Iran sends response

The European Union yesterday said it was studying Iran's response to a "final" draft agreement on reviving a 2015 nuclear accord with major powers it presented at talks in Vienna.

A spokesperson for EU foreign policy chief Josep Borrell -- who coordinated talks to bring Iran and the US back into the deal -- said the Iranian response was received late Monday.

The United States had already said Monday that it was informing Borrell of its response to the text he submitted on August 8.

The possibility of a deal which might lead to the lifting of US sanctions on Iran's oil output of 2.5 million barrels per day has already helped trigger a fall in prices on world markets, with US oil futures dropping nearly three percent to finish below $90 a barrel.

"We are studying it and are consulting with the other JCPOA participants and the US on the way ahead," the spokesperson said, referring to the formal title of the nuclear pact.

Iran's official IRNA news agency reported earlier yesterday that "an agreement will be concluded if the United States reacts with realism and flexibility" to Iran's response.

Iran's ISNA news agency cited an "informed source" as saying that Tehran "expects to receive the response of the other side in the next two days". IRNA had said Friday that Iran might accept the "final" text drawn up by the European Union to save the deal.

None of the parties have spelt out in details the points of contention that are still blocking a deal.

Iran's demand for an end to US blacklisting of its ideological army, the Islamic Revolutionary Guard Corps, as a "terrorist organisation" has been dropped from the discussions and will instead be handled after the deal, a senior EU official said earlier.

The official said progress had also been made on Tehran's call for guarantees that there will be no repeat of Washington reneging on the deal as it did under Trump in 2018.