Iran said it was nearing a final pact with Oman defining new shipping lanes between them through the Strait of Hormuz but reiterated the United States must meet Tehran's conditions set out the day before, including compensation for war damages and an end to military threats, before the strategic waterway is reopened.

Iran, Oman agree on framework regarding Hormuz, with final approval still pending from Tehran.

A U.S. official said Friday that Iran and Oman were making progress toward an agreement that could soon reopen the Strait of Hormuz and restore oil...