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Japan vows not to tolerate nuclear Iran despite oil

TOKYO (AFP) - Japan's foreign minister vowed Friday that his country will not tolerate a nuclear-armed Iran, despite its dependence on the Islamic republic for oil.

"Basically, the nuclear issue is a different story from oil. We do not follow a policy of tolerating Iran's possession of nuclear weapons just because we want oil," Taro Aso told a news conference.

He spoke after the International Atomic Energy Agency said Iran had failed to comply with a United Nations Security Council resolution demanding it halt uranium enrichment, opening the way for further sanctions.

Despite being a close US ally, Japan has maintained close trade ties with Iran, which is its third-biggest oil supplier.

Asia's largest economy has few natural energy resources, making it almost entirely dependent on the Middle East for its oil, of which 15 percent comes from Iran.

Japan signed a two-billion-dollar deal in 2004 to develop Iran's largest onshore oil field at Azadegan. But Japan slashed its stake from 75 to 10 percent last year as the Iranian nuclear crisis intensified.

The foreign minister said Japan had not yet decided on any additional sanctions to take against Iran.

"It is necessary for us to see how other countries act," Aso said.

Tokyo last week froze the assets of 10 groups and 12 individuals related to Iran's nuclear and missile programmes, in line with the sanctions resolution approved by the UN Security Council in December.

"Neither Japan nor the international community intends to block technological development for the peaceful use of nuclear power. But it is necessary for Iran to regain the trust of the international community," Aso said.

Japan has championed a tough line against North Korea, which tested an atom bomb in October and has tense relations with Tokyo.

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