"(The European proposals) will be unacceptable if they do not acknowledge Iran's right to (uranium) enrichment and Iran will not wait long before taking other decisions," foreign ministry spokesman Hamid Reza Asefi said.

Britain, France and Germany have promised to come up with a proposal by the end of this month that could make or break a lengthy diplomatic process aimed at easing fears in the West that Iran is seeking nuclear weapons technology.

"The Europeans have had enough time to study the issue, they must wrap it up soon," Asefi told reporters. "If the proposals do not suit us, we will continue negotiations, but at the same time we will do what we have to do."

Asefi also sought to allay fears that the election of ultra-conservative Mahmood Ahmadinejad as president in June raised the prospect of a more hardline negotiating team emerging.

Ahmadinejad is due to take office on August 3.

"The team will not be turned upside down. It is possible that some people come and others go... but the team will remain broadly the same," Asefi said.

The negotiations were on the verge of collapsing in May, but Iran, which temporarily suspended enrichment in November as a sign of goodwill ahead of the talks, agreed to wait for the so-called EU-3 to come up with a proposal.

The EU has threatened to support longstanding US demands that Iran be taken before the UN Security Council for discussion of possible sanctions if it resumes enrichment.

On Sunday, an Iranian nuclear negotiator was quoted as saying that Iran could resume sensitive uranium enrichment activities if the EU-3 insisted on prolonging a voluntary enrichment freeze currently in effect.

In contrast to the United States which suspects Tehran of wanting to build nuclear bombs, the EU-3 is seeking to engage the Islamic state, offering trade and other benefits to persuade it to curb its nuclear plans.

Washington accuses Tehran of using a civilian atomic energy programme as a cover for weapons development and seeks a permanent halt to uranium enrichment and plutonium reprocessing activities that could be used in an arms programme.

Iran denies the charge and says it has the right under the nuclear Non-Proliferation Treaty to the peaceful use of nuclear technology, including making atomic fuel.

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