VIENNA (Agencies) -- The European Union trio announced here on Friday that no agreement had been reached with Iran in their talks on Tehran's peaceful nuclear program, IRNA reported.

However it was reported that discussions with the Europeans would go on.

"Given the mood of the negotiations, the discussions will probably continue at the highest level," an Iranian official told AFP.

Iran's Supreme National Security Council Secretary Ali Larijani traveled from Moscow -- where he held talks on a Russian proposal -- to Vienna and held talks with German and French foreign ministers Frank-Walter Steinmeier and Philippe Douste-Blazy and the EU foreign policy chief Javier Solana at the German ambassador’s residence in Vienna. Britain’s Jack Straw was represented by a senior foreign ministry official as he could not attend the meeting since he was sick.

"The atmosphere of the talks was positive in general but the requisite for any agreement is Iran's suspending all its enrichment activities in order to build confidence," said representatives of the three European heavyweights after two-hour talks with Larijani.

The envoys said that if Iran refuses to take necessary actions, no agreement and talks will be held.

Larijani said Iran sought another hearing with the EU as "we believe our programs are clear and defensible".

"Time is running out," Steinmeier said.

"If we want success we have to act now," he added. He said the talks "were carried out in a constructive atmosphere but finally we were unable to reach agreement," AFP quoted Steinmeier as saying. "Unfortunately, we could not obtain an agreement with Mr. Larijani," French Foreign Minister Philippe Douste-Blazy said.

"We wanted to see if Iran was in a position to give a positive answer to the coming IAEA board. Our terms are simple and legitimate and would not jeopardize Iran's development. Unfortunately we were not able to reach agreement."

The International Atomic Energy Agency Board of Governors will sit on March 6 to make an assessment of Iran's nuclear program.

Entezami: Iran-EU3 nuclear talks constructive

SNSC spokesman Hossein Entezami said here on Friday that the Iran-EU3 talks had been constructive.

Entezami told IRNA that during talks in Russia involving Larijani, Moscow had announced that it would try to keep Iran's nuclear case within the International Atomic Energy Agency's framework.

Larijani: no room for Russian plan if Security Council involved

Larijani on Thursday announced that if Iran's nuclear dossier is reported to the UN Security Council, the Russian offer will be the first victim of such a move.

Under the Russian proposal the two countries would set up a joint enterprise that would carry out uranium enrichment work on Iran's behalf on Russian soil.

He told IRNA in Moscow that apparently the U.S. intends to have the dossier reported to the Security Council and make the atmosphere critical.

"This will make the regional situation more critical. Besides, it will prompt us to reduce our cooperation with the International Atomic Energy Agency (IAEA) and continue our nuclear activities without complying with the formerly accepted commitments.

He called his talks with the Russian officials constructive and effective, saying that Russia's proposal needs to be completed in order to be considered along with a set of other cooperation plans after removing its ambiguities.

"We have submitted our proposed collaboration scheme to our Russian friends and are waiting to hear their response in order to continue the relevant talks.

"We believe that by intending to report Iran's nuclear dossier to the Security Council, the U.S. aims to make Europe and Russia withdraw and give Washington a chance to control the case," added Larijani.

He noted that the U.S. administration certainly does not wish Russia to succeed.

"Therefore, contrary to what they pretend, they attempt to make Russia's proposed scheme fail.

If the Security Council does crack down on Iran after the IAEA session, the Islamic Republic would feel discriminated against and see little point remaining within the nuclear Non-Proliferation Treaty, Tehran's IAEA ambassador said.

"One thing has to be clear. If ... the Security Council gets involved the situation will definitely deteriorate, a lose-lose game," Ali Asghar Soltanieh told Reuters in a phone interview.

"This is not a warning but a reality. Many in Iran have national pride in nuclear activities. If we are referred to the Council, they would be very disappointed," Soltanieh said.

He said many Iranians wondered why some countries -- such as Israel and India -- had refused to join the NPT, developed nuclear arsenals without IAEA safeguards and enjoyed normal relations with the West, while Iran faced isolation.

IAEA director-general Mohamed ElBaradei is concerned that involving the Security Council may drive Iran into a corner and lead to deadlock, given that veto-wielding Russia and China -- both with massive investments in the Islamic Republic -- reject sanctions.

Meanwhile, a senior Iranian official in Vienna said Friday Iran and Russia have reached total agreement on the joint venture but this was not immediately confirmed in Moscow.

"Iran and Russia have reached complete agreement on a package which meets all the demands of the international community, Iran and the International Atomic Energy Agency," the official, who declined to be identified, told AFP.

In Moscow, however, Russian Foreign Minister Sergei Lavrov said Iran must agree to suspend all uranium enrichment activities, something Tehran refuses to do.

The senior Iranian official said "The details of this package have been given to the Europeans and we expect them to give a clear response to this complete proposal," speaking on the sidelines of crucial talks between Tehran and European Union mediators.

"There will be no better offer than this, which takes into account the points of view of the Europeans and Iran and which relieves international anxieties."

The official gave no details of the proposal, which he called "a way to save face for Iran and for Europe."