The White House published the memorandum of understanding expected to be signed by the United States and the Islamic Republic of Iran, containing 14 clauses that set out an end to the current war and the framework for a final agreement within 60 days.
A senior White House official told reporters in a briefing that "the media in Iran and Israel presented or misunderstood large parts of the agreement. This is, first and foremost, an agreement that enables the immediate opening of the Strait of Hormuz, requires the Iranians to destroy the 'nuclear dust,' and creates a mechanism in which, the more Iran improves its conduct, the more we respond with economic relief that could turn it into a more prosperous country."
The same official, who briefed Israel Hayom, stressed that the memorandum of understanding with Iran does not grant it immediate benefits without something in return, but rather creates a gradual and conditional framework for a final agreement within 60 days. According to the official, the document's goal is to bring about an immediate and permanent end to the war on all fronts, including Lebanon, but the final arrangement is what will confirm the end of the war and enshrine all the commitments.
The official emphasized that lifting the naval blockade is not meant to give Iran a victory, but to gradually restore the situation in the region to the deployment that existed before the confrontation, and only if a final agreement is reached. "The meaning is that if we reach a final agreement, we will return to the deployment of forces that existed in the region before the confrontation began," the official explained.
Regarding the Strait of Hormuz, the official placed special emphasis on the fact that the passage of commercial vessels would be safe and free of fees, and that Iran would be required to work not only with Oman but also with the Gulf states in order to formulate a long-term arrangement for managing maritime traffic. According to the official, already on Tuesday, for the first time since the beginning of the conflict, Iran did not fire at vessels in the strait, one of the reasons for the drop in oil prices.
"We do not have to give Iran even one cent"
One of the most sensitive points is the clause on Iran's economic rehabilitation, worth at least $300 billion. The official clarified that this is not an American commitment to transfer funds to Tehran. "This clause does not obligate us to pay even one cent to Iran," the official said. According to the official, if Iran meets its commitments, sanctions relief will be granted that will allow regional countries, such as the United Arab Emirates, to invest in economic projects in Iran.
The official also sought to clarify on the nuclear issue that sanctions relief is not disconnected from the nuclear arrangement. According to the official, the memorandum does not make do with a general statement that Iran will not possess nuclear weapons, but requires a solution to the issue of existing enriched material, at a minimum through downblending under International Atomic Energy Agency supervision.
The official even presented this as an Iranian commitment to destroy its stockpile of enriched material, calling it "a very great victory for the United States." According to the official, "there is no separation between the two issues," and sanctions relief is directly tied to Iran's compliance with its nuclear commitments.
Regarding oil exports, the official explained that the permits the US Treasury Department is expected to issue are meant to correct a situation in which the sanctions effectively allowed China to buy Iranian oil at a large discount. According to the official, the American logic is to end this "absurd situation" as part of a comprehensive arrangement. As for frozen Iranian assets, the official stressed that Iran will not receive access to the funds upon the signing of the memorandum of understanding, but only if it meets its commitments and implements the agreement.
Full memorandum of understanding between US and Iran
Clause 1
The United States of America and the Islamic Republic of Iran and their allies in the current war are signing this MOU to declare the immediate and permanent termination of military operations on all fronts, including in Lebanon, and undertake from now on not to initiate any war or any military operation against each other, and to refrain from the threat or use of force against each other, and ensuring the territorial integrity and sovereignty of Lebanon. The final deal will confirm the permanent termination of the war on all fronts, including in Lebanon and other provisions of this paragraph.
Clause 2
The United States of America and the Islamic Republic of Iran undertake to respect each other's sovereignty and territorial integrity and to refrain from interfering in each other's internal affairs.
Clause 3
The United States of America and the Islamic Republic of Iran commit to negotiating and achieving the final deal in maximum 60 days, extendable with mutual consent.
Clause 4
Immediately upon the signing of this MOU, the United States of America will begin the removal of its naval blockade and any disturbances or impediments against the Islamic Republic of Iran, and will fully end the naval blockade within 30 days.
During this period, the traffic of vessels will be in proportion to the numbers of pre-war traffic being restored by the Islamic Republic of Iran. The United States of America further undertakes to remove its forces from the proximity of the Islamic Republic of Iran within 30 days after the final deal.
Clause 5
Upon the signing of this MOU, the Islamic Republic of Iran will make arrangements using its best efforts for the safe passage of commercial vessels with no charge, for 60 days only, from the Persian Gulf to the Sea of Oman and vice versa.
The traffic of commercial vessels will immediately start, and considering the need for removing the technical and military obstacles, and demining by the Islamic Republic of Iran will be instated within 30 days.
The Islamic Republic of Iran will conduct dialog with the Sultanate of Oman to define the future administration and maritime services in the Strait of Hormuz in discussion with other Persian Gulf littoral states in line with the applicable international law and the sovereign rights of coastal states of the Strait of Hormuz.
Clause 6
The United States of America undertakes with regional partners to develop a definitive, mutually agreed plan with at least USD 300 billion for the reconstruction and economic development of the Islamic Republic of Iran. The mechanism for the implementation of this plan will be finalized as part of a final deal within 60 days.
All required licenses, waivers and permissions needed for the relevant financial transactions will be granted by the United States of America.
Clauses 7
The United States of America undertakes to terminate all types of sanctions against the Islamic Republic of Iran, including the United Nations Security Council resolutions, IAEA Board of Governors resolutions, and all unilateral US sanctions, primary and secondary, in an agreed upon schedule as part of the final deal.
The Islamic Republic of Iran and the United States of America acknowledge the critical importance of the sanctions termination issue above mentioned, and expressed their intentions to immediately address these issues in the negotiations in order to achieve mutual agreement on them.
Clauses 8
The Islamic Republic of Iran reaffirms that it shall not procure or develop nuclear weapons.
The United States of America and the Islamic Republic of Iran have agreed to resolve the disposition of stockpiled enriched material pursuant to a mechanism that will be mutually agreed upon in accordance with the schedule mentioned in paragraph seven, with the minimum methodology to be down blended on site under the supervision of the IAEA.
The two parties also agreed to discuss the issue of enrichment and other mutually agreed matters related to the Islamic Republic of Iran's nuclear needs, based on a satisfactory framework being agreed upon in the final deal. The final deal will confirm the provisions of this paragraph.
The United States of America and the Islamic Republic of Iran acknowledge the critical importance of the nuclear issues above mentioned. They express their intention to immediately address these issues in the negotiations in order to achieve mutual agreement on them.
Clause 9
Pending the final deal, the United States of America and the Islamic Republic of Iran agree to maintain the status quo. The Islamic Republic of Iran will maintain the current status quo of its nuclear program, and the United States of America will not impose any new sanctions and will not deploy additional forces in the region.
Clause 10
The United States of America undertakes that immediately upon the signing of this MOU and until the termination of sanctions, US Department of Treasury will issue waivers for the export of Iranian crude oil, petroleum products and derivatives, and all associated services, including banking transactions, insurances, transportation, etc.
Clause 11
The United States of America undertakes to make fully available for use the frozen or restricted funds and assets of the Islamic Republic of Iran upon the implementation of this MOU.
The United States of America and the Islamic Republic of Iran will mutually agree on the procedures related to the release of these funds during negotiations. Such funds, whether retained in the original account or transferred, shall be made fully usable for payment to any ultimate beneficiary designated by the Central Bank of the Islamic Republic of Iran. The United States of America undertakes to issue all necessary licenses and authorizations accordingly.
Clauses 12
The United States of America and the Islamic Republic of Iran agree that an executive mechanism will be established to monitor the successful implementation of this MOU and the future compliance of the final deal.
Clauses 13
After signing this MOU, and subject to the beginning of the implementation of paragraphs 1, 4, 5, 10 and 11 of this MOU, and the continuing implementation of these measures, the United States of America and the Islamic Republic of Iran will start negotiations regarding the final deal exclusively on the other paragraphs.
Clauses 14
The final deal will be endorsed by a binding UNSC resolution.
