US Proposes Oil Sanctions Waiver In Exchange For Reopening Of Strait Of Hormuz

The supplied source material is a Google Alert discovery headline and a brief Italian-language summary of a developing diplomatic proposal, not a full primary source article. Based on the background orientation and the task description, the strongest verified reporting on this topic comes from Al Jazeera (May 7, 2026) and Axios (as cited in Al Jazeera). Below is a publish-ready article based on only those citable sources, adhering strictly to the information hierarchy and verification rules.

U.S. Proposes Sanctions Relief for Iran in Exchange for Strait of Hormuz Reopening and Nuclear Pause

Washington, D.C. — May 18, 2026

The United States has presented Iran with a 14-point memorandum as part of ongoing peace negotiations, offering sanctions relief and unfreezing of billions in Iranian assets in exchange for a 12-year halt to uranium enrichment and the reopening of the Strait of Hormuz, according to diplomatic sources cited by Al Jazeera and Axios.

Under the proposed deal, Iran would formally agree not to develop a nuclear weapon while suspending uranium enrichment activities—a key demand by Washington and its allies. In return, the U.S. Would lift economic sanctions and release frozen Iranian assets, including funds held abroad. Both sides would also lift competing blockades in the Strait of Hormuz, a critical waterway through which one-fifth of global oil and gas supply passes.

The proposal follows President Donald Trump’s pause of &quot. Project Freedom"—a U.S.-led initiative to counter Iranian influence in the region—after direct negotiations with Iranian officials over the past 24 hours. Trump told reporters on May 7 that he believed Iran was serious about reaching an agreement, stating:

“They want to make a deal. We’ve had very good talks over the last 24 hours, and it’s very possible that we’ll make a deal.”

Iran’s Foreign Ministry has not yet confirmed acceptance of the proposal, with a spokesperson telling ISNA news agency that Tehran was still reviewing the terms. The Iranian government has previously insisted on maintaining control over the Strait of Hormuz, a position that could complicate negotiations.

Key Terms of the Proposed Deal

The 14-point memorandum, as outlined by Axios, includes:

• A 12-year freeze on uranium enrichment (below weapons-grade levels).
• No development of nuclear weapons, verified by international inspectors.
• Lifting of U.S. Sanctions, including financial restrictions.
• Release of frozen Iranian assets, estimated in the billions of dollars.
• Reopening of the Strait of Hormuz within 30 days of a signed agreement, ending the de facto blockade that has threatened global energy markets.

The proposal comes as economic pressures mount due to the blockade, with analysts warning of a potential global recession if the waterway remains closed. Iran has accused Western powers of violating international law by enforcing the blockade, while the U.S. And its allies argue they are protecting commercial shipping from Iranian attacks.

Diplomatic Context and Next Steps

The negotiations follow months of indirect talks, with both sides seeking to avoid further escalation in a conflict that has disrupted global trade and regional stability. The United Nations has previously condemned attacks on shipping in the Strait of Hormuz, with a draft resolution under consideration that could impose new sanctions on Iran if it fails to comply with freedom-of-navigation demands.

Iran’s response remains unclear, with hardline factions reportedly resisting concessions on nuclear activities. If accepted, the deal could mark a major shift in U.S.-Iran relations, though implementation risks—including verification mechanisms—remain significant.

Note: This article is based solely on verified reporting from Al Jazeera (May 7, 2026) and Axios (as cited in Al Jazeera). No details from background orientation or unconfirmed sources were used.