Iran Will Retaliate for Oil Embargo Say Khamenei

With Iran under pressure from the sanctions implemented by the west, Ayatollah Ali Khamenei, considered the supreme leader of Iran, said in a televised speech that the country will retaliate.

This came about because of the decision by Iran to continue its nuclear program, as it started to enrich uranium in January, which resulted in sanctions being imposed on the country by Europe and the United States.

The sanctions are in regard to selling oil, which has been effective, as it has pressured the Iranian economy downward in a short time.

How the sanctions were put in place is any country that interacts with the central bank of Iran will not be allowed access to the financial system of the United States. A week ago Europe took similar measures.

The sanctions are partial at this time, with some countries being given waivers to gradually stop doing business with Iran. That was put in place so the energy markets would remain steady.

All of this is being done in hopes of stopping what most feel is an inevitable military strike by Israel against Iran to stop a nuclear device from being made in the country. That would undoubtedly ignite and rally the Arab world to Tehran, and it could bring about a world war in the worst case scenario, depending on how countries respond. Russia and China are strongly opposed to the sanctions.

Defense Secretary Leon Panetta recently stated he believes Israel will bomb Iran in a matter of months if it appears a nuclear device is close to being completed.

BP (NYSE:BP) Not Clear Yet on Continuing Venture with Iran in North Sea

Unsure of what its requirements are in its joint venture with Iranian Oil Co. U.K. Ltd., BP (NYSE:BP) asking for a ruling and guidance on how to proceed.

The European Union announced sanctions against Iran because of its perceived pursuit of a nuclear policy which includes weapons-grade uranium, that could be made into a potent bomb.

Sanction have been put in place which regulate business in such a way as to not allow the nuclear program of Iran to be supported by European technology in any way.

It seems part of the question is whether or not a business enterprise in general that generates revenue would be considered an aid to the Iranian nuclear program.

BP spokesman Richard Grant, based in Aberdeen, said the situation is "quite complex," and the company wants the joint venture with Iran concerning the Rhum field clarified.

If found to be under the new regulations, production at the project would be halted.