Iran insists that its nuclear program is for peaceful purposes only.

In Washington, US Secretary of State Condoleezza Rice said the IAEA report provides "a very strong case" for moving forward with a third UN Security Council resolution against Iran.

"It is our firm belief that there is all the more reason now for the Security Council to pass a third sanctions resolution," US assistant secretary for political affairs Nicholas Burns said.

With less than a year left of George W. Bush term in the White House, analysts see little chance that the current US administration would come up with any substantial solutions to the Iranian nuclear issue.

On the other hand, Tehran, expecting some sort of change to emerge in US policy toward Iran after Bush steps down, would naturally refrain from making any concessions easily.

Therefore, observers foresee no major headway on the Iranian nuclear issue, but they believe new interactions are possible between the two sides after a new president moves into the White House.

Under the new draft, ElBaradei would deliver a new report within 90 days from the adoption of the resolution on whether Iran has complied by suspending its uranium enrichment activities.

If Tehran is again found guilty of non-compliance, the Security Council could consider further sanctions through new resolutions.

From statements by Iranian leaders in recent days, analysts see little likelihood that Tehran would meet the requirements of the UN Security Council.

The adoption of a third sanctions resolution on Iran, rather than signifying a breakthrough, would probably presage a new round of bickering and wrangling, they say.

(Xinhua News Agency February 27, 2008)