Friday, June 9 2006 09:53 Hrs (IST) - World Time -

New York: In what diplomats described as an attempt to strengthen its bargaining position, Iran launched a new round of nuclear enrichment as the Europeans were presenting a package of incentive in return for Tehran giving up its programme, the UN nuclear watchdog agency said.

In a report sent to the agency's 35-member board, Director General of the International Atomic Energy Agency (IAEA) Mohamed Elbaradei said Iran had started feeding uranium gas (UF6 gas) into cascade of 164 centrifuge machines on Tuesday after a five-week break.

In addition, the report said Iran is also continuing the work of installation two more 164-machine cascades of centrifuges in which the gas is spun at high speed.

Diplomats said they were not sure of Iran's intentions but continuing its programme does show that Iran wants to ensure that the world does not get the impression that it stopped its uranium enrichment under pressure from the West and the United States.