WSJ: US to allow immediate Iranian oil sales under new deal

The United States will allow Iran to immediately resume selling oil and fuel under a deal aimed at ending the conflict between the two countries, according to people familiar with the agreement cited by the Wall Street Journal.

The provision, which reportedly includes waivers on sanctions for oil sales, is expected to take effect immediately upon signing the agreement this week. It would also cover essential services such as banking, transportation, and insurance required to facilitate the exports.

The memorandum of understanding, which the administration says was signed electronically by the United States and Iran on June 14 and is set to be finalised this week, reportedly includes an extended pause in hostilities, the lifting of blockades in the Strait of Hormuz, and the launch of broader negotiations on Iran’s nuclear programme.

A senior U.S. official said on June 16 that while Iran would receive upfront sanctions relief for oil exports, long-term easing of restrictions would depend on Tehran’s compliance with U.S. demands, including issues related to the Strait of Hormuz and its nuclear activities. Iran would not, however, gain immediate access to billions of dollars in frozen assets.

The agreement also reportedly offers the possibility of significantly expanded financial relief if Iran agrees to dismantle its nuclear programme and destroy its stockpile of enriched uranium.

However, the deal has drawn criticism from some lawmakers and political figures in the United States and Israel, who oppose granting financial relief to Iran before securing major concessions.

Analysts say the move reflects a trade-off in U.S. leverage. Allowing Iran to export its oil concedes a key point of U.S. leverage, but one the White House felt it probably had to give up to open the Strait of Hormuz, said Farzin Nadimi.

By Sabina Mammadli