Iran to Announce Temporary Strait of Hormuz Shipping Lane Agreement

Iran plans to present Gulf nations with an agreement reached with Oman on a temporary shipping lane through the Strait of Hormuz on Monday, as Tehran and regional states seek to ease shipping disruptions, Bloomberg reports.

The agreement would not fully reopen the strait, with Iran expected to retain control over which vessels can pass through the waterway. Iran and Oman will continue negotiations on details, including potential fees charged to ships using the lane.

Oman has sought to bring together Gulf Cooperation Council (GCC) foreign ministers in Salalah on Monday as talks over the waterway progress. However, it remains unclear which countries will attend.

Iranian Foreign Minister Abbas Araghchi described the proposed meeting as an “important event” and a step toward building trust.

The diplomatic activity comes as Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan met Iranian President Masoud Pezeshkian on the sidelines of the BRICS summit in India. The two officials stressed the need to reduce tensions and strengthen regional stability.

Bahrain has ruled out participating in the proposed gathering, citing recent Iranian-backed attacks on Gulf sites. Fighting involving Saudi-backed forces and Iran-supported Houthis in Yemen could also complicate the talks.

The discussions come as regional oil routes face mounting pressure. Saudi Arabia recently shut its 1,200-kilometer East-West oil pipeline after a drone attack, removing a major route used to bypass disruptions in the Strait of Hormuz.

The pipeline had transported between 4 million and 5 million barrels per day in recent months, equivalent to around 4%-5% of global oil supply, as restricted Hormuz traffic pushed Saudi Arabia toward alternative export routes.