The Telegraph reported that the Islamic Republic is considering a plan to reopen the Strait of Hormuz, under which countries bordering the Persian Gulf and a number of European countries would, through a voluntary fund, cover service costs such as navigation management, environmental protection, search and rescue, and other maritime services.

According to the newspaper, the plan is modeled on the Strait of Malacca mechanism and, if finalized, could enable the resumption of ship transit and reduce tensions in the global oil market.

The Telegraph added that, at the same time, U.S. officials have reported progress in negotiations with the Islamic Republic and Oman, but Tehran has rejected any direct talks with Washington and emphasizes that the discussions are only with Oman and are about creating a temporary route for safe passage of ships.

In contrast, Donald Trump and senior U.S. government officials have said that the negotiations are continuing and that a deal is close. The discrepancy between Tehran and Washington’s accounts of the nature of these talks still continues