Oman

The war in Yemen intensifies with mounting clashes and reciprocal attacks between Saudi forces and the Houthis.

Yemen’s Houthi rebels have said Saudi Arabia carried out 26 strikes against areas under the group’s control in the past 24 hours, as the two sides continue trading attacks amid an escalating war in Yemen, according to the AFP news agency.

On Friday, the group claimed Saudi strikes on Houthi-held territory had reached 300 over the past week alone, hitting positions across the areas it controls, AFP reported.

Yemen’s government, backed by Saudi Arabia, said on Friday its forces had killed 30 Houthi rebels and wounded more than 60 in clashes in the al-Wazi’iyah district of Taiz province, one of several fronts where combat has picked up this week.

The exchange has come on the heels of a widening escalation of fighting in Yemen between the government’s military and the Houthi fighters.

Tens of thousands marched through Sanaa on Friday in a show of support for the Iran-backed Houthis and against Saudi Arabia, as the rebels press gains that have brought large stretches of Yemen’s Red Sea coast, including the strategic Bab al-Mandeb Strait, under their control.

Earlier this week, the intensifying attacks between the Yemeni government and the Houthi rebels killed at least five people, including three children, according to reports from both sides.

Saudi Arabia said one person was killed in the Taif governorate after a Houthi drone was intercepted, while Houthi-linked media reported deaths from Saudi strikes in Taiz and the town of Abs.

The escalation has drawn in Washington, though reluctantly.

US officials met Houthi representatives at the US embassy in the Omani capital, Muscat, over the weekend after the group’s rapid territorial gains raised concern over shipping through Bab al-Mandeb, a vital corridor for global trade.

The Houthis reportedly assured Washington that vessels not linked to Saudi Arabia would not be targeted.

Despite appeals from Riyadh for US President Donald Trump to strike the Houthis directly, Washington has so far held back, wary of opening a new front while still fighting a costly war with Iran.

Meanwhile, European Union foreign policy chief Kaja Kallas said on Friday the bloc’s Red Sea naval mission, Operation Aspides, had raised its alert level as the situation in the region worsened, the Reuters news agency reported.

“Houthi attacks on Saudi Arabia are unacceptable and sabotage the global economy,” Kallas said in a post on X.

She added that she had spoken with Saudi Foreign Minister Prince Faisal bin Farhan Al Saud about diplomatic efforts to end the fighting in Yemen and restore freedom of navigation in the Strait of Hormuz.

Report says ‘reasonable grounds’ US was behind the deadly strike against a school in Minab in February.

Tehran, Iran – Another attempt to clinch a deal between Iran and Oman to restore some traffic to the Strait of Hormuz has been set back by a lack of regional consensus on the future of the waterway.

Officials from Iran, Iraq and the Gulf Cooperation Council (GCC) nations – minus objecting Bahrain – were scheduled to meet in Oman’s port city of Salalah on Monday to confer on new temporary routes in the Strait of Hormuz amid Tehran’s ongoing hot-and-cold war with the United States.

On Sunday night, the region’s officials announced the postponement of the meeting, without giving a new date. None of the stakeholders gave any indication that the postponement was directly linked to recent Houthi and Iraqi militia attacks on Saudi Arabia.

However, Iran’s Ministry of Foreign Affairs said Saudi objection was the reason for the postponement, without providing further details.

US media outlets Axios and CNN reported that Saudi Arabia had submitted amendments to the Iran-Oman proposal for Hormuz because it had concerns that the wording would establish a new status quo which would be unacceptable to Riyadh.

It comes days after Saudi Arabia shut down its critical East-West oil pipeline – the kingdom’s key route for energy exports – after drone attacks in the area originating from Iraq. US President Donald Trump said these attacks were likely conducted at Tehran’s behest.

Saudi Arabia has also faced repeated attacks by the Houthis, who took control of Yemen’s Red Sea coast over the weekend.

Hours after the Salalah meeting was postponed, the Saudi civil defence issued alerts for Abha, Khamis Mushait, Jazan and Najran in southern and western parts of the kingdom. The Houthis claimed to have fired dozens of ballistic missiles and drones at military facilities in Khamis Mushait, in retaliation for air strikes across Yemen, which it blames on Saudi Arabia.

What comes next?

Iran has said it will engage with the US on the future of the Strait of Hormuz and ending the war only if there are tangible moves to lift Washington’s naval blockade on the country and return to the June memorandum of understanding.

With continued disruptions to the passage of vessels through the strait, Iran has signalled that it intends to continue pursuing the bilateral agreement with Oman over Hormuz, which it said was finalised last month.

“In consultation with Oman, in the next step, we will make a decision on how to announce or register the agreement,” Ministry of Foreign Affairs spokesman Esmaeil Baghaei told reporters during a weekly news conference on Monday.

When the two countries initially advanced the bilateral deal, Trump threatened to bomb Oman if it “gets in the way” of US talks with Iran.

Ali Vaez, deputy director of the Middle East and North Africa programme at the Crisis Group, told Al Jazeera that Tehran wants to use its leverage over Hormuz for regional legitimacy – and ultimately to pressure the US.

“The broader the regional buy-in, the harder it becomes for the US to dismiss the arrangement as an Iranian diktat,” he told Al Jazeera.

GCC states, suffering from a sharp decrease in energy receipts, want ships moving and their economies insulated from a war they neither started nor can end. But Vaez said Washington is unlikely to lift the blockade on Iran even if the region blesses the arrangement between Muscat and Tehran.

“[The US] will find it much harder to sustain a policy that its own partners increasingly see as perpetuating the crisis,” Vaez said

Temporary entry and exit

The Omani-Iranian planned agreement envisions temporary entry and exit routes for commercial vessels in the strait, with Tehran repeatedly stating that this would not mean that the Strait of Hormuz has reopened.

Iran and Oman are the only two countries with territorial waters in the Strait of Hormuz. The proposed inbound corridor reportedly goes through Iranian waters, while the outbound corridor mostly passes through Omani waters, with small parts still in Iranian territory.

During Monday’s scheduled meeting, Iran and Oman were supposed to share precise maps and discuss the details of the routes with GCC members Saudi Arabia, the United Arab Emirates, Qatar and Kuwait, and Iraq, which is outside the bloc. The deal could reportedly include voluntary tolls to fund navigation, environmental protection and search-and-rescue operations.

Bahrain, which has borne the brunt of Iranian attacks since the US-Israel war on Iran started at the end of February, said it would not participate in the forum since it would amount to “appeasement”. The Tasnim news outlet, affiliated with Iran’s Islamic Revolutionary Guard Corps (IRGC), claimed Israel pushed Bahrain to refuse participation.

How does Yemen fit in this picture?

The latest diplomatic movement comes after days of explosive developments in Yemen, when the Houthis, officially known as Ansar Allah, essentially took control of the Bab al-Mandeb strait and the Red Sea after a lightning offensive against government forces.

Thomas Juneau, assistant professor in the Graduate School of Public and International Affairs at the University of Ottawa, said the Houthi advances represent a significant gain for Iran. Its Yemeni allies’ position in the Red Sea offers Iran an important new bargaining chip in future negotiations with the US.

“The Houthis are not a simple arm of Iranian foreign policy. They operate largely based on their own interests, and do not take and execute Iranian commands,” he told Al Jazeera. “But Houthi and Iranian interests are largely, if not always fully, aligned. They cooperate closely on the basis of those shared interests.”

Juneau sees the ability for Iran and the Houthis to potentially partially block traffic in the Strait of Hormuz and the Bab al-Mandeb – two of the world’s most crucial maritime bottlenecks – would give them tremendous influence over the global economy, and thus the US.

The Houthis are trying to seize the opportunity to “institutionalise the de facto reality of their veto on maritime traffic” in the southern Red Sea and replicate partial Iranian success in doing the same in the Strait of Hormuz, Juneau said.

Iran has stressed that their allies’ gains in the Red Sea cannot be separated from the Saudi-led blockade and attacks on Houthi areas in Yemen since 2015.

“We know very well that continued war between Islamic countries in the region only has one winner, and that winner is no one but the Zionist regime, which is after persisting tensions and conflict in our region and between Islamic countries,” Iranian spokesperson Baghaei said.

Foreign Ministry spokesperson Esmaeil Baghaei says Iran does not interfere in Yemeni affairs.

Iran says a planned meeting with officials from Gulf states to discuss the Strait of Hormuz has been postponed due to “events unfolding in Yemen”.

Ministry of Foreign Affairs spokesperson Esmaeil Baghaei, addressing a news conference on Monday, said Oman and Iran “have taken a joint decision aimed at arriving at a responsible” approach to the management of the strait.

He said the meeting, scheduled to take place in Oman, would have been an “opportunity to demonstrate the significance of these decisions”.

“Had this meeting took place, it would have been a very suitable opportunity [to discuss the new policy]. I do not believe any responsible country would accept in any shape, way, or form to be dictated to or be subjected to pressure from any outside forces,” he said.

The Strait of Hormuz, which falls in Iran and Oman’s territorial waters, has been effectively blocked by Tehran amid the US-Israel war on the country.

Baghaei said Iran has “no relations whatsoever with what is unfolding in Yemen”, adding Tehran does not interfere in its affairs. He added that Saudi Arabia requested the postponement of the meeting.

Tensions between Saudi Arabia and Yemen have escalated since July, when Houthis, who control large parts of Yemen, declared a naval blockade on their northwestern neighbour. Clashes escalated last week as Houthis seized the port of Mocha, tightening their control over the Bab al-Mandeb strait.

Attacks on shipping

Meanwhile, Iran’s Islamic Revolutionary Guard Corps (IRGC) said on Monday that its forces had intercepted and destroyed an advanced MQ-1 drone over the Strait of Hormuz.

In a statement carried by the semi-official Tasnim news agency, the IRGC said it intercepted the drone using a new aerospace defence system.

Regarding an attack on an Iranian commercial vessel on Sunday that killed one person, Baghaei said two Pakistani citizens working on board were also injured.

The United States and Israel “continue to target security” in the Gulf, he added.

JEDDAH: Oman’s refinery output fell 3.7 percent year on year to about 129.1 million barrels through July, with diesel production declining 6.8 percent, according to preliminary data from the National Centre for Statistics and Information. 

The latest figures showed that total motor-fuel production declined 1.4 percent through July, Oman News Agency reported, citing NCSI data. 

Diesel production fell to 43.31 million barrels from 46.48 million barrels a year earlier. Domestic sales declined 8.3 percent to 11.11 million barrels, while exports fell 11.8 percent to 33.33 million barrels. 

The decline in refinery output comes as Oman continues to develop its downstream energy and petrochemical industries as part of its economic diversification strategy. Invest Oman describes the petrochemical sector as a key pillar of Oman Vision 2040, with major projects including the Duqm Refinery and Liwa Plastics supporting the production of higher-value products from the country’s hydrocarbon resources. 

Production of regular gasoline, or 91-octane petrol, fell 4.5 percent to 9.63 million barrels through July, compared with 10.09 million barrels during the same period in 2025. Sales declined 4.6 percent to 10.04 million barrels, while exports rose 9.8 percent to 1.98 million barrels. 

“By contrast, production of premium gasoline, or 95, rose 2.6 percent through the end of July 2026 to 8.32 million barrels, compared with 8.11 million barrels during the same period in 2025,” ONA reported. 

It added that M95 sales, however, fell 10.6 percent to 8.86 million barrels, from 9.90 million barrels, while exports dropped 33.9 percent to 362,900 barrels, compared with 549,100 barrels a year earlier. 

The figures extend a trend seen earlier in the year. Through June, Oman’s total refinery output had fallen 5.1 percent to 108.85 million barrels, with diesel and regular petrol production declining while jet fuel and naphtha output increased. 

Jet fuel, naphtha rise 

Jet fuel production increased 12 percent to 16.79 million barrels through July, from 14.99 million barrels a year earlier. Sales fell 9.2 percent to 2.57 million barrels, while exports rose 27.4 percent to 14.52 million barrels. 

Naphtha production increased 4.5 percent to 22.61 million barrels, while sales rose 3.2 percent to 8.33 million barrels and exports increased 2.6 percent to 14.66 million barrels. 

LPG and other refinery products 

Liquefied petroleum gas production declined 3.3 percent through the end of July to 6.46 million barrels, compared with 6.68 million barrels during the same period in 2025. 

“Its sales also fell 22 percent to 1.76 million barrels, compared with 2.26 million barrels. By contrast, its exports increased 3.9 percent to 2.06 million barrels, compared with 1.98 million barrels,” ONA stated. 

Production of other refinery products fell 15.9 percent to 21.97 million barrels, compared with 26.12 million barrels a year earlier, with sales of those products declining 21.7 percent to 18.32 million barrels and exports falling 3.1 percent to 5.62 million barrels. 

Petrochemical production 

In the petrochemical sector, benzene production increased 7.3 percent to 109,900 tonnes through July, compared with 102,400 tonnes during the same period of 2025, while exports of the aromatic chemical rose 11.3 percent to 108,000 tonnes, according to the statistics. 

Paraxylene production increased 9.6 percent to 370,500 tonnes, compared with 338,000 tonnes a year earlier, with exports rising 1.7 percent to 372,400 tonnes. 

Polypropylene production, meanwhile, fell 25.4 percent to 149,900 tonnes from 200,800 tonnes during the same period last year. 

Despite the decline in output, sales of the key plastic material rose 32.1 percent to 23,500 tonnes, while exports fell 17.9 percent to 122,300 tonnes, compared with 148,900 tonnes. 

A large-scale oil spill, believed to be from a tanker struck by the US military, doubled in size between Wednesday and Thursday, endangering two protected areas off Oman and Iran, said Nina Noelle of Greenpeace Germany.

The tanker RIESCO was one of four attacked Tuesday in the Gulf of Oman. A fifth was destroyed in the Strait of Hormuz off Iran’s Kharg island.

The visible area of pollution measured about 400 square kilometers (154 square miles) on Thursday, Noelle said. Satellite images reviewed by The Associated Press showed the spill stretching almost 70 kilometers (43 miles) long.

The spill is located between the Musandam protected area on the Omani side, which includes one of the region’s most important seabird breeding islands.

On the Iranian side is the Hara-e Roud-e Gaz Protected Area in Hormozgan province that includes mangrove forests.

“The current situation in the Strait of Hormuz, together with our experience of oil spills since the beginning of the war, unfortunately suggests that an effective response is unlikely,” Noelle said.

TEHRAN: Iran’s Guards said on Wednesday that a new “prohibited zone” outside the Strait of Hormuz would cover parts of the Gulf of Oman and beyond, adding that they would announce the exact coordinates later.

“It approximately starts from the direction of Chabahar, covering part of the Sea of Oman and another part of the Arabian Sea, along the route that can lead to the Strait of Hormuz,” Guards spokesman Hossein Mohebi told state television.

“If a vessel enters that area without coordination, it will be subject to our sanctions… It means, for example, that if it later wants to come and use the Strait of Hormuz, if it wants to receive services somewhere, such as insurance or other related services, we will refrain from providing those services,” he added.

The announcement comes after Iran reported “significant progress” with Oman, both coastal states on Hormuz, in discussions of a temporary shipping route through the strait.

Iranian forces have restricted traffic through Hormuz, a vital energy conduit, since the start of the war with the United States on February 28. The US has imposed a counter-blockade on Iranian ports.

Tehran has required vessels to seek permission to transit, insisting there will be no return to the pre-war system of unrestricted navigation.

On Tuesday, Iranian forces said they have struck 10 vessels which attempted to cross Hormuz without coordination.

US President Donald Trump said in recent days that American forces have helped facilitate the passage of vessels through the strait, “averaging 30 ships a night.”

Iran’s security chief Mohsen Rezaei said Sunday that the US tries each night to help five or six ships through, “and usually these ships get hit.”

During his interview on Wednesday, Mohebi said the US should also “release $24 billion in Iran’s frozen assets, and refrain from any interference in the country’s nuclear and missile capabilities.”

US says its forces ‘successfully’ completed a wave of strikes against Iranian targets, accusing the IRGC of attempted attacks on shipping and US service members.

Six months into the war on Iran, the largest US oil companies have posted their biggest profits since 2022, selling less oil at far higher prices. But the conflict is also putting their longstanding Gulf investments at risk, exposing the industry’s uneasy balance between wartime gains and mounting geopolitical vulnerability for investors worldwide.

Since the war began on February 28, Brent crude has risen about 22 percent, from $72 to $88 a barrel.

The Strait of Hormuz – through which one-fifth of the world’s oil and natural gas was shipped before the war – remains largely closed to commercial traffic, though Iran and Oman agreed last week on a temporary maritime route. Iran says the strait will not fully reopen until the United States fulfils its commitments under a lapsed interim peace deal, leaving longer-term security and management arrangements unresolved.

In the absence of a lasting resolution, the disruption is likely to continue supporting higher energy prices and creating windfalls for producers, despite placing energy companies’ regional assets and future projects at greater risk.

Rahul Choudhary, vice president of Upstream Research at Rystad Energy, an independent energy research company, said the conflict has already reduced the amount of oil and gas US energy firms are drawing from the Gulf region.

“Overall we expect US companies’ share of gas supplies [from the region] to fall by around 40 percent this year compared to last year [and] the share of oil supplies to drop by 30-35 percent,” he told Al Jazeera.

While higher commodity prices have helped offset the immediate financial impact, Choudhary said prolonged disruption is likely to delay major projects and weigh on the future growth plans of US oil and gas companies with a presence in the region.

Who has profited?

The surge in the oil price since early March, when Iran first closed the Strait of Hormuz, has delivered a windfall for oil companies, but gains have been tempered by challenges in the Gulf.

Chevron has limited exposure to Arab Gulf supply disruptions, with the region accounting for just 5 percent of its total global output. The group reported its highest quarterly profit in six years of $12bn in adjusted earnings on July 31.

ExxonMobil, by contrast, has been far more exposed to disruption in the Middle East, with the closure of the Strait of Hormuz and Iranian attacks on US-linked infrastructure in the region affecting its operations in Qatar and the United Arab Emirates (UAE), which together account for 20 percent of its global equity upstream supply, according to Choudhary.

“We already saw in H1 [the first half of] 2026, the company’s upstream earnings dropped by around $1.3bn compared to H1 2025, due to lower upstream volumes from the Middle East. However, the shortfall was covered well by higher commodity prices,” Choudhary said.

The contrast highlights a broader divide between those US energy companies which have benefitted from tighter global supply – and the corresponding rise in the oil price – and those with assets, partnerships or operations in the Gulf at greater risk of disruption caused by recent attacks on energy facilities.

Where are US energy companies exposed in the Gulf?

The Gulf’s energy sector is dominated by state-owned giants such as Saudi Aramco, Abu Dhabi National Oil Company (ADNOC) and QatarEnergy.

Although these national oil and gas companies retain control over the region’s reserves and core infrastructure, US energy firms have carved out strategic positions across the region.

US companies generate revenue through stakes in production assets, joint ventures, production agreements, refining and petrochemical projects, as well as through long-term contracts to provide equipment, engineering and operational expertise.

ExxonMobil has some of the largest US commercial interests in the Gulf.

The company has been a major partner in Qatar’s LNG sector for decades, holding stakes in several QatarEnergy LNG joint ventures linked to the expansion of the North Field. The field is the Qatari section of the North Field-South Pars structure, the world’s largest natural gas field, which Qatar shares with Iran, where it is known as South Pars. ExxonMobil also holds an interest in the UAE’s Upper Zakum offshore oilfield alongside ADNOC.

Similarly, ConocoPhillips joined the North Field East (NFE) and North Field South (NFS) expansion projects with QatarEnergy in 2022 to increase export capacity at Ras Laffan.

The US group, Occidental Petroleum, has become one of the largest foreign producers in Oman, operating the Mukhaizna heavy oilfield, the country’s biggest producing oilfield. It also holds interests in UAE gas and pipeline projects.

Chevron maintains a smaller but strategically important Gulf footprint. Through Saudi Arabian Chevron, the company operates oil assets in the Saudi-Kuwait Partitioned Zone, including the Wafra field. In July, it said it was exploring potential routes to move Iraqi crude to Mediterranean export terminals, which could reduce reliance on the Strait of Hormuz.

Where have attacks on energy facilities taken place?

According to the Armed Conflict Location and Event Data (ACLED), a US-registered independent conflict monitor, Iran and Iran-backed groups in the region have carried out at least 172 attacks on nonmilitary infrastructure across the six Gulf Cooperation Council (GCC) countries since the US and Israel launched their war on February 28.

Energy infrastructure has been hit hardest, with oil and gas facilities, along with power plants and desalination plants, accounting for nearly half (48 percent) of all strikes on nonmilitary targets.

The UAE, Kuwait and Bahrain have suffered the highest number of successful strikes, with the majority aimed at oil and gas facilities.

Among the sites that have been struck are Kuwait’s Mina Abdullah and Mina al-Ahmadi refineries, the Bahrain Petroleum Company oil refinery, and ADNOC’s al-Ruwais Industrial City and the Habshan gas complex.

There have also been several strikes on Saudi Aramco facilities, most recently a drone strike on July 27 on the Abqaiq processing complex, one of the most critical nodes in Saudi Arabia’s oil infrastructure, processing more than seven million barrels of oil per day.

Nasser Khdour, Middle East assistant research manager at ACLED, said: “Oil and gas facilities, power plants and water desalination plants are likely to remain key targets for Iran because disruption to these sectors can increase economic pressure on Gulf states, while disruption to global energy supplies increases prices and pressure on the US during periods of escalation.”

In March, a drone attack close to the Saudi Aramco-ExxonMobil SAMREF refinery in Yanbu disrupted oil loading at the city’s Red Sea port. While the attack had only minimal operational impact, it highlighted the vulnerability of US-linked energy assets in the region.

Qatar’s Ras Laffan Industrial City, the world’s largest LNG export hub, which hosts major joint ventures between QatarEnergy, ExxonMobil and ConocoPhillips, also came under repeated attack in March, at one point forcing the plant to halt production entirely. In June, an explosion as a result of a “technical malfunction” on Qatar’s Barzan gas project, where ExxonMobil holds a stake, killed at least 13 people.

“In terms of gas assets being impacted, major blows have been [dealt to] companies [that are] part of LNG projects in Qatar: ExxonMobil and ConocoPhillips,” Choudhary said.

He added that ExxonMobil’s share of LNG supply from Qatar is expected to fall significantly this year to about four million tonnes compared with 13 million tonnes last year, while ConocoPhillips has also experienced reduced volumes to one million tonnes this year compared with 2.5 million tonnes last year.

The attacks on Qatar’s LNG infrastructure could have longer-term consequences. Damage to LNG trains at Ras Laffan could take years to repair, according to QatarEnergy, while delays to Qatar’s North Field expansion projects could push back planned supply growth.

“The attack on LNG trains 4 and 6 at Rasgas damaged roughly 13 million tonnes of capacity, which will take anywhere between three to five years to come back online with a total repair cost estimate of around $3bn,” said Choudhary.

He added that the second most impacted gas project has been the Shah gas project in the UAE, in which Occidental Petroleum has a 40-percent stake and where drone attacks in March caused a fire at the gas plant that halted operations.

The conflict has also affected ExxonMobil’s oil interests in the UAE, Choudhary said. Production from Upper Zakum, where ExxonMobil has a 28 percent stake, was reduced between March and May when export routes were disrupted, limiting the ability to move offshore crude.

Beyond the UAE, the most significant impact on US companies’ oilfield operations played out in Iraq. A drone attack hit the Sarsang oilfield in March, followed by an explosion at one of its storage facilities in April, together causing damage to the field.

Looking ahead, Choudhary said higher prices could support cash flows, but prolonged conflict risks could threaten future growth. ExxonMobil’s $10bn Upper Zakum and Qatar LNG expansions could face delays, while ConocoPhillips remains exposed through investments in higher-risk markets, including its planned 42-percent stake in BP’s Kirkuk operations in Iraq.

“For companies like Chevron and Occidental Petroleum, whose presence are in less volatile countries like Israel and Oman respectively, the impact of escalations will not be as severe, as we have not seen significant disruption in these countries,” said Choudhary.

US oilfield service companies in the Gulf

Oilfield service giants, including US firms SLB (formerly Schlumberger), Halliburton and Baker Hughes, provide drilling technologies, equipment and operational expertise across the Gulf, supporting Saudi Aramco, ADNOC and QatarEnergy.

For oilfield service companies, the outlook is mixed, according to Chinmayi Teggi, energy research analyst at Rystad Energy, a research group. While higher oil prices and energy security concerns could lift demand over time, near-term margins remain under pressure from higher logistical costs, supply-chain disruptions and delayed projects.

“For the Big Three (SLB, Baker Hughes and Halliburton), the conflict continues to weigh on regional revenues,” Teggi told Al Jazeera, adding that second-quarter Middle East revenues were down 8-10 percent compared with the previous year across the three companies, while higher oil prices meant revenues were higher in other geographies.

However, a recovery in suspended operations and production could help drive growth into 2027.

For US companies, therefore, the Gulf remains both an opportunity and a risk.

“The impact on US companies will depend on the extent of exposure and countries in which these companies are present,” Choudhary said.

Their investments have secured US access to some of the world’s most important oil and LNG projects, but the conflict has exposed the risk of operating in a region where energy infrastructure has become increasingly vulnerable to geopolitical conflict.

US President Donald Trump has repeatedly warned Iran against restricting access to the Strait of Hormuz, arguing that the waterway must remain open to global commerce.

But for companies with billions of dollars invested across the Gulf, the challenge isn’t just about keeping shipments moving – it is ensuring the infrastructure remains secure, they say.

It has been six months since February 28, when the US and Israel shocked the world by launching missile strikes on Iran, killing Supreme Leader Ayatollah Ali Khamenei and several senior Iranian officials in Tehran, as well as scores of children in a school in Minab, southern Iran.

US President Donald Trump then claimed the conflict would only last “four to five weeks”.

In the months since, the war has erupted on several other fronts, reaching as far as the Caspian Sea. It has triggered a global oil supply crisis as the US and Iran battle for control of the strategic Strait of Hormuz, through which more than one-fifth of oil and natural gas cargo transited.

And it has resulted in an estimated 8,000-10,000 deaths, as well as tens of thousands of injuries.

The conflict is also realigning the global order, experts say, as new alliances form and dominant ones show signs of crumbling.

Here’s what we know:

Has the US achieved any of its war objectives?

The US’s goals were not initially clear: officials first claimed the strikes were carried out in preemptive self-defence.

According to demands presented on the eve of the war, and a jumble of sometimes contradictory statements from Trump and senior US defence officials, they include the following:

Iran’s nuclear programme

Despite Trump’s claim that the US had “obliterated” Iran’s nuclear capabilities when it joined in at the end of Israel’s 12-day war on Iran in June 2025, the US and Israel again claimed in February that Tehran was just weeks away from developing nuclear weapons.

Repeated strikes on Iran’s nuclear sites during the war have likely caused vast damage to the facilities, but it is believed Tehran still possesses 440kg of highly enriched uranium, which could be used to make a weapon.

The Trump administration wanted Iran to hand over this stock to the US and to commit to zero enrichment of uranium going forward. Iran refused to do this, although at one point appeared open to the possibility of handing the stock over to a third country. Iran also insisted on retaining the capacity to develop a nuclear power programme, which requires much lower levels of uranium enrichment.

Later, Trump briefly floated the idea of US troops retrieving the stock by force – a potentially dangerous mission.

In the June 17 memorandum of understanding (MoU) signed by both sides, Iran agreed not to pursue a nuclear weapon – something it had always pledged anyway. The MoU unravelled as its vague wording led to disagreements about what it actually stipulated.

Clark Summers, a US military veteran and professor at Belmont Abbey College in North Carolina, said the US “can rightly assert that these ends have been achieved. Although for how long before Iran can rebuild is difficult to assess.”

But Iranian expert and professor at the Australian National University (ANU), Alam Saleh, disagreed, and noted that Iran’s nuclear power programme is still intact. “The US lost even before the war,” he said, adding that the effort also shows that Washington failed in last year’s 12-day war.

Regime change in Iran

On day one of the war – February 28 – the US killed Khamenei alongside several other senior officials. Trump, two days earlier, said regime change is “the best thing that could happen”.

As the US launched missiles, he also called on “Iranian patriots who yearn for freedom to seize this moment to be brave, be bold, be heroic, and take back your country”.

Iran’s political leadership has, however, remained largely the same under the new Supreme Leader Mojtaba Khamenei – the late ayatollah’s son.

Summers told Al Jazeera that the goal may have been “ad hoc” or improvised rather than well-planned. But “killing leaders does not mean strategic achievements, even if it’s a tactical success,” Saleh said.

Ending support for regional proxy groups

Iran’s “axis of resistance” is an umbrella comprising a number of armed groups around the region that it funds. This includes Hezbollah in Lebanon, the Houthis in Yemen, Hamas in the Gaza Strip, and several smaller groups in Iraq and Syria.

There are no signs that Tehran’s support for them has ended, and this demand did not appear in the MoU signed by the US.

Hezbollah went to war with Israel in Iran’s defence, and Iran has refused to negotiate an end to the war unless the Lebanon front is included. The Houthis, meanwhile, have launched a blockade on Saudi Arabia in the Bab al-Mandeb Strait, partly in support of Iran.

Iran’s ballistic missiles programme

Washington swore it would “raze” Iran’s missile facilities to the ground when it launched the war on February 28. The US also pledged to destroy Iran’s navy.

Trump has since claimed that about 82 percent of Iran’s missiles are gone and the navy is degraded.

In April, he also said that 158 Iranian naval vessels had been hit, while US Central Command (CENTCOM) has continued to announce dozens of strikes on command centres of the Islamic Revolutionary Guard Corps (IRGC).

Iran, however, has continued to fire missiles, most recently launching a long-range missile in July that killed three US soldiers in Jordan.

Furthermore, the demand for an end to Iran’s ballistic missiles programme was also absent from the July MoU.

Control of Iranian oil

In June, Trump said the US would seize and control Iran’s Kharg island, the heart of Iranian oil production.

To date, the US does not control any Iranian territory.

What have the US and Iran gained and lost during the war?

Besides the US demands at the start of the war, several other pressure points have emerged during the conflict.

Control of the Strait of Hormuz

Soon after the war began, Iran in effect closed the narrow but critical Strait of Hormuz, which passes through its territorial waters as well as those of Oman. Since then, shipping traffic has slumped from more than 100 ships per day to an average of about five.

To enforce this closure, Iran began striking vessels in the strait, the only route to the open ocean for Gulf oil and gas producers, which had not gained its explicit permission to pass through.

The US responded with its own naval blockade on Iranian ports in and around the strait. This is continuing.

Despite a large number of expletive-laden demands from Trump since then – many of them on social media – that Tehran reopen the strait, Iran has not budged. It is currently negotiating plans for the future of the waterway, through which more than one-fifth of the world’s oil and natural gas supplies were shipped before the war, with Oman.

As part of these negotiations, Iran announced this week that it has agreed to a shipping route, which it will partially control, with Oman.

While Trump has recently claimed that the US has “full control” of the strait and that it is open to vessels, shipping remains at an all-time low and Iran has continued to fire at any vessels trying to pass without its permission.

Iran sees the strait as its main piece of leverage in the war with the US, which Salah said, Iran views as an “existential threat”.

Economic impact

• Iran: The war’s impact on Iran’s economy has been severe. The Iranian rial has in effect collapsed. Food prices have surged amid the war, and the US blockade and renewed sanctions have hampered Iranian oil exports, with the blockade cutting oil revenue by at least $6bn. Tehran’s economy has long been battered by US sanctions, although the fragile ceasefire provided temporary relief. Iran’s Foreign Minister Abbas Araghchi said last week that economic pressure is a “rerun we know by heart” and that the country knows how to survive it.
• US: US consumers have also felt the pressure of the war at the petrol pump, making the conflict highly unpopular. A July poll by The Associated Press revealed that two-thirds of Americans are against the conflict. While many tend to forget there’s a war, Summers said, they do remember it acutely when petrol prices rise. In states like California, gasoline prices doubled. That anger will likely translate into a political backlash against Republicans in November’s midterms, experts say.

Relations with allies

• Iran: Iran’s targeting of US military assets as well as both military and nonmilitary infrastructure in neighbouring Gulf states and Jordan has not made it popular regionally, experts note. Iran has hit infrastructure in Qatar, the United Arab Emirates, Saudi Arabia, Jordan, Iraq, Kuwait, Oman and Bahrain. Those states have called this a violation of their sovereignty. However, Iran’s economic and political ties with China have held, as Beijing has managed a delicate dance by advocating against sanctions on Iran while refraining from becoming fully entangled in the conflict. Trade relations with Russia also remain strong.
• US: The US has faced reluctance from its NATO allies to back it up in this war. Despite being asked directly by Trump, they have refused to join the war. Spain and Italy, in particular, have highly criticised the conflict, while Germany, Israel’s strongest ally in Europe, has done the same. France rejected calls to send warships to enforce the blockade. Gulf allies, Pakistan and Turkiye have all similarly refused, while in Asia, Japan, Australia and South Korea all declined to get involved. Gulf allies are also likely weighing the fact that it is the US’s war on Iran which has caused them to become targets.

Military capabilities

• Iran: US experts say that claims Washington has degraded Iran’s military capabilities are correct. Several army bases have been struck while Iran’s ballistic missile stockpiles are down by about 82 percent, according to Trump. However, Iran is still launching missiles and, while nuclear facilities have been damaged, it still has possession of its enriched uranium stockpile. Experts point out that Iran likely has a bigger appetite for an atomic weapon now than before the war began. Tehran has also continued to produce and deploy its mass-produced, cheap Shahed drones. An estimated 1,221 military personnel were killed by April, although the real toll is likely higher.
• US: The US has lost 18 soldiers and more than 750 have been wounded. That’s “quite low”, Summers said. However, US media reports suggest the Pentagon has severely depleted stockpiles of some of its most powerful and most expensive weapons – particularly its Patriot defence missiles – something Washington denies. Those missiles are only produced in the dozens annually and cost millions of dollars each. In August, the US signed a $22.9bn deal with manufacturer Raytheon to boost Tomahawk cruise missile production from 60 to more than 1,000 annually.

Is there an outright ‘victor’?

Observers say there is not.

“Both of them have not achieved anything,” Saleh of ANU said, noting that the US has failed to translate military superiority to actual gains despite being a “superpower” fighting a “middle power”.

China and Russia are likely observing Washington’s weaknesses, making new military calculations in the event of a future conflict with the US, he said. That has implications for Taiwan, especially as the US has now deployed its last aircraft carrier in the Pacific to the Middle East. The shift leaves the US without an aircraft carrier in the Western Pacific, despite Washington’s previous strategic emphasis on the region.

“Iran surviving also does not mean it’s a winner,” however, Saleh said. “This might be a defeat for the US, but it’s not a victory for Iran either.”

Qatari Prime Minister Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani is due to visit Tehran on Thursday for talks on de-escalating tensions and reviving dialogue between Iran and the United States.

A spokesman for Qatar’s Ministry of Foreign Affairs announced the visit in a statement on X on Wednesday.

Majed al-Ansari said Sheikh Mohammed, who is also Qatar’s foreign minister, will meet with “a number of Iranian officials” in Tehran to “discuss ways to de-escalate tensions” and “create the conditions conducive to dialogue”.

“The visit comes in line with the State of Qatar’s firm position that the diplomatic path is the best means of resolving differences & promoting security & stability in the region,” he added.

Iran also confirmed the visit, saying the discussions will cover “the continuation of Qatar’s mediation efforts and initiatives, as well as other regional developments”.

Qatar has served as a back-channel negotiator between Washington and Tehran and helped secure a memorandum of understanding in June that briefly paused hostilities. The agreement collapsed in July, and the conflict is now nearing its sixth month, with fighting largely paused but no diplomatic breakthrough in sight.

The US has, meanwhile, promised to increase economic pressure on Tehran by sanctioning its trade partners.

US President Donald Trump told Al Jazeera on Wednesday that he was in “no hurry” to resume talks with Iran, saying that he believed economic and military action against Tehran were both effective.

“I have no time schedule; whatever it takes,” he said.

‘Economic terrorism’

Iran has continued to denounce the economic pressure campaign.

Foreign Minister Abbas Araghchi wrote to the United Nations on Wednesday calling the new sanctions an “act of state and economic terrorism” and urging member states not to implement them.

“The sanctions deliberately harm civilians by restricting access to food, medicine, medical equipment, energy and other essentials, violating rights including the rights to life, health, food and an adequate standard of living”, he said.

The two sides also remain at odds over the Strait of Hormuz, the strategic waterway that handled one-fifth of global oil and liquefied natural gas shipments before the US-Israel war on Iran began in February.

Iran wants control over the strait, while the US wants it to remain an international waterway that is free for all. That disagreement in part led to the collapse of the memorandum signed in June.

Oil flows through the strait have since fallen to a three-month low, with just 5 million barrels per day (bpd) transiting on Monday. Before the war, the strait carried roughly 20 million bpd of crude oil.

Qatar’s Foreign Ministry said Sheikh Mohammed will also discuss the waterway in his meetings in Tehran on Thursday, focusing on “the need for it to return to the status quo prior to February 28”.

Regional diplomacy

Sheikh Mohammed’s visit comes two days after Omani Foreign Minister Badr Albusaidi met his Iranian counterpart, Araghchi, in Tehran.

Following those talks, Iran’s deputy foreign minister, Kazem Gharibabadi, said the two countries had agreed on a new temporary route for shipping in the strait.

But he insisted that the waterway will not reopen until the US fulfils its commitments under the June deal, including the lifting of sanctions and the release of frozen assets.

Pakistan’s army chief, Asim Munir, also visited Tehran earlier in the week in a bid to “end the stalemate” in the conflict, with Islamabad reporting “significant progress” in those talks.

Mostafa Khoshcheshm, a professor at the University of Applied Sciences in Tehran, said that regional countries were pushing for dialogue because “they believe that the situation is moving towards escalation”.

“They know that if war breaks out, it would be a fully-fledged war and the fire would spill over into the entire region and beyond, leaving a detrimental impact on the global economy,” he said. “So there are hectic diplomatic moves on the part of these countries.”

A top Iranian official says Iran and Oman have agreed on a new temporary route for shipping in the Strait of Hormuz, but insisted that the waterway will not reopen until the United States fulfils its commitments under an interim peace deal signed in June.

The remarks by Kazem Gharibabadi, Iran’s deputy foreign minister for legal and international affairs, came on Tuesday, after Iran and Oman’s top diplomats held talks in Tehran to finalise the details of a phased framework for managing the strait.

Iran and Oman, both coastal nations on the strait, have been in on-and-off talks for weeks about controlling traffic through the strategic waterway, which handled one-fifth of global oil and liquefied natural gas shipments before the US-Israel war on Tehran began in February.

Most ⁠shipping in the strait has been shut down since then.

Gharibabadi, speaking on state television, said Iran and Oman had agreed the new route’s entry “would be through our territorial waters, and part of the exit route would also be through our territorial waters”.

The transit corridor would be seven miles (11.3km) wide, he said.

“The agreed-upon transit route with Oman is a temporary route,” he added.

Earlier on Tuesday, Iran’s Foreign Minister Abbas Araghchi met with his Omani counterpart, Badr Albusaidi, in Tehran to discuss the temporary navigation corridor as well as a project to clear mines from the strait, according to a joint statement.

Albusaidi said on X he hoped the countries would “soon announce” the corridor, adding that “future management of the strait and a permanent solution will follow in due course.”

Technical talks are planned to develop a long-term arrangement, including mechanisms for information sharing and navigational and security services, according to the statement.

Mines in Hormuz

The Strait of Hormuz became a flashpoint after Tehran responded to the US-Israel war by closing the waterway. It then announced a new shipping route through its territorial waters, bypassing the internationally recognised Traffic Separation Scheme adopted by the International Maritime Organization (IMO) in 1968. Tehran said that route had been mined.

Then in June, when Iran and the US signed a Memorandum of Understanding (MoU) to end the war, Oman and the IMO announced a new transit corridor in the Strait of Hormuz – backed by the US – that hugged the Omani coast.

Iran said the so-called southern route violated the MoU and launched attacks on ships using the corridor, resulting in the collapse of the interim deal.

Diplomatic efforts towards a broader peace deal have since stalled, and passage through the strait remains dangerous. An oil tanker was disabled by an unidentified projectile on Tuesday near Oman’s Ash Shishah, close to the strait’s entrance, the United Kingdom’s maritime trade watchdog said.

Gharibabadi, in his comments on Tuesday, said Iran would not consider the strait open despite the agreement with Oman.

He also dismissed a claim by US President Donald Trump that all mines had been cleared from the strait’s international waters, saying it was “only aimed at calming the markets”. He warned that US mine-detection vessels would become “very good targets” if they entered the area.

Gharibabadi insisted the US must fulfil its commitments under the MoU – including sanctions relief and the release of frozen Iranian assets – if it wants a return to the diplomatic track.

He also urged countries to resist US pressure over sanctions on Iran.

Trump had announced last week the “most crushing economic operation ever” against Iran, and threatened sanctions against any country that does business with it.

“We are urging countries not to succumb to American pressure regarding the sanctions that Washington wants to impose on us,” Gharibabadi said, adding that Washington was “mistaken about its ability to enforce its sanctions against our neighbours”.

He said an earlier US sanctions campaign under Trump had failed to achieve its goals and predicted new measures would meet the same fate.

“The new American sanctions are doomed to failure, and we have our own methods to counter them,” he added.

Trump says all mines have been cleared from Strait of Hormuz’s international waters and that Tehran received warnings that ships laying new mines will be ‘destroyed’.

Islamabad, Pakistan — Pakistani Field Marshal Asim Munir spent Monday moving through the power corridors of Tehran: the presidency, parliament, the Supreme National Security Council, and the foreign and interior ministries.

He met Iranian President Masoud Pezeshkian, as well as Parliament Speaker Mohammad Bagher Ghalibaf, who is Tehran’s chief negotiator in talks with the United States to end their now six-month-long war.

But amid a deadlock in those peace negotiations, many analysts say that Munir’s true test as mediator will lie in his ability to use his position as one of the region’s most powerful military leaders to convince his Iranian counterparts in olive uniforms to agree to a return to talks with Washington.

Days before Munir’s visit, Iranian President Masoud Pezeshkian told a gathering of doctors in Tehran that it was time to end the war while Iran held the advantage, a message aimed as much at Tehran’s own security establishment as at Washington.

“It is better that we bring the war to an end now as we are in a position of power and dignity,” he said, adding that “the whole world acknowledges our victory”.

Hours later, on August 21, the chief of the general staff of Iran’s armed forces, Major-General Ali Abdollahi, promised “revolutionary, crushing, regret-inducing and devastating” responses to any American miscalculation.

It was a sharp illustration of the gap between Iran’s president and the men now running its military — one that Munir will need to also navigate, analysts say.

And that’s why Munir’s most significant meeting on Monday might have been with General Mohsen Rezaei, a representative of Iran’s Supreme Leader Mojtaba Khamenei and the newly appointed secretary of the Supreme National Security Council. Rezaei is essentially the bridge between the military and Khamenei.

State of the war

Munir’s visit to Tehran came on a day when the region and the world were bracing for US President Donald Trump’s threatened “economic D-Day” sanctions against Iran, accompanied by a threatened punishment for all countries that continue to trade with Tehran.

Later in the day, US Treasury Secretary Scott Bessent unveiled “Operation Economic Outcast“, a sweeping sanctions campaign targeting Iran’s digital assets, gold, aviation, technology and shipping networks.

But while warning other countries to sever trade ties with Iran, he held back from actually announcing any penalties for those nations, acknowledging that such a step would “blow up the global financial system”.

Meanwhile, Defense Secretary Pete Hegseth, speaking the same day, kept the option of renewed strikes open.

“If we need to use kinetic strikes, we’ll use them. If Iran is foolish enough to overplay their hand or mess with the American military, we’ll do what we need to do,” he said.

It’s unclear whether Munir’s visit helped stave off broader US action against Iran and its trading partners.

But the timing was significant, analysts point out. Munir travelled to Tehran days after taking a phone call from United States President Donald Trump, who reportedly asked Islamabad to use its influence to bring Iran back to the table.

Pakistan’s Inter-Services Public Relations (ISPR) said the one-day visit had produced “comprehensive discussions” on reopening the Strait of Hormuz and ending the war.

Iranian officials, the ISPR added, “appreciated Pakistan’s constructive role and sincere efforts”.

Pakistan’s Interior Minister Mohsin Naqvi, who travelled with Munir, went further, calling the talks “very positive and productive” and saying “significant progress was made”.

A reshuffled Iranian military

This was his fourth visit to Tehran this year, but his first since Iran’s military hierarchy changed earlier this month.

On August 10, Supreme Leader Mojtaba Khamenei installed Abdollahi as chief of the general staff and moved Rezaei into the Supreme National Security Council. Ahmad Vahidi, commander of the Islamic Revolutionary Guard Corps (IRGC), has held his post since March, when his predecessor was killed in the war’s opening strikes.

It is these military men that analysts say are now shaping Iran’s war moves, potentially giving a fellow man in uniform an edge over traditional diplomats in convincing Tehran to get back to talks.

“It is increasingly the IRGC and the wider security establishment driving decisions on war and peace during this crisis,” Ahmed Saeed, a former vice admiral in Pakistan’s navy and a defence analyst, told Al Jazeera.

Naqvi, the interior minister, has travelled to Tehran eight times since April without those visits producing a substantial breakthrough.

But unlike him, Munir is not a politician. He’s a general who appears to enjoy the trust of both the Iranian leadership and, crucially, Trump — who has described the Pakistani army chief as his “favourite field marshal”.

“The call [to Munir a few days ago] was initiated by Trump himself, requesting Pakistani leadership use its influence to bring Iran back to the table,” Saeed said.

Warm words, no movement

What Iranian officials actually told Munir, in accounts carried by Iranian state media, differed little from what they have been telling their own broadcasters all week.

“We distrust America, and it must change its behaviour,” Rezaei told Munir, according to IRNA.

Ghalibaf, Iran’s parliament speaker, was blunter.

“We are pursuing the implementation of the terms of the Memorandum of Understanding, and it is America that must adhere to its commitments based on the Memorandum of Understanding,” he told Munir, according to IRNA.

Pezeshkian, meanwhile, pressed Munir to tell Washington to “correct its tone and approach”, warning that “relying on force and bullying will only complicate the process”, according to Tasnim, another Iranian outlet.

Two tracks, one strait

Oman’s Foreign Minister Badr bin Hamad Albusaidi is also expected in Tehran today for a separate round of talks focused specifically on the Strait of Hormuz, a track that has run alongside Pakistan’s mediation for months.

Oman’s involvement is not new. Albusaidi has held recurring talks with Tehran on the strait’s navigation rules.

Ejaz Haider, a Lahore-based defence analyst, said the Omani and Pakistani diplomatic tracks complement each other.

“Oman and Islamabad channels complement, because clause 5 of the Islamabad MoU stresses a bilateral understanding on the strait [between Oman and Iran],” he told Al Jazeera. The Strait of Hormuz passes through the territorial waters of Iran and Oman.

“This [a deal between Iran and Oman to jointly manage the strait] is not in the interest of the US, which is why Trump has threatened to bomb Oman,” Haider said, referring to remarks Trump made on August 17, when he told Fox News he would bomb Oman if it “gets in the way” of reopening the strait, the second time he had threatened the US ally over Hormuz.

Where Islamabad’s advantage as a mediator lay was in its “direct access to Vahidi, Abdollahi and Rezaei, the actual architects of Iran’s decision-making”, Saeed, the former naval official, said.

An Iranian official close to the negotiations, speaking on condition of anonymity, said Albusaidi would be in Tehran “primarily to hear what Iran has decided and what it has discussed with its Pakistani mediator”.

Who holds the leverage?

Andreas Krieg, an associate professor of defence studies at King’s College London, said the differences that had emerged between the Iranian military and civilian leaderships demonstrate a gulf between their understanding of where the war stood.

Pezeshkian and Ghalibaf, Krieg said, were “essentially warning that Iran cannot live indefinitely in this condition”, while “parts of the IRGC believe the opposite and think time is working against Washington”.

But ultimately, he said, “Mohsen Rezaei, Ahmad Vahidi and the IRGC are central to whether any political understanding [to end the war] can be implemented”, referring to Iran’s top military leadership.

“[Iranian Foreign Minister Abbas] Araghchi can negotiate something, and Qatar can broker it, but none of that matters if the security apparatus does not accept the operational consequences.”

For now, Munir appears to be the candidate mediators believe has the best shot at getting Iranian generals from their war room to the board room.

US Treasury Secretary Scott Bessent announces new sanctions on Tehran to sever financial support for the regime, urging US allies to support the measures.

Iran security chief Rezaei says any state joining US would be considered an enemy and Tehran would target their interests in retaliation.

Omani and Iranian foreign ministers hold a call as Washington prepares economic sanctions amid ongoing shipping disruptions in the Strait of Hormuz.

Iranian President Masoud Pezeshkian has called for an end to the months-long war with the United States, stating that Tehran holds a position of strength as diplomatic talks remain stalled.

“It is better that we bring the war to an end now as we are in a position of power and dignity,” Pezeshkian said in a meeting with doctors on Friday. “The whole world acknowledges our victory and emphasises that America has attacked our schools, hospitals and infrastructure in violation of all regulations and is hated around the world.”

Pezeshkian – whose authority as president is ultimately subordinate to Iran’s Supreme Leader Mojtaba Khamenei – also defended the June memorandum of understanding agreed with Washington against hardline domestic critics in parliament, who accused his administration of giving concessions to the US.

“They cannot find even a single clause in this agreement that indicates capitulation. All the commitments concern the other side,” he said.

However, days after the memorandum of understanding expired, Iran’s military leadership has warned that the country remains ready to strike back against any new threats.

“With preparedness across land, sea, air, air defence and cyberspace, Iran’s armed forces will respond to the enemy’s new threats with crushing, punishing and devastating responses,” Major-General Ali Abdollahi, chief of staff of Iran’s armed forces, was quoted as saying by Iranian media.

Strait of Hormuz

Meanwhile, Omani and Iranian foreign ministers discussed in a phone call on Friday ways to create suitable conditions for resuming dialogue and negotiations, as well as developments affecting navigation in the Strait of Hormuz, according to Oman’s state news agency.

Tehran continues to keep the key waterway partially shut while Washington persists with a naval counterblockade. Reports in US media indicate the US navy has been organising and protecting secret convoys of tankers through the southern sector of the strait, enabling between five and 10 million barrels a day of oil to be exported.

In Washington, President Donald Trump expressed scepticism over Tehran’s willingness to negotiate, telling reporters when asked if US military options with Iran were limited: “It just means that we’re seeing what happens.”

“We have total control of that entire region having to do with the Strait of Hormuz, and that means well into it, the land areas. So, they would love to make a deal, but they’re not ready to make the right deal, in my opinion,” Trump added.

He has also warned of economic consequences against any country that provides “any type of lifeline to Iran”.

The comments came as US Treasury Secretary Scott Bessent warned that Washington would “collapse” the Iranian government with a sanctions campaign.

Bessent will hold a news conference at the Department of the Treasury on Monday, where he is expected to outline planned sanctions against Iran, marking a shift by the Trump administration towards economic rather than military pressure as the war nears the six-month mark.

Iran’s Ministry of Foreign Affairs has already condemned the US plan, accusing Washington of “economic terrorism” and stating that “the instigators of these sanctions are deserving of trial and punishment”.

China’s Ministry of Foreign Affairs spokesman Lin Jian also criticised the US measures, stating that “sanctions and pressure will not help resolve the issue” and urging all parties to “take responsible measures and resolve the problem through political and diplomatic means”.

US Treasury Secretary Scott Bessent says Washington will impose its ‘toughest sanctions in history’ to ‘collapse’ Iran’s government, warning of consequences for countries that maintain economic ties with Tehran.