BAGHDAD (Reuters) - Iraq accepted on Saturday an extension of its oil-for-food deal with the United Nations, but rejected a ``goods review list'' of items that Security Council members would have to approve separately.
``The Republic of Iraq will continue to implement the memorandum of understanding (with the U.N.) in its (new) 11th phase,'' said a government statement read by Foreign Minister Naji Sabri to reporters.
``Iraq categorically rejects the goods review list which comes in the second paragraph of the (U.N.) resolution,'' the statement said.
The U.N. Security Council voted unanimously on Thursday in favor of a U.S.-Russian compromise resolution that pledges to revise sanctions against Iraq within six months and extends the existing U.N. oil-for-food program for Baghdad until then.
Iraq in the past has disrupted the flow of crude oil, which averages about 2 million barrels daily, in protest at U.N. resolutions, most recently in June for a month.
Under the oil-for-food program, Iraq can sell oil and use the proceeds to buy food, medicine and many other supplies, an exception to the sanctions imposed in August 1990 when Baghdad's troops invaded Kuwait.
But oil revenues must be deposited in a U.N. account out of which suppliers are paid.
The program, which would have expired on Friday, must be renewed every six months.
In the new resolution the Security Council, including Iraq's key supporter Russia, agreed to approve by next June a ''goods review list'' of supplies that could be used for military and civilian purposes that the 15 council members would have to approve separately.
All civilian goods not on the list do not have to go through such procedures.
In return, the United States agreed to look again at gaps in a December 1999 resolution that outlines vague steps toward suspending the 11-year-old sanctions -- providing Iraq allows U.N. weapons inspectors to resume their work.
The United States and Britain have tried three times since June to revise the program with the aim of streamlining imports of civilian goods to Iraq but tightening restrictions on items that can be used for military purposes.
Iraq has repeatedly refused to allow U.N. weapons inspectors back into the country, insisting sanctions be suspended first.