Golf: McIlroy pulls out of PGA event with toothache

PALM BEACH GARDENS, Florida: World No. 1 and defending champion Rory McIlroy withdrew from the US PGA Honda Classic during his second round on Friday, saying he was struggling due to pain from a sore wisdom tooth.

McIlroy struggled through the back nine on Friday, his opening nine holes of the round, and hit his approach at the 18th into water. He then walked off the course and quickly departed the grounds with his coach and caddie.

"I sincerely apologise to The Honda Classic and PGA Tour for my sudden withdrawal," McIlroy said. "I have been suffering with a sore wisdom tooth, which is due to come out in the near future."

It was the first time in his career that McIlroy withdrew from a tournament and it comes as the 23-year-old from Northern Ireland struggles to find his form after switching to Nike equipment for this season.

McIlroy is a 6-1 co-favorite with 14-time major champion Tiger Woods in next month's Masters, but the tooth issue could dim his bid to add to a major haul that includes the 2011 US Open and 2012 PGA Championship.

"It began bothering me again last night," said McIlroy. "It was very painful again this morning, and I was simply unable to concentrate. It was really bothering me and had begun to affect my playing partners."

McIlroy gave no hint as to how the injury might impact his plans for playing in the weeks leading up to the year's first major tournament at Augusta National.

He had plans to play next week in a World Golf Championships event at nearby Doral and the Houston Open in the week before the Masters.

Especially gutting for McIlroy was the fact the pain flared as he was trying to defend the title he won a year ago to put himself atop the world rankings for the first time in his career.

"I came here with every intention of defending my Honda Classic title," said McIlroy. "Even though my results haven't revealed it, I really felt like I was rounding a corner. This is one of my favorite tournaments of the year and I regret having to make the decision to withdraw, but it was one I had to make."

McIlroy endured a horror-show start on Friday alongside South Africa's Ernie Els, the reigning British Open champion, and American Mark Wilson.

At the par-4 11th, he nearly put his approach into the water, then chipped across the green on his way to a double bogey.

On the par-4 13th, McIlroy went way to the right off the tee and missed a six-foot par putt.

After a pair of pars, he put his tee shot into the water at the par-4 16th, then took a drop and put his third shot into the water as well on the way to a triple bogey.

At the par-3 17th, the Northern Irishman three-putted from 42 feet for bogey to stand seven-over par for the round through eight holes.

McIlroy, who missed the cut in his first 2013 start at Abu Dhabi and lost in the first round of the WGC Match Play Championship last week, opened with a par-70 on Thursday but admitted he was still working on his timing and adjusting to his new clubs.

"It's hard to commit to the shot that you need to play every time," McIlroy said Thursday. "I felt like I hit the ball OK, not as good as I can, but it's getting there."

-AFP/ac

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Ramdev's land row: Himachal govt offers out of court settlement

SHIMLA: The Himachal Pradesh government on Friday offered an "out of court" settlement with yoga teacher Ramdev on the issue of cancellation of land leased to his trust.

"Himachal Pradesh government is not averse to out of the court settlement with yoga teacher Ramdev on the cancellation of land leased to Patanjali Yogapeeth in case the Yogapeeth Trust makes any such offer," state revenue minister Kaul Singh Thakur said on Friday.

The offer came two days after the HP high court directed the state government to maintain status quo on Ramdev's land.

The court's February 27 order had come less than a week after the state government took possession of the land in Solan district alleging that previous BJP government had violated state's laws in allotting the plot.

"There is no question of any political vendetta and we are on a very strong legal ground and action to cancel the lease and resume the land has been taken as the land lease violated the norms and laws but at the same time, we are not against any amicable settlement," the minister said.

However, Thakur said that the state government would defend its action in the court.

He said that since trust has gone to the court, the offer for out of the court settlement has to be from the trust but for any settlement the government would carry out the evaluation of the property built up by the trust on the leased land on its own and then proceed further.

Thakur said the Congress, while in opposition, had opposed the then BJP government's move to extend 96.5 bighas of land on lease to Patanjali in violation of norms at Sadhupul in Solan district.

"It formed part of Congress's charge sheet against the then BJP government. That is why we have taken immediate action on it," he said.

Thakur said the government had followed proper procedures and would not like to demolish the structure raised on it.

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WHO: Slight cancer risk after Japan nuke accident

LONDON (AP) — Two years after Japan's nuclear plant disaster, an international team of experts said Thursday that residents of areas hit by the highest doses of radiation face an increased cancer risk so small it probably won't be detectable.

In fact, experts calculated that increase at about 1 extra percentage point added to a Japanese infant's lifetime cancer risk.

"The additional risk is quite small and will probably be hidden by the noise of other (cancer) risks like people's lifestyle choices and statistical fluctuations," said Richard Wakeford of the University of Manchester, one of the authors of the report. "It's more important not to start smoking than having been in Fukushima."

The report was issued by the World Health Organization, which asked scientists to study the health effects of the disaster in Fukushima, a rural farming region.

On March 11, 2011, an earthquake and tsunami knocked out the Fukushima plant's power and cooling systems, causing meltdowns in three reactors and spewing radiation into the surrounding air, soil and water. The most exposed populations were directly under the plumes of radiation in the most affected communities in Fukushima, which is about 150 miles (240 kilometers) north of Tokyo.

In the report, the highest increases in risk are for people exposed as babies to radiation in the most heavily affected areas. Normally in Japan, the lifetime risk of developing cancer of an organ is about 41 percent for men and 29 percent for women. The new report said that for infants in the most heavily exposed areas, the radiation from Fukushima would add about 1 percentage point to those numbers.

Experts had been particularly worried about a spike in thyroid cancer, since radioactive iodine released in nuclear accidents is absorbed by the thyroid, especially in children. After the Chernobyl disaster, about 6,000 children exposed to radiation later developed thyroid cancer because many drank contaminated milk after the accident.

In Japan, dairy radiation levels were closely monitored, but children are not big milk drinkers there.

The WHO report estimated that women exposed as infants to the most radiation after the Fukushima accident would have a 70 percent higher chance of getting thyroid cancer in their lifetimes. But thyroid cancer is extremely rare and one of the most treatable cancers when caught early. A woman's normal lifetime risk of developing it is about 0.75 percent. That number would rise by 0.5 under the calculated increase for women who got the highest radiation doses as infants.

Wakeford said the increase may be so small it will probably not be observable.

For people beyond the most directly affected areas of Fukushima, Wakeford said the projected cancer risk from the radiation dropped dramatically. "The risks to everyone else were just infinitesimal."

David Brenner of Columbia University in New York, an expert on radiation-induced cancers, said that although the risk to individuals is tiny outside the most contaminated areas, some cancers might still result, at least in theory. But they'd be too rare to be detectable in overall cancer rates, he said.

Brenner said the numerical risk estimates in the WHO report were not surprising. He also said they should be considered imprecise because of the difficulty in determining risk from low doses of radiation. He was not connected with the WHO report.

Some experts said it was surprising that any increase in cancer was even predicted.

"On the basis of the radiation doses people have received, there is no reason to think there would be an increase in cancer in the next 50 years," said Wade Allison, an emeritus professor of physics at Oxford University, who also had no role in developing the new report. "The very small increase in cancers means that it's even less than the risk of crossing the road," he said.

WHO acknowledged in its report that it relied on some assumptions that may have resulted in an overestimate of the radiation dose in the general population.

Gerry Thomas, a professor of molecular pathology at Imperial College London, accused the United Nations health agency of hyping the cancer risk.

"It's understandable that WHO wants to err on the side of caution, but telling the Japanese about a barely significant personal risk may not be helpful," she said.

Thomas said the WHO report used inflated estimates of radiation doses and didn't properly take into account Japan's quick evacuation of people from Fukushima.

"This will fuel fears in Japan that could be more dangerous than the physical effects of radiation," she said, noting that people living under stress have higher rates of heart problems, suicide and mental illness.

In Japan, Norio Kanno, the chief of Iitate village, in one of the regions hardest hit by the disaster, harshly criticized the WHO report on Japanese public television channel NHK, describing it as "totally hypothetical."

Many people who remain in Fukushima still fear long-term health risks from the radiation, and some refuse to let their children play outside or eat locally grown food.

Some restrictions have been lifted on a 12-mile (20-kilometer) zone around the nuclear plant. But large sections of land in the area remain off-limits. Many residents aren't expected to be able to return to their homes for years.

Kanno accused the report's authors of exaggerating the cancer risk and stoking fear among residents.

"I'm enraged," he said.

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Mari Yamaguchi in Tokyo and AP Science Writer Malcolm Ritter in New York contributed to this report.

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Online:

WHO report: http://bit.ly/YDCXcb

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Benedict Departs Vatican for the Last Time as Pope

Pope Benedict XVI bade his final farewell to the faithful today, lifting off from the Vatican in a white helicopter as the first pope to resign in six centuries.

Just before 5 p.m. local time, Benedict, 85, walked out of the Vatican for the last time as pope, waving to a cheering crowd in the Courtyard of San Damaso as he entered a black Mercedes for the short drive to a nearby heliport.

In a tweet sent from Benedict XVI @Pontifex as his motorcade rolled to the heliport, Benedict said, "Thank you for your love and support. May you always experience the joy that comes from putting Christ at the centre of your lives."

READ MORE: Pope Benedict XVI Delivers Farewell Address

With church bells ringing across Rome, he then embarked on the 15-minute flight to Castel Gandolfo, the papal summer residence just south of the city and his home for the coming months when he'll be recognized by the church as His Holiness Benedict XVI, Pope Emeritus.

When Benedict landed in the gardens at Castel Gandolfo, he was greeted by a group of dignitaries, including the governor of the Vatican City state Giovanni Bertello, two bishops, the director of the pontifical villas, and the mayor and parish priest. Off the helicopter and back into a car, Benedict headed to the palace.

Vincenzo Pinto/AFP/Getty Images

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In the plaza at Castel Gandolfo, a crowd of supporters, many waving flags or banners, some peering out of windows, gathered to welcome Benedict. When Benedict finally appeared on the balcony, the crowd erupted in applause.

"Thank you for your friendship, your affection," Benedict told them.

Benedict said he was "just a pilgrim starting the last lap of his earthly journey."

After his brief address to the crowd, Benedict waved one last time and walked back into the palace as the sun set around the square.

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In his final remarks earlier in the day to colleagues in the Roman Catholic Church, Benedict had promised "unconditional reverence and obedience" to his eventual successor.

Benedict, in a morning meeting at the Vatican, urged the cardinals to act "like an orchestra" to find "harmony" moving forward.

Benedict spent a quiet final day as pope, bidding farewell to his colleagues and moving on to a secluded life of prayer, far from the grueling demands of the papacy and the scandals that have recently plagued the church.

His first order of business was a morning meeting with the cardinals in the Clementine Hall, a room in the Apostolic Palace. Despite the historical nature of Benedict's resignation, not all cardinals attended the event.

Angelo Sodano, the dean of the College of Cardinals, thanked Benedict for his service to the church during the eight years he has spent as pontiff.

Pope Benedict's Last Sunday Prayer Service

For some U.S. Catholics in Rome for the historic occasion, Benedict's departure is bittersweet. Christopher Kerzich, a Chicago resident studying at the Pontifical North American College of Rome, said Wednesday he is sad to see Benedict leave, but excited to see what comes next.

"Many Catholics have come to love this pontiff, this very humble man," Kerzich said. "He is a man who's really fought this and prayed this through and has peace in his heart. I take comfort in that and I think a lot of Catholics should take comfort in that."

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Football: 'Business as usual' for Chelsea after Rafa blast

LONDON: Chelsea insisted Thursday would be just another day at the office despite interim manager Rafael Benitez hitting out at the club's fans and management the day before.

Benitez launched a broadside following his side's 2-0 win at Middlesbrough in the FA Cup fifth round on Wednesday, criticising fans for protesting against him and questioning why he was only appointed on a temporary basis.

His outburst sparked speculation on social media that his position was in immediate danger, but a spokesperson for the club said: "It's business as usual."

Benitez was expected to take training as scheduled on Thursday as the European champions began preparations for Saturday's league game with West Bromwich Albion.

The 52-year-old Spaniard has risked the wrath of owner Roman Abramovich by asking why the club insisted on making him an 'interim' manager when he replaced the sacked Roberto di Matteo in November.

"I have a title. Someone decided the title would be 'interim'. Why? Just in case?" he said on Wednesday.

"If they want to blame me for everything that is wrong and then they say, 'We will put interim just in case,' fine, that is your decision.

"I don't agree, but it's your decision and now everybody has to take responsibility. If we are in the Champions League, I will be the happiest man in the world.

"But next year, I will leave anyway because I have finished my contract, so they (his critics) don't need to be worried about me. What they have to do is concentrate on supporting the team.

"I have a contract until the end of the season, that's it, so they don't need to be worried about me."

Benitez has faced opposition from a core of disillusioned Chelsea fans ever since he arrived at the club but he says those supporters have unrealistic expectations about the current squad.

"It's a team in transition -- they don't realise," said the former Liverpool manager.

"In the past, we had (Didier) Drogba, (Michael) Essien, (Salomon) Kalou. These players, it was a very strong squad, players with experience in the Premier League.

"Now we have a group of players with talent, really good players with talent, but they need time. It's a time of transition.

"But they don't realise it was a time of transition when I came here."

Benitez received support from some of his fellow Premier League managers, with Fulham's Martin Jol expressing sympathy for the Spaniard's predicament.

"I feel for any manager who is not well-liked and he wasn't well-liked from the start, so I feel for him," said Jol.

"He is a professional so he will probably do his job until the end of the season."

Newcastle United manager Alan Pardew agreed that being installed as an 'interim' manager had undermined Benitez from the start.

"The title probably didn't do him any favours," Pardew said.

"It probably didn't help Chelsea, and perhaps even upstairs, they might regret that title, if you want to call it that.

"He's a great manager; they are a great club. They will sort it out."

West Brom manager Steve Clarke, whose side visit Stamford Bridge on Saturday, also spoke out in support of Benitez.

"It is difficult for me to say whether it was a rant or not by Rafa because I didn't hear the interview," said the former Chelsea player and assistant coach.

"I read it and seeing a transcription is different to hearing someone say something.

"But I didn't see a lot wrong in what he said. The script, as it was written down, was OK.

"I think by and large we are all interim. Someone is going to come and take your position at some stage."

"Only Sir Alex (Ferguson) and maybe Arsene Wenger can say they are in it for the long haul, but eventually someone is going to take your job so we are all temporary managers."

-AFP/ac

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Manik Sarkar, son of tailor, to be Tripura chief minister again

AGARTALA: Tripura chief minister Manik Sarkar, set to assume office for a fourth time after leading the Left to a huge electoral win, is the son of a tailor who still washes his own clothes.

An unassuming man, the 64-year-old got down to work no soon than he was declared the winner from Dhanpur constituency. He met CPM leaders and activists at Sonamura, 60km from here.

On Thursday, the Communist Party of India (Marxist) bagged 49 of the 60 seats while its ally Communist Party of India won one seat. The Congress finished with only 10 seats.

It was the best result for the Left since 1978 when the legendary Nripen Chakraborty-led CPM swept 56 seats. This time, Sarkar helped the Left Front increase its 2008 tally by one seat.

Undoubtedly, the "poorest" chief minister in India, Sarkar, according to documents filed with the Election Commission, has Rs.10,800 in cash.

In line with CPM rules, Sarkar gives away his salary to the party, which pays him Rs 5,000 a month.

He is probably India's only chief minister who does not own a home, car or bank balance worth mentioning.

He does not even have a mobile phone and has never used the red beacon on his official car.

Sarkar's wife Panchali Bhattacharjee, 62, who retired as a government employee in 2010, has Rs 22,015 in cash and Rs.24,52,395 as savings. The couple has no children.

She said her husband still washed his clothes every morning.

"My wife's pension can sustain us. My expenses are a small pot of snuff and a cigarette a day," Sarkar said.

After the death of his mother in 2009, Sarkar inherited a small house worth Rs.200,000 in Agartala. He donated it to his younger sister.

Sarkar's father Amulya was a tailor and mother Anjali was an employee of the state health department.

Sarkar joined politics in 1967 and was elected secretary of the CPM's Tripura unit in 1993.

A bachelor of commerce from Calcutta University, Sarkar was first elected to the Tripura assembly in a 1980 bypoll and again in 1983.

He is the second in the northeast to be the chief minister for 15 years or more after Gegong Apang of the Congress who ruled Arunachal Pradesh for 24 years over two periods (1980-99 and 2003-07).

On Thursday, Sarkar defeated his Congress rival Shah Alam by 6,017 votes. In 2008, Sarkar's winning margin was 2,918.

"This is a verdict in favour of development, peace and stability besides good governance," Sarkar told reporters.

According to a CPI-M leader, Left Front leaders will meet here Friday and decide when to form a new government.

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Medicare paid $5.1B for poor nursing home care

SAN FRANCISCO (AP) — Medicare paid billions in taxpayer dollars to nursing homes nationwide that were not meeting basic requirements to look after their residents, government investigators have found.

The report, released Thursday by the Department of Health and Human Services' inspector general, said Medicare paid about $5.1 billion for patients to stay in skilled nursing facilities that failed to meet federal quality of care rules in 2009, in some cases resulting in dangerous and neglectful conditions.

One out of every three times patients wound up in nursing homes that year, they landed in facilities that failed to follow basic care requirements laid out by the federal agency that administers Medicare, investigators estimated.

By law, nursing homes need to write up care plans specially tailored for each resident, so doctors, nurses, therapists and all other caregivers are on the same page about how to help residents reach the highest possible levels of physical, mental and psychological well-being.

Not only are residents often going without the crucial help they need, but the government could be spending taxpayer money on facilities that could endanger people's health, the report concluded. The findings come as concerns about health care quality and cost are garnering heightened attention as the Obama administration implements the nation's sweeping health care overhaul.

"These findings raise concerns about what Medicare is paying for," the report said.

Investigators estimate that in one out of five stays, patients' health problems weren't addressed in the care plans, falling far short of government directives. For example, one home made no plans to monitor a patient's use of two anti-psychotic drugs and one depression medication, even though the drugs could have serious side effects.

In other cases, residents got therapy they didn't need, which the report said was in the nursing homes' financial interest because they would be reimbursed at a higher rate by Medicare.

In one example, a patient kept getting physical and occupational therapy even though the care plan said all the health goals had been met, the report said.

The Office of Inspector General's report was based on medical records from 190 patient visits to nursing homes in 42 states that lasted at least three weeks, which investigators said gave them a statistically valid sample of Medicare beneficiaries' experiences in skilled nursing facilities.

That sample represents about 1.1 million patient visits to nursing homes nationwide in 2009, the most recent year for which data was available, according to the review.

Overall, the review raises questions about whether the system is allowing homes to get paid for poor quality services that may be harming residents, investigators said, and recommended that the Centers for Medicare & Medicaid Services tie payments to homes' abilities to meet basic care requirements. The report also recommended that the agency strengthen its regulations and ramp up its oversight. The review did not name individual homes, nor did it estimate the number of patients who had been mistreated, but instead looked at the overall number of stays in which problems arose.

In response, the agency agreed that it should consider tying Medicare reimbursements to homes' provision of good care. CMS also said in written comments that it is reviewing its own regulations to improve enforcement at the homes.

"Medicare has made significant changes to the way we pay providers thanks to the health care law, to reward better quality care," Medicare spokesman Brian Cook said in a statement to AP. "We are taking steps to make sure these facilities have the resources to improve the quality of their care, and make sure Medicare is paying for the quality of care that beneficiaries are entitled to."

CMS hires state-level agencies to survey the homes and make sure they are complying with federal law, and can require correction plans, deny payment or end a contract with a home if major deficiencies come to light. The agency also said it would follow up on potential enforcement at the homes featured in the report.

Greg Crist, a Washington-based spokeswoman for the American Health Care Association, which represents the largest share of skilled nursing facilities nationwide, said overall nursing home operators are well regulated and follow federal guidelines but added that he could not fully comment on the report's conclusions without having had the chance to read it.

"Our members begin every treatment with the individual's personal health needs at the forefront. This is a hands-on process, involving doctors and even family members in an effort to enhance the health outcome of the patient," Crist said.

Virginia Fichera, who has relatives in two nursing homes in New York, said she would welcome a greater push for accountability at skilled nursing facilities.

"Once you're in a nursing home, if things don't go right, you're really a prisoner," said Fichera, a retired professor in Sterling, NY. "As a concerned relative, you just want to know the care is good, and if there are problems, why they are happening and when they'll be fixed."

Once residents are ready to go back home or transfer to another facility, federal law also requires that the homes write special plans to make sure patients are safely discharged.

Investigators found the homes didn't always do what was needed to ensure a smooth transition.

In nearly one-third of cases, facilities also did not provide enough information when the patient moved to another setting, the report found.

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On the Web:

The OIG report: http://1.usa.gov/VaztQm

The Medicare nursing home database: http://www.medicare.gov/NursingHomeCompare/search.aspx?bhcp=1&AspxAutoDetectCookieSupport=1

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Follow Garance Burke on Twitter at —http://twitter.com/garanceburke.

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Bring on the Cuts: Some Want the Sequester

Mark Lucas wouldn't mind seeing America's defense budget cut by billions.

"There's quite a bit of waste within the military," Lucas, who serves as Iowa state director for the conservative group Americans for Prosperity (AFP), told ABC News. "Being in there for 10 years, I've seen quite a bit of it."

With the budget sequester set to kick in on Friday, the former Army ranger is among a small chorus of conservatives saying bring on the cuts.

Read more: Bernanke on Sequester Cuts: Too Much, Too Soon

Lucas cited duplicative equipment purchases, military-run golf courses and lavish food on larger bases -- unlike the chow he endured at a combat operations post in Afghanistan with about 120 other soldiers.

"These guys would have very good food, and I'm talking almost like a buffet style, shrimp and steak once a week, ice cream, all this stuff," Lucas said. "They had Burger Kings and Pizza Huts and McDonald's. And I said to myself, 'Do we really need this?'"

Lucas and AFP would like to see the sequester modified, with federal agencies granted more authority to target the cuts and avoid the more dire consequences. But the group wants the cuts to happen.

"We're very supportive of the sequestration cuts but would prefer to see more targeted cuts at the same level," said the group's spokesman, Levi Russell.

As President Obama and his Cabinet members are sounding the sequester alarm bells, AFP's willingness shows that not everyone is running for the hills.

Charles Dharapak/Pool/AP Photo

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Obama traveled to Norfolk, Va., on Tuesday to speak at a shipyard about cuts and layoffs to defense contractors. In his most recent weekly radio address, he told Americans that the Navy has already kept an aircraft carrier home instead of deploying it to the Persian Gulf. And last week, he spoke before national TV cameras at the White House, warning that first responders would be laid off.

Homeland Security Secretary Jane Napolitano has warned that the sequester will "leave critical infrastructure vulnerable to attacks." Transportation Secretary Ray LaHood has warned that air travel will back up after the Federal Aviation Administration furloughs air traffic controllers. And the heads of 18 other federal agencies told Congress that terrible things will happen unless the sequester is pushed off.

Some Republicans have accused the president of scaremongering to gin up popular support for tax hikes. Obama has warned of calamity and demanded compromise in the next breath, and a few Republicans have rejected this as a false choice.

Read more: Boehner Hopes Senate 'Gets Off Their Ass'

"I don't think the president's focused on trying to find a solution to the sequester," House Speaker John Boehner told reporters at a press conference on Tuesday. "For 16 months, the president's been traveling all over the country holding rallies, instead of sitting down with Senate leaders in order to try to forge an agreement over there in order to move the bill."

After Obama spoke to governors at the this week, Republican Louisiana Gov. Bobby Jindal told ABC News' Jonathan Karl outside the White House that the president is exaggerating the sequester's consequences.

"He's trying to scare the American people," Jindal said. "He's trying to distort the impact."

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Iran upbeat on nuclear talks, West still wary

ALMATY (Reuters) - Iran was upbeat on Wednesday after talks with world powers about its nuclear work ended with an agreement to meet again, but Western officials said it had yet to take concrete steps to ease their fears of a secret weapons program.

The United States, China, France, Russia, Britain and Germany offered to ease sanctions slightly in return for Iran curbing its most sensitive work, but had made clear they expected no breakthrough in the talks in Kazakhstan, the first in eight months.

U.S. Secretary of State John Kerry said the talks had been "useful" and that a serious engagement by Iran could lead to a comprehensive deal in a decade-old dispute that has threatened to trigger a new Middle East war.

Iran's foreign minister said in Vienna he was "very confident" a deal could be reached and its chief negotiator said he believed the Almaty meeting could be a "turning point".

The two sides agreed to hold expert-level talks in Istanbul on March 18 to discuss the offer, and return to Almaty for political discussions on April 5-6, when Western diplomats made clear they wanted to see substantive movement by Iran.

"Iran knows what it needs to do, the president has made clear his determination to implement his policy that Iran will not have a nuclear weapon," Kerry said in Paris.

A senior U.S. official in Almaty added: "What we care about at the end is concrete results."

ISRAELI WARNING

Israel, assumed to be the Middle East's only nuclear-armed power, was watching the talks closely. It has strongly hinted it might attack Iran if diplomacy and sanctions fail to ensure that it cannot build a nuclear weapon. Iran denies any such aim.

Israeli Prime Minister Benjamin Netanyahu said economic sanctions were failing and urged the international community to threaten Iran with military action.

Western officials said the offer presented by the six powers included an easing of a ban on trade in gold and other precious metals, and a relaxation of an import embargo on Iranian petrochemical products. They gave no further details.

In exchange, a senior U.S. official said, Iran would among other things have to suspend uranium enrichment to a fissile concentration of 20 percent at its Fordow underground facility and "constrain the ability to quickly resume operations there".

This appeared to be a softening of a previous demand that Iran ship out its entire stockpile of higher-grade enriched uranium, which it says it needs to produce medical isotopes.

Iran says it has a sovereign right to enrich uranium for peaceful purposes, and wants to fuel nuclear power plants so that it can export more oil.

But 20-percent purity is far higher than that needed for nuclear power, and rings alarm bells abroad because it is only a short technical step away from weapons-grade.

Iran's growing stockpile of 20-percent-enriched uranium is already more than half-way to a "red line" that Israel has made clear it would consider sufficient for a bomb.

ELECTION LOOMING

The U.S. official said the latest proposal would "significantly restrict the accumulation of near-20-percent enriched uranium in Iran, while enabling the Iranians to produce sufficient fuel" for their Tehran medical reactor.

Iran had previously indicated that 20-percent enrichment was up for negotiation if it received the fuel from abroad instead.

Chief negotiator Saeed Jalili suggested Iran could discuss the issue, although he appeared to rule out shutting down Fordow. He said the powers had not made that specific demand.

Western officials were aware that the closeness of Iran's presidential election in June is raising political tensions in Tehran and made rapid progress unlikely.

One diplomat in Almaty said the Iranians appeared to be suggesting at the negotiations that they were opening new avenues, but that it was not clear if this was really the case.

"Everyone is saying Iran was more positive and portrayed the talks as a win," said Iran expert Dina Esfandiary of the International Institute for Strategic Studies. "I reckon the reason for that is that they are saving face internally while buying time with the West until after the elections."

The Iranian rial, which has lost more than half its foreign exchange value in the last year as sanctions bite, rose some 2 percent on Wednesday, currency tracking web sites reported.

(Additional reporting by Fredrik Dahl in Almaty, Georgina Prodhan in Vienna, Zahra Hosseinian in Zurich, Gabriela Baczynska in Moscow, Dan Williams in Jerusalem and Marcus George in Dubai; Writing by Timothy Heritage and Fredrik Dahl; Editing by Kevin Liffey)

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Iran tells Zardari pipeline must advance despite US

TEHRAN: Iran's supreme leader Ayatollah Ali Khamenei on Wednesday told the visiting Pakistani president that a much-delayed $7.5 billion gas pipeline project must go ahead despite US opposition.

"The Iran-Pakistan gas pipeline is an important example of Tehran-Islamabad cooperation, and despite hostilities towards the expansion of ties we must overcome this opposition decisively," Khamenei told Asif Ali Zardari, his office reported.

The gas pipeline project is strongly opposed by Tehran's archfoe Washington.

"Accessing safe energy source is the first priority for any country including Pakistan. In this region, the Islamic republic is the only nation that has safe energy resources and we are ready to provide Pakistan its energy needs," the all-powerful Khamenei said.

The pipeline project has run into repeated problems, including Pakistan's difficulty in finding funds and opposition to the project from Washington, which has slapped Iran with a raft of sanctions over its nuclear activities.

The Pakistani media reported last year that Zardari would visit Iran in mid-December 2012, when a final agreement was to have been signed, but the visit was delayed.

In 2010, Iran and Pakistan agreed that Tehran would supply between 750 million cubic feet (21 million cubic metres) and one billion cubic feet per day of natural gas by mid-2015.

Iranian President Mahmoud Ahmadinejad told Zardari that, "building the gas pipeline between Iran and Pakistan is a great and important event, and it serves the two nations' interests," the president's office reported.

"I believe that building this project is very beneficial for both sides and we support all the work carried out so far," Zardari said in talks his Iranian counterpart.

"The international and regional players have tried in vain to prevent an expansion of Iran-Pakistan ties but the people have learnt how to act against enemies of Islam," he was quoted as saying.

Islamabad has said it will pursue the project regardless of US pressure, saying the gas is needed to help Pakistan overcome its energy crisis that has led to debilitating blackouts and suffocated industry.

Iran has almost completed the pipeline work in its territory, but Pakistan has not yet started construction of 780 kilometers (490 miles) of the pipeline on its side, which is said to cost some $1.5 billion.

Sanctions-hit Iran finally agreed to finance one-third of the costs of laying the pipeline through Pakistani territory to Nawabshah, north of Karachi, with the work to be carried out by an Iranian company.

Pakistani officials in mid-December said Iran had promised a $500 million loan and that Islamabad would meet the rest of the cost.

"There are impediments in view of the US opposition to the project but we are determined to complete it to meet our fast-growing energy requirements," said one government official on condition of anonymity.

Tehran has been strangled by a Western oil embargo that has seen its crude exports halve in the past year, while Pakistan has an acute need for energy and plans to produce 20 percent of its electricity from Iranian gas.

Iran has the second largest world gas reserves after Russia and currently produces some 600 million cubic metres a day, almost all of which is consumed domestically due to lack of exports means.

The only foreign client is Turkey, which buys about 30 million cubic metres of gas a day.

Tehran also plans to sell its gas to two other neighbours, Iraq and Syria. The three countries agreed in 2011 to build a pipeline, with the work already started on the Iranian side.

-AFP/ac

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