US warns of ‘potential risk of sanctions’

Any country having business dealings with Iran runs the risk of sanctions, the United States has said, noting that it is aware that Iran and India have signed a deal concerning the Chabahar port.

"We're aware of these reports that Iran and India have signed a deal concerning the Chabahar port. I will let the government of India speak to its own foreign policy goals vis-a-vis the Chabahar port as well as its own bilateral relationship with Iran," State Department Deputy Spokesperson Vedant Patel told reporters at his daily news conference on Monday.

"I will just say, as it relates to the United States, US sanctions on Iran remain in place and we'll continue to enforce them," he said in response to a question on India's deal with Iran on the strategic Chabahar port.

"You've heard us say this in a number of instances, that any entity, anyone considering business deals with Iran, they need to be aware of the potential risk that they are opening themselves up to and the potential risk of sanctions," Patel said.

India and Iran on Monday signed a 10-year contract for the operation of a terminal at the strategically important Chabahar port in Iran.

Under the agreement, Indian Ports Global Limited (IPGL) will invest about $120 million while there will be an additional $250 million in financing, bringing the contract's value to $370 million, said Iranian Minister of Roads and Urban Development Mehrdad Bazrpash.