Article: Despite US Concerns, Japan Still Hopes for Oil Deal With Iran.

WASHINGTON -- The deadline for Japan and Iran to agree to terms for the development of the giant Azadegan oil field passed Jun. 30 without a new deadline being set as a promising oil deal suddenly escalated into politico- strategic posturing. The US is understood to be applying political pressure on Japan to halt the talks in a bid to prod Tehran into opening its alleged nuclear weapons program to inspection.

State Department spokesman Richard Boucher declined to confirm reports of US pressure to stall or kill the deal. "Our concerns about Iranian policies and actions, and about oil and gas investment there, are matters that regularly figure in our diplomatic ...

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