Iran Denies Talks on Ceasefire Extension With US, Citing Earlier Breach

A senior Iranian official has denied reports that Tehran and Washington are discussing an extension to their ceasefire, stating that from Iran's perspective, the deal has no basis to be extended. The official's comments to Reuters on Wednesday contradict earlier reports of a renewed agreement, signaling continued diplomatic deadlock between the two nations.

Conflicting Reports Emerge

The denial came in response to a report by Turkey’s Anadolu news agency, which, citing Pakistani government sources, claimed that a 60-day ceasefire extension had been agreed upon. However, the Iranian source dismissed this, telling Reuters, "There is no talk of an extension because, from Iran’s perspective, there is no period that began and therefore nothing to extend."

Tehran's position is that the United States nullified the pact shortly after it was established. "The United States violated the interim agreement 48 hours after it was reached and withdrew from it a few days later," the source stated.

Background on the Interim Agreement

The original interim deal, signed in June, called for an "immediate and permanent termination of military operations on all fronts." The agreement quickly unraveled, with U.S. President Donald Trump declaring it "over" on July 7, and Iran's foreign ministry announcing its suspension a week later.

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The 60-day period mentioned in the agreement was intended as a window for negotiating a final deal to limit Iran's nuclear program in exchange for the lifting of U.S. sanctions. The framework also included preconditions such as free navigation in the Gulf and waivers for Iranian oil sales.

Market and Diplomatic Implications

The public refutation of a ceasefire extension underscores the significant geopolitical risk in the Middle East, a key factor for global energy markets. Heightened tensions and diplomatic standoffs can introduce volatility and put upward pressure on crude oil prices due to fears of potential supply disruptions.

According to the Iranian source, any ongoing discussions via mediators are focused on the U.S. returning to the original interim agreement and defining a timeline for its implementation. However, the source added that there has been "absolutely no progress on this issue," indicating that a near-term resolution remains unlikely.