Times 2

EU states consider delay on any Iran oil ban

BRUSSELS, Jan 7 (Reuters) - A European Union embargo on Iranian crude oil imports could take a few months to start because some EU capitals want a delay they say they need to shield their debt-stricken economies, diplomats said.

EU states have agreed in principle to an embargo on Iranian oil, part of the latest Western effort to ratchet up pressure on Tehran over its nuclear programme. Details of how the ban would be imposed are being discussed in Brussels, with the goal of a final decision by month's end.

Diplomats said EU countries have proposed “grace periods” on existing contracts of between one month and 12 months. Greece, which depends heavily on Iranian crude, is pushing for the longest delay, the diplomats said. Britain, France, the Netherlands and Germany wanted a maximum grace period of three months.“There is a range of ideas from one month to one year with countries who are more dependent on Iranian oil pushing for more time,” one EU diplomat said, speaking on condition of anonymity.

European measures against Iran's oil industry will complement U.S. sanctions announced on New Year's Eve that aim to make it impossible for most countries' refineries to buy Iranian crude.Iran is the second-largest producer of oil, after Saudi Arabia, among the 12 countries in OPEC, producing around 3.5 million barrels per day.

As tensions between Iran and Western governments mount, several EU governments have argued that economic considerations ought to play a role in EU sanctions at a time when Europe faces a debt crisis and deep fiscal austerity.

EU countries buy about 500,000 barrels per day (bpd) of Iran's 2.6 million bpd in exports, making the bloc collectively the largest market for Iranian crude, rivalling China.

US Navy rescues Iranians held by pirates

WASHINGTON, Jan 7 (Reuters) - The same U.S. aircraft carrier group that Iran warned not to return to the Gulf has rescued 13 Iranians held hostage for weeks by pirates in the Arabian Sea, the Pentagon said.
The rescue operation took place on Thursday, when forces with the USS John C. Stennis carrier strike group received a distress call from the master of the Al Molai, an Iranian-flagged fishing vessel, who said he was being held captive by pirates.

The U.S. forces also detected a suspected pirate skiff alongside the Al Molai. The pirates had apparently been using the vessel as a “mother ship” to conduct operations. “The Al Molai had been taken over by pirates for roughly the last 40-45 days,” Josh Schminky, a Navy criminal investigative service agent aboard the guided-missile destroyer USS Kidd, said in a statement.

“They were held hostage, with limited rations, and we believe were forced against their will to assist the pirates with other piracy operations,” he said. At the Pentagon, spokesman Captain John Kirby said the crew of 15 pirates, all believed to be Somalis, were now being detained aboard the Stennis.

The United States does not have formal diplomatic relations with Tehran, and the State Department said there had been no official communication with Iran about the rescue, which it described as a “humanitarian gesture.” State Department spokeswoman Victoria Nuland told a news briefing that the United States was reviewing options for prosecuting the pirates.

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