U.S. Authorizes Iranian Oil Sales for 60 Days Amid Talks

AI Summary

The U.S. Treasury Department has authorized Iranian oil sales for 60 days, expiring on August 21, 2023, following discussions between Tehran and Washington. Prior to the blockade, Iran was exporting over 1.5 million barrels per day, which declined to 260,000 bpd in May. The authorization allows the production and sale of Iranian oil, with commitments from Iran for free transit through the Strait of Hormuz, a key shipping lane for global oil. This agreement also revived ship traffic through Hormuz, although it remains significantly below pre-war levels.