Iran reviewing US proposal to end war although key demands remain unaddressed

Iran stated that it was reviewing a US peace proposal on Wednesday that sources said would formally end the war while leaving unresolved the key US demands that Iran suspend its nuclear program and reopen the Strait of Hormuz.

An Iranian foreign ministry spokesperson cited by Iran's ISNA news agency said Tehran would convey its response. US President Donald Trump said he believed Iran wanted an agreement.

"They want to make a deal. We've had very good talks over the last 24 hours, and it's very possible that we'll make a deal," Trump told reporters in the Oval Office on Wednesday.

Earlier in the day, Trump had threatened to restart the US bombing campaign in Iran, calling the possibility of Tehran agreeing to the latest US proposal a "big assumption."

The two sides remain at odds over a variety of difficult issues, such as Iran's nuclear ambitions and its control of the Strait of Hormuz, which before the war handled one-fifth of the world's oil and gas supply.

A Pakistani source and another source briefed on the mediation said an agreement was close on a one-page memorandum that would formally end the conflict.

The agreement would kick off discussions to unblock shipping through the strait, lift US sanctions on Iran, and set curbs on Iran's nuclear program, the sources said.

It was unclear how the memorandum differs from a 14-point plan proposed by Iran last week, and Iran has yet to respond to the latest US proposal.

Iranian lawmaker Ebrahim Rezaei, a spokesperson for parliament's powerful foreign policy and national security committee, described the text as "more of an American wish-list than a reality."

Iran's parliament speaker, Mohammad Baqer Qalibaf, appeared to mock reports that indicated the two sides were close, writing on social media in English that "Operation Trust Me Bro failed."

Qalibaf said such reports amounted to US spin following its failure to open the Strait of Hormuz to shipping traffic.