- Iran reimposed restrictions on Hormuz and Israel attacked Lebanon, undermining Trump's peace deal hopes
- Trump said Saturday there were "very good conversations" going on with Iran
- A day earlier, he said the US would work with the Islamic Republic to recover the country's "nuclear dust"
Iran on Saturday reimposed restrictions on vessel traffic through the Strait of Hormuz and Israel attacked targets in Lebanon, undermining expectations of an imminent peace deal touted by US President Donald Trump.
The Islamic Republic broadcast to ships that the waterway was closed to maritime traffic, and one supertanker reported gunfire, according to owners of vessels in the area who asked not to be identified because of the security situation.
"With repeated breaches of trust and exploitation of this great concession for propaganda purposes, the strait was blocked again," Mehdi Tabatabaei, spokesman for Iranian President Masoud Pezeshkian, said in a statement.
The Islamic Revolutionary Guard Corps' Navy issued a statement Saturday afternoon warning vessels not to leave their anchorages in the Persian Gulf and the Sea of Oman, and that approaching the strait "will be considered cooperation with the enemy, and the violating vessel will be targeted."
Meanwhile, the US military is preparing to board Iran-linked oil tankers and seize commercial ships in international waters in coming days to pressure Iran into reopening the waterway, the Wall Street Journal reported Saturday, citing anonymous American officials.
"They wanted to close up the strait again like they've been doing for years and they can't blackmail us," Trump told reporters Saturday about Iran, although the strait was fully open until the US and Israel began their bombing campaign seven weeks ago. "We'll have some information by the end of the day, you know. We're talking to them. We're taking a tough stand."
The White House didn't immediately respond to a request for comment about the Journal's reporting.
Chaos in the Strait of Hormuz - through which about a fifth of the world's oil and liquefied natural gas transited before the US-Israel war on Iran began in February - erupted a day after Iran said the waterway would reopen to commercial vessels. Earlier in the day, Iran denounced the US for continuing its naval blockade until a deal is signed, calling it maritime "banditry."
Lebanon Ceasefire Fraying
There were also signs the ceasefire in Lebanon - linked to Iran's decision to allow Hormuz traffic - may be fraying. The Israel Defense Forces said it struck "saboteurs" approaching its troops in violation of the truce. The developments upend rising optimism that the US and Iran were nearing a broad agreement to end the war that has claimed thousands of lives and disrupted energy exports from the Persian Gulf.
The deal between Israel and Lebanon allows the Jewish State to "preserve its right to take all necessary measures in self-defense, at any time, against planned, imminent or ongoing attacks."
On Saturday, Israel struck what it called a "terrorist cell" in south Lebanon. President Emmanuel Macron also said a French soldier was killed in an attack on UN peacekeepers in Lebanon and suggested Hezbollah - Iran's proxy - was to blame.
Trump said Saturday there were "very good conversations" going on with Iran. A day earlier, he said the US would work with the Islamic Republic to recover the country's "nuclear dust."
But Esmail Baghaei, Iran's Foreign Ministry spokesman, told state television that enriched uranium "is as sacred to us as Iran's soil, and it won't be transferred anywhere under any circumstances."
The material - which the US says was buried deep underground after its bombing of Iran's nuclear facilities during last year's 12-day war - lies at the core of efforts to end the conflict, and its fate is central to any broader deal.
Momentum for a lasting peace had been building, with Tehran saying Friday that Hormuz is open for commercial shipping.
Cracks began to emerge Saturday with Iran's criticism of the continued US blockade.
The UK Navy soon after said a tanker was approached by IRGC gunboats before being fired at, adding that the vessel and its crew were safe. A container ship was hit by an unknown projectile in a separate incident off the coast of Oman, it said.
Iran's Supreme Leader Mojtaba Khamenei said the country's "navy stands ready to make enemies taste the bitterness of new defeats" in a statement marking the National Army Day. It wasn't clear if his message was in direct response to developments surrounding Hormuz.
Iran is in control of the strait and will secure its rights "either at the negotiating table or in the field," Iranian First Vice-President Mohammad Reza Aref said, according to the semi-official Mehr news agency.
Several oil tankers made a U-turn Saturday after appearing to try to transit the narrow waterway. It wasn't immediately clear why they changed course.
Others still sought to seize the opportunity provided by the Friday announcement. The FPMC C Lord, a very large crude carrier laden with Qatari and Saudi crude, sailed south of the Iranian island of Larak and was heading into the Gulf of Oman around mid-Saturday, indicating its destination as Fujairah, in the United Arab Emirates.
A handful of other oil carriers are also pointing toward the waterway. Earlier, three LNG carriers and an oil-product tanker - some of them sanctioned by the US - headed east into the Gulf of Oman, while a Pakistan-flagged products tanker followed not far behind. Several LNG carriers were also nearing the strait.
"While a deal appears to be in sight that may bring an end to the current round of US-Iran hostilities and relief to energy markets, it's unlikely to result in a full or lasting peace," Bloomberg Economics analysts including Jennifer Welch wrote in a report. "We assess any deal will be limited and fragile."
Deal Confusion
Trump told Bloomberg in a phone interview on Friday that Iran has agreed to suspend its nuclear program indefinitely, and "most of the main points" in discussions with the country are finalized.
The president also floated in the interview the threat of resuming strikes on Iran once the current ceasefire expires next week.
"Maybe I won't extend it, so you have a blockade, and unfortunately we have to start dropping bombs again," he said.
Trump's comments and Tehran's declaration on Hormuz on Friday were the latest signs the two sides were working behind the scenes on a deal after their first round of direct talks in Pakistan last week failed to yield an agreement.
The war saw Iran retaliate against US bases across the region and strike oil and gas infrastructure belonging to American allies in the Gulf, triggering a global energy crisis.
Oil, fuel and natural gas prices plunged on hopes that the latest developments would mean an end to the war and more energy supplies could transit safely through Hormuz. Brent crude dropped 9% on Friday to around $90 a barrel, wiping out most of the gains it posted since the onset of the war. Diesel prices in the US and Europe also fell.
In a notable shift, real-world oil prices also eased significantly alongside headline futures prices. On Friday, dated Brent, the world's most important physical price, fell below $100 a barrel for the first time since March 11. Stocks extended their rally on speculation the war would soon end.
One proposal under discussion is for the US to release $20 billion in frozen Iranian funds in return for Tehran giving up its stockpile of enriched uranium, Axios reported, citing two US officials and two other unidentified sources briefed on the talks.
Trump pushed back on that idea in the phone interview, repeatedly saying "no" when asked if he would release the $20 billion.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
