Identifier
Created
Classification
Origin
08MUSCAT313
2008-04-26 12:53:00
CONFIDENTIAL
Embassy Muscat
Cable title:  

OMANI FOREIGN MINISTER READOUT ON TRIP TO TEHRAN

Tags:  PREL ECON ENRG IR MU 
pdf how-to read a cable
VZCZCXRO8772
PP RUEHBC RUEHDE RUEHDIR RUEHKUK
DE RUEHMS #0313 1171253
ZNY CCCCC ZZH
P 261253Z APR 08
FM AMEMBASSY MUSCAT
TO RUEHC/SECSTATE WASHDC PRIORITY 9525
INFO RUCNIRA/IRAN COLLECTIVE
RHBVAKS/COMUSNAVCENT
RHMFISS/CDR USCENTCOM MACDILL AFB FL
RHEHNSC/NSC WASHDC
C O N F I D E N T I A L MUSCAT 000313 

SIPDIS

SIPDIS

E.O. 12958: DECL: 04/26/2018
TAGS: PREL ECON ENRG IR MU
SUBJECT: OMANI FOREIGN MINISTER READOUT ON TRIP TO TEHRAN

REF: A. MUSCAT 303

B. MUSCAT 297

Classified By: Ambassador Gary A. Grappo for Reasons 1.4 (b, d)

C O N F I D E N T I A L MUSCAT 000313

SIPDIS

SIPDIS

E.O. 12958: DECL: 04/26/2018
TAGS: PREL ECON ENRG IR MU
SUBJECT: OMANI FOREIGN MINISTER READOUT ON TRIP TO TEHRAN

REF: A. MUSCAT 303

B. MUSCAT 297

Classified By: Ambassador Gary A. Grappo for Reasons 1.4 (b, d)


1. (C) Summary: Oman's Minister Responsible for Foreign
Affairs, recently returned from Iran, downplayed Iranian
press reports of three bilateral agreements signed during the
visit of a senior Omani delegation to Tehran. A Memorandum
of Understanding (MOU) on the joint development of the Kish
gas field did not signal the conclusion of a final deal, but
was an agreement to continue negotiations on the terms of the
proposed project. In his meetings with the Omani delegation,
Iranian President Ahmadinejad appeared more open to
discussing "technical matters" with the West on Iran's
nuclear program, but was insistent on Tehran's right to
continue its enrichment activities. Iranian nuclear
negotiator Saeed Jalili shared the Minister's concerns that
the unpredictable behavior of the Iranian Revolutionary Guard
Corps (IRGC) in the vicinity of the Strait of Hormuz could
provoke an "unfortunate incident" and pledged to "do
something about it." End Summary.


2. (C) During a meeting with the Ambassador on April 24,
Minister Responsible for Foreign Affairs Yusef bin Alawi
provided a readout on his recent trip to Iran as part of an
official Omani delegation (ref B). Bin Alawi confirmed press
reports that three bilateral agreements/MOUs were signed
during the visit. In addition to a "cultural" agreement,
both countries penned an MOU establishing a "strategic
dialogue" to be conducted at a ministerial-level meeting at
least once a year to discuss bilateral and regional issues.
Bin Alawi attempted to downplay this development, stating
that its purpose was to simply establish an agreed channel
for official high-level communications with the regime in
Tehran. He further emphasized that no agenda had been
discussed or agreed upon for the dialogue.


3. (C) Regarding joint energy cooperation, the Minister
explained that the MOU on the development of the Kish gas
field (ref B) - which the Iranian media characterized as
practically a done deal - was an agreement to proceed with
negotiations on the terms of a final contract including the
engineering design of the project, the costs for developing
the field, the requirements for the laying of a pipeline, and
the ultimate price of the gas produced. Bin Alawi stated
that Minister of Commerce & Industry Maqbool bin Ali Sultan,
in his capacity as the head of Oman Oil Company, would
formally lead the negotiations with the Iranians on the Kish
gas field, rather than Oman's Ministry of Oil and Gas.


4. (C) The Ambassador made clear U.S. concerns over a
potential Omani investment in Iran's gas industry, stressing
that now was not the time for business as usual with Tehran.
Bin Alawi countered that Oman was in urgent need of
additional gas supplies and, given its very limited options,
could not afford not to seriously explore the possibility of
importing Iranian gas. The Minister purposely side-stepped
an inquiry on the likelihood of Oman reaching a final deal
with Iran.


5. (C) Bin Alawi shared that there was nothing particularly
noteworthy from the delegation's meeting with Iranian
President Ahmadinejad, except that the Iranian leader chose
to use a very negative term in referencing Tehran's ongoing
engagement with the West. The Minister also said that
Ahmadinejad appeared more willing to discuss "technical
matters" about Iran's nuclear program with the international
community, although there was no change in Iran's insistence
on continuing its uranium enrichment research for fuel
purposes. Without clarifying further, bin Alawi summarized
that a "technical channel" to Tehran was open, but that
"political" discussions on limiting Iran's "rights" to
develop nuclear energy remained closed.


6. (C) On his meeting with Iran's nuclear negotiator Saeed
Jalili, bin Alawi said that he directly raised Omani concerns
- shared by the U.S. - on Iranian behavior in the Strait of
Hormuz, referencing the January 2008 confrontation between
U.S. navy vessels and speedboats commanded by the IRGC. Bin
Alawi continued that he told Jalili that Iran's navy
generally operated in accordance with international maritime
laws and procedures, but not the IRGC, whose actions he
feared could provoke "an unfortunate incident."
Surprisingly, according to bin Alawi, Jalili agreed with his
concerns and pledged to "do something about it."
GRAPPO