Russia says new EU sanctions on Iran "unacceptable"

EU High Representative for Foreign Affairs and Security Policy Catherine Ashton (C) talks to the media during an EU foreign affairs ministers meeting in Brussels July 26, 2010. EU foreign ministers approved tighter sanctions on Iran over its disputed nuclear programme on Monday, with steps to block oil and gas investment and curtail Tehran's refining and natural gas capability.

MOSCOW (Reuters) - Russia condemned new EU sanctions on Iran on Tuesday, tempering hopes of closer cooperation between Moscow and the West over Iran's nuclear program.

EU foreign ministers on Monday approved a range of extra restrictions on Iran that went well beyond U.N. sanctions agreed last month. They included a ban on dealing with Iranian banks and insurance companies as well as steps to prevent investment in Tehran's lucrative oil and gas sector.

"This not only undermines our joint efforts to seek a political and diplomatic settlement around Iran's nuclear program, but also shows disdain for the carefully calibrated and coordinated provisions of the UN Security Council resolutions," the foreign ministry said in a statement.

The use of sanctions outside of the UN Security Council framework is "unacceptable," the statement said.

The statement also criticized unilateral U.S. sanctions approved by Congress on June 24 aimed at squeezing Iran's energy and banking sectors. The EU and U.S. moves "display their disdain for the principles of collaboration," it said.

The comments show that despite a deterioration in ties between Tehran and Moscow this year, significant disagreements with the West remain.

"If the West wants something more from Moscow, beyond the UN sanctions it supported, it will have to earn it," said Fyodor Lukyanov, editor of the Russia in Global Affairs journal.

Yet, Moscow's criticism of the West does not automatically mean better ties with Iran, he said. "Russia's opposition to unilateral sanctions is a position of principle, it does not amount to Russia supporting Tehran."

Russia's decision to back U.N. sanctions in June represented a shift from years of support for Iran. Sharp words from Moscow and Tehran in recent days show relations remain tense.

Russian President Dmitry Medvedev made his toughest comments yet on Iran's nuclear program in July, saying that Tehran was moving closer to having the potential to create nuclear weapons. Tehran says its nuclear program is peaceful.

Iranian President Mahmoud Ahmadinejad said those comments were part of a "propaganda play" orchestrated by Washington. The Russian Foreign Ministry hit back on Monday, accusing Ahmadinejad of "fruitless, irresponsible rhetoric.

(Editing by Maria Golovnina)