Mikati shelves Iranian fuel grant after 'US warning'

The reports about a U.S. warning against bringing Iranian oil into Lebanon were confirmed after caretaker PM Najib Mikati met with visiting USAID chief Samantha Power in the presence of U.S. Ambassador Dorothy Shea, ad-Diyar newspaper said on Friday.

“During the meeting, Mikati was informed that the U.S. considers all Iranian oil as subject to sanctions, and that’s why he has in principle decided to shelve the grant if there won’t be an exemption from the U.S. Treasury similarly to what’s happening with Iraq,” the daily added.

Quoting informed sources, ad-Diyar said Mikati will not focus on the negotiations with Algeria that are aimed at allowing Electricite du Liban to purchase large quantities of fuel that would allow for raising power supply to 10 hours daily.

“And as the central bank continues to reject to cover any spending without a law from parliament that would authorize a $300 million loan for EDL, he (Mikati) will meet with Speaker Nabih Berri over the next two days to reach a decision over this point,” the newspaper added.