Donald Trump said on Thursday that Iran has agreed to hand over highly enriched uranium 'nuclear dust' he claims was buried following US airstrikes on key Iranian nuclear facilities last year. 

There has been no confirmation from Iran, however, that it made this concession during talks with US officials last week.

Trump has used the term 'nuclear dust' to describe highly enriched uranium that the International Atomic Energy Agency has said remains buried deep underground after US strikes in June on three major nuclear sites. 

The material has been a central point of tension between Washington and Tehran, with US officials concerned it could be used to support the development of a nuclear weapon.

Prior to the ongoing two week ceasefire, which approaches its expiration on Tuesday, Trump had asked the American military to prepare a plan for a high risk operation to enter Iran and retrieve the radioactive material without Tehran's consent.

Speaking to reporters on Thursday, Trump said: 'Iran does not have a nuclear weapon, and they've agreed to that. Iran's agreed to that, and they've agreed to it very powerfully. 

'They've agreed to give us back the nuclear dust that's way underground because of the attack we made with the B-2 bombers.' 

'So we have a lot of agreement with Iran, and I think something's going to happen, very positive, very important.' 

His comments come after US talks with Iranian officials in Islamabad over the weekend ended without securing a deal. 

Iran has long maintained that it does not seek to develop a nuclear weapon, meaning that any renewed pledge to that effect may carry limited weight. 

A commitment to surrender their existing stocks of enriched uranium would represent a more meaningful step, although its impact would be constrained if Iran retains the capability to produce more material.

US officials believe that last June's airstrikes destroyed or disabled many of Iran's centrifuges used for uranium enrichment, though the country is believed to still possess others. 

'Iran wants to make a deal, and we're dealing very nicely with them,' Trump said. 'They're willing to do things today that they weren't willing to do two months ago.'

During the latest round of negotiations, Vice President JD Vance presented a proposal that would stop Iran from enriching uranium for 20 years, an idea Trump later said he opposed.

US officials have now said that Washington and Tehran are negotiating a three-page plan to end the war, which could see Iran surrender its enriched uranium in exchange for $20 billion in unfrozen funds, Axios reports.

Trump said Thursday that US and Iranian negotiators would likely meet this weekend for a second round of talks before the ceasefire ends.

Ensuring Iran cannot access their underground nuclear stockpiles, specifically the 450kg of 60 per cent enriched uranium, is a primary objective for the Trump administration.

'Iran clearly wants the $20 billion — and a lot more. They clearly want to sell oil at free-market rates without sanctions. They want to participate in the global financial system. But they also want to have this nuclear weapons program,' one official said. 

The official added: 'They want to fund terrorists like Hamas. And they don't want to give that up enough to get the things we're offering.'

'Iran has moved. But not far enough. What it takes to make them move forward, we will see.'

Meanwhile, Iran has said the Strait of Hormuz is now 'completely open' for the rest of the ceasefire.

Foreign Minister Abbas Araghchi. wrote on X on Friday: 'In line with the ceasefire in Lebanon, the passage for all commercial vessels through Strait of Hormuz is declared completely open for the remaining period of ceasefire, on the coordinated route as already announced by Ports and Maritime Organisation of the Islamic Rep. of Iran.'

Taking to Truth Social after the announcement, Donald Trump wrote: 'Iran has just announced that the Strait of Iran is fully open and ready for full passage. Thank you!'

In his celebratory post, the US President referred to the waterway as the 'Strait of Iran' rather than using its official name, the Strait of Hormuz.

However, Trump added that the US blockade will remain 'in full force' despite the opening of the Strait of Hormuz.

'The Strait of Hormuz is completely open and ready for business and full passage, but the naval blockade will remain in full force and effect as it pertains to Iran, only, until such time as our transaction with Iran is 100% complete. This process should go very quickly in that most of the points are already negotiated.' he wrote on Truth Social.

Trump on Thursday had said the Iran war is 'going swimmingly' as a ceasefire between Israel and Lebanon came into place yesterday night.

Speaking at an event in Las Vegas, the US President said a deal with Iran is 'very close,' after he announced a ceasefire deal between Israel and Lebanon after speaking with officials from the two countries.

He described it as a 'historic' day for Lebanon, adding in a Truth Social post: 'Good things are happening!!!'

The hope is that the truce may advance a permanent peace deal between Israel and Lebanon, which have no diplomatic relations.

In a post on Truth Social overnight, the US leader warned Iranian-backed militant group Hezbollah to 'act nicely' during the ceasefire.

'I hope Hezbollah acts nicely and well during this important period of time. It will be an GREAT moment for them if they do. No more killing. Must finally have PEACE!' he wrote.