Commodities August 27, 2026 04:50 PM

Iran Outlines Preconditions for Reopening Strait of Hormuz, Says Security Chief

Tehran prepares list of demands tied to ending regional hostilities as talks with Oman continue over a shared shipping corridor

By Leila Farooq
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Iran is compiling conditions for allowing maritime traffic through the Strait of Hormuz after mediators asked it to specify terms. Mohsen Rezaei, secretary of the Supreme National Security Council, said ending the regional war is among Tehran's demands. Iran and Oman have agreed on a route that would pass through both countries' waters, but Iran says reopening depends on the United States meeting its conditions, including lifting measures Tehran calls a blockade of its ports, paying compensation and removing sanctions.

Iran Outlines Preconditions for Reopening Strait of Hormuz, Says Security Chief
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Key Points

  • Iran is preparing a list of specific conditions for reopening the Strait of Hormuz after mediators asked Tehran to specify its demands.
  • Tehran and Oman have agreed in principle on a shipping corridor that would use a central channel with parts of the route in both countries' waters, but details are still being worked out.
  • Iran says it will not allow the strait to reopen unless Washington lifts what Tehran calls a blockade of its ports, pays compensation and removes sanctions.

Iran is drawing up a set of conditions that would govern the reopening of the Strait of Hormuz, a senior security official said, after mediators requested that Tehran lay out its demands.

Mohsen Rezaei, secretary of Iran's Supreme National Security Council, said in an interview on Al Manar TV that one of the items on the list is an end to the regional war. He spoke through an interpreter and said ships could transit a designated central channel through the strait if the United States met Iran's conditions.

Rezaei also said Iran had reached agreement with Oman on the broad concept of a shipping corridor through the strait. Parts of the route would lie in Omani waters and other sections in Iranian waters, he said. That arrangement, he indicated, would allow vessels to use a specific central passage provided Tehran's conditions were satisfied.

On Wednesday, a senior source indicated Tehran and Muscat were still ironing out the detailed terms of their understanding after Iran's Islamic Revolutionary Guard Corps said the two countries had agreed on how to allocate control of the waterway and share its revenues. The source said work was ongoing on the specifics of any agreement.

A Guards spokesperson reiterated that Iran would not permit the strait to reopen unless Washington took a number of actions. According to the spokesperson, Tehran wants what it describes as a blockade of Iranian ports lifted. The spokesperson also said Iran demands compensation and removal of sanctions as part of conditions for allowing maritime traffic to resume.

The Strait of Hormuz has been a critical route for energy shipments. Before the war began in February, the waterway carried roughly one-fifth of global oil and liquefied natural gas shipments. Since the conflict began, shipping through the strait has largely halted.

Efforts to restore maritime traffic have not yet succeeded. Ceasefire agreements announced by Washington and Tehran in April and June were intended to reopen the corridor to commercial shipping, but those measures did not hold and maritime movements have remained severely constrained.


Context important to markets and trade

The statements by Iran's security official and the Guards underscore that reopening the strait is contingent on a set of political and diplomatic conditions, and that bilateral arrangements with regional neighbors such as Oman are still being finalized.

Risks

  • Continued suspension of shipping through the Strait of Hormuz is affecting the energy shipping sector, given the strait previously carried about one-fifth of global oil and LNG shipments.
  • Failure of ceasefire agreements to hold creates ongoing uncertainty for maritime traffic and global energy markets.
  • Incomplete agreements between Iran and Oman on control and revenue sharing leave the timeline and terms for reopening the waterway uncertain, impacting shipping and commodities-linked financial markets.

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