University Daily Kansan, September 26, 1980 Page 3 Iraqis gain; offer peace terms By United Press International BAGHDAD, Iraq—Iraq, after claiming the capture of the Iranian oil port of Khramrushran yesterday, said it was ready to make "immediate peace" with Iran if four conditions were met. Elsewhere in the undeclared four-day-old war, Iraqi tanks and troops pushed further into Iran to claim control of 100 square miles of Iranian territory. Iraqi and Iranian warplanes bombed each other's oil installations, and thousands of foreigners fled the war zone. At the United Nations, Secretary of State Edmund Muskie discussed the crisis with Soviet Foreign Minister Andrei Gromyko for three-and-a-half hours. Muskie wearily emerged to say that he saw no hope for an immediate end to the war between the two OPEC countries. The fall of Khorramshahr, a city of 150,000 on the disputed Shatt-al-Arab Waterway, would mark the most significant military gain so far by Iraq. Iran did not mention Khorramshahr in its military bulletins, and there was no immediate confirmation of the capture claim. The city had been besieged and cut off from the rest of Iran for the past two days. Iraqi Vice Premier Tarik Aziz said in Paris that his country had accomplished its objectives in Iran and was ready to make "immediate peace" if Tehran complied with four conditions. Persian Gulf still open; shut-off a peril to U.S. By United Press International Giant oil tankers still moved slowly into the Persian Gulf yesterday on the fourth day of the Iran-Iraq war. But the United States has prolonged shutdown of gulf shipping lanes could drive the United States into the worst depression in its history. About 17.3 million barrels of oil pass through the Gulf's Strait of Hormuz each day. The United States imports 2 million barrels a day of Persian Gulf oil, or about 9 percent of total U.S. oil needs. Japan relies on the forbait on about 70 percent of its oil and Western Europe for 45 percent. Western observers expressed concern that Iran would attempt to blockade the Strait to put world The fighting has forced the two warring OPEC nations to halt oil exports totaling 2.7 million barrels a day. pressure on Iraq to withdraw from Iranian territory. Aziz said the conditions were: respect for Iraq's sovereignty over its territory and waterways—presumably including the Shatt-al-Arab Waterway, establishment of good relations with both Iraq and the Arab world, non-interference in Iraqi internal affairs and "cessation of all aggressive acts." A recent Library of Contress study estimated that the loss of 2 million barrels a day of Persian Gulf oil would reduce U.S. economic growth by 2.3 percent, add 2.5 percentage points to the U.S. inflation rate and raise pump prices by 98 cents a gallon over a two-year period. A sustained Gulf cutoff would exact a far heavier economic toll, however, because it would activate the International Energy Agency's emergency trigger mechanism under which the United States and 19 other nations have agreed to share oil supplies. Despite Iraq's offer, Iranian planes pressed rocket and bombing raids on Baghdad, the Iraqi capital, and on almost every major oil center in Iraq. Iraq admitted that a gas refinery at Ain Zalah—all the way across the country near the Syrian border—had been attacked and set fire. Iran now stands virtually isolated among its Middle East neighbors. Saudi Arabia's King Khaled yesterday gave Baghdad significant support by backing the Iraqi side in war. Two other moderate Arab states, Mauritania and Morocco, joined the Saudis in voicing support for Iraq. Jordan and North Yemen already have said that they stand behind Iraq, leaving Iran, which is a non-Arab state, with few friends in the conflict. 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