The ISIL terrorist group, which is operating in Iraq and Syria, has threatened to strike US targets around the globe, vowing to drown Americans in blood.
The video, which shows a photograph of an American who was beheaded during the US occupation of Iraq and victims of snipers, featured a statement which said in English "we will drown all of you in blood".
US airstrikes on Kurdish forces in northern Iraq have helped the fighters take back some territory captured by ISIL terrorists, who have threatened to march on Baghdad.
The latest advance by ISIL, an al Qaeda offshoot, sent tens of thousands of members of the Izadi ethnic minority and Christians fleeing for their lives and alarmed the Baghdad government and its Western allies.
Unlike al-Qaeda, ISIL has so far focused on seizing land in Iraq and Syria for its self-proclaimed caliphate, not spectacular attacks on Western targets.
US President Barack Obama said at a news conference on Monday that the terrorist group posed a threat to Iraq and the entire region.
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