From Reuters: "Iranian President Mahmoud Ahmadinejad said on Tuesday Iran had joined the group of countries possessing nuclear technology and was determined to achieve industrial-scale uranium enrichment."
Iran's failure to convince much of the international community that the nuclear work was focused on generation of electricity led to their February referral to the UN Security Council.
According to a recent Reuter's article, even current levels of uranium enrichment achieved by Iran's program are unsettling to diplomats and onlooking Western powers.
"164 centrifuges is still well short of producing enriched uranium in a significant quantity over a sustained period. But the more they do it, the more they learn the technology. So any form of enrichment is a red line for us,"
It would take Iran years to yield enough highly enriched uranium for one bomb with such a small cascade. But Iran has told the IAEA it will start installing 3,000 centrifuges later this year, enough to produce material for a warhead in a year.