White House rejects Iran’s leaked draft deal with U.S. as a total fabrication despite claims of restoring Strait of Hormuz shipping
Iranian state television reported on a draft framework for a memorandum of understanding (MOU) between the U.S. and Iran, aiming to restore commercial shipping through the Strait of Hormuz within a month of finalization.The White House responded by dismissing the report as a “total fabrication”.
Iran deal summary
The framework, reported by IRIB News, suggests a U.S. military withdrawal from Iran’s vicinity and the lifting of the naval blockade on Iranian ports.
Iran would then coordinate ship traffic through the strait, excluding military vessels from this arrangement.
If agreed within 60 days, the deal could be ratified as a binding U.N. Security Council resolution.
Iran claimed the framework is not finalized and stressed the need for “tangible verification”.
The recent situation remains unclear, particularly regarding the U.S. acceptance of the terms.
The White House’s Rapid Response account on X labelled the MOU as entirely fabricated.
Oil prices fell over 2% as cease-fire terms appear to hold despite military tensions.
Brent crude dropped to around $95 per barrel, while West Texas Intermediate crude fell to about $92 per barrel.
Both benchmarks have seen sharp declines over the past week amid negotiation optimism.
The draft framework follows weeks of indirect negotiations mediated by Pakistan and Qatar.
Key discussions include a ceasefire extension, immediate reopening of the strait, and Iran’s commitment to cease military operations.
Trump Warns Iran, ‘Make a Deal or We’ll Finish the Job’
President Donald Trump issued a fresh warning to Iran, saying Tehran “very much” wants a deal with Washington, but negotiations have not yet reached acceptable terms.
Speaking at a White House Cabinet meeting, Trump said… pic.twitter.com/63TY5UNgAI
— upuknews (@upuknews1) May 27, 2026
Ongoing negotiations
The strait has been largely closed to commercial traffic since the onset of conflict, disrupting global oil shipments.
Discussions could take several more days, according to Secretary of State Marco Rubio.
Iran’s foreign ministry indicated that some issues remain unresolved, particularly those relating to nuclear weapons.
Iran has also threatened to impose fees on undersea internet cables in the region as a pressure tool.
This developing situation continues to affect global energy markets and geopolitical dynamics.
