'Soon they will accuse us of also building a bomb,' he said, adding that his government is working on a plan to build a 'nuclear zone' in Venezuela with Iran's help.

The US, Israel and the European Union have accused Iran of trying to make atomic bombs in the garb of a civilian nuclear programme. Iran has however rejected that view.

The two countries have already signed at least 200 cooperation agreements in sectors ranging from oil, housing, industry, health and technology, among others.

Plans are also underway for joint military projects as well as construction of ethanol plants, houses, vehicle assembly plants and ships in Venezuela, diplomatic sources said.

'Iran and Venezuela can look to cooperate in different international scenarios by applying the bilateral accords that have been signed,' the Press TV quoted Ahmadinejad as saying Saturday.