 On July 18, the world’s six major powers and Iran agreed to a four-month extension of nuclear talks after nearly three weeks of intensive discussion. Secretary of State John Kerry (left) said that the two sides have “a draft text that covers the main issues,” but that there are gaps in some areas. The two sides have until November 24, exactly one year since they reached an interim agreement, to make a deal. “To turn our back prematurely on diplomatic efforts when significant progress has been made would deny ourselves the ability to achieve our objectives peacefully, and to maintain the international unity that we have built,” said Kerry.
      On July 18, the world’s six major powers and Iran agreed to a four-month extension of nuclear talks after nearly three weeks of intensive discussion. Secretary of State John Kerry (left) said that the two sides have “a draft text that covers the main issues,” but that there are gaps in some areas. The two sides have until November 24, exactly one year since they reached an interim agreement, to make a deal. “To turn our back prematurely on diplomatic efforts when significant progress has been made would deny ourselves the ability to achieve our objectives peacefully, and to maintain the international unity that we have built,” said Kerry.
            Foreign Minister Mohammad Javad Zarif said that although the two sides “have made tangible progress on some of the issues… there are still significant gaps on some core issues which will require more time and effort.”
             The extension continues all of the commitments laid down in the interim agreement. But in addition, Iran has agreed to speed up its conversion of 20 percent uranium oxide into nuclear fuel and to dilute its up to two percent stockpile. Tehran has also confirmed that it will only produce advanced centrifuges to replace damaged machines under the interim agreement. The following are excerpted remarks from U.S. and Iranian officials.
Joint Press Statement by EU High Representative Catherine Ashton and  Iranian Foreign Minister Mohammad Javad Zarif 
  July 19, 2014
   “We, together with the Political Directors of the E3+3 (China, France,  Germany, Russia, the United Kingdom and the United States), have worked  intensively towards a Joint Comprehensive Plan of Action, building on  the political momentum created by the  adoption and  smooth implementation by both sides of the Joint Plan of Action  agreed on 24 November 2013. We are grateful to the Austrian government  and the United Nations for their tremendous support in hosting these  negotiations in Vienna.
       “We, together with the Political Directors of the E3+3 (China, France,  Germany, Russia, the United Kingdom and the United States), have worked  intensively towards a Joint Comprehensive Plan of Action, building on  the political momentum created by the  adoption and  smooth implementation by both sides of the Joint Plan of Action  agreed on 24 November 2013. We are grateful to the Austrian government  and the United Nations for their tremendous support in hosting these  negotiations in Vienna.“We have held numerous meetings in different formats, and in a constructive atmosphere, to reach a mutually agreed long-term comprehensive solution that would ensure Iran's nuclear programme will be exclusively peaceful.
“During the past few weeks, we have further intensified our efforts, including through the active involvement of E3+3 Foreign Ministers or their Vice Ministers, who came to Vienna on 13 July 2014 to take stock of progress in the talks. While we have made tangible progress on some of the issues and have worked together on a text for a Joint Comprehensive Plan of Action, there are still significant gaps on some core issues which will require more time and effort.
“We, together with the Foreign Ministers of the E3+3, have therefore decided to extend the implementation of measures of the Joint Plan of Action until 24 November 2014, in
line with the timeframe that we envisaged in the Joint Plan of Action. Iran and the E3/EU+3 reaffirm that they will continue to implement all their commitments described in the Joint Plan of Action in an efficient and timely manner.
“We will reconvene in the coming weeks in different formats with the clear determination to reach agreement on a Joint Comprehensive Plan of Action at the earliest possible moment.”
Iranian Deputy Foreign Minister Abbas Araghchi
            “A total of $2.8 billion will be paid to Iran in six installments in the next four months.”
            July 19, 2014
Parliament’s National Security and Foreign Policy Committee Alaeddin Boroujerdi
              “The message [conveyed] to the public opinion from the extension of the  Vienna talks is that the sides have the will to reach a comprehensive  and final agreement. We decided to achieve an agreement for the sake of  defending our nation's nuclear rights.
            “But this definitely does not mean that we would change our positions in the next four months.”
            July 20, 2014, according to the press  
United States
Summary of Understandings Related to the Implementation and Extension of the Joint Plan of Action
  On  January 20, 2014, Iran for the first time in nearly a decade took  specific and verifiable actions that halted progress on its nuclear  program and rolled it back in key respects, stopped the advance of the  program, and introduced increased transparency into Iran’s nuclear  activities.
  The Joint Plan of Action (JPOA) Has Successfully Halted Progress on Iran’s Nuclear Program
  To  date, it is our assessment and that of the International Atomic Energy  Agency (IAEA) that Iran has carried out the very significant commitments  it made, and has taken steps to address the international community’s  greatest concerns.  Iran has:  
  - Halted production of near-20 percent enriched uranium and disabled the configuration of the centrifuge cascades Iran had been using to produce it.
- Completed the dilution of half of its near-20 percent enriched uranium stockpile that was in hexafluoride form, and the conversion of the rest to an oxide form not suitable for further enrichment.
- Capped its stockpile of 5 percent enriched uranium.
- Has not enriched uranium in roughly half of installed centrifuges at Natanz, including all next generation centrifuges, and three-quarters of installed centrifuges at Fordow.
- Limited its centrifuge production to those needed to replace damaged machines, so Iran was not able to use the six-month JPOA period to stockpile centrifuges.
- Did not construct additional enrichment facilities.
- Did not go beyond its enrichment R&D practices that were in place at the start of the JPOA.
- Did not commission or fuel the Arak reactor.
- Halted the production and additional testing of fuel for the Arak reactor.
- Did not install any additional reactor components at Arak.
- Did not transfer fuel or heavy water to the Arak reactor site.
- Did not build a reconversion line, which is necessary to turn its stockpile of 20 percent uranium oxide back into a form suitable for further enrichment.
- Did not construct a facility capable of reprocessing. Without reprocessing, Iran cannot separate plutonium from spent fuel.
Transparency and Monitoring Under the Joint Plan of Action
  Iran  committed in the Joint Plan of Action to provide increased transparency  into its nuclear program, including through more frequent and intrusive  inspections as well as expanded provision of information to the IAEA.
  Under  the Joint Plan of Action, Iran’s enrichment facilities at Natanz and  Fordow are now subject to daily IAEA inspector access.  Over the past  six months, the IAEA and Iran updated certain monitoring procedures,  which have permitted IAEA inspectors to review surveillance information  on a daily basis to shorten detection time for any Iranian  non-compliance.  In addition, these facilities remain subject to a  variety of other physical inspections, including scheduled and  unannounced inspections. 
  Under the Joint Plan  of Action, the Arak reactor and associated facilities have been subject  to at least monthly IAEA inspections – an increase from the pre-JPOA  inspection schedule permitting IAEA access approximately once every  three months or longer. 
  Under the Joint Plan of Action, Iran also provided:
  - Long-sought design information on the Arak reactor;
- Information to verify that centrifuge production will be dedicated to the replacement of damaged machines; and
- Managed access at centrifuge assembly workshops, centrifuge rotor production workshops and storage facilities, and uranium mines and mills.
These enhanced monitoring measures  enabled the IAEA to provide monthly updates on the status of Iran’s  implementation of its commitments and have enabled the international  community to have more confidence that it would more quickly detect  breakout or the diversion of materials to a secret program.
  The Impact of the Joint Plan of Action on Iran’s Economy
  Meanwhile,  Iran still faces significant economic challenges and the limited relief  provided under the Joint Plan of Action did not come close to “fixing”  the Iranian economy.  
  - Iran’s economy is now around 25 percent smaller than it would have been had it remained on its pre-2011 growth path.
- The vast majority of Iran’s approximately $100 billion in foreign exchange holdings remain inaccessible to Iran or restricted by sanctions.
- Iran has lost an estimated $120 billion in oil revenues since the beginning of 2012, and is able to use only a small fraction of the revenue it earns. It will lose $15 billion more to oil sanctions during this four-month extension.
- Iran’s economy contracted nearly 7 percent in the last Persian year and contracted a further 3.4 percent through December 2013.
- Iran’s average annual inflation hovered over 30 percent last year, one of the highest rates in the world.
- Iran's currency, the rial, has declined by approximately 7 percent since November 24, 2013, when the Joint Plan of Action was reached by the P5+1 and Iran.
- Most of Iran’s banks remain cut off from the international financial system.
Details of the Extension of the Joint Plan of Action
  The  Joint Plan of Action has given us the time and space to work to  negotiate a comprehensive solution that will assure the world that Iran  will not obtain a nuclear weapon and that its program is exclusively  peaceful.  
  Over the last six months, we have  made meaningful progress on some key issues, although we remain far  apart on others. Today, we have a draft text that covers the main issues  and identifies the key areas of disagreement, and we’ve discussed in  great detail all of the elements that will have to be included in any  comprehensive solution. As a result, we decided – along with the EU, our  other P5+1 partners, and Iran – to extend the Joint Plan of Action  until November 24, exactly one year since we finalized the first step  understanding in Geneva. This will give us additional time to work to  conclude a comprehensive solution, which we believe is warranted by the  progress we’ve made and the path forward we can envision.  Under this  extension, Iran and the P5+1 and the EU will continue to uphold their  commitments in the Joint Plan of Action. Iran’s nuclear program will  remain frozen and rolled back in key areas, including by continuing to  cap the amount of 5 percent enriched uranium hexafluoride and convert  any material over that amount to oxide.  Increased access for  international monitors will continue.
  Iran  will also take further nuclear-related steps in the next four months  that are consistent with its commitments under the Joint Plan of  Action.  Under the Joint Plan of Action, Iran diluted half of its 20  percent enriched uranium hexafluoride and converted the rest to oxide.  Under this extension, Iran has committed to go one step further and make  all of this 20 percent oxide into fuel for the Tehran Research Reactor.  Twenty-five kilograms of this material will be fabricated into fuel by  the end of the extension. Turning this material from oxide to fuel means  it would be even more difficult and time consuming for Iran to turn it  into fissile material in a breakout scenario, and attempting to do so  would be even more readily detected by the IAEA and would be an  unambiguous sign of an intent to produce a weapon.
  Iran  has also committed to convert all of its very low enriched uranium –  enriched up to 2 percent and estimated to be at least three metric tons –  into natural uranium, further reducing its utility in a breakout  scenario.
  In return, we will continue to  suspend the sanctions we committed to suspend under the Joint Plan of  Action and will allow Iran access to $2.8 billion dollars of its  restricted assets, the four-month prorated amount of the original Joint  Plan of Action commitment.
  Our goal in  pursuing this brief extension was to capitalize on the progress we’ve  already made, while giving us the best chance of success to reach a  comprehensive solution at the end of this process. 
  A Historic Opportunity to Peacefully Achieve Our Objective
  We  have the unique opportunity to peacefully achieve our objective of  preventing Iran from developing a nuclear weapon.  That would be good  for the security of the United States, our regional allies and partners,  and the entire world.  These negotiations represent our best chance at a  lasting diplomatic solution that addresses our concerns.  We knew that  reaching a comprehensive solution would be difficult, and though  progress has been made, these efforts may not ultimately succeed. 
  Our  goal remains clear: to negotiate a comprehensive deal that prevents  Iran from obtaining a nuclear weapon.  Over the next four months –  building on the progress we’ve already made – we will determine whether  there is a solution that gives us sufficient confidence that the Iranian  program is exclusively peaceful.  
  Special Briefing by Senior Administration Officials 
  July 18, 2014
  SENIOR ADMINISTRATION OFFICIAL ONE:  First of all, as we’ve indicated, we are very pleased with the  successful implementation of the Joint Plan of Action over the course of  the last six months. Iran has met all of its commitments with respect  to its nuclear program: neutralizing the 20 percent stockpile; capping  their 5 percent stockpile; not installing new components or testing new  components at the Arak facility; not installing new advanced  centrifuges; and enabling much more robust inspections of their nuclear  facilities. So we believe the Joint Plan of Action has been a success in  halting the progress of the Iranian program and rolling it back in  exchange for a relatively modest relief that has been provided over the  six months.
  Of course, the purpose of the  Joint Plan of Action was also to create space for the negotiation of a  comprehensive solution, and that’s what we’ve been pursuing these last  six months. There have been difficult negotiations. Frankly, as we  entered this latest round at the beginning of July, had we not made  progress it was not by any means a forgone conclusion that we would  pursue an extension, because our view was the Joint Plan of Action is  not a new status quo, but rather a means of getting us the space to  reach an agreement. So we wanted to see if there could be sufficient  progress in these latest negotiations to, again, in our minds justify a  continued dedication of time and effort. And that was very much the  President’s direction to the team as they headed out to Vienna at the  beginning of the month.
  We did see good  progress in a range of areas over the last several weeks, even as there  continue to be gaps, particularly as we discuss various proposals for  issues related to the Arak facility, related to the future of the Fordow  facility, related to Iran’s stockpile of low-enriched uranium, and then  related to the type of monitoring and inspections regime that would  accompany part of a long-term agreement, issues that get at fundamental  pathways to a nuclear weapon that we want to deal with in the course of a  comprehensive agreement.
  So that doesn’t mean  we’ve resolved all of those issues completely, but it does mean that we  saw openings and progress and creative proposals that began to see a  potential assurance that elements of the Iranian program could be  assured as peaceful to our satisfaction.
  At  the same time, there continue to be important gaps, however, between the  parties. We, for instance, have highlighted the issue of domestic  enrichment and the number of centrifuges that Iran would be operating as  a part of the agreement as one very important remaining gap that has to  be worked through.
  SENIOR ADMINISTRATION OFFICIAL TWO:  We made some progress… on the low enrichment, on the stockpile of  low-enriched uranium, on enhanced monitoring and verification  mechanisms, on some other key issues, R&D, PMD, and of course,  enrichment capacity. We still have a considerable way to go, but even in  those areas, ideas have been put on the table that have enough stature  that they’re worth considering.
  So what we are  doing now is, having seen that we weren’t going to get to that  comprehensive agreement – and this is a very complex technical  negotiation with – really, it will end up being quite a long set of  annexes that detail the political commitments – we began to discuss  whether an extension made sense. Secretary Kerry came here and, as  [Senior Administration Official One] said, assessed what was going on,  took back his thoughts and ideas to the President, met with the  President, gave us instructions here on behalf of the President to see  if we could not move forward on an extension.
  This  extension of the Joint Plan of Action continues all of the commitments  that are on the Joint Plan of Action and is meant to be simply an  extension of that plan a year from when it was first executed to  November 24th, 2014. But in addition, Iran has agreed that it will move  forward in a more expeditious manner to complete the fabrication of all  20 percent oxide in Iran into fuel in a timely manner, and will indeed  during this four-month period fabricate 25 kilograms of its 20 percent  oxide into fuel for the Tehran Research Reactor. In addition, Iran will  dilute all of its up to two percent stockpile. That is at least three  metric tons. And although it doesn’t hold much SWU, separate work units –  that’s the measure of energy, so to speak – at the moment, in a  breakout scenario it’s quite significant and quite important. So we  think this is a big step forward.
  In addition,  Iran has taken some undertakings to clarify two critical issues in the  Joint Plan of Action. One is confirming that rotors for advanced  centrifuges at the Natanz pilot plant will only be produced at  facilities to which the IAEA has monthly access, and they have confirmed  that production of advanced centrifuges will only be to replace damaged  machines. For those of you who follow all of this, you know that these  are meaningful steps forward, in fact, on the road to the kinds of  things we need to do in a comprehensive plan of action.
  What  we were really trying to do with this extension, and what is quite  critical is to create the space to try to see if we cannot achieve a  Comprehensive Joint Plan of Action. It wasn’t for an end in itself, but  rather to create the time and space in the same manner that the Joint  Plan of Action did to see if we can, in fact, get to that Comprehensive  Joint Plan of Action to ensure that Iran will not obtain a nuclear  weapon and that its program is exclusively peaceful.
  I  think everyone here feels that we achieved a balanced way forward for  these four months. And now, quite frankly, the excruciating and quite  difficult hard work begins. And we will do this in a whole variety of  ways, in a whole variety of formats. There is no question that the UN  General Assembly will become a focal point or a fulcrum for these  negotiations. And as you’ve heard the President and the Secretary say  many times, no deal is better than a bad deal. But I would also add that  what we are aiming for is the right deal, one that will meet the  objectives that the President has set out and that he has shown  leadership to the world to create a much more secure path for all of us.
  SENIOR ADMINISTRATION OFFICIAL THREE:  We will continue the suspension of the sanctions on automotive imports  into Iran, petrochemical exports, and trade in gold. I will note that  during the Joint Plan of Action period – the first six months – Iran  derived very little value from those sanctions’ suspension. We estimated  the total value of the relief in the Joint Plan of Action would be in  the neighborhood of $6 to 7 billion, and I think it has actually come in  less than that. Critically, the overwhelming majority of our sanctions,  including the key oil, banking, and financial sanctions, all remain in  place. And we will continue to vigorously enforce those sanctions  throughout the extension period.
  And as part  of the JPOA extension, Iran will be allowed access in tranches over the  next four months to $2.8 billion from its restricted overseas assets.  Those assets, which are unavailable to Iran, largely unavailable to  Iran, are more than $100 billion. Those assets have actually increased  over the course of the Joint Plan of Action as the oil revenues that  Iran has been earning have been poured into these restricted accounts.  So they will get access to $2.8 billion from these restricted accounts,  which is the pro-rated amount of the relief that was provided in the  JPOA period, which had been $4.2 billion.
  Now, throughout  this short-term extension of the JPOA in the next four months, we will  continue to emphasize to businesses around the world that Iran is not  open for business. That has not changed. As President Obama indicated,  we’ll continue to come down like a ton of bricks on those who evade or  otherwise facilitate the circumvention of our sanctions. And we’ll make  clear to the world, as we have all along, that Iran continues to be cut  off from the international financial system, with its most significant  banks subject to sanction, including its central bank; that any foreign  bank that transacts with any designated Iranian bank can lose its access  to the U.S. financial system; that investment and support to Iran’s oil  and petrochemical sectors is still subject to sanctions; that Iran’s  currency, the rial, is still subject to sanctions, as is Iran’s ability  to obtain the U.S. dollar; and that all U.S., EU, and UN designations of  illicit actors, which number more than 600 at this place – at this  point, all remain in place; and that the broad restrictions on U.S.  trade with Iran also remain in place.
  QUESTION:  Could you please address the question of whether the extension is going  to be a hard sell for President Obama and his team with Congress, and  also with Israel?
  SENIOR ADMINISTRATION OFFICIAL ONE:  Look, candidly, before the Joint Plan of Action was reached, I think  there were public disagreements with Israel. Some of that flowed from  the fact that elements of the Joint Plan of Action, or elements that  were in support of the Joint Plan of Action, were discussed in a  sensitive bilateral channel, so there was not a full transparency at  every juncture with Israel and some of our partners. We endeavored, over  the course of the last six months, to be much more transparent and to  consult on a very regular basis with Israel and our other partners.
  I  think it’s also fair to say that the Joint Plan of Action has  over-performed in many respects. Iran has kept its commitments. The  additional transparency and monitoring has gone forward, and the  sanctions regime has held in place. And one of the concerns that was  voiced by some in November and December is that the limited relief that  we were providing would essentially snowball into many tens of billions  of dollars in relief. That hasn’t taken place because of our continued  enforcement of the sanctions regime. So, in other words, I think the  Joint Plan of Action has over-performed in a way that provides a greater  degree of comfort, although not complete comfort.
  Now  with respect to the extension itself, we have been consulting with  Congress very actively the last couple of weeks, so we have briefed  regularly members in both the House and the Senate. There’s obviously a  diversity of views in Congress about the negotiations and about what  should be involved in a comprehensive resolution, even as I do think  there’s an appreciation for some of the good progress that was made in  the implementation of the Joint Plan of Action. I think what we are able  to say to Congress today is there are very specific areas where we have  made concrete progress. When we talk about how we are going to approach  the future of the Arak facility and some of the proposals that have  been made there; the future of the Fordow facility, which has been of  particular concern because of the covert way in which it was developed  and how deep underground it is; when you talk about the management of  the stockpile and some of the transparency and monitoring proposals, you  begin to see elements that would be contained in a comprehensive  agreement that could assure an Iranian program that’s peaceful, that cut  off key pathways to a weapon, be it a pathway through the Iraq reactor  or the Fordow reactor. And yes, while there are gaps, and while there  are gaps on particularly important issues like centrifuges and domestic  enrichment inside of Iran, that there is significant progress that this  is a serious negotiation, that we’re not just in talks for talks’ sake,  we’re not just re-upping this for the sake of re-upping it; that we can  show the ball has moved down the field. And we believe, with some more  time, there is a prospect – not a guarantee, but a very real prospect –  of potentially coming to an agreement that can assure us that the  Iranian program is peaceful.
  And then  secondly, I think what we will be able to say to Congress is that not  only will we maintain the progress that is embedded in the JPOA for the  same prorated rate of modest relief that we’ve provided in the first six  months, but there are additional steps that Iran is taking over the  course of the four months that do have value in terms of converting that  oxide from the 20 percent stockpile into fuel, in terms of dealing with  that stockpile of up to 2 percent, and in terms of some of the  additional R&D issues that my colleague spoke to, so that there is  added value in what is being done over the course of the next four  months as it relates to our proliferation concerns. All of that adds up  to, we believe, a very strong and clear case for four more months to  pursue a comprehensive resolution and to maintain the progress in the  JPOA, and to add the additional elements that Iran has agreed to, all  for very modest relief.
  QUESTION: When  do you think you’ll be back to – are your teams now leaving – are the  teams now leaving Vienna today or over the weekend, and when will you  resume the talks heading into this next extension of four months?
  SENIOR ADMINISTRATION OFFICIAL TWO:  What we believe very strongly is that everyone needs to take the time  to go back to capitals and think about what’s gone on here, think about  the way ahead, do some of the intellectual work that is necessary, do  some of the technical work that is necessary to follow up on the myriad  of ideas that have been put on the table here. There is quite a book of  ideas, concepts, possible solutions. And, quite frankly, when you’re  here in the middle of a negotiations is not the best time to do the  technical work, to think through whether they are solutions or not. So  everybody needs to take some time to do that kind of work in a  reflective way.
  We expect that there will be  in some format some discussions yet during the month of August, whether  that’s with Baroness Ashton and Foreign Minister Zarif, whether that’s  among political directors, whether that’s a preliminary discussion  either bilaterally, trilaterally, or in the P5+1 with Iran that’s not  clear. As I said, the UN General Assembly will be a fulcrum both ahead  of it, during it, and after it, because we have a lot of players there  and an easy way to really get some business done.
  So that’s  on the sort of how we’re going to resume and where we’re going to go. I  expect it to be extremely intensive, as it always is.
  SENIOR ADMINISTRATION OFFICIAL THREE: During  the course of the JPOA the first – the six months of the JPOA, Iran  sold oil worth about $25 billion. The vast majority of that revenue has  gone into restricted accounts. Some of it has been released as part of  the agreement in the JPOA, and some of it can be used for bilateral  trade or for humanitarian trade, but we think that the amounts that are  building up in these accounts is – I can’t give you a precise figure on  it, but the amounts are continuing to build up beyond the $100 billion  that they had at the beginning of the JPOA period.
  QUESTION: Could someone just run us very quickly through again what we’ve agreed on the 2 percent and on the R&D?
  SENIOR ADMINISTRATION OFFICIAL TWO:  Iran has confirmed that production of advanced centrifuges will only be  to replace damaged machines. So that means you’re not producing  advanced centrifuges to use on their own, but rather simply to replace  (inaudible). And that’s an important step forward on R&D.
  SENIOR ADMINISTRATION OFFICIAL TWO:  PMD and R&D. These are very – two very difficult subjects. And PMD,  obviously the IAEA takes the lead. We have been very conscious –  everyone here has had meetings with the director general and with his  team at the IAEA. We want to make sure whatever we do not only in the  Joint Plan of Action but in a Comprehensive Joint Plan of Action  reinforces the independence and role of the IAEA which verifies all the  nuclear-related commitments in the JPOA and would in the JCPA as well.
  That  said, we have discussed a way forward on PMD, how we can help leverage  these negotiations to get the kind of cooperation necessary to meet what  the IAEA has set out. As you know, the IAEA will also monitor all the  transparency and verification mechanisms, and most importantly, among  others, the Additional Protocol, which I believe Iran is ready to agree  to in a Comprehensive Plan of Action, and ultimately to be able to  assess that there are no undeclared facilities in Iran, which would be  quite crucial.
  On R&D also a very tough  topic because Iran does not want to stop their scientists from thinking,  learning, and one can’t take away the capability they have. They know  how to do the nuclear fuel cycle. One can’t remove that from the  country. So we want to make sure that R&D is for exclusively  peaceful purposes, but it’s going to be one of the very contentious  subjects in a Comprehensive Joint Plan of Action.
  QUESTION:  We’ve heard discussion of something that might extend for closer to 20  years that involve a larger number of centrifuges. Can you just update  us on where that – where you sort of left that at the end of this  session?
  SENIOR ADMINISTRATION OFFFICIAL TWO:  We also believe very strongly that there needs to be a long duration to  this agreement so that the international community has confidence that  the program is exclusively peaceful. We have said that has to be double  digits, but we’re not going to get into a number on this call. We’re  still in these negotiations.
  QUESTION: There’s  those in Congress who want to move ahead with a delayed sanctions bill  that would basically kick in if the negotiations failed. For the first  official, if Congress sends that bill to the President, will he veto it?  And also, are there any plans for the President to speak again with  President Rouhani?
  SENIOR ADMINISTRATION OFFICIAL ONE:  It continues to be our belief that there should not be any new  sanctions legislation passed during the duration of these negotiations.  So our position on that issue has not changed. We have four months with  this extension. We are continuing to see benefits from the JPOA. We are  continuing to pursue an agreement that we are closer to today than we  were six months ago. So we would continue to oppose new sanctions  legislation during the life of the negotiations.
  Were  the United States to impose additional sanctions unilaterally during  the course of the negotiations, we would be concerned that that could  put at risk the P5+1 unity that is essential to reaching a good  agreement, and could also provoke responses from the Iranians that would  not be constructive in reaching a comprehensive resolution.
  All  of that said, we understand the desire for those in Congress to hold  Iran’s feet to the fire. We believe that Congress helped get us where we  are today because the sanctions helped create the conditions that  brought Iran to the negotiating table. We believe that Iran needs to be  aware that there is the leverage of additional sanctions because  Congress is ready to act at the drop of a hat. And if we are not in  agreement in four months, and if we are not able to point to progress  that justifies continued discussions, we would support additional  sanctions at that type of juncture.
  QUESTION:  I had a question about the ballistic missile program of Iran. I  wondered if there’s been any progress made in dealing with that, because  so far the Iranians have been quite adamant about not wanting to  discuss it, though we have heard that all issues raised in Security  Council resolutions must be dealt with during the process.
  SENIOR ADMINISTRATION OFFICIAL TWO:  Long-range missiles capable of carrying nuclear weapons are referred to  in the Security Council resolutions, and so we will have to address it  in some way. How we will resolve that issue, how appropriate it will be,  I think remains to be seen. I don’t think the aim is to go after the  military’s conventional program, though obviously we are all concerned  about Iran’s activities in Syria, in Gaza, in Iraq, in other parts of  the world that can be destabilizing. But what we are focused here on in  this agreement are nuclear warheads that can find a delivery mechanism  that endangers the safety and security of the world.
  Secretary of State John Kerry 
July 18, 2014 statement
  As  President Obama and our entire administration has made clear, we are  committed to testing whether we can address one of the world’s most  pressing priorities – ensuring that Iran does not obtain a nuclear  weapon – through the diplomatic negotiations in which we and our  international partners are currently engaged.
  This  effort remains as intense as it is important, and we have come a long  way in a short period of time. Less than a year ago, President Obama and  Iranian President Rouhani spoke for the first time to try to usher in a  new diplomatic moment, and I held the first bilateral meeting between a  Secretary of State and an Iranian Foreign Minister in more than three  decades.
  Since that time, we’ve been intensely  engaged in a constant and comprehensive effort – the best chance we’ve  ever had to resolve this issue peacefully. This effort has been made  possible by the Joint Plan of Action, which stopped the progress of  Iran’s nuclear program – and rolled parts of it back – for the first  time in a decade.
  The JPOA was a six-month  understanding that went into effect on January 20, and it has been a  clear success. Since its implementation, Iran has complied with its  obligations to neutralize its stockpile of 20 percent enriched uranium;  cap its stockpile of 5 percent enriched uranium; not install advanced  centrifuges; not install or test new components at its Arak reactor; and  submit to far more frequent inspections of its facilities. The  International Atomic Energy Agency has regularly verified that Iran has  lived up to these commitments. Meanwhile, we and our P5+1 and EU  partners have provided limited sanctions relief, as agreed to in the  Joint Plan of Action, while vigorously enforcing the broader sanctions  regime that remains in place.
  As I said on  Monday in Vienna, it is clear to me that we have made tangible progress  in our comprehensive negotiations, but there are very real gaps in some  areas. Today, we have a draft text that covers the main issues, but  there are still a number of brackets and blank spaces in that text.
  In  terms of progress, we have been working together to find a long-term  solution that would effectively close off the plutonium path to a bomb  through the reactor at Arak. We have been working on a different purpose  for Fordow that would ensure it cannot be used to build a nuclear  weapon. We have been working to guarantee Iran’s stockpile of low  enriched uranium can’t be turned into higher enriched uranium suitable  for a bomb. And we have agreed that any long-term, comprehensive  solution will involve enhanced monitoring and verification measures that  go well beyond the status quo – measures that are absolutely critical  in creating the confidence we need that Iran will not be able to build a  weapon in secret. There are other areas where we’ve made progress;  these are just some of the most important. Of course, on all these  issues there is still work to do and differences to resolve, but we have  made real progress.
  Still, there are very  real gaps on issues such as enrichment capacity at the Natanz enrichment  facility. This issue is an absolutely critical component of any  potential comprehensive agreement. We have much more work to do in this  area, and in others as well.
  Diplomacy takes  time, and persistence is needed to determine whether we can achieve our  objectives peacefully. To turn our back prematurely on diplomatic  efforts when significant progress has been made would deny ourselves the  ability to achieve our objectives peacefully, and to maintain the  international unity that we have built. While we’ve made clear that no  deal is better than a bad deal, the very real prospect of reaching a  good agreement that achieves our objectives necessitates that we seek  more time.
  As a result, we have decided –  along with the EU, our P5+1 partners, and Iran – to extend the Joint  Plan of Action until November 24, exactly one year since we finalized  the first step agreement in Geneva. This will give us a short amount of  additional time to continue working to conclude a comprehensive  agreement, which we believe is warranted by the progress we’ve made and  the path forward we can envision.
  Under this  short extension, all parties have committed to upholding their  obligations in the Joint Plan of Action. For the next four months, we  will continue to halt the progress of Iran’s nuclear program in key  areas. In addition, Iran has committed to take further nuclear-related  steps in the next four months that are consistent with the types of  steps that they committed to in the JPOA. These include a continued cap  on the amount of 5 percent enriched uranium hexafluoride and a  commitment to convert any material over that amount into oxide.
  In  the JPOA, Iran diluted half of its 20 percent enriched uranium  hexafluoride and converted the rest to oxide. In this extension, Iran  has committed to go one step further and make all of this 20 percent  into fuel for the Tehran Research Reactor. Twenty-five kilograms of this  material will be converted into fuel by the end of the extension. Once  the 20 percent material is in fuel form, it will be very difficult for  Iran to use this material for a weapon in a breakout scenario.  Attempting to do so would be readily detected by the IAEA and would be  an unambiguous sign of an intent to produce a weapon.
  In  return, we will continue to suspend the sanctions we agreed to under  the JPOA and will allow Iran access to $2.8 billion dollars of its  restricted assets, the four-month prorated amount of the original JPOA  commitment. Let me be clear: Iran will not get any more money during  these four months than it did during the last six months, and the vast  majority of its frozen oil revenues will remain inaccessible. And, just  as we have over the last six months, we will continue to vigorously  enforce the sanctions that remain in place.
  Ultimately,  our goal in pursuing this brief extension is to capitalize on the  progress we’ve already made, while giving us the best chance of success  at the end of this process. Critically, Iran’s nuclear program will  remain halted during the next four months. This is in our interest, and  in the interest of our allies. And as we pursue this path, we will  continue to consult with those allies and with the Congress about this  critical issue.
  We do so mindful not just of  where we hope to arrive, but of how far we have come. One year ago, few  would have predicted that Iran would have kept all its commitments under  a first step nuclear agreement, and that we would be actively  negotiating a long-term comprehensive agreement. Now we have four  additional months to determine the next miles of this difficult  diplomatic journey. Let’s all commit to seize this moment, and to use  the additional time to make the fundamental choices necessary to  conclude a comprehensive agreement that makes the entire world a safer  place.     
  The White House – Office of the Press Secretary
  July 18, 2014
  Statement by the Press Secretary on the Extension of Iran Nuclear Talks
  Over  the past year, the United States – in coordination with the European  Union and our P5+1 partners – has undertaken an unprecedented diplomatic  effort with the Islamic Republic of Iran to achieve a comprehensive  solution to prevent Iran from acquiring a nuclear weapon. We reached an  initial milestone in November when all of the parties agreed to the  Joint Plan of Action, under which Iran committed to halt the progress of  its nuclear program, roll it back in key respects, and allow for  unprecedented access for international inspectors in exchange for a  modest amount of sanctions relief. 
  As  verified by the International Atomic Energy Agency, Iran has met its  commitments under that initial accord – ceasing its enrichment of  uranium to higher levels; taking steps to neutralize its more dangerous  stockpile of nuclear material; refraining from installing more  centrifuges, including its more advanced models; halting advances at its  Arak reactor; and submitting to broader and far more frequent  inspections of its facilities. Meanwhile, the relief provided by the  P5+1 and EU has been limited, and the overwhelming majority of our  sanctions remain in force.
  By preventing Iran  from making progress toward a nuclear weapon, by making its nuclear  program more transparent, and by keeping the pressure on Iran, the Joint  Plan of Action achieved its broader purpose – providing time and space  to work toward a long-term solution that would ensure that Iran’s  nuclear program will be exclusively peaceful. Over the past six months,  our diplomats have engaged in intensive negotiations with Iran to reach  that goal.   
  Our negotiators have made  progress in some areas and, while real gaps remain, there is a credible  prospect for a comprehensive deal. Because of this – and because Iran  has upheld its commitments under the initial accord – we agreed today to  extend the Joint Plan of Action to November 24. This extension will  allow us to continue the negotiations while ensuring that the progress  of Iran’s nuclear program remains halted during the negotiations. The  issues before us are complex, and we have more work to do to resolve  them. Our goal is clear – to reach a comprehensive deal that addresses  the various pathways Iran could take to obtain a nuclear weapon, by  imposing strict limits on Iran’s enrichment capacity and facilities,  eliminating our proliferation concerns with its Arak reactor, and  establishing additional verification measures that will help us detect  any covert activities or attempts to breakout as quickly as possible.
  Throughout  this process, we have consulted regularly with Congress, whose efforts  have been critical in supporting this diplomatic opportunity. We have  also engaged closely with our regional partners and allies –  particularly Israel and our Gulf partners – given our shared interest in  preventing Iran from acquiring a nuclear weapon and the United States’  enduring commitment to regional security. Lastly, we have vigorously  enforced the sanctions regime that remains in place, and will continue  to do so throughout the duration of this extension.
  Going  forward, we have an opportunity to achieve a lasting, diplomatic  solution that will resolve one of the most pressing national security  issues of our time. We will not accept anything less than a  comprehensive resolution that meets our objectives, which is why it is  necessary for negotiations to continue. By moving forward, we will be  able to preserve international unity, continue to halt the progress of  Iran’s nuclear program, and pursue a comprehensive resolution that is  coming into shape.
July 20 interview with Fox News
            They’re reducing their enrichment, and the fact is that this is the  first time in 10 years, under this current deal, that Iran’s nuclear  program is being rolled back.  And I know you and others don’t ever want  to give the Obama Administration credit for almost anything, but the  fact is this is the first administration to get a rollback in those 10  years, and right now Israel and countries in the region and the world  are safer because Iran’s 20 percent enriched uranium is now being  reduced to zero, and under this agreement to continue the negotiations  for four months, Iran will further reduce the capacity of that enriched  uranium to be used by turning it into fuel for the research reactor,  which makes it almost impossible to be used in a weapon.  In addition,  we have inspectors in their facilities every single day.  In addition to  that, they have not been able to move forward on the Arak plutonium  heavy water reactor.
               Everybody  said at the beginning of this the sanctions won’t work, the sanctions  regime won’t hold, Iran won’t do what it’s supposed to, and they’re dead  wrong.  Everything that Iran was supposed to do they have done with  respect to this, and we believe – and the sanctions have held, and we  believe that it is smart to continue the negotiation as Israel even and  others said don’t rush to an agreement; a bad deal is worse than no  deal.  And we agree, and so we’re trying to move, but we are making some  progress, Chris, and we’re not going to turn our back on that  progress.  We’re going to try to continue for the next four months, and I  think what we’re doing by holding their nuclear program at a lower  level, we’ve expanded the breakout time, the world is safer, and this is  a smart deal.
