After nearly four months of conflict that rattled global energy markets, US and Iranian officials are set to formally sign a deal on Friday, June 19, aimed at ending hostilities that began with US-Israel strikes on Iran back in February. Oil prices dropped sharply on the announcement.
The tentative agreement, reached over the weekend of June 14-15, includes provisions for reopening the Strait of Hormuz, lifting the US naval blockade of Iranian ports, and implementing an extended ceasefire. The formal signing ceremony is planned for Switzerland, with a framework for further talks on Iran’s nuclear program within a 60-day window baked into the deal.
What the deal actually covers
The conflict traces back to February 28, when US and Israeli forces launched strikes on Iran, triggering a chain of escalation that included a naval blockade of Iranian ports and the effective closure of one of the world’s most critical shipping chokepoints. The Strait of Hormuz handles roughly a fifth of the world’s oil supply on any given day.
President Trump announced the agreement and authorized the removal of the blockade. On the Iranian side, Parliament Speaker Mohammad Bagher Qalibaf has been a central figure. Pakistani Prime Minister Shehbaz Sharif served as the lead mediator.
