Baltic States – CIS, Energy, EU – Baltic States, Gas, Latvia, Legislation, Oil

Asked about the agreement reached between world powers and Iran on restricting the country's nuclear program in exchange for sanctions relief, Dauksts said that this is a very important deal, but added that ''major results are not expected in the near future''.

''It is most likely there will not be an immediate reduction in oil prices. This usually does not happen so quickly,'' he said. Dauksts added that the most important thing at the moment is to look at the reaction of Iran's neighbors and the surrounding region to the agreement. ''For example, Israel is not very happy at the agreement. But it is too early to analyze the impact the agreement will have,'' he said, adding that ''we should also be looking at international logic'' on this matter.

Asked how the EU might benefit from this deal, Dauksts said that the EU will certainly benefit, and that the agreement itself could become an additional incentive in discussions with Russia. ''This could serve as certain leverage in talks with Gazprom and other suppliers, as Iran will become an important components in Europe's energy and economic development,'' he predicted.

The AFP news agency reports that major powers clinched a historic deal Tuesday aimed at ensuring Iran does not obtain the nuclear bomb, opening up Tehran's stricken economy and potentially ending decades of bad blood with the West.

Reached on day 18 of marathon talks in Vienna, the accord is aimed at resolving a 13-year standoff over Iran's nuclear ambitions after repeated diplomatic failures and threats of military action. It was hailed by Iran, the United States, the European Union and others but branded a "historic mistake" by the Islamic republic's archfoe Israel.

The deal puts strict limits on Iran's nuclear activities for at least a decade and calls for stringent UN oversight, with world powers hoping this will make any dash to make an atomic bomb virtually impossible.

In return Iran will get sanctions relief although the measures can "snap back" into place if there are any violations.

Painful international sanctions that have slashed the oil exports of OPEC's fifth-largest producer by a quarter and choked its economy will be lifted and billions of dollars in frozen assets unblocked.