Washington: The United States and Iran have reached a preliminary agreement to extend the ceasefire and lift restrictions on shipping through the Strait of Hormuz. However, the agreement still requires formal approval from President Donald Trump. Iranian state media reported that the negotiation process has not yet reached a formal conclusion.

According to Thai News Agency, the agreement would potentially extend the ceasefire by another 60 days, allowing cargo ships to pass through the strategically important Strait of Hormuz. During this period, negotiating teams from both countries are expected to work together to address complex issues, including Iran's nuclear program.

If approved by both U.S. and Iranian leaders, this agreement would represent the most significant step towards peace since the conflict began on February 28. This development follows a series of retaliatory attacks between the two nations, with the latest incidents occurring since the ceasefire was implemented in early April.

However, President Trump has yet to sign the agreement into law, and Iran has not issued an official statement regarding the reported agreement, initially disclosed by Axios News. Meanwhile, Iran's Tasnim news agency, citing inside sources, mentioned that the draft agreement has not been finalized or confirmed.

US Vice President JD Vance expressed that while they are nearing a resolution, they have not yet crossed the finish line. He emphasized the close collaboration among all parties involved but cautioned that success is not guaranteed, even though the situation is trending positively. He also noted that the Trump administration has previously announced near agreements on a ceasefire, which Iran has consistently denied or downplayed.

The agreement details indicate that, in addition to reopening shipping lanes through the strait, the United States would need to lift its blockade of Iranian ports and ease some sanctions related to Iranian oil exports. This news has already influenced global oil prices, causing a decline as the market remains hopeful about the reopening of the Strait of Hormuz.