Ministers tell Centrica not to buy Iranian gas

[stormymonday]

Oliver Morgan, industrial editor
Sunday March 4, 2007
The Observer


The government has warned the energy group Centrica not to approach Iran in its attempt to secure future supplies of gas for its 16m UK customers.

Centrica, led by Sam Laidlaw, believes that the country, which has the world's third largest reserves, will be one of three critical sources of gas as the UK becomes dependent on imports for up to 90 per cent of its supply by 2020.

However, Jake Ulrich, managing director of Centrica Energy, the exploration and production arm of the group, says it has been advised against seeking a long-term supply deal with the Iranian National Oil Company. Ulrich told The Observer: 'We have to deal with Iran. I don't think we are in a position to deal with them at this stage. In our discussions with the Foreign Office, for instance, they say it would be good to have a commercial relationship but this is not the time.

http://observer.guardian.co.uk/business/story/0,,2025820,00.html

Interesting little story tucked away in the business pages of the Observer in the UK.

I wonder what it is that is prompting this advice from the British foreign office.

[mazzarro]

1. Maybe hoping and expecting a regime change?

It will probably take as long as Cuba(maybe forever) to effect a regime change in Iran. I don't think that Iran will easy to just run over anytime soon.