Trump says US-Iran deal near after calling off strikes

US President Donald Trump said Thursday that negotiators had reached a settlement with Iran, hours after he cancelled a third consecutive night of strikes.

Trump had said the United States would strike Iran "very hard," but later told reporters his team had "just made a great settlement." He said the deal was "subject to finalisation of documents, which should get done over the next few days," and that a signing ceremony would "probably" take place in Europe.

Iran's foreign ministry spokesperson Esmail Baghaei told state television that reports of an agreement were "speculative" and that "nothing has been finalised."

Trump has claimed a deal was close before without one materialising. The United States and Israel began wide-ranging strikes on Iran on 28 February. Iran responded by attacking Israel and US-allied states in the Gulf and closing the Strait of Hormuz, a key route for oil and liquefied natural gas shipments.

A ceasefire agreed in April has not stopped intermittent exchanges of fire, including two rounds of strikes this week. Brent crude fell about 4.4 percent to $89 a barrel after Trump's comments.

Trump said the agreement would ensure "Iran will never have a nuclear weapon," which he called the main purpose of the talks. He said the Strait of Hormuz would reopen "as soon as we have it signed" and that the documents were already in "pretty final shape."

He said he had spoken with regional leaders, including Israeli Prime Minister Benjamin Netanyahu. Netanyahu's office confirmed the call and said Israel "is not a party to the memorandum of understanding." The statement said Netanyahu welcomed Trump's push for terms that include removal of enriched material, limits on missile production, and an end to Iran's support for proxy groups.

Baghaei said most of the text had been agreed but that Washington had added "excessive demands" and "new requests." He said Iran would not cross its "red lines."

The White House has sought a quick end to the conflict along with security guarantees for the Strait of Hormuz and curbs on Iran's nuclear program. Trump said in April that a deal would come "relatively quickly," but on 27 May he said he was "not satisfied" with the terms then on the table.

Hours before his latest remarks, Trump warned that the United States would hit Iran "very hard tonight" and might seize Iran's main oil terminal on Kharg Island. Iran's military said further attacks on its oil facilities would prompt retaliation "more severe than before" and that exports would be open to "everyone or no one."

Iran's top negotiator, Mohammad Bagher Ghalibaf, warned that "wrong strategies and impulsive decisions" would create a long-term problem for Washington.

The latest round of strikes followed the crash of a US Apache helicopter in the Gulf on Monday. US Central Command said Wednesday it had struck military and radar sites in southern Iran. Iran's Islamic Revolutionary Guard Corps responded with attacks on US bases in Bahrain, Kuwait and Jordan. An 11-year-old girl was injured in Bahrain, and Jordan and Kuwait reported shooting down Iranian missiles.

India summoned a US diplomat after three Indian sailors were killed in a US strike on a ship in the Gulf of Oman. Pakistan, Russia, China, Turkey, India and Saudi Arabia called for de-escalation.