‘Let the oil flow’: Trump says Iran, US have reached peace deal

London: US President Donald Trump has outlined a ceasefire with Iran that promises to halt the war in the Middle East after more than three months of devastating conflict as well as damage to the world economy, ending the hostilities “on all fronts” including Lebanon.

Trump confirmed the outcome after a key negotiator in the talks, Pakistani Prime Minister Shehbaz Sharif, formally announced the agreement at the end of a day of clashes in Lebanon that almost derailed the deal.

“Both sides have declared the immediate and permanent termination of military operations on all fronts, including in Lebanon,” Sharif said in a statement, saying the signing ceremony would be held on Friday in Switzerland.

Trump confirmed the deal with statements on social media declaring the Strait of Hormuz would be open from Friday, noting that “mine removal” would be one of the first steps.

“The Deal with the Islamic Republic of Iran is now complete. Congratulations to all!” he said on social media on Sunday evening in Washington (about 7.30am on Monday, AEST).

“I hereby fully authorise the toll free opening of the Strait of Hormuz, and, simultaneously herewith, authorise the immediate removal of the United States Naval blockade. Ships of the World, start your engines. Let the oil flow!”

Iran confirmed the agreement but said negotiations on the details would begin only when the US had acted on a pledge to release frozen Iranian assets, highlighting an argument to come over the pact’s terms.

The preliminary deal sent oil prices falling but leaves the fate of Iran’s nuclear program to further negotiations.

“The text of the memorandum of understanding will be published shortly, and the public will be able to see Iran’s achievements and commitments,” Iranian Deputy Foreign Minister Kazem Gharibabadi said. “Our commitments are not comparable to our gains.”

The details remain the subject of conjecture because Iran said the final agreement would be negotiated over the next 60 days, amid a debate in Israel about whether Trump had given too much away to the Iranian regime.

Former Biden administration State Department spokesperson Matthew Miller said Trump had made important concessions to Iran to achieve the status quo that existed before he launched the war.

“We have no assurances the nuclear program will ever be addressed, but Iran has shown the world it can take the global economy hostage and get something from the US in return,” Miller said.

Thousands of people have been killed, mostly in Iran and Lebanon, since US and Israeli forces first attacked Iran on February 28.

The Iran war has become a political liability at home for Trump and his fellow Republicans in Congress, with public opinion polls showing Americans deeply frustrated by rising petrol prices ahead of November’s midterm elections. But Trump has also faced pressure from members of his own party who insist that Iran’s nuclear program must be completely shut down.

Republican Senator Lindsey Graham, a leading Iran hawk, praised the deal but said he would be “watching closely” the coming negotiations, and he noted that any nuclear deal would go to Congress for a vote.

“I am somewhat concerned that Iran’s view of the agreement seems different than what the American negotiating team is claiming,” Graham said.

Trump is due to fly to France on Monday for a G7 summit of world leaders hosted by French President Emmanuel Macron in Evian, on the shores of Lake Geneva. The three-day summit is likely to be dominated by talks on the Middle East ahead of Friday’s signing ceremony on the Iran deal.

In a joint statement, the United Kingdom, Germany, France and Italy said they were prepared to lift sanctions on Iran in response to “clear, verifiable steps” to limit its nuclear program.

Iran said the ceasefire would begin from Friday, when the documents were signed. The timing raises the risk of another outbreak of fighting in Lebanon that could jeopardise the outcome, given the possibility of further Hezbollah attacks on Israel and the Iranian regime’s insistence that Israel should not respond by targeting Beirut.

In a sign of the dissent within Israel over the peace terms, National Security Minister Itamar Ben-Gvir said Israel was not bound by the deal and must not give up its strategy of striking Beirut if Hezbollah fired on Israel.

“We are not partners to this agreement that does not ensure our security, and it does not bind us in any way,” he said. “We must not compromise on anything less than the dismantling of Hezbollah, we must not withdraw from any territory that our fighters have captured.”

The news came after a tense day of clashes in Lebanon and high-stakes diplomacy to try to salvage the deal, with Trump calling on all sides to “stand down” from the latest fighting to seal a pact that would bring peace to the region.

Trump berated Israel for launching airstrikes on Lebanon on Sunday that threatened to wreck the potential deal. The Israeli government, in turn, blamed Hezbollah fighters in Lebanon for launching rockets at civilian targets in northern Israel and breaching a ceasefire, leading to strikes on Beirut in response.

In a sign of Trump’s anger over the strikes, he told news site Axios that Israeli Prime Minister Benjamin Netanyahu had “no f—ing judgment” and had put the negotiations at risk, but he expressed confidence that a deal would be done.

“Why did Bibi have to do a f—ing attack? I was so pissed off,” Trump told Axios, using the nickname for the Israeli leader.

Trump told Fox News that he had called Netanyahu to tell him not to make any further strikes against Hezbollah, asking him: “What the f— are you doing?”

With Iranian leaders warning of a “strong response” to the strikes on Beirut, the Israeli government assembled a cabinet meeting on Sunday night (Monday AEST) to consider its next steps.

“Israel will not tolerate fire directed at its territory,” Netanyahu said in a joint statement with Defence Minister Israel Katz.

The Hezbollah rocket attack came on Sunday morning (Beirut time) and cast doubt on the peace talks when Trump was preparing for his birthday celebration at the White House with a UFC cage fight.

The Israeli Defence Forces struck the southern Beirut district of Dahiyeh, a Hezbollah stronghold, hours after the rocket fire. The Lebanese national news agency, NNA, said that at least three people were killed and another 14 wounded.

The Lebanese national news agency reported other Israeli airstrikes on targets outside the capital on Sunday, including areas around the southern city of Nabatiyeh.

Israel launched strikes on targets in Lebanon after Hezbollah fired rockets at Israeli communities on March 2, in a fateful decision to side with Iran. Lebanon’s Ministry of Public Health says 3783 people have been killed and 11,699 wounded in fighting since the war began.

With Reuters

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