Crude oil prices rose to $107 per barrel on Monday from $104, before retreating to $105 as Qatar planned fresh talks between the United States and Iran in a renewed effort to end the war and reopen the Strait of Hormuz.
According to Reuters, the proposed diplomatic engagement comes amid continued disruptions to oil shipments through the strategic waterway, raising concerns about global energy supplies and contributing to volatility in crude oil prices.
Qatari mediators were expected to hold separate talks with Iranian Foreign Minister Abbas Araqchi in New York and the United States side on Monday or Tuesday, according to an official briefed on the negotiations, Reuters reported on Monday.
The discussions were expected to focus on an amended version of a seven-day proposal presented by Iran last week on the sidelines of the United Nations General Assembly.
Iran’s semi-official ISNA news agency confirmed that Araqchi would meet the mediators in New York to discuss the latest proposals for resolving the conflict. The talks are expected to “examine the latest proposals and views regarding the current situation”, ISNA reported.
Iran’s seven-day proposal envisages an end to hostilities in Iran and Lebanon, the unfreezing of billions of dollars in Iranian assets, the removal of sanctions on Iranian oil and the lifting of the US blockade on Iranian ports.
In return, Tehran would allow the reopening of the Strait of Hormuz, while both countries would resume negotiations on Iran’s nuclear programme.
US President Donald Trump rejected the initial proposal on Saturday, arguing that Iran was seeking a quick agreement because of the economic pressure it was facing.
However, Trump told Axios on Sunday that he expected US negotiators to hold further talks with Tehran this week, leaving the door open for renewed diplomatic efforts.
Araqchi had earlier said Iran was yet to receive an official communication from mediators conveying Washington’s rejection of the proposal, adding that Tehran was awaiting the US position before deciding its next steps.
The Iranian government, meanwhile, has maintained that it is prepared to negotiate an end to the conflict but will not accept coercion.
The Strait of Hormuz, a major route for global oil shipments, has been severely disrupted by the conflict, which began on February 28 following US and Israeli strikes on Iran.
The disruption has heightened concerns over global crude supplies, with the latest price movement reflecting continued uncertainty surrounding the conflict and prospects for reopening the waterway.
As of press time, it could not be confirmed whether the talks had taken place, owing to the time difference between Nigeria and New York.
Source: punchng.com
FOLLOW US ON:
