Pakistan says US, Iran close to some arrangement: report

Pakistan on Tuesday indicated that the US and Iran were close to reaching an arrangement that could ease tensions which have embroiled energy markets.

“Things are shaping up again in favour of a peace arrangement or a deal,” Defence minister Khawaja Asif told Bloomberg News on Tuesday.

“The signals in the last two, three days are that we are close to some sort of an arrangement.”

Pakistan has actively engaged in mediation efforts to de-escalate the ongoing US-Iran conflict, which began with US and Israeli strikes on February 28, 2026, and Iran’s subsequent retaliations.

These efforts have been widely recognised and supported by various regional and international partners, including China, Saudi Arabia, Turkiye, Egypt, and the United Nations.

Following Asif’s comments, global oil prices declined as Brent crude futures fell 21 cents, or 0.24%, to $87.51 a barrel by 1138 GMT. US West Texas Intermediate crude futures were down 4 cents, or 0.05%, at $82.09.

On Monday, US President Donald Trump responded to Iran’s conditions for a peace deal with his own demands that Iran pay compensation for people killed in wars, attacks and protests, which is likely to complicate efforts to reopen the Strait of Hormuz.

Later in the day, he added that the US had control of the strait and had swept the strategic oil waterway for Iranian mines.

Before the Iran conflict began in late February, about a fifth of global daily oil and liquefied natural gas supplies passed through the Strait of Hormuz.