By early June 2005, the EU-3 (France, Great Britain, and Germany) had not yet submitted their proposal to Iran outlining future nuclear negotiations. The EU-3 requested a delay in negotiations, but Tehran rejected the delay and publicly announced it would resume peaceful nuclear research activities. At issue was Iran's insistance that right to peaceful nuclear research be included in any proposal, a position the United States adamantly opposed. Attempts were made to persuade Iran to give up its fuel cycle ambitions and accept nuclear fuel from abroad, but Tehran made it clear that any proposal that did not guarantee Iran's access to peaceful nuclear technology would lead to the cessation of all nuclear related negotiations with the EU-3. In addition, members of the Iranian Majlis, scientists, scholars, and students were protesting and holding rallies to encourage the government to lift the suspension on uranium enrichment and to not succumb to foreign (U.S.) pressure. One week later, Iran once again agreed to temporarily freeze its nuclear program until the end of July when the European Union agreed it would submit a proposal for the next round of talks.
In June, IAEA Deputy Director Pierre Goldschmidt stated that Iran admitted to providing incorrect information about past experiments involving plutonium. Tehran claimed all such research ceased in 1993, but results from recent tests show experiments took place as late as 1995 and 1998. In early July, Iran asked the IAEA if it could break UN seals and test nuclear-related equipment, stating the testing would not violate Tehran's voluntary suspension of nuclear activities. At the end of July, an official letter was submitted to the IAEA stating that the seals at the Isfahan Uranium Conversion Facility (UCF) would be removed. The IAEA requested that it be given 10 days to install the necessary surveillance equipment. On 1 August, Iran reminded the EU-3 that 3 August would be the last opportunity for a proposal to be submitted to continue negotiations. A few days later, the European Union submitted the Framework for a Long-term Agreement proposal to Iran. The proposal specifically called on Iran to exclude fuel-cycle related activity. Tehran immediately rejected the proposal as a negation of its inalienable rights. On 8 August, nuclear activities resumed at the Isfahan UCF and two days later, IAEA seals were removed from the remaining parts of the process lines with IAEA inspectors present.
In the days leading up to Iran's resumption of nuclear activities, several countries called on Iran to cooperate with the IAEA and to re-establish full suspension of all enrichment related activities. Additionally, some European countries and the United States threatened to refer Iran to the UN Security Council. Once again, Iran rejected any proposal related to the suspension of conversion activities, but stated they were ready to continue negotiations. Tehran did not believe there was any legal basis for referral to the UN Security council and believed it was only a political move. Iran also threatened to stop all negotiations, prevent any further inspections at all its nuclear facilities, suspend the implementation of the Additional Protocol, and withdraw from the Nuclear Nonproliferation Treaty (NPT), if it was referred to the UN Security Council.
In August 2005, the IAEA announced that most of the highly enriched uranium (HEU) particle contamination found at various locations in Iran were found to be of foreign origin. The IAEA concluded much of the HEU found on centrifuge parts were from imported Pakistani equipment, rather than from any enrichment activities conducted by Iran.
In late August, Iran began announcing it would be resuming nuclear activities in Natanz and that Tehran would be willing to negotiate as long as there were no conditions. In August, Iran refused to comply with a resolution from the IAEA to halt its nuclear program, stating that making nuclear fuel was its right as a member of the NPT. The European Union believed that although Iran did have a right to nuclear energy under Article 4 of the NPT, it had lost that right because it violated Article 2 of the NPT - "not to seek or receive any assistance in the manufacture of nuclear related weapons or other nuclear explosive devices." On 24 September 2005, the IAEA found Iran in non-compliance of the NPT. The resolution passed with 21 votes of approval, 12 abstentions, and one opposing vote. Russia and China were among those that abstained from voting and Venezuela was the only country to vote against the resolution. The resolution stated Iran's non-compliance due to "many failures and breaches" over nuclear safeguards of the NPT were grounds for referral to the UN Security Council.
The resolution passed on 24 September 2005, leaving the door open for future referral of Iran to the Security Council was finally adopted in February, 2006. On 4 February, the 35-nation board of the IAEA voted to “report” Iran to the Security Council over its decision announced in January, to restart nuclear research. Iran has rejected the above resolution calling it, “illegal, illogical and politically motivated” and has decided to scrap the “containment and surveillance measures” as defined under the 1997 Additional Protocol. Iran has also resumed small scale enrichment activities at its Natanz facility as of 16 February. In a parallel diplomatic process Russia continues to pursue negotiations with Iran that would allow Russia to host Iran’s uranium enrichment program leaving only the uranium conversion to be carried out on Iranian soil.
According to an unclassified version of the U.S. National Intelligence Estimate released in November 2007, Iran has not operated an active military nuclear program since 2003 but its ongoing uranium enrichment efforts would allow it to produce a weapon between 2010 and 2015.
See Iran Nuclear Weapons Profile