The US Treasury Department on Monday issued a general licence allowing the production, delivery and sale of Iranian-origin crude oil, petroleum products and petrochemicals through August 21. The United States has authorised the production, delivery and sale of Iranian oil marking a significant sanctions relief measure as Washington and Tehran continue negotiations aimed at reaching a final peace agreement, according to a Reuters report.The US Treasury Department on Monday issued a general licence allowing the production, delivery and sale of Iranian-origin crude oil, petroleum products and petrochemicals through August 21.The move fulfils a commitment made under a framework agreement reached between the two countries last week and comes as both sides continue talks in Switzerland on a broader settlement.“In line with the ongoing productive talks in Switzerland, Iran has committed to free and open transit in the Strait of Hormuz and to permit International Atomic Energy Agency (IAEA) inspectors into their country,” Treasury Secretary Scott Bessent said in a post on X.“As part of the framework, Treasury has issued a temporary 60-day general license authorizing the production, delivery, and sale of Iranian oil,” he added.Under the memorandum of understanding signed last week, Washington agreed to grant waivers covering the export of Iranian crude oil, petroleum products and derivatives, along with associated services such as banking transactions, insurance and transportation.The general licence issued on Monday also authorises transactions related to the import of Iranian-origin crude oil, petroleum products and petrochemicals into the United States.According to the licence, Iranian oil may be imported into the US when necessary to complete a sale or delivery authorised under the waiver.The Treasury Department clarified that the licence does not authorise transactions involving North Korea or Cuba, both of which remain subject to extensive US sanctions.The easing of restrictions on Iranian oil exports is being closely watched by energy markets, particularly as efforts continue to stabilise crude supplies and secure shipping through the Strait of Hormuz, one of the world’s most critical energy transit routes.