Iran and Oman Are Close to a Deal on Who Controls the Strait of Hormuz. Here’s What’s Still Missing.

Iranian state media confirmed that talks between Iran and Oman over a “mutual mechanism” to govern Strait of Hormuz transit are in their “final stages.” The mechanism would address the core jurisdictional dispute that has driven much of this year’s most dangerous escalation: who sets the rules for passage, what fees (if any) apply, and what happens when vessels don’t comply. What has not been publicly disclosed is what the enforcement structure of this mechanism would actually look like.

WHY OMAN?

Oman is the only Gulf state that borders the strait from both sides — its territory includes the Musandam Peninsula, which forms the strait’s southern shore, and it controls Oman’s Gulf of Oman coastline on the exit side. This gives Oman unique, physical geographic relevance to any Hormuz governance arrangement. It is also historically neutral: Oman has maintained diplomatic relations with Iran throughout the Islamic Revolution and has served as a back-channel between the US and Iran in every major negotiation since 2008.

An Iran-Oman mutual mechanism would be a bilateral framework — not a US-Iran framework, not a UN framework — governing transit through waters where both countries have legitimate jurisdictional claims. If enforced, it would normalize commercial passage while preserving Iran’s ability to claim sovereignty over the mechanism.

WHAT’S STILL UNRESOLVED

▸  Enforcement structure: who decides when a vessel is complying or not complying? Iran? Oman? Joint authority?

▸  Fee structure: will transit fees survive in some form, or does this mechanism eliminate them?

▸  US recognition: does the US recognize the Iran-Oman mechanism as consistent with freedom of navigation under UNCLOS?

▸  Timeline: how long does the mechanism last before it requires renegotiation?

CONFIDENCE:
HIGH
Iranian state media “final stages” confirmation is semi-official. Oman’s geographic and diplomatic role is established fact. The unresolved questions listed are ONYX analysis of what any functional mechanism would need to address.

SOURCES

▸  Iranian state media — Oman talks “final stages” confirmation

▸  Oman geographic and diplomatic background — established fact

▸  UNCLOS — freedom of navigation provisions context

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