Updated

President Obama unveiled a bombshell Friday ahead of the opening session of the G20 Summit, “Yesterday in Vienna, the United States, the United Kingdom and France presented detailed evidence to the IAEA demonstrating that the Islamic Republic of Iran has been building a covert uranium enrichment facility near Qom for several years.”

Flanked by Western allies French President Nicolas Sarkozy and British Prime Minister Gordon Brown, Mr. Obama revealed that the US has known about the facility for some time, but that it is now being made public after a letter to the IAEA in which Iran admits the facility is under construction.

IAEA Spokesperson Marc Vidricaire tells Fox’s Jennifer Griffin, "The Agency…understands from Iran that no nuclear material has been introduced into the facility.” It is Iran’s use of that material that has been suspect in the past and continues to be today.

“Iran has a right to peaceful nuclear power that meets the energy needs of its people, but the size and configuration of this facility is inconsistent with a peaceful program,” Mr. Obama said.

“Iran is breaking rules that all nations must follow, endangering the global nonproliferation regime, denying its own people access to the opportunity they deserve, and threatening the stability and security of the region and the world.”

The leaders said they were not giving up on diplomacy just yet, but that this new turn of events will play a key role in the upcoming October 1st talks in Geneva among the P5 +1, or five permanent members of the UN Security Council plus Germany.

“We were already in a very severe confidence crisis,” Sarkozy said, “We are now faced with a challenge, a challenge made to the entire international community. The six will meet with the Iranian representatives in Geneva. Everything -- everything must be put on the table now.”

The leaders called for a rigorous investigation by the IAEA, in which inspectors would be allowed to look at the facility.

The French President laid out the future for Iran were that not to happen, “We cannot let Iranian leaders gain time while the motors are running. If by December there is not an in-depth change by the Iranian leaders, sanctions will have to be taken. This is for the peace and stability.”