U.S.-Iran Framework Lets Iran Resume Oil Sales Under Conditions That Can Be Revoked

President Donald Trump signed a 14-point framework agreement with Iran this week that permits the country to resume selling oil and fuel. U.S. officials described the arrangement as performance-based, stating that Iran’s oil-sale rights can be revoked if negotiations stall.

Vice President JD Vance said Thursday that economic relief can be increased or withdrawn based on Iran’s behavior. U.S. Blockade had been “very effective” in bringing Iran to the table. He added that Iran’s inflation rate has risen above 50 percent and that basic goods remain in short supply.

Brouillette said the agreement is “a little too generous” because it grants Iran immediate oil-sales rights before further performance milestones.

He estimated that renewed exports could generate $60 billion a year for Iran. Brouillette also noted that Iran has previously used oil revenue to fund organizations adversarial to its neighbors and the United States. “If they return to funding proxies around the world again, I say all bets are off,” he said.

U.S. reserves would run out in about four weeks.

U.S. Commercial and emergency oil reserves likely influenced the decision to reach terms. Oil stockpiles at Cushing, Oklahoma, have fallen to the minimum level required for operations, he said, adding that reserves must be refilled quickly.

U.S. Intelligence agencies recently concluded that Iran can shut down access to the Strait of Hormuz at will, CNN reported. Brouillette said Iranian officials have already demonstrated that capability and could do so again. Brouillette, who is also a distinguished visiting fellow at Columbia University’s Center on Global Energy Policy, said he would have required more performance from Iran before releasing sanctioned funds or creating a rebuilding fund.