The United States Department of the Treasury issued a general licence on Monday authorising the production, delivery, sale and import of Iranian-origin crude oil, petrochemicals and petroleum products until 21 August 2026. The 60-day waiver, which also permits transactions in US dollars and covers associated shipping, insurance and banking services, triggered an immediate drop in Brent crude prices from around $80 to $77.6 per barrel. The licence explicitly excludes dealings involving North Korea, Cuba and Russian-occupied areas of Ukraine.

Viewed from Washington, the move operationalises a memorandum of understanding signed the previous week and is presented as a reciprocal step. Treasury Secretary Scott Bessent stated that Iran had committed to “free and open transit in the Strait of Hormuz” and to permit International Atomic Energy Agency inspectors into the country. Vice President JD Vance, speaking from the Bürgenstock resort where talks are being held, described the first round as laying “a very good foundation” for a final deal, while cautioning that the agreement itself had yet to be built. The US side insists that no frozen Iranian assets have yet been released and that any future disbursements would be channelled towards humanitarian goods, including American agricultural products.

Tehran’s account of the understandings differs in emphasis. Foreign Minister Abbas Araghchi said oil and petrochemical exports had been exempted from sanctions, a blockade lifted and some frozen assets unblocked, alongside a reconstruction and development plan. However, foreign ministry spokesman Esmaeil Baghaei characterised the nuclear discussion as “very brief” and said formal negotiations on the file had not begun. Iran has not publicly confirmed the return of IAEA inspectors. Mediators Pakistan and Qatar issued a joint statement noting “encouraging progress” and the creation of a mechanism for technical talks, with a roadmap to reach a final agreement within 60 days.

The licence marks a sharp departure from the “maximum pressure” sanctions architecture built up since the US withdrawal from the 2015 nuclear accord. It temporarily reverses restrictions that had reduced Iranian loadings to an estimated 260,000 barrels per day in May, compared with over 1.5 million before the conflict. Independent Chinese refiners have been the main buyers of discounted Iranian barrels under sanctions; the waiver now opens the door to legal purchases by a wider set of importers, including the United States itself when necessary to complete a sale. Israeli leaders have voiced misgivings over the diplomatic track, insisting their forces will remain in southern Lebanon, where the Iran-backed Hezbollah operates, a point of friction that could test the ceasefire underpinning the talks.

The negotiations follow a war that began on 28 February with US-Israeli strikes on Iran, an Iranian blockade of the Strait of Hormuz and a US naval blockade of Iranian ports. A fragile ceasefire took hold in April and was extended under the memorandum. The current Swiss talks, mediated by Pakistan and Qatar, aim to settle core disputes including Iran’s nuclear programme, sanctions relief and regional security arrangements. Technical teams remain in Switzerland to advance the discussions, with the licence’s renewal contingent on progress toward a comprehensive settlement.