Israel, Lebanon agree to implement ceasefire, boosting hopes for Iran deal

DUBAI (Reuters) – Israel and Lebanon agreed to implement a ceasefire to end hostilities, the Trump administration said on Wednesday, ​in a boost to hopes for a broader deal to end the US-Israeli war on Iran.

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Tehran, which had conditioned any deal with the US in part on an end to fighting ‌between Israel and Lebanon, earlier struck Kuwait, damaging its airport and injuring dozens while the US military carried out strikes near the Strait of Hormuz.

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The Israel-Lebanon ceasefire is contingent on a complete cessation of fire from the Iran-aligned Hezbollah and the evacuation of all its operatives from the South Litani Sector, a joint statement released by the US State Department said following negotiations in Washington.

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The two sides had agreed last month to a ceasefire but hostilities had continued. Israel invaded Lebanon in March in pursuit of Lebanese group Hezbollah, which fired across the border in support of Tehran.

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The attacks on Kuwait and in the strait are the latest to test a shaky ceasefire between the US, Israel and Iran, sending oil prices up nearly 2%, ​as the strait remains largely closed more than three months after the US and Israel launched strikes on Iran.

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Flights at Kuwait International Airport were suspended after an Iranian drone and ⁠missile attack damaged airport facilities and diplomatic missions, killing one person and injuring more than 60 others, Kuwaiti authorities and state media said.

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Kuwait Airways and Jazeera Airways later resumed flights after taking safety measures, the civil aviation ​authority said.

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Iran’s elite Revolutionary Guards said they did not fire at Kuwait’s airport and blamed the destruction on US interceptor missiles that failed to hit their targets, according to Iranian state media.

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The US military said that was not ​accurate, and that Iranian drones targeted the airport deliberately.

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Earlier, Iranian media reported the Revolutionary Guards had attacked the headquarters of the US Fifth Fleet in Bahrain and a US airbase, as well as a vessel identified as Panaya. US Central Command denied its bases had been hit and said Iranian ballistic missiles failed to strike their targets in the region.

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CENTCOM said it had carried out a new round of “defensive strikes” in southern Iran, targeted missile launch sites and Iranian boats seeking to lay mines, and conducted ​strikes on Qeshm Island near the Strait of Hormuz after attempted Iranian attacks.

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CEASEFIRE STRAINED BY FLARE-UPS

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Since the US and Israeli strikes on Iran began on February 28, Tehran has repeatedly attacked targets in the Gulf region, home ​to US military bases.

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Hostilities have periodically flared up in recent weeks despite a ceasefire agreed in early April, as the US has pushed to reopen the Strait of Hormuz, which handled roughly a fifth of global oil and liquefied natural gas ‌shipments before the ⁠war.

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Last week, Iran and the US signalled progress towards a tentative initial agreement to halt the war and reopen the strait, but the two sides have yet to sign off on the deal, which would leave more complex negotiations for later.

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Iran’s Foreign Minister Abbas Araqchi told Lebanese broadcaster Al Mayadeen on Wednesday that talks had not been cut off but no progress had been made.

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In addition to Tehran conditioning a deal on an end to fighting in Lebanon, it also wants access to billions of dollars in oil revenue, waivers on sanctions on crude exports, a lifting of a US blockade on its ports and continued leverage over the strait.

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US President Donald Trump, who is under pressure to ​bring down fuel prices, has said his top priority is ​to stop Iran from acquiring nuclear weapons. Iran ⁠says its atomic program is for peaceful purposes. In a podcast interview released on Wednesday, Trump said Iran had agreed to not have a nuclear weapon and that Khamenei was involved in negotiations.

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Later on Wednesday Trump suggested there could be progress in negotiations with Iran as soon as this weekend.

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“If it happens, it could happen over the ​weekend,” Trump told reporters in the White House’s Oval Office, without elaborating on what he expected to happen within that timeframe.

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Trump said that parties were working to ​separate the issue of reopening ⁠the strait from the conflict in Lebanon.

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ISRAEL KEEPS UP STRIKES ON LEBANON

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The war has killed thousands, mainly in Iran and Lebanon, while causing global economic pain by severely disrupting energy supplies and other shipping.

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It also sparked the latest round of conflict between Israel and Hezbollah.

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On Wednesday, Israeli drone strikes killed at least six people in southern Lebanon and targeted a car just south of Beirut, Lebanese security sources said, while Israel said it intercepted a hostile aircraft likely fired by Hezbollah.

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Araqchi ⁠said Iran would ​respond decisively if Israel attacks Beirut.

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In his podcast comments, Trump acknowledged having called Israel’s Prime Minister Benjamin Netanyahu “crazy” during a reportedly expletive-filled phone ​exchange over the fighting in Lebanon as he sought a deal over the wider war.

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“At some point I said, Bibi, we got to stop this. We got to stop it,” Trump said, referring to Netanyahu by his nickname.

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Netanyahu told CNBC in an interview that he and Trump ​sometimes had “tactical disagreements” but that they agreed on the main issues concerning Iran.