Wednesday, December 28, 2011

Iran Threatens To Block Key Oil Route

Iran threatened Tuesday to shut down the Strait of Hormuz and block oil exports if the West imposes sanctions on its oil shipments.

The official Iranian news agency also quoted Vice President Mohamed Reza Rahimi as saying Iran doesn't want hostilities. Rahimi has no major role in Iran's foreign or military policy.

In Washington, U.S. State Department spokesman Mark Toner called the threat "bluster." He said it was "another attempt by them to distract attention from the real issue, which is their continued noncompliance with international nuclear obligations."

The West is considering limiting Iran's oil trade over its disputed nuclear program. Some 80 percent of Iran's foreign revenue comes from oil exports.

The Strait of Hormuz accounts for about 40 percent of the world's oil supply; closing it would have immense economic impact worldwide.

Source: http://www.npr.org/stations/force/force_localization.php?station=KQED&url=http://www.npr.org/2011/12/27/144339679/iran-threatens-to-block-key-oil-route?ft=1&f=1001

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