Iran refuses to abandon enrichment of uranium.

Tehran: Iranian President Mahmoud Ahmadinejad, on Monday, rejected a major power's demand to abandon Iran's right to enrich uranium , the official IRNA news agency reported.

"They offer to hold talks but at the same time they threaten us and say we should accept their illegitimate demand to halt (enrichment work)," he told reporters in Malaysia.

"They want us to abandon our right (to nuclear technology)," he said. Being the world's fourth-largest oil exporter, Iran says its plans are peaceful.

The rejection has caused speculation of military confrontation. However, Ahmadinejad said "no country would dare attack Iran."