A rare diplomatic meeting between Iran and the Gulf states has raised hopes of a deal to reopen the Strait of Hormuz, after weeks of deadlock over the vital energy route.
Foreign ministers from the Gulf Cooperation Council (GCC) – Saudi Arabia, the United Arab Emirates, Qatar, Kuwait, Bahrain and Oman – are due to meet Iran’s foreign minister on Monday.
The gathering would be the first of its kind since the United States and Israel launched their war on Tehran. It comes as Oman and Iran seek backing for an agreement intended to manage shipping through the strait temporarily.
Brent crude fell 2.9 per cent to 104.52 US dollars a barrel on Friday as the prospect of renewed diplomacy eased some market concerns.
The proposed Iran-Oman arrangement would not amount to a full reopening of the waterway. Tehran has said the US must first honour the terms of a ceasefire agreed in June, while the US naval blockade is preventing Iran from exporting oil through its ports.
Iranian drone and missile attacks have also restricted other exporters from returning to their pre-war shipping levels. One source said Iran and Oman wanted the GCC to support efforts to persuade Washington to lift the blockade, while Gulf states wanted any arrangement to be temporary and to ensure ships could continue moving in both directions.
GCC governments remain wary of any agreement that could be interpreted as recognising Iranian control over the Strait of Hormuz. The position is becoming more urgent, however, as the conflict continues to disrupt regional oil exports.
The US military has been helping non-Iranian oil shipments pass through the strait, taking regional exports to about two-thirds of their pre-war level. The reduced flow remains significant, while the blockade is placing further pressure on Iran’s economy.
Saudi Arabia faces threats beyond the Strait of Hormuz
Iran has sought to increase pressure on the US and its allies with new missile attacks on American bases in the region and attacks on US warships. It has also supported Houthi forces in Yemen as they seized territory near the Bab al-Mandab Strait, the passage linking the Red Sea and the Arabian Sea.
After Iran closed the Strait of Hormuz, Bab al-Mandab became an important alternative route for Saudi Arabia. The kingdom diverted oil from the Gulf to the Red Sea through its East-West Pipeline, but the Houthis have reportedly attacked the pipeline and Saudi tankers in recent days.
Saudi Crown Prince Mohammed bin Salman is said to have called US President Donald Trump twice on Thursday to request American strikes against the Houthis. The administration instead plans to provide intelligence and targeting information, while keeping US forces focused on Iran and the Strait of Hormuz.
Pakistan, which has a defence pact with Saudi Arabia and has deployed troops near the Saudi border with Yemen, is also reluctant to become involved. The country depends on energy shipments passing through both the Strait of Hormuz and the Red Sea, and officials have said no military response to the Houthi attacks is being considered.
Pakistan’s army chief has stressed diplomatic efforts to reduce tensions on all fronts in a call with Iran’s foreign minister. A Pakistani government official said the country was seeking to avoid damaging its relationship with Iran because its own interests in the Saudi-Houthi conflict were substantial.
