WASHINGTON -- The announcement and confirmation Friday that Iran has built a secret underground plant to enrich uranium raises the prospects that the U.N. Security Council will propose new international sanctions in an attempt to derail Iran's nuclear ambitions.

The United States and its allies Friday gave Iran two months to comply with international demands to come clean on its expanding nuclear program, or face broader sanctions, perhaps even targeting the country's gasoline imports.

``The size and configuration of this facility is inconsistent with a peaceful program,'' Obama said during an appearance with French President Nicolas Sarkozy and British Prime Minister Gordon Brown in Pittsburgh, where they are attending the G-20 summit.

On the defensive Friday, Iranian President Mahmoud Ahmadinejad said that Iran had acted legally, and he offered to open the site to inspections.

``I don't think Mr. Obama is a nuclear expert,'' he said.

Ahmadinejad said the International Atomic Energy Agency was welcome to inspect the facility. ``We have no fears,'' he said.

Experts don't expect Iran to change course, making it likely that Obama will have to persuade other nations to do as the United States and adopt financial sanctions.

``The United States is doing that, some of the other countries are doing it, but it is not universal,'' said Gary Sick, an Iran expert at Columbia University in New York and a former staff member of the National Security Council.

Obama said that the existence of the plant ``underscores'' Iran's refusal to live up to its obligations under U.N. resolutions and international law and ``represents a direct challenge'' to the Non-Proliferation Treaty, the cornerstone of the international system designed to halt the spread of nuclear weapons.

Meanwhile, Iran is helping to detect uranium deposits in Venezuela and initial evaluations suggest reserves are significant, President Hugo Chávez's government said Friday.

Mining Minister Rodolfo Sanz said Iran has been assisting Venezuela with geophysical survey flights and geochemical analysis of the deposits.

Sanz dismissed suggestions that Venezuela could aid Iran with its nuclear program, saying Venezuela is only aiming to develop nuclear energy for peaceful purposes.

But doubt surrounds the nuclear intentions of Iran, which already is being squeezed by sanctions.

The United States has sanctioned more than 40 Iranian entities, including state-owned banks and construction companies. These sanctions have lacked a global buy-in, but that could change.

``There are some things that could give us some immediate success and traction. I think what people are hoping is that it's going to animate partners to sign on to these things,'' said Matthew Levitt, a former deputy assistant Treasury secretary for intelligence who helped craft past sanctions on Iran.

Those measures include having a number of allies adopt the sanctions to isolate Iranian banks already imposed by the U.S.; trying to isolate the Central Bank of Iran; and creating an inspection regime for ports of call visited by Iran's shipping line, known by its acronym IRISL.

``We're going to have to do a lot of different things, at a lot of different enforcement levels,'' said Levitt, noting that sanctions can put ``significant pressure on a regime already facing tremendous domestic political challenges.''

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