World

US and Iran signal a peace deal is close

By Parisa Hafezi, Steve Holland and John Irish Reuters

Updated June 12, 2026 2:05 PM

Vessels are anchored in the Strait of Hormuz, as seen from Musandam, Oman, June 11, 2026. REUTERS/Stringer — Vessels are anchored in the Strait of Hormuz, as seen from Musandam, Oman, June 11, 2026. REUTERS/Stringer Stringer Reuters

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DUBAI/WASHINGTON/PARIS - The United States and Iran signalled on Friday that an agreement to end their war was close, with a senior U.S. administration official saying a text was in place that both sides like.

Iran's decision-making bodies were meeting to discuss the memorandum, Iran's foreign ministry spokesperson said.

Pakistan, which has for weeks sought to broker a deal, said a final text of a peace agreement between the United States and Iran had been reached.

"Pakistan is now working closely with both sides to finalise the next steps," Prime Minister Shehbaz Sharif said in a post on X.

Leaked terms of the proposed memorandum of understanding outlined by Western, Pakistani and Iranian sources on Friday appeared to favour Iran, drawing criticism from U.S. President Donald Trump, who dismissed the reports as inaccurate.

While there were minor differences in the accounts, all appeared to offer Tehran much of what it has demanded so far, with Trump appearing to win little beyond the reopening of the Strait of Hormuz, which Iran shut after the U.S. and Israel launched attacks in February.

However, a senior U.S. administration official said the deal was specific about opening the strait and the removal of enriched nuclear material. The official said Iran will get significant sanctions relief based on how they perform under any deal.

(Reporting by Reuters bureaus; Writing by Peter Graff and Ros Russell; Editing by Gareth Jones and Sanjeev Miglani)

A satellite image shows an oil terminal at Kharg Island, Iran, February 25, 2026. 2026 Planet Labs PBC/Handout via REUTERS — A satellite image shows an oil terminal at Kharg Island, Iran, February 25, 2026. 2026 Planet Labs PBC/Handout via REUTERS 2026 Planet Labs PBC Reuters

A plume of smoke rises, as Iranian news agencies reported explosions were heard in several cities across the country, in Karaj, Iran in this screen grab obtained from social media video released June 11, 2026. Social Media/via REUTERS — A plume of smoke rises, as Iranian news agencies reported explosions were heard in several cities across the country, in Karaj, Iran in this screen grab obtained from social media video released June 11, 2026. Social Media/via REUTERS SOCIAL MEDIA Reuters

Smoke rises in southern Lebanon following an explosion, as seen from the Israeli side of the Israel-Lebanon border, in northern Israel, June 10, 2026. REUTERS/Ammar Awad — Smoke rises in southern Lebanon following an explosion, as seen from the Israeli side of the Israel-Lebanon border, in northern Israel, June 10, 2026. REUTERS/Ammar Awad Ammar Awad Reuters

Copyright Reuters or USA Today Network via Reuters Connect.

This story was originally published June 12, 2026 at 1:49 PM.