Wednesday, October 30, 2013

Eye on Iran: U.S. Senators Seek to Cut Iran's Oil Sales in Half - Again







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Reuters:
"Fresh U.S. sanctions over Iran's disputed nuclear program being debated behind closed doors in the Senate aim to slash the country's oil sales in half within a year of the plan being signed into law, an influential senator said this week. Robert Menendez, the chairman of the Senate Foreign Relations Committee, told a meeting of the American Israel Public Affairs Committee (AIPAC) in New York on Monday that a package of sanctions ready to move in his chamber has a goal of cutting Iran's current oil exports to no more than 500,000 barrels per day. The reduction being sought is about 500,000 bpd less than a more severe bill passed by the House of Representatives in July, which aimed to slash exports to nearly zero. The Senate bill, which has yet to be introduced by the banking committee, has been widely expected to be weaker than the House bill, which some analysts had said was not realistic. Since the beginning of 2012, U.S. and European sanctions have already cut Iran's oil exports to about 1 million bpd from about 2.5 million bpd, costing the Islamic Republic crude sales worth billions of dollars a month, and helping to spike inflation and unemployment." http://t.uani.com/1gc49KS

Free Beacon: "Iran's oil minister said that the country has skirted U.S. sanctions by exporting at least one million barrels of crude oil a day, according to regional media reports. Iranian oil minister Bijan Namdar Zanganeh dubbed U.S. economic sanctions on Iran ineffective during public remarks delivered on Monday and said that the country can be run solely from oil sales. 'We have learnt from the sanctions that we can run the country by exporting one million barrels of oil per day,' Zanganeh was quoted as saying on Monday during an Iranian economic conference, the country's state run Fars News Agency reported. If Tehran exports another 1.5 million barrels a day it will earn 'an annual income of $54.5 billion which can result in more than $800 billion of more investment in the oil industry in the next several years,' according to Fars... The managing director of the National Iranian Oil Company (NIOC) said in August that Iran had 'bypassed' oil embargoes and amassed some $1.8 trillion in oil reserves. 'Iran has been able to post a record in terms of the value of its oil discoveries despite the pressure from economic sanctions,' NIOC head Ahmad Qaleban said at the time." http://t.uani.com/HpI1hv

NYT: "Iran and the International Atomic Energy Agency said Tuesday that they had held a 'very productive' two-day meeting in Vienna aimed at resolving questions on the disputed Iranian nuclear program and would reconvene their discussions on Nov. 11 in Tehran... The announcement on Tuesday, made in an unusual joint statement in Vienna, the headquarters of the nuclear monitoring agency, did not specify what progress had been made, but it said Iran had presented a new proposal for responding to the agency's questions. Both sides held 'a very productive meeting covering past and present issues on the 28th and 29th' of October in Vienna, Tero Varjoranta, the agency's deputy director general for safeguards, said in the joint statement, which was posted on the agency's website. 'Iran presented a new proposal on practical measures as a constructive contribution to strengthen cooperation and dialogue with a view to future resolution of all outstanding issues,' the statement said, and both sides agreed to hold a meeting on Nov. 11 in the Iranian capital 'to take this cooperation forward.' ... Access to Parchin, a restricted military site near Tehran, is at the forefront of the nuclear agency's concerns because of information that suggests that Iran has used a building at the site to test trigger devices for a nuclear weapon." http://t.uani.com/Hs8hrL
Election Repression ToolkitNuclear Program

AFP: "Iranian Intelligence Minister Mahmoud Alavi said on Wednesday that four people accused of sabotaging one of the country's sensitive nuclear sites were only thieves, Mehr news agency reported. 'These four people were not saboteurs. They cut the fences and entered the area to collect scrap iron and steel and sell it on the market,' Mehr quoted Alavi as saying. 'In fact, they were thieves not nuclear saboteurs,' said Alavi, adding they were 'villagers who had done this before'. Alavi did not specify at which nuclear site the arrests were made. Iran's nuclear chief Ali Akbar Salehi said earlier this month that four people suspected of attempting to sabotage one of Iran's nuclear plants were arrested." http://t.uani.com/1aTcdZB

Sanctions

Politico: "Secretary of State John Kerry and Treasury Secretary Jack Lew will hold a top-secret briefing with senators on Thursday about the impact of U.S.-led sanctions on Iran as the White House tries to head off new congressional action on the Middle Eastern country. Kerry and Lew will also meet with Senate Democratic leaders Thursday, Democratic sources said. And Kerry is holding a breakfast meeting on Wednesday with Sen. Bob Corker (R-Tenn.), ranking member on the Foreign Relations Committee. Chairmen and ranking members of Senate committees in charge of national security issues as well as Senate leaders will also be briefed Wednesday by senior administration officials about Iran's pursuit of nuclear weapons. Sen. Bob Menendez (D-N.J.), chairman of the Foreign Relations Committee, said he would wait to hear from administration briefers before making a decision on supporting a new round of sanctions. But he sounded skeptical of the administration's arguments. 'As of now, all I see is Iran continued to move forward unabated and not suspending anything - whether it's centrifuges, whether it's enrichment or anything else,' Menendez told POLITICO. 'And I don't understand how one unilaterally suspends when the other side continues to move forward. So someone will need to explain to me why that is good foreign policy.'" http://t.uani.com/1dN9pUp

JPost: "White House national security advisor Susan Rice, her deputies Ben Rhodes and Tony Blinken and Deputy Secretary of State Wendy Sherman met with the leaders of four major American Jewish organizations on Tuesday afternoon in an effort to dissuade them from lobbying the Senate towards passing harsh new sanctions against Iran, just as bilateral negotiations have resumed between the two nations. The White House meeting witnessed forceful exchanges between the two sides on the merits of the sanctions package, sources tell The Jerusalem Post." http://t.uani.com/17swpqb

Human Rights

Rooz: "As pressure on Iran's media increases, culminating this week in the closure of Bahar newspaper, bringing despair to supporters of Hassan Rowhani's administration who looked forward to an opening of the political and media atmosphere in the country, the spokesperson of the judiciary Gholam-Hossein Ejhei announced that the Association of Iranian Journalists, the AIJ (Anjomane Senfie Ruznamenegaran) would remain shut... AIJ was shut in 2009 on the order of infamous judge Saeed Mortezavi, depriving journalists of having their professional cards renewed, their insurances suspended etc. With some 40 journalists behind bars, Iran continues to be one of the countries with the largest number of journalist prisoners in the world." http://t.uani.com/1dph0Wr
Opinion & Analysis

Eli Lake in The Daily Beast: "Western intelligence agencies have had great success in the past sleuthing out Iran's undeclared nuclear facilities. But the Iranians have gotten better at hiding their tracks, according to some current and retired United States intelligence officers who say it could prove very difficult for the world to catch Iran again if it tries to build a nuclear weapon in secret. Since 2009, when the second uranium enrichment facility was revealed in Qom, Iran has taken several steps to better conceal a weapons program, these people say. It has beefed up security of its cyber networks, for example, after the Stuxnet computer worm infected computers in Iran's largest uranium enrichment site. Its Revolutionary Guard has also established a cyber warfare command. The division's commander died mysteriously earlier this month. Iran has also improved security procedures for protecting personnel in its nuclear program, following a string of attacks on its scientists, allegedly by Israel. Finally, as Iran's declared uranium enrichment facilities in Natanz and Qom have expanded, so has the country's infrastructure for building centrifuges, the machines that enrich that uranium. The current and former U.S. intelligence officials say this means it's easier for Iran to siphon off material for secret facilities with more nefarious purposes, if it chose to do so. 'There have been successes in finding secret Iranian sites but we know they are getting better at this,' said David Albright, a former U.N. weapons inspector and president of the Institute for Science and International Security, a nonprofit think tank. 'They are better at keeping better secrets, better at compartmentalization of their program and they are better at cyber security.' Iran's leaders have publicly said they don't intend to build a nuclear weapon. The U.S. intelligence community's official estimate since 2007 is that Iran stopped work on developing a warhead, while continuing to work on the much more challenging process of enriching weapons grade fuel. But the latest U.S. estimate, according to current and former U.S. intelligence officials, is that Iran has mastered the process for making the highly enriched uranium needed to build a nuclear weapon. One recently retired senior U.S. intelligence official said he believed Iran was trying to build a weapon, but stressed that it's a slow process. This official also said it would be easy to hide a secret enrichment facility in a warehouse in downtown Tehran. To start, it is difficult to detect uranium enrichment through measuring the changes in atmosphere around a physical plant. The lack of these kinds 'signatures' means that the U.S. has to rely more on human assets as opposed to sophisticated satellites and other kinds of technical intelligence gathering to know if enrichment was taking place in a specific location... 'It's much more likely that Iran would try to build nuclear weapons in a secret enrichment plant than one of the safeguarded plants,' said Gary Samore, who was the White House Coordinator for Arms Control and Weapons of Mass Destruction during President Obama's first term. 'If they tried to use one of their safeguarded plants it would be detected in a matter of weeks. It's much safer for them to do it secretly. Once they have built a couple of nuclear weapons they would be in a position to test one to show the world and there is not much we can do about it.' Samore said he still has faith in America's ability to detect secret Iranian activities. But he also said it was no guarantee. 'We detected both Natanz and Qom before they were completed. Whatever magic we are using, it's still available to us. It's not 100 percent guaranteed, of course not,'" he said. http://t.uani.com/19S8AWc

Suzanne Maloney in Brookings: "In a recent presentation at the Institute for National Security Studies in Tel Aviv, my colleague Brookings Senior Fellow Robert Einhorn outlined the requirements for an acceptable, negotiated solution to the Iran nuclear issue, including a strictly limited uranium enrichment program and a rigorous monitoring system.  Einhorn argues that while such a solution may not be ideal, but makes a compelling case that a diplomatic resolution that incorporates significant transparency, verification, and constraints on the possibilities of an Iranian nuclear breakout offers a significantly better outcome than alternative means of dealing with the issue, particularly the use of military force and active efforts to promote regime change. Until his departure from the Obama Administration in June, Einhorn played a central role in U.S. policy toward Tehran in his role as Secretary of State's Special Advisor for Nonproliferation and Arms Control. He participated in each of the negotiations between Iran and the P5+1 from 2009 to mid-2013, and he helped craft the sanctions strategy and spearhead the diplomacy that generated the first serious multilateral pressure on Iran. I'd urge all those who are interested in a detailed discussion of the possible scope of a nuclear deal with Iran, and the relative merits of such a deal in comparison to other U.S. policy options, to read the speech in full here. I want to highlight a few of the most important points that Einhorn makes in this speech, which offers both a broad view of U.S. diplomacy and a very specific proposition for the scope of a nuclear agreement. The best mechanism for preventing Iran from acquiring nuclear weapons capability would entail a permanent ban on enrichment in Iran, as well as a ban on retaining stockpiles of enriched uranium stocks and the dismantlement of the Fordow enrichment facility and the Arak reactor. Einhorn argues that such a 'perfect' deal is almost surely unattainable, simply because Tehran has demonstrated its unwillingness to accept terms that its leadership considers 'tantamount to surrender.' ... Einhorn does the world a real service in his speech by fleshing out the components of a nuclear deal with Iran, which he describes as a structured set of arrangements intended to prevent an Iranian nuclear breakout. He envisions a two-step framework, with simultaneous agreement on interim measures and the central components of a more wide-ranging final deal. As with the P5+1 proposal presented to Iran in Almaty last year, the interim steps are intended to build confidence and political space for hammering out the ultimate agreement. In Einhorn's framework, however, the interim steps are significantly expanded, and there would be an integral relationship between the two phases, in the sense that each of the preliminary confidence-building measures would help lock Tehran into the final, more ambitious set of required actions. The Einhorn plan includes interim measures such as: cessation of production of 19.75 percent enriched uranium; measures to address existing stocks of 19.75 percent enriched uranium; measures to address concerns about the Fordow enrichment facility; no start-up of the Arak heavy water reactor; no installation of additional IR2m centrifuges and no enrichment via currently installed IR2ms; no installation any additional P1 centrifuges; and measures to address the threat posed by stockpiles of 3.5 percent enriched uranium. In describing his vision of a final deal, Einhorn tackles one of the most central dilemmas for Washington and its partners since the initial revelations of Iran's then-clandestine nuclear program more than a decade ago, namely - how to handle Iran's dogged insistence on retaining uranium enrichment capabilities? Einhorn acknowledges what no senior U.S. official has been willing to say on the record to date: that we are now almost surely beyond the point of rolling back Iranian enrichment. In his INSS speech, he notes that 'I think this is a genuine red line for the Iranians. If there is to be an agreement, I believe it will inevitably provide for a domestic enrichment program in Iran.' Instead of an end or a long-term suspension of enrichment, Einhorn outlines an array of alternative mechanisms for limiting Iran's breakout capability - in other words, the ability for the Iranian government, under the cover of a civilian enrichment program, to race toward weapons capability more quickly than the world could act to forestall this. The final agreement measures Einhorn proposes to provide this assurance include: intensified monitoring and inspection that incorporates the Additional Protocol to the NPT and goes well beyond, including technical and/or human oversight on a daily basis; additional monitoring and inspection measures on Iran's uranium mines and mills; its centrifuge production and assembly facilities; and its trade in uranium and sensitive dual-use goods; limits on Iran's enrichment capacity and its stockpiles of enriched uranium and uranium hexafluoride, at a scale and level of purity substantially below current capabilities; dismantling the Fordow enrichment facility or converting it to prevent production of weapons-grade uranium; and dismantling, converting or otherwise neutralizing the Arak heavy water reactor. Einhorn finally suggests bolstering the credibility of such a final deal with a United Nations Security Council resolution committing the international community to a robust response to any Iranian non-compliance of the terms." http://t.uani.com/Huv855

Zalmay Khalilzad in The National Interest: "Favorable rhetoric notwithstanding, the deal that Tehran is pursuing would not satisfy U.S. concerns. Without becoming an official nuclear state, Iran seeks the capability to produce a large number of nuclear weapons within a short time period. In his outreach to U.S. policy experts in New York, Rouhani affirmed that the fuel needs of its civilian nuclear-power plants should determine the size of Iran's enrichment capability. Nor has the regime agreed to ship enriched nuclear fuel to Russia. Iran claims a right to industrial production of enriched uranium as well as a stockpile of partially enriched material-in effect, an industrial-level enrichment capability that could cloak the development of enough enriched material for a nuclear arsenal. Allowing Tehran to maintain a stockpile of low and medium-enriched uranium would limit the warning time that the international community would have in responding to an Iranian breakout. According to IAEA estimates, Iran, as of mid-August, was maintaining a stockpile of 6,774 kg of low-enriched uranium gas, 186 kg of medium-enriched uranium gas, and the equivalent of 187 kg of medium-enriched uranium gas held in oxide form. Still, the prospect for a more reasonable agreement, however small, warrants negotiations on two tracks. The immediate challenge is to ensure that Iran does not enhance its nuclear capabilities during the negotiating period. Washington should stick with the current sanctions policy unless inspectors can verify that Tehran has frozen the nuclear program. A verified freeze could open the door to a deal that addresses three core issues: Iran's enrichment of uranium, the heavy water plant at Arak, and Iran's acceptance of a verification regime. Given Iran's violations of the Nuclear Nonproliferation Treaty and various UN Security Council resolutions, any comprehensive deal should ideally force Tehran to cease all enrichment." http://t.uani.com/1itORxL

Eye on Iran is a periodic news summary from United Against Nuclear Iran (UANI) a program of the American Coalition Against Nuclear Iran, Inc., a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code. Eye on Iran is not intended as a comprehensive media clips summary but rather a selection of media elements with discreet analysis in a PDA friendly format. For more information please email Press@UnitedAgainstNuclearIran.com

United Against Nuclear Iran (UANI) is a non-partisan, broad-based coalition that is united in a commitment to prevent Iran from fulfilling its ambition to become a regional super-power possessing nuclear weapons.  UANI is an issue-based coalition in which each coalition member will have its own interests as well as the collective goal of advancing an Iran free of nuclear weapons.

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