Negotiations between Iran and Oman over the management of the Strait of Hormuz remain ongoing, according to a senior Iranian source on Wednesday, contradicting earlier claims by Iran’s Islamic Revolutionary Guard Corps (IRGC) that a deal had already been finalized. IRGC spokesperson Hossein Mohebbi had reported acceptable progress, stating the two nations reached an understanding on territorial division and shared revenue for the vital energy corridor. However, the senior source clarified that details of the accord are still being refined. Meanwhile, Omani Foreign Minister Badr Albusaidi expressed optimism about establishing a temporary transit corridor to restore safe navigation through the waterway, which handled 20% of global oil and LNG shipments prior to the conflict.

The IRGC reiterated that the strait will remain closed until the United States meets Tehran’s demands under a previously collapsed interim ceasefire, including removing sanctions, ending port blockades, and offering compensation. Iranian officials accused Washington of obstructing the talks with Oman, while U.S. President Donald Trump warned Oman against aligning with Iran. Passage through the channel remains dangerous due to ongoing maritime attacks and opposing blockades, prompting Iran to blacklist 45 vessels suspected of facilitating regional oil transfers.

Despite the standoff, broader military operations have cooled as diplomatic efforts resume. Secretary of State Marco Rubio reportedly informed allies that the U.S. will pause new strikes against Iran to focus on economic pressure, even as Washington abstained from immediately sanctioning Chinese financial institutions involved in Iranian oil trades. Amid falling domestic public support for the war ahead of the November midterms, global crude prices dropped over 1.5% on hopes of a mediated resolution to the conflict that began in February.

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