A proposed deal between Iran and Oman to help end five months of war between Iran and the United States would give Tehran control over ships entering the Gulf through the Strait of Hormuz, a senior Iranian source and two regional officials told Reuters on Wednesday, one of the biggest concessions yet to Iran, Reuters reports.

An agreement that gives Iran authority over traffic through the Strait of Hormuz would mean the war launched by the United States and Israel in February had resulted in a major shift in the balance of regional power in Tehran's favor. Before the war, the strait was freely open to all ships with no fees.

Meanwhile, Iran has warned Gulf states that any new US attack on its territory would trigger retaliation against critical energy infrastructure across the region, according to five sources.