The Trump administration and the government of Iran have agreed in principle to a deal that would reopen the Strait of Hormuz [1].
The agreement is critical because the strategic waterway between Oman and Iran is a primary artery for global energy. Unblocking the strait is intended to lower global gas prices and end active fighting between the two nations [1, 2, 4].
Donald Trump said the deal is largely negotiated and will allow the strait to reopen without tolls [3]. He also said the U.S. is very close to a deal that will reopen the waterway [4].
Under the terms of the agreement, the current U.S.-Iran ceasefire would be extended by 60 days [2]. This extension provides a window for the two governments to begin formal negotiations regarding Iran’s nuclear program [1, 4].
An unnamed U.S. official said Iran has agreed in principle to dispose of its highly enriched uranium as part of the agreement [1]. This move would represent a significant concession in the effort to address the nuclear issue [4].
Despite the announcement on May 24, 2026 [1], some reports indicate the agreement is not yet fully settled. While some sources state Iran has agreed in principle, other reports suggest Tehran disputes key terms as a Sunday deadline approaches [3].
The administration has characterized the deal as being subject to finalization [5]. The outcome depends on whether both parties can resolve these remaining disputes before the current ceasefire window closes [2].
“"We are very close to a deal that will reopen the Strait of Hormuz."”
This agreement represents a high-stakes attempt to stabilize global energy markets by removing a primary geopolitical bottleneck. If finalized, the disposal of enriched uranium and the reopening of the strait would mark a significant pivot in U.S.-Iran relations, moving from active conflict toward a diplomatic framework. However, the reported disputes over key terms suggest that the 60-day extension may be a temporary reprieve rather than a permanent resolution.
