that US Special Envoy Steve Witkoff has held multiple conversations in recent days with Iranian Foreign Minister Abbas Araghchi and Omani Foreign Minister Badr al-Busaidi in an effort to finalise the agreement.
Citing two regional sources, Axios said Araghchi agreed in principle to the proposed arrangement over the weekend but required approval from Iran's Supreme Leader, Mojtaba Khamenei, and the Supreme National Security Council.
A US official and a regional source told Axios that Iran's leadership completed the approval process on Tuesday, bringing the parties closer to a formal announcement.
(With inputs from ANI)