Russia's Foreign Ministry condemned Iran for its announcement that it had enriched uranium for the first time, the Itar-Tass news agency reported yesterday.

"We believe it is a step in the wrong direction. It goes counter to the decision of the International Atomic Energy Agency and the resolutions of the U.N. Security Council," Itar-Tass quoted a foreign ministry spokesman as saying.

Iran should stop all work on uranium enrich, including research,the spokesman added.

The Iranian President Mahmoud Ahmadinejad said on Tuesday that his country had produced the enriched uranium required to make nuclear fuel for the first time.

Despite the U.N. Security Council's calling on Iran to suspend all nuclear enrichment activities, Iran has remained defiant, maintaining that its aims are entirely peaceful.

The U.S. government insisted its priority was to seek a diplomatic solution to the nuclear dispute with Iran, but did not deny that it has been stepping up military planning.