Iran's atomic chief had rejected the International Atomic Energy Agency (IAEA) report that Iran intends to use depleted fuel rods for pyroprocessing experiments, local satellite Press TV reported on Thursday.

Ali Akbar Salehi, head of Iran's Atomic Energy Organisation speaks during a ceremony to mark the Fourth National Anniversary of Nuclear Technology, in Tehran April 9, 2010. [Xinhua]

Ali-Akbar Salehi, head of the Atomic Energy Organization of Iran (AEOI) said IAEA has misunderstood the nature of the experiments which the AEOI would like to conduct in the future, adding that Iran had explained the situation to the UN nuclear watchdog in a letter, the report said.

Pyroprocessing is a procedure which is used to purify materials, including uranium metal, in order to bring about a chemical or physical change. The purified uranium metal can be used in nuclear warheads.

Salehi told local ISNA news agency on Thursday that the laboratory tests to produce uranium metal from depleted uranium is an effective way against harmful radiations.

Salehi also rejected claims that a nuclear gear has been displaced in Iran's Jabr Ibn Hayan Multipurpose Research Laboratory and said "We will provide the agency (IAEA) with necessary documents in this regard ... and we hope the agency does not repeat such mistakes in future as it will only damage its reputation," according to Press TV.

The IAEA said in a recent report that an important piece of lab equipment which could be used to extract plutonium has been displaced in the Jabr Ibn Hayan Multipurpose Research Laboratory in Tehran.

The IAEA report also said that Iran has started to enrich growing amounts of uranium up to 20 percent and has installed new centrifuges for that purpose which can take Iran closer to the production of nuclear weapons.

The United States and its allies are accusing Iran of taking steps toward making nuclear weapons under the guise of civilian program, a charge which has always been denied by Tehran.