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Rouhani Writes to Russian Counterpart ‘Saudi Raid Aimed at Weakening Awakening’ TEHRAN (Press TV) -- President Hassan Rouhani on Friday called for expansion of ties between Tehran and Moscow, stressing the need for the promotion of bilateral and multilateral cooperation in various fields. Rouhani made the comments in a message to his Russian counterpart Vladimir Putin on the occasion of Russia Day. “I believe the current situation in the region and the world has necessitated all-out cooperation between the Islamic Republic of Iran and the Russian Federation all the more,” said President Rouhani. TEHRAN (Press TV) -- The Iranian interior minister has described the Saudi military aggression against Yemen as impetuous and part of a campaign by the U.S. and its allies to undermine the Islamic Awakening in the region. “Their last ploy was the blind military attack on the oppressed and defenseless Yemeni people,” said Abdolreza Rahmani-Fazli in a meeting with Syrian Ambassador to Tehran Adnan Mahmoud. RahmaniFazli also lashed out at the reactionary regimes in the region, saying their support for extremist groups, including ISIL, has led to terrorism spreading in the region like “plague”. VOL NO: LV 9779 TEHRAN / Est.1959 2 Viewpoint By: Kayhan Int’l Staff Writer U.S. Escalation: The Breakup of Iraq 3 ‘Russia and Muslim World’ Int’l Conference Kicks Off in Moscow Iran Not Surprised by Spying on Talks TEHRAN (Dispatches) – Tehran is not surprised by reports that a cyber-espionage campaign targeted hotels that hosted nuclear talks between Iran and world powers, Iran’s envoy to the UN nuclear watchdog agency said Thursday. Reza Najafi told Iran’s state TV that Iranian nuclear negotiators took “precautionary measures” to protect their secrets. His remarks were the first from Tehran after Kaspersky, a cybersecurity firm with close ties to Russian intelligence, said Wednesday the malware it had uncovered at the hotels was so sophisticated that it must have been created by a government. Citing former U.S. intelligence officials, The Wall Street Journal attributed the spying to the occupying regime of Israel. Najafi also appeared to put the blame on the Zionist regime. “These talks have enemies, especially the Zionist regime, which doesn’t want the negotiations to succeed,” said Najafi, referring to Israel. “They won’t spare any efforts” to undermine the talks. “We are not surprised by the issue of espionage,” he said, adding that Iran is always careful to protect its secrets — irrespective of efforts by the occupying regime of Israel and others to spy on them. “Iran’s negotiators have taken and are taking all the precautionary measures during the negotiations,” he was also quoted as saying. Switzerland and Austria are investigating the allegations of spying at the nuclear talks. Najafi also said a final nuclear deal between Tehran and the P5+1 group of world powers is “achievable” by the end of the June 30 deadline. “If the political will of our interlocutors continues to exists and they commit to the agreed parameters, … an agreement by the end of June is achievable,” he said in a statement in Vienna. Najafi added that the agency’s monthly reports have all proven that Iran has fulfilled its obligations under an interim accord reached with six world powers under Joint Plan of Action in November 2013. “Iran has continued to adhere to implementation of the voluntary measures of the Joint Plan of Action which has been continuously monitored and confirmed by the Agency and reported on a monthly basis,” he said. He also pointed to transparency undertakings Iran has accepted to implement over its nuclear program under an agreement with the IAEA, saying the two remaining measures can be “easily concluded and we can start discussing new Saturday, June 13, 2015, Khordad 23, 1394, Sha’ban 25, 1436, Price 10000 Rials practical measures”. Najafi touched upon the latest IAEA report on Iran’s nuclear program, saying the document once again corroborates Tehran’s “full transparency” in its nuclear activities. The Iranian official rejected as “repetitive,”“unsupported” and “manipulated” the report’s accusations on the so-called Potential Military Dimension (PMD) of Iran’s nuclear program. Najafi called for a quick resolution of the PMD issue, warning that “otherwise it is not possible to have the implementation of other measures”. He also referred to the recent revelations that the venues of Iran’s nuclear talks had been attacked by malware, widely used by Israeli spies, before hosting the negotiations. “There are enemies to these talks and they will do whatever they can do, so it’s not a surprise for us,” he said, underscoring the importance of adopting “precautionary measures not to let any details of the discussion go to the public and I should say that we have been successful in that regard.” Iran and the six world power - the U.S., Britain, France, Germany, China and Russia – have been negotiating to reach a comprehensive agreement over Iran’s civilian nuclear activities, and have set June 30 as the deadline for the conclusion of the deal. On Thursday, Russian Deputy Foreign Minister Sergei Ryabkov said the ongoing talks between Iran and the six world powers on drafting the text of a final deal over Tehran’s nuclear program have lost momentum. “Unfortunately, the progress pace … is slowing down. It worries us more and more because the time left to the deadline is getting short, and we must step on the final stretch as soon as possible,” Ryabkov told reporters upon arrival in Vienna for a fresh round of negotiations at the level of political directors. Iran and its negotiating partners have been working on the text of a final deal since they reached a mutual understanding on the key parameters of a final deal in the Swiss city of Lausanne on April 2. Ryabkov, who is Russia’s senior nuclear negotiator at Iran’s nuclear talks, said that among the thorny issues in the talks was the Arak heavy water reactor. Iran and the P5+1 group of countries “have reached understanding about the future configuration of the heavy water reactor in Arak, but the sides are still unclear on who will reconfigure the reactor, (Continued on Page 7) 6 Iran wins Friendly Against Uzbekistan 8 Saudi Warplanes Pound Areas in Yemen’s Capital ‘Economy of Resistance’ Blunts Sanctions Iran’s blueprint to neuter sanctions and stimulate growth is the idea of Leader of the Islamic Revolution Ayatollah Seyyed Ali Khamenei. the government’s policies than U.S.TEHRAN (Press TV) -- President dia and politicians. Many experts blame sanctions just led sanctions. Hassan Rouhani has made removal of A key legacy of Ahmadinejad in ofsanctions on Iran a centerpiece of his for 20% of Iran’s economic troubles presidency but the Iranian economy is and attribute the rest to mismanage- fice, however, was his subsidy reform program for which has won plaudits set to log a moderate growth rate with ment and other internal factors. Under former President Mahmoud from many financial quarters, includor without those restrictions for the Ahmadinejad, Iran saw petrodollars ing the International Monetary Fund years to come. That is because the economy, for gushing through its doors which he and World Bank. the most part, has been put on a used in a series of greenfield projDespite being criticized as a halfsound footing in the face of the sanc- ects, leading to a hyperinflation. hearted measure, the program has tions whose impacts, many analysts As a result, the national currency relieved the government from paying believe, have been blown out of pro- lost two-thirds of its value, but the billions of dollars in subsidies for baportion by the alarmist Western me- depreciation was more a making of sic commodities. But Iran’s blueprint to neuter the sanctions and stimulate growth is its “economy of resistance”, proposed by Leader of the Islamic Revolution Ayatollah Seyyed Ali Khamenei. It calls for establishing a knowledge-based economy relying on domestic capacities and cutting dependence on oil revenues which have emerged as the principal tool of Western powers to pressure Iran. Under the sanctions, the Iranian government has halved the state budget’s dependence on petrodollars. On Tuesday, Government spokesman Mohammad-Baqer Nobakht said the administration is taking in stride an 80% drop in oil revenues from record levels to around $24 billion. “The country’s petrodollars have declined, but we will run the country even with this revenue,” he said. Government officials have said they had braced for the worst scenario as nuclear negotiations are heading to the last stretch. According to projections, the Iranian economy will forge ahead with a growth rate of five percent for the coming years if sanctions are retained. If the restrictions are voided, the economy will spurt ahead at an annual growth rate of eight percent. In hindsight, the “economy of resistance” is aimed at insulating it against external factors and maintaining growth. Sanctions have taught that the Iranian economy is too massive to be brought to its knees and what the country needs is proper management to keep it on its feet. U.S. Oil Companies Push for End to Sanctions WASHINGTON (Daily Star) -- Oil producers pushing for an end to the U.S. crude export ban have a new line of attack: If Iran gets to sell oil in the world market, why can’t we? Should Iran strike a deal with the U.S. and five other nations in the coming weeks to limit its nuclear program, more Iranian oil could flow onto the market as sanctions are eased. Iranian producers will then be freer to sell oil than their American competitors, the argument goes. “If Iranian oil sanctions are lifted, it, in my view, imposes sanctions on U.S. oil producers if we keep the oil export ban in place,” Sen. Lisa Murkowski, an Alaska Republican who’s become the chief advocate for lifting limits, said Tuesday. The oil companies in their lobbying have shifted their arguments to link exports to national security and U.S. geopolitical influence and are downplaying the effect on gasoline prices, the issue that’s made some members of Congress wary. World powers including Russia and the U.S. plan to complete talks with Iran by June 30 to end the decade-long impasse over its atomic program. Momentum is building in Congress to lift the export restrictions, with Representative Joe Barton of Texas and Murkowski, both Republicans, gaining support for their bills to repeal the trade limits. Whether they can win enough votes to send a bill to the president this year is in question, and electoral politics in 2016 may complicate the debate. A complete end to the ban “seems unlikely before 2017,” analysts from JP Morgan Chase & Co. said in a June 8 research note, after meetings in Washington. Iran has at least 30 million barrels in storage that could be exported this year if sanctions are lifted, and it may add 500,000 barrels a day to global inventories by the end of next year, the U.S. Energy Information Administration estimates. The U.S. could export more than 1 million barrels a day if the ban were lifted, EIA administrator Adam Sieminski told a congressional committee in December. Pioneer Natural Resources Co. Chief Executive Officer Scott Sheffield said U.S. supplies to global markets need to continue to grow as Iran, Iraq, Kuwait Saudi Arabia and the United Arab Emirates vie for market share. “The world’s going to become dependent on the Middle East again very significantly if we do not lift the oil-export ban,” he said during a briefing this month with House Republicans. Sheffield questioned whether it’s “fair” for Iran to be able to export crude while the U.S. has crude-export restrictions in place. The effect on geopolitics of ending the ban needs more study, said Jay Hauck, a spokesman for a group of refiners, including Delta Air Lines Inc.’s subsidiary Monroe Energy LLC, that wants to keep the trade restrictions in place. “Oil markets are incredibly com- plex,” Hauck said by telephone. “It makes all the sense in the world to approach this more slowly than we’re currently doing.” Oil producers have idled hundreds of U.S. rigs and slashed thousands of jobs in the past year to contend with falling prices in the world oil markets. Now they are watching the June 30 deadline for a deal with Iran, which could ease the economic sanctions that have shriveled its oil exports for at least the past three years. “If the export ban is going to be lifted in whole or in part in the next 12 months, it’s going to happen because of these national security arguments,” said Jeff Navin, a former acting chief of staff at the Energy Department who is now consultant based in Washington. “The broader national security argument is predicated on the idea that countries putting their oil on the global market have an ability to influence the countries participating in those markets.” (Continued on Page 7)