TOKYO - Japan will watch how Iran clears up growing suspicion about its nuclear ambitions before Tokyo closes a huge deal to develop the Azadegan oil field, the top government spokesman said Tuesday.
The international community was worried about Iran's suspected nuclear arms programme, Chief Cabinet Secretary Yasuo Fukuda said.
"I do not think the crude oil plan will move ahead" unless international fears are resolved, he told a news conference.
A consortium of Japanese firms continue to negotiate the oil field deal estimated to be worth more than two billion dollars.
However Washington, which accuses Tehran of using an atomic energy programme as a cover for the secret development of a nuclear arsenal, has reportedly pressured Tokyo to halt the talks.
Mohamed ElBaradei, the chief of the nuclear watchdog International Atomic Energy Agency (IAEA), accepted an invitation Monday to visit Iran to discuss its compliance with international regulations although no date has been set.
Azadegan in southwestern Iran is among the biggest oil fields in the country and is believed to reserve some 26 billion barrels of oil.
Japan and Iran agreed in 2000 to start negotiations over the oil field.
The Japanese consortium includes trading house Tomen Corp., Inpex Corp., and Japan Petroleum Exploration Co.