Iran and Oman reach accord on Strait of Hormuz, Revolutionary Guards say

Iran and Oman have reached an agreement on the sharing of the Strait of Hormuz and its revenues, according to Iran's Revolutionary Guards. However, the vital waterway will not be reopened unless the United States accepts their conditions, the Guards said on Wednesday. The two nations have been holding negotiations for weeks regarding the control of the strait, which once facilitated one-fifth of global oil and liquefied natural gas shipments before the conflict began in February.

Since then, most shipping has ceased, leading to a rise in global energy prices due to the tension between Tehran and Washington over the channel and their respective blockades. Hossein Mohebbi, a spokesman for the Islamic Revolutionary Guard Corps, confirmed in comments published by Iranian state media that the negotiations with Oman had produced results acceptable to both parties.

The Guards accused the United States of attempting to hinder these talks, which led to the delay in reaching the agreement. Should the U.S. cease obstructing the negotiations and agree to the terms, the Guards stated they would be able to reopen the Strait of Hormuz. Otherwise, the waterway will not be opened under any circumstances, according to Mohebbi.

Although active hostilities between the U.S. and Iran have diminished in recent weeks, diplomatic efforts to achieve a peace deal have stalled, and ongoing attacks on ships continue to make passage through the Strait of Hormuz hazardous. Iran recently issued a blacklist of 45 ships in an attempt to halt ship-to-ship transfers utilized by Gulf energy producers to circumvent the Iranian blockade.

Some companies are considering halting their use of vessels on the blacklist, according to sources. The United States recently threatened to penalize countries that continue to engage in business with Iran, but stated they would not enforce sanctions immediately.