Q+A: What may be Iran's strategy on IAEA fuel deal

(Reuters) - Iran Friday declined to endorse a U.N.-drafted plan for it to cut a stockpile of nuclear fuel that the West fears could be used for weapons, and instead said it wanted to buy nuclear fuel from abroad.

Rather than giving a clear response to the deal, drafted by the International Atomic Energy Authority (IAEA) and which has already been approved by the other parties, Iran has called for a response to its own proposal, of which no details were available. Following are some questions about Iran's possible intentions:

WHY IRAN DELAYING A CLEAR RESPONSE?

Iran has been trying to avoid giving a clear and unequivocal answer to the IAEA proposal to buy time to avert a threatened tightening of international sanctions.

Iran's clerical establishment agreed to enter talks with world powers over its controversial nuclear work to guarantee its credibility after its disputed June presidential vote and its turbulent aftermath which harmed the legitimacy of the country's leadership, domestically and internationally.

Some hardliners have criticized the establishment for succumbing to international pressure to accept the deal.

"They (the West) tell us: you give us your 3.5 percent enriched uranium and we will give you the fuel for the Tehran reactor. It is not acceptable to us," parliament's deputy speaker Mohammad Reza Bahonar said Thursday.

If Iran had accepted the deal immediately, it would have outraged hardline supporters of the establishment, who insist on Iran's nuclear rights with no compromise with the West.

"The authorities have to be careful. Any hasty decision or announcement may harm their credibility as they have maneuvered repeatedly on not to negotiate their nuclear rights," said an analyst, who asked not to be named.

WILL IRAN SPELL OUT ITS RESPONSE?

Western diplomats said the IAEA plan, which has not been made public, would require Tehran to send 1.2 tons of its known 1.5-tonne stockpile of low-enriched uranium (LEU) to Russia and France by the end of the year.

There it would be further enriched, in a way that would make it hard to use for warheads, and returned to Iran for use in a Tehran reactor that makes radioactive medical isotopes.

To find a face-saving solution, Iran may aim to make amendments on the proposal like not shipping abroad all its LEU in one consignment, to satisfy Iranian hardliners.

To go on stockpiling its 5 percent enriched uranium, another alternative for Iran is to say it only wants to buy fuel for its reactor from an international seller under the supervision of the U.N. nuclear watchdog, and not send any of its low enriched uranium abroad at all.

"Iran is interested in buying fuel for the Tehran research reactor within the framework of a clear proposal," state television quoted an Iranian official as saying Friday.

Tehran may also ask world powers to halt enforcement of the U.N. sanctions in return for negotiated settlements.

ANY COMPROMISE UNDER SANCTIONS?

Any compromise with world powers, while Iran is under sanctions, would be seen as a sign of weakness among the core supporters of the clerical establishment. Consequently, it seems unlikely for Iran to forgo its "right" and to accept such a deal.

Considering Iranian authorities' rhetoric on abiding by the International Atomic Energy Agency's safeguards, Tehran could make a big deal out of IAEA inspectors' pending visit to a newly disclosed uranium enrichment site in the central Iran Sunday.

Iran's establishment is struggling for legitimacy. By a show of cooperation with the IAEA, Iranian hardliners will regain the public support.

(Writing by Parisa Hafezi, Editing by Samia Nakhoul)