The U.S. on Monday authorized Iranian oil sales through August after “productive talks” between Tehran and Washington in Switzerland over the weekend, Treasury Secretary Scott Bessent said.
“As part of the framework, Treasury has issued a temporary 60-day general license authorizing the production, delivery, and sale of Iranian oil,” Bessent said in a social media post. The authorization expires on August 21 unless it is renewed.
Vice President JD Vance said earlier Monday that “great progress” was made during the talks in Switzerland, despite Iran’s declaration over the weekend that it had closed the Strait of Hormuz. U.S. Central Command said Hormuz had not been closed.
Vance said Iran agreed to allow weapons inspectors from the International Atomic Energy Agency back into the Islamic Republic. Bessent said Tehran committed to free and open transit through Hormuz.
The U.S. Navy on Thursday lifted its blockade of Iran’s ports and coastal areas. Iranian supertankers have switched on their transponders, after going dark during the war, as they depart the region loaded with oil.
Iran typically loaded more than 1.5 milion barrels per day for export before the U.S. imposed its blockade in April. Tehran’s loadings declined to just 260,000 bpd in May. Most of its oil exports go to China.
Ship traffic through Hormuz rose sharply to 35 crossings on Saturday before declining to 17 transits on Sunday amid confusion over whether the strait was open or closed, according to data from the trade intelligence firm Kpler.
Ship traffic still remains well below prewar levels when more than 100 vessels transited daily.
