Iran defies EU 'bullies'

Iran will still resume atomic fuel research despite western warnings President Mahmoud Ahmadinejad announced on Thursday.

Tehran would not bow to "bullies" who already have nuclear arsenals the Iranian premier insisted.

"Some of them lately have even gone so far as to say that the Iranian nation has no right to conduct nuclear research. All nations should know that if we give these bullies a chance, they will next say that you don't have the right to have universities," Ahmadinejad told cheering crowds in the holy city of Qom.

"The Iranian nation and government will defend the right to nuclear research and technology and will go forward prudently," he added.

Concern about Iranian intentions continued to deepen when a delegation from Tehran failed to show up for an IAEA meeting on Thursday.

A defiant Tehran rebuffed the head of the UN nuclear agency by refusing to discuss plans to move closer to uranium enrichment.

Diplomats suggest the move was partly triggered by criticism by agency head Mohamed El Baradei during an earlier meeting with Iranian envoys.

The latest developments will set alarm bells ringing in Brussels and Washington where it is feared Iran's civil nuclear programme is a cover for developing a bomb.

Tehran continues to deny this accusation, insisting its activities are designed solely to meet electricity needs.

But the west could see the resumption of enrichment as arrival at the point of no return.

The move will undoubtedly strengthen calls for Iran to be referred to the UN Security Council for possible sanctions.

Both Berlin and Paris have warned Tehran its decision could delay future talks on the issue, which are set to resume on January 18.

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