Oil Dips Below $85: Iran Says New Proposals Are on the Table as US Mediators Work to Prevent Further Escalation

U.S. and Iranian mediators have put forth new proposals aimed at easing the ongoing tensions, as confirmed by Iranian Foreign Ministry Spokesman Esmaeil Baghaei late Sunday.

Baghaei, during a press conference, acknowledged the ongoing efforts of mediators, while also emphasizing Iran’s resolve to continue countering what it perceives as U.S. “crimes,” reported the Jerusalem Post.

“The principle of the matter is clear: mediators are working and trying to prevent tension from escalating,” Baghaei stated.

The spokesperson dismissed the notion that diplomacy and defense were mutually exclusive, stating that both could be employed simultaneously to safeguard Iran’s national interests.

He also refuted allegations of ambiguity in the Memorandum of Understanding (MoU) between Iran and the US. Baghaei insisted that the MoU was clear and straightforward, leaving no room for the U.S. to violate the agreement.

Iranian Interior Minister Eskandar Momeni arrived in Pakistan on Monday for high-level talks with Pakistani officials amid ongoing exchanges of attacks between the U.S. and Iran, according to the Pakistani daily, The Nation.

Momeni is set to attend talks with Pakistani Interior Minister Mohsin Naqvi and the country’s top leadership, where he will deliver a message from President Masoud Pezeshkian on the evolving regional situation and the ongoing Iran-U.S. conflict, highlighting Tehran’s close coordination with Islamabad, according to the report.

Oil prices eased on Monday, following the news. At the time of writing, Brent crude oil was trading 0.57% lower at $82.70 per barrel, while WTI crude futures were trading 0.73% lower at $81.18 per barrel.

Rubio Keeps Diplomacy Door Open

The new proposals come amidst a backdrop of continuous military strikes and strained relations.

On Sunday, Secretary of State Marco Rubio had expressed that the U.S. remains receptive to diplomatic discussions with Iran. Rubio criticized Iran for its attacks on ships and for blocking the Strait of Hormuz, while also mentioning that the MoU between the U.S. and Iran agreed upon in June is designed to enhance the ceasefire and restore traffic through the crucial waterway.

Rubio warned that a breakdown in diplomacy would be detrimental to Iran, saying the country’s economy is already “in shambles.”

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors

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