Iran and Oman Finalize Shipping Deal Amid U.S. Conflict

The Government of Iran and the Government of Oman are finalizing an agreement to establish a temporary safe shipping route and managed corridor through the Strait of Hormuz. Foreign Ministry spokesperson Esmaeil Baghaei stated the deal will be documented with the International Maritime Organization and may involve service fees for vessels using the designated routes. This diplomatic move follows seven months of conflict that began in February 2026 after U.S. and Israeli strikes on Iran led Tehran to effectively close the waterway.

Military escalation intensified recently with tit-for-tat strikes. U.S. forces destroyed one of three Iranian crude tankers near Kharg Island in retaliation for ballistic missile attacks by the Islamic Revolutionary Guard Corps against U.S. Navy warships. Simultaneously, suspected Houthi attacks hit Saudi Aramco facilities in Jazan, pushing Brent crude prices above $97 per barrel. In response to the U.S. naval blockade, Mohsen Rezaei announced a new restricted zone in the Persian Gulf where entering ships will be placed on an Iranian sanctions list.

While U.S. Energy Secretary Christopher Wright claims the U.S. Navy is winning the battle for the strait, transit volumes have dropped from 20 million to approximately 7 million barrels per day. The United States continues to oppose the Iran-Oman deal, demanding a return to pre-war free navigation. Meanwhile, back-channel negotiations mediated by Qatar continue, with Iran demanding an end to sanctions and the naval blockade as a condition for a broader resolution.