The conditions of a proposed European embargo on Iranian oil have been agreed to, EU diplomats said on Wednesday, with a decision on when the embargo should be implemented expected as early as the end of the month.

"The principle of an oil embargo is agreed," one diplomat told reporters on the condition of anonymity. "It is not being debated any more."

Previous resistance to the embargo by countries such as Spain, Greece, and Italy, which are relatively big EU importers of Iranian oil, was dropped at the end of December, enabling the plan to move forward.

"We have to reassure some of our European partners who purchase Iranian oil," said Portuguese Foreign Minister Paolo Portas. "We have to provide them with alternative solutions, but these alternative solutions exist and I think we can attain the objective by the end of January," said Portas in a joint press conference with France's Foreign Minsiter, Alain Juppe, in Lisbon on Wednesday.

Western countries united

The embargo is designed to punish Tehran for moving forward with its nuclear program, which Western nations claim is being used to build an atomic bomb. Iran denies this claim, saying their nuclear program is for civilian use only.

The United States welcomed the news that the EU was moving forward with its Iranian oil embargo.

"These are the kinds of steps that we would like to see not just from our close allies and partners in places like Europe but from around the world," said US State Department spokeswoman Victoria Nuland. "We do believe that this is consistent with tightening the noose on Iran economically."

US President Barack Obama also signed financial measures against Iran into law on New Year's Eve.

Author: Matt Zuvela (AFP, Reuters)
Editor: Richard Connor