New Jersey HeraldAP News in Brief at 8:58 pm EDT
22.05.12
Obama: Global oil supply OK to move on sanctions on Iran; pressure on US allies to respond
WASHINGTON (AP) - President Barack Obama said Friday he was plowing ahead with potential sanctions against countries that keep buying oil from Iran, including allies of the United States, in a deepening campaign to starve Iran of money for its disputed nuclear program.
The world oil market is tight but deep enough to keep the squeeze on Iran, Obama ruled.
The sanctions aim to further isolate Iran's central bank, which processes nearly all of the Iran's oil purchases, from the global economy. Obama's move clears the way for the U.S. to penalize foreign financial institutions that do oil business with Iran by barring them from having a U.S.-based affiliate or doing business here.
Obama's goal is to tighten the pressure on Iran, not allies, and already the administration exempted 10 European Union countries and Japan from the threat of sanctions because they cut their oil purchases from Iran. Other nations have about three months to significantly reduce such imports before sanctions would kick in.
Source: New Jersey Herald