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You're reading: Iran reports nuclear progress as sanctions loom
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U.S. President Barack Obama signed a law on Saturday imposing tougher financial sanctions to penalise Iran for a nuclear research programme that the West suspects is aimed at developing nuclear weapons.

The move could for the first time hurt Tehran’s oil exports, and the European Union is due to consider similar steps soon.

As tensions have risen, Iran threatened last week to close the Strait of Hormuz, a narrow Gulf shipping lane through which 40 percent of world oil flows, if sanctions hit its oil exports.

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