Europe Braces For End Of Iran Nuclear Deal

Authored by Damir Kaletovic vias OilPrice.com,

Europe is scrambling to come up with a contingency plan in the face of a U.S. threat to end the nuclear deal with Iran - a move that lends a high level of uncertainty to European megadeals, including French Total SA’s $5-billion oil deal with Tehran.

At stake if Trump refuses to certify Tehran’s compliance with the nuclear accord on 15 October and sanctions are re-imposed are deals with European companies worth over $55 billion in total, according to figures from the Financial Times.

If Trump refuses certification on 15 October, Congress would then have 60 days to make a decision on new sanctions, giving Europe two months tome come up with a contingency plan. 

Right now, there isn’t one.

“People in Brussels are looking at whether blocking statutes need to be upgraded or updated,” David O’Sullivan, EU ambassador to the US, told the Financial Times on Thursday.

 

“There’s no definitive plan yet. But if the US were to do something which impinged on the ability of Europeans to do what we could consider legitimate business with Iran, this is something we would like to look at.”

Earlier in October, the French oil giant shrugged off the US sanctions threat, with Total CEO Patrick Pouyanne telling media,

“We knew when we signed that it will not be an easy road. But I prefer to have a problem to solve and to have the opportunity rather than having not signed [and] no opportunities.”

Total signed its deal with Iran in July, making recent history. This was the first deal Iran signed with a foreign energy company since sanctions were lifted in January 2016.

The $4.8-billion deal is to develop Iran’s prolific South Pars natural gas field—the largest gas field in the world, shared with Qatar. Total would lead the consortium.

Iran was the European Union’s top trading partner before sanctions were slapped on Tehran in 2010.

Since sanctions were lifted, trade has still been hampered due to some U.S. financial sanctions that make Western banking institutions still wary of doing business with Iran.

Europe’s options are limited as it seeks a contingency plan. According to analysts interviewed by the Financial Times, one option could be an effort to block legislation related to a new imposition of sanctions by the US, but this would be a complicated “by the international reach of U.S. laws on financial transactions”. 

Trump is expected to have a decision on the nuclear deal this afternoon.

Comments

gilhgvc Oct 13, 2017 11:38 AM Permalink

and so the truth is slowly revealed (like we didn't know) that it is ALWAYS about someone making money, regardless if millions die someday

RagaMuffin Oct 13, 2017 11:41 AM Permalink

The cost of  the Russia sanctions and Iran sanctions to Europe are getting to  a point where the EU is probably considering charging the US military rent for all those bases..........

Matteo S. Salsa Verde Oct 14, 2017 11:05 AM Permalink

You basically know nothing about Europe.

First point to know is that Europe has about the same meaning as Americas.

Second point : there are countries in Europe who have a decent defense budget, that is U.K. and France. And most other european countries are vassals of the US or neutral countries. So basically yes, these other countries have low defense budgets but it is because they are Washington vassals. So the US just has to set these european countries free again and the US then will no longer have to pay the price of its own warmongering hegemony over European countries.

Third point : european countries don't need to spend more on their military defense. They don't need to wage war all over the planet and their budgets are enough to defend themselves.

Foirth point : the so-called insufficiency of Europe's military budgets is a neocon manipulation to embark Europe in a military buildup against Russia and China while Russia just wants to do business with Europe. So does China.

Last point : the US should learn doing something else than overspending in its military, and cause tensions, wars and chaos all over the planet.

In reply to by Salsa Verde

TRM Easyp Oct 13, 2017 12:11 PM Permalink

But does Europe have the balls to do that? They've become nothing more than lapdogs for the USA and have shown a willingness to "follow orders" even when it clearly hurts their own countries and people. Talking about Europe like it is actually independent of the USA is just not accurate. I hope you are correct but I fear there is no Europe anymore. Just another set of vassal states.

In reply to by Easyp

rwe2late TRM Oct 13, 2017 12:27 PM Permalink

as though USA policies are different within the USA:even when it clearly hurts their own countries and people.The same international cabal rules both Europe and the USAto the detriment of countries and people globally.The EU leadership is not so much in vassalage to the US leadership,but is instead in league with the US leadership.

In reply to by TRM

el buitre Easyp Oct 14, 2017 10:50 PM Permalink

Why the big deal? The five plus one becomes the four plus one.  The remaining parties should just turn to the USA and say, "don't let the door hit you in the ass on the way out," and get back to the business of being economically productive.  If Exceptionalstan, now becoming Inconsequentialstan,  passes new sanctions, simply ignore them  without giving even the dignity of a comment or a complaint.  Let the USA take its baseball and run home in a pout.

In reply to by Easyp

cheech_wizard Oct 13, 2017 12:17 PM Permalink

I wonder if Trump is channeling Victoria Nuland... or a more insidious thought, Trump's brain has been taken over by Victoria Nuland."Fuck the EU""Here, take a cookie. I promise, by the time you're done eating it, you'll feel right as rain." 

HominyTwin Oct 13, 2017 12:20 PM Permalink

Well, since Europe is led by a known CIA-asset, Merkel, then Europe will not do anything except whimper. Hahaha. The only way to deal with the brutal sodomy is to pretend it ain't so bad. Embrace the suck Europe! I guess since you killed your best and bravest in two world wars, you will just have to enjoy being the 'wife' of a drunken, sadistic lout.

Brazen Heist Oct 13, 2017 12:52 PM Permalink

Israel and America deserve to burn for all their war crimes, and now, for flouting international agreements. These fuckers need to be put in their place. They have gone totally rogue.If they think they can tear up agreements just because they feel like it, fuck em. I do not pity them for one bit, when the blowback comes.

Anteater Joe Mama 3 Oct 13, 2017 2:31 PM Permalink

Netanyahu, Mr Cheese Head, was only re-elected by 28% of the vote,the same supra-minority as former Soviet Khazars who fled to Israelin 1990, and then on to WADC-NYC. Israelis are horrified captives, likeAmericans now under the Trump:Kushner Jesuit:Khazar Axis of Oilvil.Horrified but helpless, as Trump loots the $100Bs they paid into O'Careand diverts it into the mysterious bleedout breach at Pentagon, the $54Bgone MIA in 2017, over $8,000B lost without a trace, as the funding gapwidens, and all the Kings horses and all the Kings men can't audit them.Iran and DPRK is a shiney object distraction from the massive Pentagonbleedout, with no accounting, no cyber security, no stop-loss in place.Pentagon Payroll & Procurement have absolutely no idea where $100Bsare disappearing to, after they were hacked by Israel in 2012 and 2013.First Trump will loot O'Care, then MedicAid then MediCare...then our SS.For what!? For Freedom and Democracy? No, because quietly looting isbetter than admitting our 'Defense' (sic) agency has a massive bleedout.Sad.

In reply to by Joe Mama 3

Krugg Oct 13, 2017 1:17 PM Permalink

The US is using too much stick and no carrot. Our Puppets aren't tottally helpless and if we push too hard, which we are.  With the Saudis moving away from our ciricle, we won't have the clout we think we have.  When push comes to shove the EU is in dire straits in it's own right. They'll end up choosing to use the euro rather than our dollar.  I guess that's why we're beating the war drums so hard, it's shit or get off the pot time.  Every option on the planet looks better than dealing with the US.  Unless we blow up every other option.  This isn't going to end well.

haruspicio Oct 13, 2017 10:51 PM Permalink

Just shows what a poor deal it was for the Euros to sell themselves as vassals to the US. They should pull out of NATO as a riposte and close US bases in the EU.

el buitre Oct 14, 2017 10:35 PM Permalink

but this would be a complicated “by the international reach of U.S. laws on financial transactions”. Laws! We don't need no steeenken laws!  At least the author had the decency to put it in quotes so he didn't appear as a complete morooon.However, with the details he gave on Total and Iran, it slipped his mind to mention what happened to Total's last CEO who was talking with Iran prior to the end of the sanctions.  For those who forgot, he wound up dead in a very, very freak accident on a Moscow runway collision in his private jet with a snowblower. He made Guiness as the first CEO to die in a collision of a Lear jet with a snowblower.As to "international reach of U.S. laws on financial transactions," that's simple enough.  Run the fucking money through CIPS you fucking Euro Pussies.  Or are you too busy letting the muzzie invaders rape your daughters (and sons)?  At least Iran has something to sell besides second class missiles, fighters that run out of oxygen and crash, and worthless electrons stamped by the Treasury.