( CNN ) -- Iran will not send its partially enriched uranium abroad to be turned into material for medical research , its foreign minister said Wednesday , rejecting a key plank of a deal designed to ease international fears that Tehran aims to build nuclear weapons . Foreign Minister Manouchehr Mottaki said Iran might allow its nuclear material to be reprocessed inside Iran , the semi-official ISNA news agency reported . The deal hammered out last month with the help of the United Nations ' nuclear watchdog agency aimed to reduce the amount of raw material Iran has to build a nuclear bomb . Tehran denies that it wants to do so , saying its nuclear program is to produce civilian nuclear energy and do medical work . The watchdog International Atomic Energy Agency said Wednesday that it could not confirm or deny that Iran had rejected any part of the proposal . U.S. State Department spokesman Ian Kelly said , `` This is the IAEA 's proposal , and Iran has to give their response to the IAEA , and that 's what we 're waiting for . That 's what the IAEA is waiting for . '' But , he said , `` until the IAEA gets the response and formally says this is ... Iran 's response , I do n't consider a statement to the press necessarily a response . '' On October 1 , the IAEA proposal `` was accepted in principle by all the parties including Iran , '' Kelly said . `` And there was also an agreement that each of the parties would provide a written response to the proposal . `` Russia , France and the United States have provided a written response , '' he said . `` We expect Iran to provide a written response . And we expect the IAEA to pronounce on that response . So we will wait for the IAEA to make a formal response to this . '' In a report published Monday , the IAEA expressed concerns about Iran 's nuclear program . The Islamic republic 's disclosure of a previously secret nuclear facility near Qom raised questions about the existence of other such facilities , and its delay in acknowledging the facility `` does not contribute to the building of confidence '' in Tehran , the IAEA said in the report . Tehran has not convinced the agency its nuclear program is n't military , said the report , published on the Institute for Science and International Security Web site . A source with direct knowledge of the report confirmed its authenticity to CNN . Tehran shocked the international community in September by revealing the existence of the nuclear enrichment facility . On Monday , Kelly said in a statement that the report `` underscores that Iran still refuses to comply fully with its international nuclear obligations . '' IAEA inspectors visited the newly revealed facility last month , according to the report . During a meeting in Tehran , Iranian officials told the inspectors that construction of the site had begun during late 2007 , the report said , and it would not be operational until 2011 . However , the IAEA inspectors told Iran that `` it had acquired commercially available satellite imagery of the site indicating that there had been construction at the site between 2002 and 2004 , and that construction activities were resumed in 2006 and had continued to date , '' the report said . IAEA member states also allege that design work on the facility , the Fordow Fuel Enrichment Plant , began in 2006 , the report said . Iranian officials told inspectors that the nation has no other undisclosed nuclear facilities either under construction or in operation , the report said , and promised that any future facilities would be disclosed . A letter sent this month asks Tehran to confirm that it has not decided to construct or authorized construction of any undisclosed facility , the report said . Iran remains bound by the terms of a 2003 agreement under which it must provide information to the IAEA regarding nuclear facilities as soon as the decision to build is made or construction is authorized . `` Even if , as stated by Iran , the decision to construct the new facility at the Fordow site was taken in the second half of 2007 , Iran 's failure to notify the agency of the new facility until September 2009 was inconsistent with its obligations , '' the IAEA said . U.N. Secretary-General Ban Ki-moon has said construction of the facility violates U.N. Security Council resolutions , Kelly said . `` Iran 's delay in submitting such information to the agency does not contribute to the building of confidence , '' the report said . `` While the agency has confirmed that the plant corresponds to the design information provided by Iran , Iran 's explanation about the purpose of the facility and the chronology of its design and construction requires further clarification . '' The agency is waiting for Iran 's reply to its request to meet officials in regard to those issues and others , according to the report . `` Further analysis of the information available to the agency underscores the importance of Iran engaging with the agency in a substantive and comprehensive manner , and providing the requested access , so that the remaining outstanding issues may be resolved . '' The agency encouraged IAEA member states who have provided it information on Iran to share that information with Tehran as well . CNN 's Laura Perez Maestro contributed to this report .
Iran says it wo n't send partially enriched uranium abroad for medical research . Proposal was key part of deal brokered by U.N. nuclear watchdog . U.S. says proposal `` was accepted in principle by all parties including Iran '' U.S. , EU nations concerned Iran intends to develop nuclear weapons .