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Japan may lose oil contract in Iran: report
www.chinaview.cn 2003-09-19 10:09:32

  TOKYO, Sept. 19 (Xinhuanet) -- The Iranian government may exclude Japan from bidding for an oil field due to its stance on Iran's nuclear program, a major Japanese newspaper reported Friday.

  Iran has invited companies from other countries to compete for the contract of tapping the rich Azadegan oil field, the Yomiuri Shimbun quoted oil sources as saying.

  Tehran intends to continue separate talks on the project with Tokyo, but to exclude Japanese companies from the bidding, said the daily.

  A Japanese consortium consisting of Inpex Corp., Japan Petroleum Exploration Co. and Tomen Corp. obtained preferential rights on the project following the visit of Iranian President Mohammad Khatami in November, 2000.

  But the United States, Japan's most important ally, has accused Iran of developing nuclear weapons and urged Japan to restrain from the project.

  The Japanese government has been trying to strike a balance between abundant oil supply and crucial relations with the United States. But the latter prevailed as Japan has echoed US requirement for Iran to accept thorough inspections of the International Atomic Energy Agency (IAEA).

  Tehran's message came just several days after the IAEA set lastFriday an Oct. 31 deadline for Iran prove it had no secret atomic weapons program. Japan is one of the sponsors of the resolution.

  The Azadegan field, in southwest Iran, is considered to be Iran's largest oil field with an estimated reserve of 26 billion barrels. The Japanese consortium plans to invest about 2 billion US dollars. Enditem

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