Crude oil prices rose to $107 per barrel on Monday before easing to about $105 as Qatar stepped up efforts to broker fresh talks between the United States and Iran aimed at ending the conflict and reopening the Strait of Hormuz.
Reuters reported that the diplomatic efforts came amid continued disruption to oil shipments through the strategic waterway, heightening concerns over global energy supplies and keeping crude prices volatile.
A Qatari mediator was expected to hold separate meetings with Iranian Foreign Minister Abbas Araqchi and US officials in New York on Monday or Tuesday, according to an official briefed on the negotiations.
The discussions are expected to focus on an amended version of a seven-day proposal put forward 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 Qatari mediators in New York to discuss the latest proposals aimed at resolving the conflict.
Under the proposal, hostilities in Iran and Lebanon would end, billions of dollars in Iranian assets would be unfrozen, sanctions on Iranian oil would be lifted and the US blockade on Iranian ports removed.
In return, Tehran would reopen the Strait of Hormuz, while Washington and Tehran would resume negotiations over Iran’s nuclear programme.
US President Donald Trump rejected the initial proposal on Saturday, arguing that Iran was seeking a quick agreement because of mounting economic pressure.
However, Trump told Axios on Sunday that US negotiators were expected to hold further discussions with Tehran this week, raising the possibility of renewed diplomatic engagement.
Araqchi earlier said Tehran had not received an official communication from mediators conveying Washington’s rejection of the proposal. He said Iran was awaiting the US position before deciding its next steps.
The Iranian government has maintained that it is prepared to negotiate an end to the conflict but would not accept talks conducted under coercion.
The Strait of Hormuz, a major transit route for global oil shipments, has faced severe disruption since the conflict began on February 28 following US and Israeli strikes on Iran.
The disruption has heightened concerns over global crude supplies, with oil prices continuing to respond to developments in the conflict and prospects for reopening the vital waterway.
As of press time, it remained unclear whether the latest meetings had taken place, owing to the time difference between Nigeria and New York.
