Wednesday, December 4, 2013

Eye on Iran: Iran Accord in Geneva Followed by New Violence, New Diplomacy for Mideast







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WashPost:
"A surge of diplomacy and an outburst of violence in the days since world powers reached a deal with Iran illustrate both the promise and the peril of what could be the start of a more peaceful era in the Middle East - or the beginning of a new round of bloodletting... At the same time, however, a sharp uptick in violence along some of the region's most pronounced sectarian fault lines, including the beheading of three Hezbollah members by al-Qaeda-linked rebels in Syria and a revival of apparent death-squad activity in Iraq, points to the risks inherent in the realignment that is underway. Although the threat of a war involving Israel and Iran and drawing in the United States has abated for now, many fear that the rapprochement is just as likely to exacerbate existing conflicts as it is to heal them, by putting U.S. allegiance into play and raising the stakes in the long-standing struggle for influence between Shiite Iran and Sunni Arab states. 'There will be small wars,' predicted Mohammed Obeid, a Beirut-¬based analyst who is close to Iranian-backed Hezbollah and familiar with the thinking of its leaders. 'There won't be a big war, but there will be more small wars, and they will intensify.'" http://t.uani.com/1bIazQr

National Journal: "House Majority Leader Eric Cantor is attempting to organize a bipartisan coalition to draft a bill that would narrowly define what is, and is not, acceptable in any final nuclear deal with Iran, National Journal has learned. Cantor, the No. 2 House Republican and the highest-ranking Jewish member of Congress, informed House Republicans of his plan at Tuesday morning's conference meeting, according to sources in the room. 'I for one am really upset with that interim deal,' Cantor said, according to those who were there, adding: 'We can go ahead and criticize it, but ... we should be focused on what that final deal looks like.' Cantor told his GOP colleagues that he's working with House Foreign Affairs Committee Chairman Ed Royce, R-Calif., to find lawmakers in both parties to support legislation that would 'speak volumes' about congressional expectations for an agreement. Republican aides say Cantor's effort represents the beginning of what they predict will be a bipartisan push to 'put in writing' exactly what Congress expects in any final deal on Iran's nuclear program." http://t.uani.com/1cWj3QE

WSJ: "Iran wants U.S. companies such as Chevron Corp. and ConocoPhillips to develop its oil and gas fields, the country's oil minister said Wednesday, signaling the Islamic Republic's readiness to court American business interests amid a thaw in relations with the West... Speaking to reporters ahead of a meeting of the Organization of the Petroleum Exporting Countries, Iran's oil minister, Bijan Zanganeh, said, 'We have no limitations for U.S. companies.' Asked who he would like to see return or enter Iran, he named European giants Total SA, Royal Dutch Shell PLC, Eni SpA, Statoil ASA and BP PLC. But he also named 'ConocoPhillips, Chevron.' 'I am talking to some of them,' he said, without saying which. In the 1990s, ConocoPhillips and Chevron tried to enter Iranian oil projects but their efforts were scuttled when Washington banned such investments for American companies. Many European companies, such as Total and Shell, did move in before being forced to completely pull out when the European Union forbid their presence in 2010." http://t.uani.com/1cb0t5j
 
Nuclear Negotiations

Free Beacon: "The White House is currently examining ways to enable Iran to have its own 'domestic' uranium enrichment program, according to a senior Obama administration official. As the details of a six month interim nuclear deal between Iran and Western nations are hashed out, the White House is exploring the practicality of permitting Iran to continue certain enrichment activities, an issue that Iranian officials have described as a 'redline.' 'Over the next six months, we will explore, in practical terms, whether and how Iran might end up with a limited, tightly constrained, and intensively monitored civilian nuclear program, including domestic enrichment,' White House National Security Council (NSC) spokesman Caitlin Hayden told the Washington Free Beacon. 'Any such program,' she said, 'would be subject to strict and verifiable curbs on its capacity and stockpiles of enriched uranium for a significant number of years and tied to practical energy needs that will remain minimal for years to come.'" http://t.uani.com/1k6wpvX

Sanctions

FT: "Iran has threatened to trigger a price war in the global oil markets, warning Opec members that it will increase output even if crude prices tumble to $20 a barrel. The oil production cartel, which is meeting in Vienna today, is set to keep its production target unchanged... In spite of the apparent consensus, this week's meeting has seen aggressive jockeying for internal position within the cartel. Speaking to Iranian journalists in Farsi minutes before ministers went into a closed-door meeting, Bijan Zangeneh, Iran's oil minister, said: 'Under any circumstances we will reach 4m b/d even if the price of oil falls to $20 per barrel.' 'We will not give up our rights on this issue,' Mr Zangeneh added, suggesting Opec would be able to accommodate rising Iranian production to keep prices high... Buoyed by an interim agreement on its nuclear programme ten days ago, Iran said it would raise production from around 2.8m b/d today to 4m b/d next year. Iraq, meanwhile, has also said it plans to increase production by 1m b/d next year to 4mb/d. That would put pressure on prices, and push the cartel to respond by reining in production from other members, although both countries face significant challenges in meeting their ambitious targets." http://t.uani.com/1gEdj0m

Reuters: "Iran's draft budget estimates oil exports at around 1.1 million barrels per day (bpd), oil ministry website Shana said on Tuesday, indicating Tehran sees no major recovery in sales next year despite improving relations with the West... President Hassan Rouhani is to present the draft budget for the next Iranian year - beginning March 21 - to parliament on Wednesday. Based on the open market exchange rate of around 29,500 rials to the dollar, it puts total annual government expenditure at just $64 billion (38 billion pounds) or $77 billion at the official exchange rate. Rouhani's austere budget assumes an average oil price of $100 per barrel, about $10 below current prices for benchmark Brent crude, and forecasts 300,000 bpd in sales of gas condensate, a light oil." http://t.uani.com/1bh9LM6

Reuters: "Iran may sell oil from its floating storage after a recent deal with western powers provided some relief to the Islamic nation, International Energy Agency (IEA) head Maria van der Hoeven said at a gas conference in New Delhi on Wednesday... 'In late October we saw they had around 37 million barrels (oil) in floating storage. I can imagine that Iran would like to get rid of them,' van der Hoeven said." http://t.uani.com/19gSyCJ

Reuters: "An obscure Indian bank has been an unlikely beneficiary of Western sanctions against Iran, handling billions of dollars from frozen oil payments that boosted its interest margins, but is now having to prepare itself for life after the windfall. UCO Bank, a Kolkata-based state lender that had been among India's poorer performers, saw revenue and profits surge after it was picked in 2012 to hold rupees for oil payments to Iran, a pile that has grown to more than $3 billion... 'The Iran business was a shot in the arm for us,' UCO Chairman Arun Kaul told Reuters. 'Still, scope for improvement is very large. We had become a marginal player in the banking industry, we are coming back now.'" http://t.uani.com/1g6i0mb

Syria Conflict

Reuters: "A Hezbollah commander who fought in Syria's civil war was shot dead outside his home in Lebanon on Wednesday in an attack which the militant Shi'ite group blamed on Israel. Israel denied any role in the killing of Hassan al-Laqqis, who was shot from close range by a silenced gun as he arrived home at around midnight in the Hadath district of Beirut, a source close to Hezbollah said... A previously unknown group, Ahrar al-Sunna Baalbek brigade, claimed responsibility for the attack in a message on Twitter. The claim could not be verified but the name of the purported group suggested Lebanese Sunni Muslim connections... Hezbollah described Laqqis, who will be buried in Baalbek in the Bekaa Valley later in the day, as 'one of the leaders of the Islamic resistance' against Israel who had been frequently targeted by the Jewish state... Israel would 'bear full responsibility and all the consequences for this heinous crime', it said." http://t.uani.com/1gEdLvG

BBC: "The head of the Lebanese Shia militant group Hezbollah has said Saudi Arabia was behind last month's bombings outside the Iranian embassy in Beirut. Hassan Nasrallah told Lebanon's OTV television the attack was linked to the Saudi intelligence services. The Sunni jihadist group Abdullah Azzam Brigades said it was behind the double suicide bombing which killed 25 people... In the interview, Hassan Nasrallah said the Abdullah Azzam Brigades, the al-Qaeda-linked group, 'has an emir and he is Saudi'. He said he believed that the group was 'linked to the Saudi intelligence services.'" http://t.uani.com/1eVM0y8

Human Rights

Reuters: "An Iranian-American pastor imprisoned in Iran for more than a year because of his Christian faith is in declining health for lack of proper nutrition and necessary medication, a group seeking his release said on Tuesday. An Iranian court in January sentenced Saeed Abedini, 33, a naturalized U.S. citizen, to eight years in prison for undermining national security by working to establish home-based Christian churches in Iran from 2000 to 2005. The Washington-based American Center for Law and Justice, which has petitioned Congress and President Barack Obama to seek Abedini's release, said on Tuesday that the pastor's father was allowed to visit him on Monday for the second time since he was moved a month ago to a prison that houses violent offenders. 'It's a worsening situation,' said Gene Kapp, spokesman for the center. 'His father reported that he has visibly lost weight, he is covered from head to toe with lice because of lack of basic hygiene and he has been refused medicine for internal injuries he suffered at the beginning of his incarceration.'" http://t.uani.com/IN70MO

Domestic Politics

Bloomberg: "Iran's central bank can help to cut the country's 40 percent inflation rate in half by withdrawing from projects it funded under former President Mahmoud Ahmadinejad, a top bank official said. Ahmadinejad, having pledged to improve the lives of poor Iranians, asked the central bank to help fund cheap housing projects and make cash payments to citizens after energy and food subsidies were halted in 2010, triggering price rises. The Central Bank of Iran 'entered into areas and undertook roles it shouldn't have,' Farhad Nili, director of the bank's Monetary and Banking Research Institute, said in an interview in his Tehran office. About half of Iran's inflation is due to the bank's involvement in Ahmadinejad-ordered projects, Nili said. The central bank 'should not commit any longer when it comes to housing and budget matters,' he said. 'It should say, 'I'm removing my balance sheet from your hands.'" http://t.uani.com/1caZDFM

Reuters: "Former Iranian President Mahmoud Ahmadinejad on Tuesday invited his successor Hassan Rouhani to debate 'baseless and unfair' accusations that he is largely responsible for Iran's economic ills. During a televised speech to mark his first 100 days in office last week, Rouhani said Ahmadinejad's profligacy and mismanagement were as much to blame for inflation and currency devaluation as international sanctions. He said his government had inherited some $67 billion dollars of debt from Ahmadinejad, even though Iran raked in $600 billion in oil revenue during his eight-year tenure. Writing to Rouhani, Ahmadinejad, who left office in August, said he had decided to respond to what he called factually incorrect comments that could lead to 'misguided' decision-making. 'I found it necessary to invite your excellency to... clear up ambiguities and subject the facts to scrutiny in a friendly atmosphere and frank debate,' Ahmadinejad wrote in the letter, a copy of which was published by Mehr news agency." http://t.uani.com/19gSp2e

Foreign Affairs

AP: "Iran pressed on with a charm offensive in the Gulf on Wednesday, as Tehran's top diplomat headed to the United Arab Emirates for talks with the nation's leader in his latest visit to the Islamic Republic's Arab neighbors. Iran has a strained relationship with the U.S.-allied Gulf states, particularly regional rival Saudi Arabia. The Islamic Republic's new government, led by moderate President Hassan Rouhani, has promised to work to improve ties with nearby Arab countries." http://t.uani.com/1bfWWVR

AP: "Iraq's prime minister has arrived in Iran's capital for a three-day visit that will focus on the civil war in Syria and bilateral ties. Iranian state television says Nouri al-Maliki will hold talks with Iran's top leader Ayatollah Ali Khamenei, President Hassan Rouhani and others during his trip, which began Wednesday. It is Maliki's first trip to Iran since Rouhani came into office in August." http://t.uani.com/19gRONT
Opinion & Analysis

James Rosen in Fox News: "Before he paused to allow reporters to ask questions about the nuclear deal with Iran that he had just announced in Geneva, Secretary of State John Kerry seemed to anticipate one line of criticism about the accord -- that it effectively cedes to the Islamic regime the right to enrich uranium, despite half a dozen U.N. Security Council resolutions declaring the activity illegal. And he moved, preemptively, to address it. 'In 2003, when the Iranians made an offer to the former administration with respect to their nuclear program, there were 164 centrifuges,' Kerry said in a news conference held in the early hours of Nov. 24. 'That offer was not taken. Subsequently, sanctions came in, and today there are 19,000 centrifuges and growing.' In essence, the secretary of State was suggesting the staggering number of centrifuges that Iran now has effectively forced the hand of the P5+1 negotiators at the talks, making the placement of restrictions on Iran's nuclear program the only realistic prospect the negotiators could pursue. Kerry also suggested that had only President George W. Bush done the right thing a decade ago, the United States and its allies in the P5+1 -- Britain, France, Germany, China and Russia -- wouldn't have found themselves in such a precarious negotiating posture. Yet a Fox News review of reports by the International Atomic Energy Agency (IAEA) and analyses prepared by leading research institutions -- including the Arms Control Association, the Center for Strategic and International Studies, and the Federation of American Scientists -- shows that the vast majority of Iran's enrichment capability came online during the Obama administration. It is known that by late 2007, Iran possessed about 3,000 centrifuges. Over the course of Bush's final 12 to 15 months in the White House, it can be assumed safely that Iran added to, but probably did not fully double, the number of centrifuges it had installed. A fair estimate would accordingly place the number of the spinning machines that Iran had on hand at the beginning of 2009 at 5,000. This would mean that roughly 25 percent of the regime's current total of centrifuges had been installed when the Bush-Cheney era ended. Put another way: Roughly 74 percent of the centrifuges Iran now has on hand were installed since the Obama-Biden team assumed office. Analysts say 10,000 of the total are actively enriching uranium to low levels, inconsistent with nuclear weapons production but well suited to the task should a decision be made to pursue that goal... Kerry's concise history of the Iranian nuclear program, which encompassed only the years 2003 and 2013, naturally omitted quite a lot. Determining exactly when the regime crossed a given technical threshold can be difficult, given the opacity of the government and the complex of commercial, military, and scientific institutions that have contributed to the program over the last two decades. The secretary plans to testify before Congress on Iran, for the first time since the deal was announced, in a House Foreign Affairs Committee hearing on Dec. 10 -- an opportunity to provide more clarity." http://t.uani.com/INb0gf


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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