Ahmadinejad signs law to continue enrichment

Iranian President Mahmoud Ahmadinejad signed a bill Monday to continue uranium enrichment, as his top nuclear official said Tehran is going to begin construction of a new nuclear power plant in 2011.

The law, titled Safeguarding the Islamic Republic of Iran's Peaceful Nuclear Achievements, calls for continued enrichment of uranium to the level of 20 percent.

Under the bill, the government is "obliged to continue its efforts to produce fuel for the Tehran research reactor as well as continue the 20 percent enrichment (of uranium)... and to produce the fuel plates required for the reactor."

It also stipulates that the government "cooperates with the IAEA (International Atomic Energy Agency) only under the framework of the Non-Proliferation Treaty's (NPT) general regulations."

Meanwhile, Iran's atomic energy chief announced that the country will begin the construction of its third nuclear plant in early 2011.

Ali Akbar Salehi, Iran's top nuclear official, told state television network IRIB that Iran has ended the search for locations for 10 new enrichment facilities and "the construction of one of these facilities will begin by the end of the (current Iranian) year (to March 2011) or the start of next year."

Salehi did not specify the location of the new uranium plant, but he has previously mentioned that any new nuclear plants would be located in places that cannot be targeted by air strikes.

Iran currently has one nuclear plant in the central city of Natanz that is enriching uranium.

The construction of another enrichment facility is already underway inside a mountain at Fordo, southwest of Tehran.

The UN Security Council imposed a fourth round of sanctions on Iran in June, over its nuclear program that is accused of developing atomic weapons by some Western countries.

Also Monday, US Treasury Undersecretary Stuart Levey urged all governments to step up their vigilance in sanctions on Iran's shipping sector.

In an article written for the Financial Times, Levey said shipping is a "critical lifeline for Iran's (alleged) proliferation and evasion," and Tehran would repaint or rename ships and falsify documents to evade international sanctions.

On Friday, the US Treasury Department issued a new set of rules to punish foreign banks and companies defying sanctions against Iran.

According to the new regulations, if foreign banks or companies continue to do business with Iranian entities or people subject to UN and US sanctions, they will be prohibited from accessing the US financial system.

Agencies