Britain wants explanation over sailors' seizure

By Aref Mohammed

BASRA, Iraq (Reuters) - Efforts were underway on Saturday to try to resolve a diplomatic dispute between Britain and Iran triggered after Iranian forces seized 15 British sailors and marines off the coast of Iraq.

Britain said two boatloads of sailors and marines had searched a cargo ship in Iraqi waters on a U.N. approved mission when Iranian gunboats encircled and captured them on Friday.

No shots were fired and the British servicemen were unharmed, officials said.

Iran accused the British of illegally entering its waters.

The incident came as U.N. Security Council members were putting the final touches to a resolution imposing new sanctions on Iran over its refusal to halt sensitive nuclear work. A vote on the resolution could take place as early as Saturday.

Oil prices rose more than one percent to a three-month high on the news of the Britons' seizure.

Britain summoned Iran's ambassador in London and demanded the servicemen's immediate release.

"We sought a full explanation of what happened and left the Iranian authorities in no doubt that we expect immediate and safe return of our service personnel and boats," foreign minister Margaret Beckett said.