DUBAI Iran's supreme leader said on Sunday that reaching a deal with the West over Tehran's disputed nuclear work was possible if the country's nuclear infrastructure remained intact, state media quoted Ayatollah Ali Khamenei as saying.

"There is nothing wrong with the agreement (with the West), but the infrastructure of our nuclear industry should not be touched," he said, adding that Tehran should continue working with the U.N. nuclear watchdog under the framework of safeguards.

Indirect talks between Tehran and Washington to revive Iran's 2015 nuclear accord with six major powers have been at a stalemate since September, with both sides accusing each other of making unreasonable demands.

In 2019, Iran began breaching the deal's terms in response to a U.S. withdrawal in 2018 under then-President Donald Trump.

The 2015 agreement limited Iran’s uranium enrichment activity to make it harder for Tehran to develop nuclear arms, in return for lifting international sanctions. Iran denies wanting to acquire nuclear weapons.

Both Tehran and Washington on Thursday denied a report that they were nearing an interim deal under which Tehran would curb its nuclear programme in return for sanctions relief.

(Writing by Parisa Hafezi; Editing by Alex Richardson and David Holmes)