Iran Says Oil Selling at 20% Higher Prices; Oman Pushes Hormuz 'Voluntary Fund'

Ghalibaf: 'Free Passage Lasts 60 Days...We Won't Give Up Our Rights' 'No Talks With US Until MOU Conditions Are Met' Oman Presents 'Voluntary Fund' Plan to US, Others Malacca-Singapore Strait Model...Iran Insists on 'Mandatory Collection'

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By Lee Tae-kyu, Washington Correspondent
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Omani Sultan Haitham bin Tariq Al Said (right) shakes hands with Iranian Parliament Speaker Mohammad Bagher Ghalibaf during a meeting in Oman on the 23rd of last month (local time). Reuters-Yonhap News - Seoul Economic Daily International News from South Korea
Omani Sultan Haitham bin Tariq Al Said (right) shakes hands with Iranian Parliament Speaker Mohammad Bagher Ghalibaf during a meeting in Oman on the 23rd of last month (local time). Reuters-Yonhap News

Iran, which received a temporary US exemption from oil sales sanctions, said it is selling crude oil at prices 20% higher than before. There were also reports that Oman, which had taken a cautious stance on Strait of Hormuz fees, is pushing to impose a "voluntary fund."

Mohammad Bagher Ghalibaf, speaker of Iran's parliament, appeared on a national television talk show on Monday and said Iran could not export a single barrel of oil during the US naval blockade, but has sold about 40 million barrels of crude since the blockade was lifted. He stressed, "Some say the lifting of sanctions is nothing but an empty promise, but the sanctions have actually been lifted, and Iranian crude oil is being sold at 20% higher prices, with the proceeds being deposited into accounts." The message is interpreted as an attempt to persuade hardliners within Iran who oppose negotiations.

Speaker Ghalibaf reaffirmed that free passage through the Strait of Hormuz applies only during the 60-day period of the previous memorandum of understanding (MOU), and that fees would be imposed thereafter. "According to the MOU, free passage through the strait is permitted only for 60 days," he said. "This was in response to strong requests from regional countries and Persian Gulf coastal states, mainly a measure for ships that were trapped in the area due to the strait's closure when the war broke out."

Speaker Ghalibaf said, "Sovereignty over the Strait of Hormuz lies with Iran and Oman, and although consultations are held with Persian Gulf coastal states, passage through the strait must be carried out entirely according to the methods and procedures determined by Iran." He also stressed, "As the Strait of Hormuz is Iran's territorial waters, Iran will never give up its rights over the strait under any circumstances."

Regarding the situation with US negotiations, Speaker Ghalibaf declared, "Our negotiations with the US proceeded only until the signing of the MOU, and there are no negotiations currently underway." He added, "The visit to Switzerland was also to discuss the implementation of the five MOU provisions, and we will not hold further negotiations until the conditions of the MOU are met."

Amid this, The New York Times (NYT) reported Monday, citing multiple sources, that Oman recently delivered an official proposal to the US and Western countries that includes a plan for ships using the Strait of Hormuz to pay a service fee. Oman explained that this is not a mandatory toll but a voluntary service fee, and it is said to reference the navigation safety fund model operating in the Malacca and Singapore straits. In those straits, private foundations collect voluntary contributions for safe navigation. However, this stance also differs in temperature from Iran, which intends to collect the service fee on a mandatory basis.

The US, on the other hand, has strongly opposed charging for the Strait of Hormuz, whatever it is called. The NYT conveyed the atmosphere, saying, "The US negotiating team received Oman's proposal and plans to discuss its concerns with Oman," and "The US government expects that, given its strategic partnership with Oman, differences can be reconciled through working-level consultations."

Original reporting by Lee Tae-kyu, Washington Correspondent for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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