US President Donald Trump announced that planned American military strikes against Iran had been cancelled after what he described as significant progress towards an initial peace agreement involving Iran, the United States, Israel and several Middle Eastern nations.

According to Trump, discussions had reached the highest levels of Iran’s leadership and the key principles of a deal had been approved by all parties, although details of a formal signing ceremony were still being finalised.Iran’s semi-official Fars news agency reported that Tehran was likely to approve the arrangement, but no official confirmation had yet been issued.

The announcement followed a period of escalating tensions in which Trump and senior US officials had warned of major new attacks against Iranian targets.Earlier statements had suggested possible strikes on Kharg Island and other energy infrastructure.

The conflict intensified after the reported downing of a US Apache helicopter near the Strait of Hormuz, leading to exchanges of attacks between Iran and the United States across the region.

Iranian sources indicated that negotiators had reached a political understanding that could ease restrictions around the Strait of Hormuz and lead to the release of billions of dollars in frozen Iranian oil revenues.However, major issues, including Iran’s nuclear program and stockpile of enriched uranium, would be postponed for future negotiations.Despite diplomatic progress, military activity continued.

The US conducted strikes against Iranian military facilities, while Iran launched missile and drone attacks targeting US military sites in Bahrain, Kuwait and Jordan.Both sides accused each other of escalating the conflict.The war, which began in February, has disrupted global energy markets and contributed to higher oil and gas prices.Fighting has also continued in Lebanon between Israel and Hezbollah, adding further instability to the region.