A top Iranian official said that a resumption of the war with the U.S. seems "inevitable" as Washington "demands our total surrender, and the Iranian nation will never surrender."
"When surrender is not an option, war lies ahead. Therefore, we are prepared and have no issue with war," said Mohammad Jafar Asadi, deputy head of Iran's central military command, Khatam al-Anbiya, according to state TV.
The official went on to say that the country has yet to play all of its "trump cards." "There are many capabilities that, if necessary, we will use."
Elsewhere, Mehr News agency reported that officials are still reviewing the U.S.'s latest proposal to end the war and have not provided an answer.
"Based on previous experiences, Iran is seeking tangible and real benefits," a source told the outlet. "The United States is concerned about war; we are concerned about an agreement."
Another report noted that Iran is seeking economic relief from the U.S. without making major nuclear concessions.
Reuters cited three Iranian sources close to decision-makers to describe the situation in Tehran, noting that its leadership usually seeks to avoid making large compromises and keep negotiations alive but avoid making key commitments.
The outlet went on to note that while Iranian leadership behaves like it could maintain the current scenario indefinitely, seeking to exert pressure on the global economy by maintaining the blockade of the Strait of Hormuz, internal conditions are also deteriorating.
The latest version of an agreement, according to recent reports, would see "unrestricted" shipping through the Strait of Hormuz, while Iran would have to remove all mines from the key waterway within 30 days. The U.S. would also lift its naval blockade as commercial shipping is restored.
Iran would also make a commitment to not pursue a nuclear weapon, officials added. The nuclear program would be discussed during a 60-day period, which would include the disposal of the country's enriched uranium.
The U.S., in turn, would also commit to discuss sanctions relief and the release of frozen funds, as well as a mechanism to help the country receive goods and humanitarian aid.
However, talks seemed to stall over the past days. Trump said on Friday he would convene his national security team in the Situation Room to make a decision on the matter, but has not communicated it days later.
Iranian media said on Monday it was suspending talks over Israel's escalation in Lebanon. Trump reportedly slammed Israeli Prime Minister Benjamin Netanyahu over the matter and forced him to cancel planned attacks in a Beirut suburb considered to be a Hezbollah stronghold.
Shortly after the call Trump said he had a "very productive" call with Netanyahu and "and there will be no Troops going to Beirut, and any Troops that are on their way, have already been turned back."
Trump also said on Monday that negotiations with Iran were "continuing at a rapid pace." Iranian officials have not reacted publicly to the developments.