TEHRAN/VIENNA (Agencies) - Iranian chief atomic negotiator Ali Larijani on Thursday discussed ways to resolve the dispute over Iran's nuclear program with the head of the UN nuclear watchdog, a senior Iranian diplomat said.

The talks between Larijani and Mohamed ElBaradei, director-general of the International Atomic Energy Agency (IAEA), were held in Vienna, the diplomat close to the talks told Reuters.

"In this meeting, they insisted on finding a political and diplomatic solution to prevent any escalation and they insisted on the continuation of the (IAEA's) key role regarding Iran's nuclear issue," the diplomat said.

Iran promises cooperation with UN inspectors

Larijani promised that Tehran would cooperate with UN inspectors.

"The discussion was that of course Iran is continuing its cooperation with the IAEA and that inspectors will continue their work in accordance with the NPT (nuclear Non-Proliferation Treaty) comprehensive safeguards," Iran's ambassador to the IAEA, Ali Asghar Soltanieh, told AFP Friday.

Iran is honoring its NPT safeguards obligations, which mandate the IAEA to verify that nuclear material is not being diverted from peaceful uses. But it has cut off wider inspections, such as visits to sites not directly linked to the presence of nuclear material. It did this after the IAEA in February referred Tehran to the UN Security Council.

IAEA spokesman Marc Vidricaire said Larijanai and ElBaradei had "talks about the usual things, issues that are still unanswered and of course the requirements of the (IAEA) board (of governors) to provide some confidence-building matters."

"The purpose of the meeting was really to discuss the remaining unanswered questions regarding Iran's past (nuclear) program and the request by the board for confidence-building measures," Vidricaire said. He did not provide details.