Rice set down a clear marker of US expectations for an emergency meeting of the International Atomic Energy Agency (IAEA) board of governors scheduled on February 2 to discuss the showdown over Tehran's nuclear intentions.

"It seems to me that the case for referral is very strong and that's what we intend to seek at the IAEA board of governors meeting," Rice said after talks with Italian Foreign Minister Gianfranco Fini.

"The Security Council can then take up the matter at a later time but the referral absolutely has to be made," Rice told reporters at a joint press conference with Fini.

Washington and its European allies are trying to haul the Iranians before the Security Council after Tehran broke off talks on its nuclear program and announced it was resuming sensitive research on uranium enrichment.

Countries such as Russia and China have balked against taking a tougher line with Iran, which insists its nuclear program is for strictly peaceful purposes. But Rice insisted UN involvement was crucial at this point.

"Without going to the Security Council we are not going to have the context in which Iran will understand that it's truly isolated on this issue and must deal with the international community's just demands," she said.

Fini echoed that it was "absolutely necessary" to refer Iran to the Security Council although neither he, nor Rice, made any mention of eventual sanctions.

"It is essential that the whole world know that the international community is not going to be divided on the Iranian issue," he said.

Rice saw little use in reviving negotiations that had been led by Britain, France and Germany in an effort to persuade Iran to give up any nuclear weapons ambitions for a package of economic and other incentives.

She said it was the Iranians who walked out on talks and lifted seals on a key nucler facility. "I don't see much room for further discussion in any format while those conditions exist," Rice said.

The chief US diplomat reiterated in response to a question that the United States reserved the right to keep all options, including military force, on the table in dealing with Iran.

But she reiterated that the United States was committed to a peaceful settlement with Iran and insisted that diplomacy could work.

"We believe that a strong international response, a united international response, a Security Council context and response, can succeed in getting the Iranian regime to take a more acceptable course," she said.

"I do not believe the Iranian regime wants to be isolated in the way that it will be when it's in the Security Council."

Fini also tried to quell reported rumblings in Israel about the possibility of military action. "We want to stress ... to our Israeli friends that the only way to guarantee peace and security is the diplomatic route," he said.

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