Iran nuclear program still active: UN watchdog

Iran has slowed its enrichment of uranium but has not clarified the "possible military dimensions" of its disputed nuclear program with international nuclearinvestigators, the UN's atomic watchdog agency said in a report Friday.

In its latest report circulated to member nations, the International Atomic Energy Agency said it has pressedTehran to clarify its uranium enrichment activities and reassure the world that it's not trying to build an atomic weapon, according to reports from several media organizations that had obtained a copy of the document.

In the report, theIAEA acknowledged that Tehran has been producing nuclear fuel at a slower rate and has allowed UN inspectors broader access to its main nuclear complex in the southern city of Natanz.

The latest report from the watchdog comes ahead ofsix-power talks on Iran set for Sept. 2, and a key meeting of the IAEA's 35-nation board in two weeks.

Following the report's release, the U.S. State Department said it shows Iran is continuing to defy the international community.

Iran's chief representative to the IAEA, Ali Asghar Soltanieh, dismissed the report as "very frustrating" and angrily suggested that U.S. intelligence was working to undermine Tehran's credibility.

"All these things are fabrications. We have been too transparent and co-operative with the agency," he was quoted as saying.

The United States and European nations have threatened to push for increased sanctions against Tehranif the Islamic regime continues its nuclear activities.

Oil-rich Iran has denied allegations from the West and Israelthat it is trying to produce an atomic weapon and insists its enrichment program is for the peaceful purpose of providing a stable supply of electricity.

The UN Security Council has scheduled a meeting in September to discuss whether to bring further sanctionsagainst Tehran.