Iran warns against "adventurism" in global oil market

Jan 18, 2012, 10:41 GMT

Tehran - Iran's representative to the Organization of Petroleum Exporting Countries (OPEC) has warned of the economic consequences for the European Union if an oil embargo is imposed on Tehran, the Fars news agency reported Wednesday.

'The US and some European countries should avoid adventurism in the world's oil market as any sanctions against Iran's energy sector will make the EU plunge deeper into recession,' Mohammad Ali Khatibi, Iran's OPEC governor was quoted as saying.

The EU is to meet on Monday to decide whether to impose the embargo in response to Tehran's uncompromising stance in the dispute over its nuclear programme.

Almost 30 per cent of the 2.6 million barrels of oil that Iran exports daily goes European countries such as France, Germany, Greece and Spain, according to Fars.

Khatibi had earlier described oil sanctions on Iran as 'economic suicide for EU member states.'

The Foreign Ministry has also called on the EU to reconsider.

'If the EU is serious about its claim to be independent, then it should focus on its national interests and not give in to political pressure by the US,' a spokesman for the ministry, Ramin Mehmanparast, said.

'Such sanctions would be both illegal and illogical but what we see so far is some EU member states are not ready to deprive (themselves) of Iranian oil,' he said.

Oil sanctions against Tehran, especially if other countries such as India, Japan and Korea joined the US and EU sanctions, would have a grave impact on Iran's economy, which relies largely on oil revenue.

Tehran has warned Arab countries to refrain from stepping in to supply oil to the EU in the event of sanctions against Iran. Foreign Minister Ali-Akbar Salehi on Monday said if Saudi Arabia were to do this, Iran would consider it an 'unfriendly act' and the impact on ties would be negative.

The EU has indicated it plans to turn to countries such as Saudi Arabia to make up the shortfall.

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