‘Let the oil flow’ — Trump declares peace deal with Iran done, orders reopening of Strait of Hormuz (See list of deal terms)

• Trump says peace deal with Iran is complete and orders reopening of Strait of Hormuz

• US naval blockade on Iranian routes to be removed

• Draft terms include ceasefire, nuclear restrictions, and sanctions relief discussions

• Oil prices reacted as markets anticipate restored energy flow

US President Donald Trump has announced that a peace agreement between the United States and Iran has been completed, declaring an end to months of conflict and authorising the reopening of the strategically important Strait of Hormuz.

In a post on his Truth Social platform, Trump said the deal with the Islamic Republic of Iran was now finalised and ordered the immediate removal of the US naval blockade that had disrupted maritime traffic in the region.

“The Deal with the Islamic Republic of Iran is now complete. Congratulations to all! I hereby fully authorize the toll free opening of the Strait of Hormuz, and, simultaneously herewith, authorize the immediate removal of the United States Naval blockade. Ships of the World, start your engines. Let the oil flow!” Trump wrote.

The announcement marks the strongest indication yet that Washington and Tehran have reached a breakthrough after months of hostilities that rattled global energy markets and raised fears of wider regional escalation.

The Strait of Hormuz is one of the world’s most critical shipping routes, with about one-fifth of global oil supply passing through it, making any disruption a major concern for energy security and prices worldwide.

Trump’s announcement came after reports of intensive mediation efforts involving regional stakeholders, with claims that both sides had agreed in principle to end active military operations.

Reports also indicate that an official signing ceremony is expected to take place in Switzerland, where the agreement will be formally presented.

While Trump described the deal as complete, several details remain under negotiation, particularly around verification mechanisms, sanctions relief, and Iran’s nuclear programme.

RELATED: Trump reveals what he wants for his 80th birthday

According to draft details circulating from negotiations and reports, the proposed agreement includes:

• Immediate reopening of the Strait of Hormuz to commercial shipping

• Removal of the US naval blockade on Iranian maritime routes

• A temporary ceasefire framework to halt ongoing hostilities

• A 60-day negotiation window for a comprehensive final agreement

• A freeze on Iran’s nuclear expansion activities during talks

• Commitments tied to limits on uranium enrichment levels

• No new US sanctions on Iran during the negotiation period

• Temporary easing of oil export restrictions on Iran

• Release of frozen Iranian assets under monitored conditions

• Future structured talks on nuclear compliance and regional security arrangements

The announcement triggered immediate reactions in global markets, with oil prices reportedly falling as traders responded to expectations of improved supply flow through the Strait of Hormuz. Stock markets also saw positive movement following the development.

RELATED: ‘We made a great settlement’ — Trump unveils Iran peace deal, Tehran pushes back (See proposed terms)

However, Iranian authorities have not fully endorsed all aspects of the US president’s statement, with officials signalling that parts of the deal still require clarification and formal approval.

Despite this, Trump’s declaration represents one of the most significant developments in US-Iran relations in recent years, with potential implications for global energy stability, Middle East geopolitics, and international diplomacy.