This combo shows Iranian Foreign Minister Abbas Araghchi, left, pictured in Tehran, Iran, and Steve Witkoff, right, White House special envoy, pictured in Washington. AP
According to Axios, the proposed deal would involve Iran committing to a moratorium on nuclear enrichment, the US agreeing to lift its sanctions and release billions in frozen Iranian funds, and both sides lifting restrictions around transit through the Strait of Hormuz.
Washington is reportedly awaiting a response from Tehran on several key points in the next 48 hours.
“Nothing has been agreed yet, but the sources said this was the closest the parties had been to an agreement since the war began,” Axios said.
In tandem, a Pakistani source familiar with the talks confirmed the progress to Reuters.
American officials have voiced optimism during earlier rounds of diplomacy, but no final deal has materialized so far.
However, two US officials said that President Trump's decision to pause his newly announced operation in the Strait of Hormuz and avoid a collapse of the fragile ceasefire was based on progress in the talks.
The draft memorandum — a 14-point document — is being discussed by Trump’s envoys Steve Witkoff and Jared Kushner with Iranian counterparts, both through direct contacts and intermediaries.
In its current outline, the document would formally mark an end to hostilities and launch a 30-day window for more detailed negotiations.
These talks would focus on reopening the strategic waterway, setting limits on Iran’s nuclear activities, and outlining a path for sanctions relief. Possible venues under consideration include Islamabad and Geneva.
During that interim period, Iranian limits on maritime traffic and the US naval blockade would be eased in stages, a US official said. However, if discussions break down, Washington would retain the option to reinstate the blockade or resume military action.
A central sticking point remains the length of the proposed halt on uranium enrichment. Sources indicated the U.S. is pushing for a long-term restriction — potentially 12 to 15 years — while Iran has suggested a significantly shorter five-year period, compared with Washington’s initial demand of 20 years.
US negotiators are also seeking a mechanism that would extend the moratorium automatically in the event of any Iranian breach. Once the restriction ends, Iran would be permitted to resume enrichment at a low level of 3.67 percent.
Under the draft terms, Iran would pledge not to pursue nuclear weapons or engage in related weaponization work. Discussions are also ongoing on preventing the operation of underground nuclear facilities. Additionally, Tehran would accept stricter monitoring, including short-notice inspections by UN inspectors.
In parallel, the United States would begin a phased rollback of sanctions and gradually release Iranian funds held abroad.
Sources familiar with the talks added that Iran may agree to remove its stockpile of highly enriched uranium from its territory — a long-standing US objective that Tehran had previously resisted. One proposal under consideration involves transferring that material to the United States.
Axios reported that many provisions in the draft memorandum would only take effect if a broader, final agreement is secured, leaving open the possibility that tensions could flare up again or that the situation could settle into a prolonged but unresolved standoff.
Short link: