Washington: The United States has said that foreign companies should think twice about striking deals with Iran, after a German company announced that it is in talks to buy liquid natural gas from Tehran.
The warning comes as western countries discuss tightening sanctions against Tehran and despite calls from the US for Europe, and particularly Germany, to diversify its supply of gas to stem Russia's growing monopoly in the market.
Utility E.On AG, Germany's largest natural gas importer on Tuesday confirmed the talks with Tehran.
"We applaud the company's focus on diversifying its supply of gas to help guarantee reliable supplies," State Department spokesman Sean McCormack said today. "However, we are a little surprised by the selection."
McCormack added that the United States doubted whether Iran would be a reliable supplier. He said that companies should consider Iran's defiance of the international community's demands that it suspend uranium enrichment activities before making any deals and should weigh ongoing talks to tighten sanctions.
"We are in a time now where it should not be business as usual in terms of exchanges, business exchanges with Iran," McCormack said. "I'm not saying that we are trying to cut off business exchanges with Iran, but companies need to look closely at what their interactions are and with whom they are dealing."
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