Iran gives diplomacy new chance
On Monday, Foreign Minister Manuchehr Mottaki presented President Ahmadinejad’s letter to his U.S. counterpart George W. Bush to the Swiss ambassador in Iran.
The Swiss Embassy in Tehran hosts the U.S. Interests Section in Iran.
The exact contents of Ahmadinejad’s letter to Bush have not been revealed, but government spokesman Gholam-Hossein Elham told reporters on Monday that the president has proposed new ways to address the “current fragile world situation”.
Ahmadinejad had previously announced his intention to write letters to world leaders.
In his letter to Bush, he has analyzed the current global situation and the root causes of various international problems and asked the U.S. president to consider his proposals.
Letter could open new diplomatic tracks: Larijani
Supreme National Security Council (SNSC) Secretary General Ali Larijani told Turkey's NTV news channel on Monday that Ahmadinejad's letter to the U.S. president could pave the way for new diplomatic initiatives but does not mean a softening in Tehran's stance against Washington.
"The letter is very important because there are very important issues on the international agenda," AFP quoted him as saying.
"If it is evaluated with deep understanding, there could be new diplomatic openings in the region," Larijani, who is on a one-day working visit to Turkey, said through an interpreter.
He refused to reveal the contents of the letter.
Asked whether it meant a softening in Iran-U.S. relations, Larijani said: "What the letter contains is not a matter of softening, but a rational issue.
"We need to think about the future of the world, go over problems encountered in the past and understand why people in the region are concerned."
The letter brings an end to a 26-year-old break in official top-level contacts between Washington and Tehran and comes amid U.S. calls for sanctions and threats of force to stop the Islamic Republic’s nuclear program.
Oil prices recede on announcement of letter
World oil prices slid Monday on news that Iran was seeking to resolve tensions with its the United States, and ahead of a key meeting of world powers over the country's nuclear energy program.
The price of London's Brent North Sea crude for June delivery shed 64 cents to 70.31 dollars per barrel after earlier dipping as low as 70.21 dollars.
New York's main contract, light sweet crude for delivery in June, fell 53 cents to 69.66 dollars per barrel in electronic deals before the market's official opening, after reaching as low as 69.43 dollars.
"The fact he's actually written to Bush might be seen by some people like a small positive step and that will cause some profit taking," said Investec analyst Bruce Evers.
"People appreciate that he's (Ahmadinejad) a fairly volatile character and that anything can still happen."
Oil market watchers fear that any action against Iran over its nuclear ambitions will result in cuts to exports from the world's fourth-largest crude producer.