US-Iran ceasefire takes effect, reopens Strait of Hormuz for oil traffic

The US and Iran signed a ceasefire deal Thursday that immediately halts all military operations, including in Lebanon where Israel has been active. The agreement reopens the Strait of Hormuz for commercial vessels with no Iranian charges for 60 days, restores pre-war traffic levels, and sets a 60-day window to negotiate a final deal including $300 billion for Iran's reconstruction and sanctions removal.

For Nigeria, as a major oil exporter, the Strait's reopening could stabilize global oil prices after previous closures drove costs up. The deal maintains Iran's nuclear program status quo temporarily while new sanctions aren't imposed, reducing immediate regional war risks that often spike oil prices.

With vessel traffic resuming proportionally to pre-war levels and Iran ensuring safe passage, Nigerians should watch for oil market reactions in coming weeks. Will this deal hold long enough to benefit Nigerian oil revenues, or will fragility in the agreement cause renewed price volatility?

SOURCE: https://www.premiumtimesng.com/news/top-news/888755-for-the-records-us-iran-deal-full-text.html