Iran stated that it was communicating with major powers to resume discussions on its nuclear program soon. However, both Washington and the European Union denied this and urged Tehran to demonstrate its willingness to participate in talks. A year after the breakdown of the last negotiations, tensions are rising over Iran's nuclear activities, which the US and other nations claim are aimed at developing nuclear weapons. Iran refutes these allegations. The EU is getting ready to increase sanctions against Iran by implementing an embargo on its crucial oil exports. EU diplomats revealed that member countries had also tentatively agreed to freeze the assets of Iran's central bank, although they were still discussing how to safeguard non-oil trade from sanctions. Iran has issued a threat to close the Strait of Hormuz, which is responsible for a significant portion of the world's oil trade by sea, if it is unable to sell its own oil. This has raised concerns about the possibility of a conflict in the Gulf region that could escalate tensions in the Middle East. Iranian officials have mentioned that U.S. President Barack Obama has shown willingness to engage in negotiations through a letter to Tehran, which could potentially ease the recent increase in oil prices. Iranian Foreign Minister Ali Akbar Salehi stated during a visit to Turkey that discussions are ongoing regarding the location and date of the negotiations, and it is likely that the talks will take place in Istanbul. The day has not yet been finalized, but it will be soon. Washington denied that there were any new discussions happening regarding resuming talks, but did not comment on whether Obama had sent a letter to Tehran. State Department spokeswoman Victoria Nuland stated on Wednesday that there are currently no discussions about talks taking place. She explained that the focus is on making it clear to the Iranians that if they are serious about discussing their nuclear program and being transparent with the international community, the US is open to a conversation. White House spokesman Jay Carney also refrained from commenting on the reports about a letter, stating that specific diplomatic communications are not discussed. The United States is urging countries to decrease their purchases of Iranian oil in accordance with a new sanctions law signed by Obama on December 31, which aims to limit Tehran's ability to sell crude oil. This denial from the State Department was supported by a spokesperson for EU foreign policy chief Catherine Ashton, who represents the six world powers attempting to engage with Iran. "There are currently no discussions in progress regarding new talks," he stated in Brussels. "We are still awaiting a response from Iran to the substantial proposals put forth by the High Representative (Ashton) in her letter from October." British Foreign Secretary William Hague emphasized the need for Iran to be prepared for serious negotiations. He emphasized the importance of actual negotiations in the European Union regarding additional sanctions, despite an offer of negotiations from Iran. He stated that the suggestion of negotiations alone will not deter them from imposing sanctions. He expressed the need for meaningful negotiations and mentioned that pressure for peaceful but legitimate measures will continue if negotiations do not occur. He referred to a meeting of EU ministers that will discuss an oil embargo on Iran and mentioned that Tehran denies seeking nuclear weapons, claiming its enrichment work is for power generation and medical purposes. Defense Secretary Leon Panetta stated that the U.S. military is fully prepared to handle any threats from Iran regarding the closure of the Strait of Hormuz. Ashton, in a letter to Iranian negotiator Saeed Jalili, emphasized the West's desire to resume talks, but insisted that Iran must be willing to engage in serious discussions about ensuring the peaceful nature of its nuclear activities. Iran has consistently pushed for talks on broader international security issues rather than focusing solely on its nuclear program in sporadic meetings over the past five years. The most recent talks between Iran and the permanent members of the U.N. Security Council, along with Germany, came to a standstill in Istanbul a year ago due to an inability to agree on an agenda. Since then, a report from a U.N. nuclear watchdog has raised concerns about Iran's potential work on developing a nuclear weapon, leading to a prolonged deadlock in negotiations. EU foreign ministers are likely to approve a gradual ban on imports of Iranian oil during their meeting on January 23, following a recent US law that would prevent most countries from buying Iranian oil by freezing out any institution dealing with Iran's central bank. According to an EU diplomat, there has been progress in discussions regarding the central bank, with widespread agreement on the principle of the ban. Iran has expressed readiness to negotiate, but has also begun moving uranium enrichment to a secure bunker to protect against potential air strikes by Israel. Western diplomats are stating that Tehran needs to demonstrate a readiness to change its direction in potential new negotiations. Tehran is insisting that other countries must acknowledge its right to enrich uranium, a nuclear fuel that can be used for atomic bombs if enriched to levels higher than those needed for power plants. Russia, a member of the six power group that has criticized the recent EU and U.S. sanctions, has warned that the military option proposed by the United States and Israel could trigger a devastating conflict in the Middle East. Israeli Prime Minister Benjamin Netanyahu reiterated his stance that Iran should not be allowed to obtain nuclear weapons while visiting the Netherlands. Earlier in the day, Defence Minister Ehud Barak stated that a decision on a potential Israeli attack on Iran is not imminent. China and Russia both oppose the new Western efforts to halt Iran's oil exports, with China stating that the U.S. sanctions signed by Obama are not grounded in international law. Iranian officials claimed that Obama responded to Iran's threat to close the Strait of Hormuz by sending a letter to Ayatollah Ali Khamenei, which included an offer for talks. Lawmakers in Iran's parliament discussed the letter, with lawmaker Ali Mottahari stating that it mentioned closing the Strait of Hormuz as the U.S.'s 'red line' and requested direct negotiations.