US embassy cable - 04ABUDHABI2263

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UAEG RECEIVES DEMARCHE ON IRAN GAS NEGOTIATIONS

Identifier: 04ABUDHABI2263
Wikileaks: View 04ABUDHABI2263 at Wikileaks.org
Origin: Embassy Abu Dhabi
Created: 2004-07-07 11:07:00
Classification: CONFIDENTIAL
Tags: EPET PGOV BEXP ENRG ECON EINV TC IR
Redacted: This cable was not redacted by Wikileaks.
null
Diana T Fritz  02/06/2007 05:23:34 PM  From  DB/Inbox:  Search Results

Cable 
Text:                                                                      
                                                                           
      
CONFIDENTIAL

SIPDIS
TELEGRAM                                            July 07, 2004


To:       No Action Addressee                                    

Action:   Unknown                                                

From:     AMEMBASSY ABU DHABI (ABU DHABI 2263 - ROUTINE)         

TAGS:     EPET, PGOV, BEXP, ENRG, ECON, EINV                     

Captions: None                                                   

Subject:  UAEG RECEIVES DEMARCHE ON IRAN GAS NEGOTIATIONS        

Ref:      None                                                   
_________________________________________________________________
C O N F I D E N T I A L        ABU DHABI 02263

SIPDIS
CXABU:
    ACTION: ECON 
    INFO:   P/M AMB DCM POL 
Laser1:
    INFO:   FCS 

DISSEMINATION: ECON
CHARGE: PROG

APPROVED: CDA: RALBRIGHT
DRAFTED: ECON: CCRUMPLER
CLEARED: NONE

VZCZCADI041
RR RUEHC RUEHZM RUEHDE RUCPDOC RHEBAAA RUEHLO
RUEHFR
DE RUEHAD #2263 1891107
ZNY CCCCC ZZH
R 071107Z JUL 04
FM AMEMBASSY ABU DHABI
TO RUEHC/SECSTATE WASHDC 5032
INFO RUEHZM/GULF COOPERATION COUNCIL COLLECTIVE
RUEHDE/AMCONSUL DUBAI 4130
RUCPDOC/USDOC WASHDC
RHEBAAA/DEPT OF ENERGY WASHDC
RUEHLO/AMEMBASSY LONDON 0816
RUEHFR/AMEMBASSY PARIS 0854
C O N F I D E N T I A L ABU DHABI 002263 
 
SIPDIS 
 
E.O. 12958: DECL 07/07/09 
TAGS: EPET, PGOV, BEXP, ENRG, ECON, EINV, TC, IR 
SUBJECT:  UAEG RECEIVES DEMARCHE ON IRAN GAS NEGOTIATIONS 
 
REFS: A) SECSTATE 144237  B) ABU DHABI 2033 AND PREVIOUS 
 
1.  (U) Classified by Charge d'Affaires, a.i. Richard A. 
Albright, for reasons 1.5 (B) and (D). 
 
2.  (C) Charge delivered ref A talking points to MFA 
Assistant Secretary Abdullah Rashid Al-Noaimi July 6, and 
expressed our concerns about Abu Dhabi's potential project 
to import gas from Iran.  Al-Noaimi agreed that Tehran 
pursues policies that destabilize the region, including its 
ongoing pursuit of WMD, but noted, "they are our 
neighbors," with whom the UAE must co-exist.  In his view, 
a boycott of Iran is not the solution, nor is it a 
practical option for the UAE -- Iran is the UAE's top 
trading partner for non-oil goods, and a sizable Iranian 
expat community is resident here. 
 
3.  (C) Al-Noaimi posed a hypothetical situation to Charge: 
If Iran built a pipeline (without UAE investment) to an 
offshore gas facility, and the UAE built its own pipeline 
to the same gas facility, and the two pipelines were then 
linked to import gas to the UAE, would such a scenario 
violate U.S. laws against investment in Iran?  (Comment: It 
seems from our dialogue with Al-Noaimi and numerous other 
UAE interlocutors that a pipeline "link up" is what the 
UAEG's lawyers have advised.  End comment.)  Charge replied 
that Washington would need to examine the specifics of any 
project to make a determination about the applicability of 
U.S. law.  But he reminded Al-Noaimi that the U.S. would 
oppose, in principle, any agreement that benefits Iran, a 
country that poses a threat to us, to the UAE and others in 
the region. 
 
4.  (C) Charge asked Al-Noaimi if a potential gas deal 
would be linked to concessions from Iran on other issues, 
such as Iran's occupation of Abu Musa and the Tunbs.  Al- 
Noaimi replied that a gas supply agreement with Iran would 
not/not be contingent on resolution of the islands issue, 
but conceded that a gas agreement with Iran was more than a 
simple commercial arrangement.  Any deal would have 
political overtones.  Charge stated that despite our 
differing positions, it was important that we remain in 
communication about the gas project.  Al-Noaimi agreed. 
 
Albright 

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