US seeks sanctions, EU stresses talks

The US said yesterday Iran was "aggressively" pursuing atom bombs and should face sanctions now, but EU allies stressed it was not too late for talks on a negotiated solution to its disputed nuclear work.

The Western partners in a group of six powers dealing with Iran appeared to differ over the urgency of sanctions in their statements to the UN nuclear watchdog's board of governors.

And a minister from Washington's staunchest ally, Britain, warned Tehran probably had the resources to endure sanctions.

A meeting between EU foreign policy chief Javier Solana and Iranian negotiator Ali Larijani, set for today, was postponed without reasons given. EU diplomats had said they would discuss a tentative offer by Mr Larijani to consider temporarily halting enrichment of uranium for nuclear fuel.

Dr Solana's spokesman said, however, that lower-level EU and Iranian officials would still meet in Paris.

Iran's arch-enemy the US, spearheading efforts to draw up punitive UN sanctions against Tehran over suspicions it is secretly trying to build atom bombs, has said it has no knowledge of any new Iranian offer.

Western leaders condemned Iran's disregard of an August 31 UN Security Council deadline to suspend its uranium enrichment programme, which Iran insists is meant only to make electricity.

The Islamic Republic refuses to suspend enrichment before negotiations on an offer by the major powers of trade incentives not to develop nuclear fuel.

Washington made clear to the board of the International Atomic Energy Agency (IAEA) that Iran's defiance should trigger steps to sanctions but the "EU3", Britain, France and Germany, omitted mention of punitive action and called for last-ditch talks despite Tehran's violation of the deadline.