Associated Press is reporting:
UNITED NATIONS: U.N. Secretary-General Kofi Annan called for key parties to seek a negotiated settlement with Iran over its nuclear program and warned that military intervention would be "unwise and disastrous."
Have a look at the big arrow on the map, it points to the Straight of Hormuz.
Roughly 25 percent of the world’s daily oil production passes through it.
It's a very narrow area for a naval engagement, not what you might consider ideal for modern surface vessels.
The Straight is 21 miles wide at the narrowest point and has two 1-mile-wide channels for marine traffic separated by a 2-mile-wide buffer zone.
It's also the only sea passage to the open ocean for large areas of the petroleum exporting Persian Gulf States.
As you can see for yourself on the map, Iran is located strategically on the Persian Gulf and the right bank of Straight of Hormuz.
Obvious.
