The US will begin lifting its naval blockade of Iran immediately and complete the process within 30 days, while Iran will facilitate safe passage for commercial ships through the Persian Gulf.
The US has agreed in principle to terminate all sanctions on Iran, including UN Security Council, IAEA, and unilateral US sanctions, with a timetable to be negotiated.
Naval Blockade Lifted, Shipping ResumesAs part of the understanding, the United States will begin lifting its naval blockade of Iran immediately and complete the process within 30 days.
Nuclear Commitments and Fund ReleaseOn the nuclear front, Iran has reaffirmed that it will neither acquire nor develop nuclear weapons.
The assets will be fully usable for payments to beneficiaries designated by Iran's central bank, with the United States providing all necessary licences and authorisations.
The United States and Iran have reached a significant agreement in principle to immediately and permanently halt all military operations, lift comprehensive sanctions, and embark on a path towards a final settlement that includes a substantial reconstruction package for Iran.
IMAGE: A man holds an Iranian flag on a street. Photograph: Majid Asgaripour/WANA (West Asia News Agency) via Reuters
Key Points The United States and Iran have agreed to an immediate and permanent halt to all military operations, including those involving Lebanon, and to refrain from threats or use of force.
The US will begin lifting its naval blockade of Iran immediately and complete the process within 30 days, while Iran will facilitate safe passage for commercial ships through the Persian Gulf.
The US has agreed in principle to terminate all sanctions on Iran, including UN Security Council, IAEA, and unilateral US sanctions, with a timetable to be negotiated.
Iran has reaffirmed its commitment not to acquire or develop nuclear weapons, and both countries will negotiate the future of Iran's enriched nuclear material stockpile under IAEA supervision.
A reconstruction and economic development package worth at least $300 billion for Iran, funded by the US and regional partners, is part of the proposed deal.
The United States and Iran have agreed in principle to immediately and permanently halt all military operations linked to the ongoing conflict, including those involving Lebanon.
Both sides have pledged not to launch military action against each other, refrain from threats or use of force, and respect Lebanon's sovereignty and territorial integrity.
These commitments are to be incorporated into a final agreement.
The two countries have also agreed to respect each other's sovereignty, territorial integrity and domestic affairs, while working towards a comprehensive final agreement within 60 days, with the possibility of an extension by mutual consent.
Naval Blockade Lifted, Shipping Resumes
As part of the understanding, the United States will begin lifting its naval blockade of Iran immediately and complete the process within 30 days.
Washington, DC has also committed to withdrawing military forces positioned near Iran within 30 days of a final agreement. During the transition period, maritime traffic will gradually return to pre-war levels.
Iran, in turn, has pledged to facilitate the safe passage of commercial ships through the Persian Gulf and the Sea of Oman free of charge for 60 days.
Commercial shipping is expected to resume immediately, though full restoration may take up to 30 days because of demining operations and the removal of military and technical obstacles.
Tehran will also hold discussions with Oman and other Gulf states on the future management and maritime services of the Strait of Hormuz in accordance with international law.
Economic Reconstruction and Sanctions Relief
The United States, along with regional partners, has undertaken to develop a reconstruction and economic development package for Iran worth at least $300 billion.
The details and implementation mechanism of this programme are to be finalised within 60 days as part of the final agreement.
Washington, DC has also promised to provide all licences, waivers and permissions necessary for related financial transactions.
A major element of the proposed deal concerns sanctions relief.
The United States has agreed in principle to terminate all sanctions on Iran, including those linked to United Nations Security Council resolutions, International Atomic Energy Agency (IAEA) resolutions, and unilateral US sanctions, both primary and secondary.
The timetable for doing so will be negotiated as part of the final agreement.
Nuclear Commitments and Fund Release
On the nuclear front, Iran has reaffirmed that it will neither acquire nor develop nuclear weapons.
The two countries have agreed to negotiate the future of Iran's stockpile of enriched nuclear material, with the minimum requirement being on-site dilution of the material under IAEA supervision.
They will also discuss uranium enrichment and other nuclear-related issues within a mutually agreed framework.
Pending a final agreement, Iran will maintain the current status of its nuclear programme, while the United States will refrain from imposing new sanctions or deploying additional military forces in the region.
The memorandum further provides that, immediately after signing, the US Treasury Department will issue waivers allowing exports of Iranian crude oil, petroleum products and related services, including banking, insurance and transportation activities, until sanctions are fully lifted.
Washington, DC has also committed to making available Iran's frozen or restricted funds and assets.
The two sides will work out procedures for releasing these funds during negotiations.
The assets will be fully usable for payments to beneficiaries designated by Iran's central bank, with the United States providing all necessary licences and authorisations.
Oversight and Final Endorsement
To oversee implementation, the two countries will establish a monitoring mechanism responsible for ensuring compliance with both the memorandum and any future final agreement.
Once implementation begins on key provisions relating to the ceasefire, maritime access, sanctions waivers and release of funds, the two sides will start negotiations on the remaining elements of the final settlement.
Finally, the proposed final agreement is expected to be endorsed through a binding United Nations Security Council resolution.
