India is the latest Asian power to butt heads with the US on Iran sanctions.
Three state-owned oil firms have invested $90 million in an Iranian gas field contract, which they won in 2008. The valuable gas field contains 25% more gas than the largest field in India, according to Asia Sentinel.
But before India can invest another $8 billion in the field, it must get permission from the US.
Like the rest of Asia, India cares about energy more than politics, says Asia Sentinel:
India remains a major importer of Iranian crude, importing more than 435,000 barrels per day in the fiscal year of 2008-2009. In return, India supplies Iran’s imported oil, gasoline and diesel fuels. The US has vainly sought to stop Japan, South Korea and Taiwan, among others, from doing business in Iran as well. Legislation enacted July expands the scope of violations under the Iran Sanctions Act (ISA) linked to any hydrocarbon related activity. The proposed sanctions provide for action against persons, including foreign firms that invest in excess of US$20 million in Iran’s energy sector in any 12-month period. These include selling refined gasoline, shipping insurance or similar services and supplying equipment/constructing oil refineries in Iran, one of the richest in natural oil and gas resources.
China has also maintained a large energy trade with Iran, above and under the table.