US eases oil sanctions on Iran with 60-day waiver


Pakistan and Qatar report ‘encouraging progress’ in Lucerne Negotiators chart 60-day path to final deal Prime Minister welcome

ISLAMABAD:

Pakistan and Qatar on Monday reported “encouraging progress” in the first high-level talks between the United States and Iran held under the Islamabad Memorandum of Understanding (MoU), announcing the establishment of mechanisms aimed at guiding the two sides toward a comprehensive agreement within 60 days.

A joint statement issued by Pakistan and Qatar after the conclusion of the Lake Lucerne Summit in Burgenstock, Switzerland, said the talks were held in a “positive and constructive atmosphere” and resulted in the creation of a roadmap for future negotiations as well as technical working groups tasked with addressing key issues.

The quad talks were attended by senior figures from Iran, the United States, Pakistan and Qatar. Vice President JD Vance led the American side, while Muhammad Bagher Ghalibaf, speaker of the Iranian Parliament, led the Iranian side.

Prime Minister Shehbaz Sharif and Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani moderated the talks, which became tense at times. But even though the Iranian side did not show up for the photo session and walked out of the talks in protest of President Trump’s latest threats, the mediators managed to get the process back on track and eventually persuaded the two sides to agree on certain points.

The joint statement said the parties agreed to establish a “High Level Committee” to provide political oversight of the mediation process. “Lead negotiators from both sides will regularly brief the committee and lead working groups focused on nuclear issues, sanctions, monitoring and dispute resolution mechanisms, along with other issues,” he said.

“The High Level Committee has agreed on a roadmap to reach a final agreement within 60 days, laying the groundwork for the immediate start of new technical talks,” the statement added.

As part of the confidence-building measures, the parties also agreed to establish a direct line of communication to avoid incidents and miscalculations in the Strait of Hormuz and ensure the safe passage of commercial shipping through one of the most strategic waterways in the world.

The mediators also announced the creation of a conflict resolution cell involving Iran, the United States and Lebanon to oversee the implementation of the provisions related to the cessation of military operations in Lebanon provided for in the Islamabad MoU.

Meanwhile, Prime Minister Shehbaz Sharif welcomed the “significant progress” in the talks, highlighting the “agreement on a roadmap towards a final agreement within 60 days, the establishment of a High Level Committee to provide political oversight and the start of new technical talks.”

He praised the leaders of both the United States and Iran for their continued commitment to constructive engagement and thanked friendly countries for supporting the diplomatic process. He paid special tribute to Qatar for its role in facilitating the negotiations.

Sharif praised Chief of Defense Forces and Chief of Army Staff Field Marshal Asim Munir for helping advance the process, saying his “tireless efforts made these talks a success” and that “there would have been no progress” without his dedication and perseverance.

Reaffirming Islamabad’s commitment to diplomacy, the prime minister said Pakistan would continue to play its “honest and sincere role” in promoting dialogue aimed at achieving a peaceful and lasting resolution.

While the joint statement projected optimism, public comments from Iranian and US officials highlighted significant differences over what exactly was achieved during the marathon negotiations.

Iranian Foreign Minister Abbas Araghchi described the outcome as a result of “tireless Pakistani and Qatari mediation”, and said the talks had made important progress towards ending the Lebanon conflict.

According to Araghchi, the understandings reached include exemptions for oil and petrochemical exports, the lifting of the naval blockade, the release of some frozen Iranian assets and the launch of a major reconstruction and development plan for Iran. “The first real test will be Lebanon’s conflict resolution cell,” he said.

In a major move signaling Washington’s commitment to the process, the Trump administration announced a temporary 60-day waiver of sanctions related to Iranian oil exports. US Treasury Secretary Scott Bessent said the waiver was issued after “productive conversations” in Switzerland.

“Iran has committed to free and open transit in the Strait of Hormuz and to allow inspectors from the International Atomic Energy Agency (IAEA) to enter its country,” Bessent wrote in X, adding that the Treasury Department had issued a temporary general license authorizing the production, delivery and sale of Iranian oil.

The waiver allows Iran to export oil without sanctions restrictions until August 21, which could provide significant relief to Tehran’s economy after years of punitive measures.

US Vice President JD Vance also painted an optimistic picture, calling Sunday’s negotiations a “very, very good” day and saying the two sides had laid the groundwork for a broader deal. “We laid the foundation, we haven’t built the house, but we have laid a successful foundation to get us to a good place for the American people,” Vance said.

The vice president identified four key priorities moving forward and stated that Iran had agreed to admit IAEA inspectors, describing the move as “an important milestone” and the first step toward permanently ending any Iranian nuclear weapons program.

Vance also cited progress in discussions aimed at preventing a new escalation between Israel and Hezbollah in southern Lebanon and outlined a framework for the possible unfreezing of Iranian assets under a mechanism involving oversight by the United States and Qatar.

However, Iranian officials quickly disputed some of the claims made by Washington, underscoring the difficult road ahead despite the positive atmosphere surrounding the talks. Iranian Foreign Ministry spokesman Esmail Baghaei rejected suggestions that Tehran had agreed to new commitments on nuclear inspections.

According to Iran’s state news agency IRNA, Baghaei said Iran remained subject to the decisions of parliament and the Supreme National Security Council. Under legislation adopted last year, cooperation with the IAEA and inspections remain suspended.

Responding directly to the US claims, Baghaei said Iran had not assumed any new obligations during the talks. IRNA, citing officials familiar with the negotiations, reported that Tehran did not discuss the nuclear issue during about 18 hours of talks and did not accept any new commitments.

The report added that any future agreement on access to Iran’s damaged nuclear facilities or stockpiles of enriched uranium would depend on a specific mechanism that would be negotiated as part of a final agreement during the 60-day process.

The contradictory public statements reflected the same pattern that had emerged before the talks in Switzerland, when U.S. officials and mediators repeatedly described the negotiations as proceeding smoothly, while Iranian media and officials signaled reservations on key issues.

Despite those differences, diplomats involved in the process believe that the establishment of formal working groups, a political oversight mechanism and direct communication channels represents the most concrete progress achieved since the Islamabad MoU was signed.

Discussions at a technical level are expected to continue throughout the week in Burgenstock as negotiators seek to translate the broad understandings reached at the Lake Lucerne Summit into a comprehensive agreement capable of addressing nuclear concerns, sanctions relief, maritime security and regional stability.

(WITH CONTRIBUTIONS FROM AGENCIES)

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