TEHRAN, Iran - Iran hinted Monday it could agree to ship some low-enriched uranium abroad for processing as reactor fuel as the world awaited its reply on a U.N.-drafted nuclear plan aimed at easing tensions with the West.

But the step might not be enough to defuse the tensions, and Foreign Minister Manouchehr Mottaki also left open the possibility Iran may snub the proposal and instead seek to buy the nuclear fuel it needs for a research reactor that makes medical isotopes.

The two-sided scenario presented by Mottaki appeared part of Iran's strategy to drag out negotiations over its nuclear program and leave the West guessing about its decision expected later this week.

But Iran has not closed the door on the U.N.-backed concessions and has suggested there is room for some agreement on ways to keep tabs on its nuclear fuel and uranium enrichment. The latest message came as U.N. nuclear inspectors completed their second full day examining a still-unfinished enrichment lab that was top secret until just a month ago.

Mottaki said Iran could send part of its stockpile of partially enriched uranium abroad for later processing into fuel rods for reactors. It marked the first official indication that Iran could partly sign onto the U.N.-drafted plan that called for Russia to complete the enrichment process.

But Mottaki did not specify how much uranium Iran would consider allowing leave the country, and the amount could be far below the 70 per cent of the country's stockpile envisioned by the U.N. plan, which is backed by Washington and Iran's key ally Russia.

Since the plan's goal is to delay Iran's ability to build a nuclear weapon by getting a large part of its enriched uranium stock out of the country, a willingness by Tehran to ship a small amount abroad would do little good. Iran claims it seeks only a peaceful nuclear program for research and energy.

Mottaki said Tehran's decision to buy nuclear fuel or ship uranium abroad "will be made in the next few days."

In either case, Mottaki said Iran will continue to enrich its own uranium as well -- a step opposed by the U.S. and its allies over fears they could produce weapons-grade material.

"Iran's legal peaceful nuclear activities will continue and this issue (Iran's enrichment program) has nothing to do with supplying fuel for the Tehran reactor," he said.

Fears about the nature of Iran's nuclear program were heightened in September with the disclosure of a once-secret uranium enrichment facility near the holy city of Qom. U.N. inspectors made their first visit to the site on Sunday as they began a three-day mission that will include taking soil samples from the site. No results on their findings were expected until they leave Iran later this week.

Iran agreed to the inspections during a landmark meeting with the U.S. and other world powers at the beginning of October in Geneva, where the idea of Tehran shipping uranium to Russia for further enrichment was first raised.

The draft U.N. plan was formalized last week after Iran held talks in Vienna with the United States, Russia and France.

So far, Tehran's response to the plan has been unclear. Iran's parliament speaker Ali Larijani earlier accused the West of trying to cheat his country with the proposal, raising doubts Tehran will approve the deal.

Russia nudged Iran to accept the plan. Moscow's role is critical for Iran since Russia is a major trade partner and is finishing work on Iran's first energy-producing reactor in Bushehr in southern Iran. Under the agreement, Russia would supply the reactor fuel.

Deputy Foreign Minister Sergei Ryabkov said implementation of the proposal "would allow for a cooling of emotions and a realistic assessment of the situation."

Ryabkov, who has led Russian negotiators in talks on Iran's program, made his comments in an interview published Monday in the Russian daily Vremya Novostei.

The U.N. plan envisions Iran sending up to 70 per cent of its low-enriched uranium to Russia, where it would be enriched to a higher degree needed for use in the Tehran research reactor.

The deal is attractive to the U.S. and its allies because it would mean Iran -- for a period of time, anyway -- would not have enough uranium stocks to build a bomb.

Uranium enriched to a low level is used to fuel a nuclear reactor for electricity, and a somewhat higher level is used in research reactors. When enriched to levels above 90 per cent, the uranium can be used to build a bomb.

Around 2,200 pounds (1,000 kilograms) is the commonly accepted amount of low-enriched uranium needed to produce weapons-grade uranium for a single nuclear warhead.

The Vienna plan would require Iran to send 2,420 pounds (1,100 kilograms) of low-enriched uranium to Russia in one batch by the end of the year.

French Foreign Minister Bernard Kouchner said time was running out to reach agreement over Iran's nuclear program since Israel might launch a pre-emptive strike.

"They (the Israelis) will not tolerate an Iranian bomb. We know that, all of us. So that is an additional risk and that is why we must decrease the tension and solve the problem," Kouchner told the Daily Telegraph in an interview published Monday.

Mottaki on Monday replied that "the Zionist regime doesn't dare to attack Iran because it is currently in its weakest position."