Iran inaugurates heavy-water nuclear reactor

Iranian President Mahmoud Ahmadinejad inaugurated a heavy-water nuclear reactor on Saturday, the BBC reported.

The head of Iran's Atomic Energy Organization, Gholam Reza Aghazadeh, and his deputy, Mohammad Saeedi, accompanied President Ahmadinejad to the inauguration ceremony.

The Arak reactor, 190 km south-west of the Iranian capital Tehran, will produce heavy water that will be used as cooling fluid for a 40 MW research reactor due for completion by 2009.

The high-security complex and the surrounding areas are protected by anti-craft gun positions in preparation for a possible Israeli or U.S. air strike against Iran’s nuclear sites, AFP reported.

Mohammad Saeedi said that the heavy-water plant is "one of the biggest nuclear projects" in Iran, state-run television reported. He added that the reactor will be used in the pharmaceutical field and in diagnosing cancer.

The plant’s top official, Manouchehr Madadi, said that it has the ability to produce up to 16 tons of heavy water a year.

"The Islamic republic considers inauguration of this complex within the framework of its legal and international rights," foreign ministry spokesman Hamid Reza Asefi was quoted as saying.

"This is another big step for the Islamic republic to use its undeniable right, namely achievement of peaceful nuclear technology," Asefi added.

The move comes five days before Thursday’s UN deadline for Iran to halt its nuclear program or face possible sanctions.

Tehran has called the UN Security Council resolution “illegal” and said that it won’t suspend uranium enrichment as a precondition to negotiations.

Iran denies Western claims that it’s seeking to build an atomic bomb, insisting that it has the right to enrich uranium for peaceful purposes as a signatory to the Nuclear Non-Proliferation Treaty (NPT).

"No one can deprive a nation of its rights based on its capabilities," President Ahmadinejad said in his speech at the inauguration ceremony.

"Iran is not a threat to anybody, not even to the Zionist regime," he added.

Tehran has offered "serious talks" in response to a package of incentives - offered by the UN five permanent members plus Germany – in exchange for its suspension of uranium enrichment by August 31.

But the U.S. reacted coolly to the Iranian response, saying that suspension of research was required first and that it’s considering sanctions.

Although Russia and China support the incentive package offered by Western powers, the two permanent UN members – also old allies and trading partners of Iran – have long opposed the threat of military action or imposition of sanctions against Tehran.

“U.S. may bypass UN on Iran”

The Bush administration indicated that it’s prepared to form an independent coalition to freeze Iranian assets and limit trade if the UN Security Council fails to impose sanctions against Tehran, The Los Angeles Times reported on Saturday.

According to The Times, the U.S. ambassador to the UN, John Bolton, said late this week that Washington planned to introduce a resolution imposing sanctions such as a travel ban and asset freeze for key Iranian leaders soon after the UN’s August 31 deadline.

The report also said that Bolton seemed optimistic that Moscow and Beijing would accept the U.S.-drafted resolution if they saw the text.

"Everybody's been on board," the Times quoted him as saying.

However, he said, if Russia and China reject the resolution, the U.S. will work outside the United Nations.

Analysts say the strategy indicates not only the U.S.’s determination to penalize Iran, but also the current weakness of Washington’s position because of its role in a series of conflicts in the Middle East, most recently its support for the Israel’s deadly offensive in Lebanon, The Times said.

Under U.S. terrorism laws, Washington could ramp up its own sanctions, including financial restrictions on Iran and interception of missile and nuclear materials en route to Tehran, Bolton said, adding that the U.S. is encouraging other countries to follow suit.

The Times said Bolton and U.S. Treasury officials refused to provide details on which countries might be interested in joining in sanctions, citing the "sensitivity" of the talks.

"You don't need Security Council authority to impose sanctions, just as we have," Bolton said.

Washington has imposed broad restrictions on almost all trade with Iran since 1987.