IRAN UPDATE

News and comment on the diplomatic movements over Iran's nuclear programme

No. 99 - 19 July 2007

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SUMMARY

• IAEA and Iran make new deal for inspecting Iran's nuclear programme
• German firm smuggles nuclear material to Iran
• Iran could hit 600 Targets in Israel if attacked

The IAEA is to be given access to Iran's heavy water reactor at Arak by the end of the month as part of an agreement between the IAEA and Iran made on Friday 13th. The agreement also allows for: stronger safeguards at Natanz and a new team of IAEA inspectors. A significant development was an assurance as part of the agreement "to resolve remaining issues regarding Iran's past plutonium experiments". Some worry this agreement is insufficient - it does not address Iran's continuing enrichment activities and may delay further UN Security Council action. Iranian officials have already warned that the IAEA agreement will be jeopardised if further sanctions are agreed. It is too early to tell whether the agreement signals a change in Iranian policy.

German prosecutors are investigating 50 companies suspected of smuggling technology destined for Iran's Bushehr nuclear power plant via Russia. So far, prosecutors have only traced material worth approximately five million euros but say that this appears to be the tip of the iceberg. They believe that up to 150 million euros' worth of material may have left Germany for Iran.

A leaked report surfaced in Qatar this week that says that Iran has identified 600 targets in Israel that it will attack with missiles if Israel or the US attacks Iran. There were conflicting indications this week as to whether the threat of military action has risen or fallen. Reports suggested that Cheney's influence in the White House had shifted the balance in favour of threatening action, while other reports suggested that the US Navy may look to cut back its presence in the Gulf later this year.

Ita O'Sullivan, BASIC

STORIES AND LINKS

Game to encourage Iran's youth to support nuclear technology, Newkerala.com, 16/ 07
Iran's Islamic High School Society Monday introduced a computer game to encourage Iran's youth to support the country's struggle to gain nuclear know-how.
http://www.newkerala.com/july.php?action=fullnews&id=46998

Cheney pushes Bush to act on Iran, Guardian Unlimited, 16/ 07
The balance in the internal White House debate over Iran has shifted back in favour of military action before President George Bush leaves office in 18 months.
http://www.guardian.co.uk/frontpage/story/0,,2127343,00.html

Iran asks Japan to pay for oil with yen, not dollars, Newsvine.com, 16/ 07
The request by the National Iranian Oil Co. is believed to be part of Iran's efforts to increase oil transactions denominated in currencies other than the dollar to avoid a possible seizure of its assets by the U.S. government amid tensions over its nuclear development program.
http://phonetik77.newsvine.com/_news/2007/07/16/839163-
iran-asks-japan-to-pay-for-oil-with-yen-not-dollars-

Iran relaxes stance on nuclear inspections, Guardian unlimited, 13/ 07
The UN nuclear watchdog said today that Iran had agreed to lift its ban on inspectors visiting a controversial nuclear facility, and was ready to answer questions about its past plutonium experiments.
http://www.guardian.co.uk/iran/story/0,,2125811,00.html

Teheran continues nuclear activities, prophecyheadlines.com, 16/ 07
Teheran will remain steady in pursuing its disputed nuclear program, and hopes the UN Security Council won't sanction it for this, Iran's Foreign Ministry said Sunday. "The nuclear activities of Iran continue in a defined and clear framework," spokesman Mohammad Ali Hosseini.
http://www.prophecyheadlines.com/?p=1270

U.S. may cut back to one aircraft carrier in the Gulf region, AP, 10/ 07
After a much-publicized military buildup in the Persian Gulf, the United States is now planning to have only one aircraft carrier in the region for part of this year.
http://www.iht.com/articles/ap/2007/07/10/america/
NA-GEN-US-Navy-Gulf.php

EU to resume nuclear talks with Iran, Newkerala.com, 11/ 07
European Union foreign policy chief Javier Solana and Iran's top nuclear negotiator Ali Larijani are expected to hold another meeting at the end of this month.
http://www.newkerala.com/news.php?action=fullnews&id=45654

COMMENTS, EDITORIALS AND ANALYSIS

A Ring around Iran, NY Times, 11/07
President Vladimir Putin of Russia has made an offer that President Bush cannot refuse - not if Mr. Bush truly wants substantive international cooperation on missile defence.
http://www.nytimes.com/2007/07/11/opinion/11postol.html?
_r=1&oref=slogin

Brave New World of Iranian nuclear cooperation, Asia Times, 17/11
Iran must meet benchmarks set in its recent agreement with IAEA. If it does, UNSC should lower the threshold in 1696 and 1747 and drop calls for suspension of enrichment prior to negotiations.
http://atimes.com/atimes/Middle_East/IG18Ak02.html