A Glimpse of Optimism

"It has been a long, constructive negotiation," Larijani told reporters after the meeting aimed at persuading Iran to agree to a nuclear deal offered by world powers. "We have been able to arrive at some positive conclusions. Today we have discussed modalities with the aim of coming back to the main negotiations as soon as possible."

Solana also said progress had been made and added that he would be speaking again to Larijani next week.

"We have been progressing," Solana said. "We will have a new contact in the middle of next week."

German foreign ministry spokesman Martin Jäger said the contact could take place over the phone and did not necessarily mean they would be meeting face to face.

European diplomats had portrayed the talks here as a last opportunity for Iran to agree to UN Security Council demands to suspend uranium enrichment activities and thus stave off the threat of United Nations sanctions.

Larijani also held talks with German Foreign Minister Frank-Walter Steinmeier at Solana's request but no details emerged.

Defiant president

Meanwhile a defiant President Mahmoud Ahmadinejad vowed Iran's stance on its nuclear program was unyielding.

"The Iranian nation will not bend one inch against any (international) force and pressure," he told supporters in a speech in the city of Karaj just outside Tehran broadcast on state television. Ahmadinejad said that world powers had been seeking to impose unjust conditions on Iran's enrichment of uranium, a sensitive process that the West wants the Islamic republic to suspend.

Iran defied the Security Council's Aug. 31 deadline for it to stop uranium enrichment, which makes fuel for civilian nuclear power reactors but also, in highly refined form, the raw material for atomic weapons.

Iran insists its enrichment work is solely for peaceful purposes.