French energy giant: Iran investment 'too risky'

PARIS, France (AP) -- French energy giant Total considers it too risky to invest in Iran, its CEO said in an interview published Thursday that puts into question major western involvement in developing Iranian gas reserves.

"Today we would be taking too much political risk to invest in Iran because people will say, 'Total will do anything for money,"' Christophe de Margerie was quoted by the Financial Times as saying.

Total had been expected to help develop a huge liquefied natural gas project linked to Iran's South Pars gas field with Malaysia's Petronas.

Total officials in Paris could not immediately be reached for comment. Watch a report on Total halting deals with Iran »

De Margerie's quoted comments come amid mounting tensions over Iran's nuclear activities, which the U.S. and other countries fear are aimed at building weapons but which Tehran insists are for producing nuclear energy.

On Wednesday, Iran test-fired long- and medium-range missiles during war games to show it could retaliate against any U.S. or Israeli attack." Watch footage of the missiles being fired »

De Margerie did not say in the report that Total would totally pull out of Iran. He expressed frustration at U.S. pressure on European energy investors in the countries.

"You take two major countries (Iran and Iraq) out of the system and then you say, 'There is not enough oil and gas.' Oh no, surprise, surprise," he was quoted as saying.

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