US forces shoot down Iranian drone targeting commercial ships in Strait of Hormuz; Iran signals remote signing of understanding memo with Washington

US forces shot down Iranian drones targeting commercial ships in the Strait of Hormuz, as indicators increase of a near-agreement on a memorandum of understanding between Tehran and Washington.

The US military announced on Friday night that American forces "shot down" Iranian drones that were targeting commercial ships in the Strait of Hormuz, at a time when signs are increasing of a near-agreement on a memorandum of understanding between Tehran and Washington.

The US Central Command (CENTCOM) stated via X that "Iran launched one-way attack drones in an attempt to strike commercial ships transiting the Strait of Hormuz," noting that the strait "remains open to navigation."

A source familiar with the matter told Reuters on Friday that the drones posed a threat to commercial navigation.

Remote Signing

Iranian Foreign Minister Abbas Araghchi said on Friday that the draft understanding memo with the United States would be signed "remotely" upon its completion, which could happen "in the coming days."

Araghchi added in an interview with official television that "once the final stages of our negotiations are completed, this agreement will be signed and announced. It will initially be signed digitally. Each party will sign remotely. Then it will be announced that this memorandum of understanding has been signed by both parties."

"It may happen in the coming days. I am very optimistic," according to Araghchi, who indicated that "amendments can still be made to the text, but the preliminary agreement clearly shows that his country has emerged stronger from the conflict."

He added in a statement to official television, "Iran is the victor in the war with the United States."

Several sources stated that the so-called memorandum of understanding provides for the reopening of the Strait of Hormuz and the lifting of the US blockade on Iranian ports.

Negotiations on the Iranian nuclear program, which was the pretext announced by US President Donald Trump for launching the war, will be held later.

The US official told reporters, asking not to be identified, that the agreement meets Trump's core objectives and puts negotiations "in a very good position."

"Our sword will remain pointed at the Strait of Hormuz"

Leaked provisions from a proposed memorandum of understanding to end the war in the Gulf, presented by Western, Pakistani, and Iranian sources on Friday, appeared to be clearly biased towards Iran, drawing criticism from US President Donald Trump, who described the reports as inaccurate.

While there were minor differences in the versions of the memorandum, they all seemed to accept the main terms proposed by Tehran so far, without Trump achieving significant gains other than the reopening of the Strait of Hormuz, which Iran had closed after American and Israeli attacks in February.

Araghchi said that Iran, along with Oman, would retain control over navigation through the Strait of Hormuz, which before the war transported a fifth of global oil and gas supplies.

He added, "Our sword will remain pointed at the Strait of Hormuz."

Content of the Agreement

Provisions of the draft agreement, which multiple sources have informed Reuters, indicate that the United States will immediately grant Iran billions of dollars in frozen assets and lift sanctions on its oil exports in exchange for Tehran lifting the blockade on the Strait of Hormuz, which has been effectively closed since the start of the war.

Any discussion regarding the US's main demands concerning Iran's nuclear program will also be postponed to a later time during a 60-day period that will witness talks to reach a final settlement.

Sources said the proposals include discussions on potential compensation for Iran for the war launched against it and the abandonment of US demands for restrictions on Iran's missile program.

Washington had previously demanded that Iran abandon its stockpile of highly enriched uranium, but none of the text versions reviewed by Reuters included any mention of this demand, while sources confirmed that this demand has been clearly excluded at the current stage.

However, another senior US official said about the agreement that uranium stockpiles "will be destroyed and removed" and Iran's nuclear program will be dismantled.

The official, who requested anonymity, added, "No money will be released until they fulfill their commitments and the Strait of Hormuz remains open. And Iran will not provide any funding to terrorist groups... This is what they have agreed to. It is a deal based on (the extent of) their commitment," according to his description.

The Iranian Foreign Minister said on Friday that Tehran believes the only way to deal with its stockpile of highly enriched uranium is to dilute it within the country.

Araghchi explained in an interview with official television, "Our position has always been that the only way to deal with the stockpile of highly enriched material is to dilute it within Iran."

Israel is not a party to the memorandum of understanding

A Western source said that if an agreement is reached on the wording, it is possible that US Vice President De Vance and Iranian Parliament Speaker Mohammad Bagher Ghalibaf will sign the memorandum of understanding by next Sunday, with Geneva currently being the likely location for the signing.

The US administration official said that a discussion took place regarding the possibility of signing the agreement in Europe, but no decision has been made yet.

Despite Israel's participation in the war alongside the United States, it has so far been excluded from the negotiations. Israeli Prime Minister Benjamin Netanyahu said that Israel would not be a party to the memorandum of understanding.

Netanyahu has repeatedly clashed with Trump in recent weeks over US demands for Israel to curb its military operations in Lebanon to allow Washington to reach an agreement with Tehran.

Araghchi said that the agreement would end the war in Lebanon, which means Israel's withdrawal from the occupied territories.

Israeli Defense Minister Israel Katz said that Israel would not withdraw from Lebanese territory.

A senior Israeli official stated that Israel expects any agreement to allow Israel to retain freedom of action against what it considers a threat in the areas under its control.

Falling oil prices

These developments come at the end of a week that saw the biggest escalation in the Gulf since the ceasefire that halted American and Israeli attacks on Iran. Israel and Iran exchanged fire for the first time since the ceasefire, then Washington launched raids on Iran, which responded by shelling US bases in the region.

Tehran has long insisted on the peaceful nature of its nuclear program, and previously accepted strict limitations on it in exchange for sanctions relief under a 2015 agreement with the administration of then-US President Barack Obama.