Iran Gains Immediate Oil Sales Rights in Proposed US Memorandum

A provision in the proposed US-Iran Memorandum of Understanding will allow Iran to immediately sell oil and use banking, transportation, and insurance services upon signing, as part of an interim accord that aims to prevent Iran from developing a nuclear weapon amid ongoing Iran tensions. [1] The same provision permits Iran to access those services to facilitate the sales, according to people familiar with the agreement. [1]

Immediate Oil Sales Allowed Under US-Iran MOU

The memorandum includes a clause that enables Iran to begin selling oil and fuel right after the document is signed. [1] This arrangement covers the use of banking, transportation, and insurance services to support those transactions. [1] Details of the memorandum have remained under discussion in recent days following the announcement of the agreement. [1] A source confirmed that Israel requested but was denied access to the full text of the agreement. [1] The memorandum is set to be signed in Switzerland on Friday. [1] Documents reviewed by Al Arabiya English indicate the final agreement will be adopted through a binding UN Security Council resolution. [1]

Trump Defends Deal at G7 Summit

US President Donald Trump stated at the G7 summit that the interim accord makes clear Iran will never have a nuclear weapon. [2] He warned that "all hell will rain down" on Iran if it sought to acquire one. [2] Trump contrasted the new memorandum with the 2015 agreement under former President Barack Obama, describing the earlier deal as a road to a nuclear weapon while calling his own a wall against one. [2] He indicated he likes the idea of sending the Iran deal to Congress for review, a request made by some Republican lawmakers. [2] Trump said he will send it to Congress and noted that Iran wants to get a deal done to return to business. [2] He added that the relationship is now normalized and suggested the process could go pretty quickly, though it could also take longer. [2] Trump also suggested that Syria under President Ahmed al-Sharaa could handle Hezbollah, praising al-Sharaa for doing an "amazing job" and stating that Syria will do the job if Israel cannot without killing everyone else. [2]

Iran Frames Agreement as Victory Amid Domestic Criticism

Iran's leadership is presenting the agreement domestically as a victory achieved through resistance. [3] Speaker of parliament Mohammad Bagher Qalibaf said Iran had taken "a long step towards final victory." [3] President Masoud Pezeshkian described the understanding as potentially transformative, saying that if fully implemented it could resolve many of Iran's problems and create "a different world" in Iran and the Middle East. [3] Qalibaf's support indicates backing from parts of the system including the Islamic Revolutionary Guard Corps. [3] The leadership argues that the United States and Israel failed to achieve objectives such as forcing Iran into surrender, removing the Islamic Republic from power, ending Iran's nuclear programme through military action, or breaking Iran's links to Hezbollah. [3] A hard-line deputy chair of parliament's National Security Committee has described the draft deal as a document that would turn Iran into an American colony and accused negotiators of ignoring a directive not to re-open the Strait of Hormuz to shipping. [3] Economic pressure from war, sanctions, restrictions on shipping, reduced access to oil markets, and very high inflation has squeezed the country. [3] US Vice-President JD Vance has said Iran would not receive taxpayer money but could gain access to billions of dollars if it fulfils its commitments and sanctions are eased. [3]

Unresolved Questions Over Lebanon Ceasefire

The accord includes a ceasefire in Lebanon. [2] Israel under Prime Minister Benjamin Netanyahu has refused to withdraw forces from southern Lebanon, with Netanyahu stating that Israeli troops would remain as long as needed to tackle Hezbollah. [2] An estimated 50,000 homes have been damaged or destroyed in Lebanon during the war. [4] More than 3,800 people have been killed in Lebanon, including many women and children, according to the country's health ministry. [4] The Israeli military says it has killed more than 2,500 Hezbollah operatives, while Israeli authorities say 30 Israeli soldiers and four civilians have been killed. [4] One million people remain displaced across Lebanon, most of them Shia Muslims. [4] Around 5 percent of Lebanon's territory is under Israeli occupation with no indication of a withdrawal. [4] Israeli Defence Minister Israel Katz said Israel would stay indefinitely in land seized in Lebanon. [4] Trump appeared critical of Israel's strategy in Lebanon, saying Israel is fighting Hezbollah too long and too many people are being killed, and that he is not happy with the way Israel had handled itself with Lebanon and Hezbollah. [2] The situation creates uncertainty and fragility around the truce amid continued Iran tensions. [4]

Path to Detailed Negotiations in Switzerland

US and Iranian officials are due in Switzerland on Friday to begin detailed negotiations, opening a 60-day window for complex technical talks. [2] These talks are expected to cover issues such as the future of Iran's highly enriched uranium and the lifting of sanctions. [2] European allies have voiced concern that an inexperienced US negotiating team could struggle to secure a robust agreement. [2] Diplomats and analysts note that Iranian negotiators are highly skilled in nuclear diplomacy and often exploit weaknesses in their counterparts. [2] The most difficult issues, including the future of Iran's enriched uranium, the level of enrichment allowed, verification, sanctions relief, Hormuz, and Lebanon, remain to be discussed. [3]

Iranian Public Reactions and Outlook

Reactions from Iranians suggest the official victory narrative is landing unevenly. [3] Some audience members expressed worry about another Israeli attack and said they had "no trust" even after hearing about the agreement. [3] Others asked what the US attack had achieved if it did not lead to political change in Iran. [3] Some described Iran as the winner, saying the war showed sanctions are lifted not through begging but through the use of power. [3] Others welcomed the agreement more cautiously, saying it allowed people to return to work and life with greater peace of mind, though they noted it is temporary and provides only a few months of breathing space and calm. [3]

What to watch next

Negotiations opening a 60-day window in Switzerland will address Iran's highly enriched uranium, sanctions relief, Hormuz, and Lebanon, with the memorandum to be adopted through a binding UN Security Council resolution. [1] [2]

Further Reading

• Syria Live Map