Iran on Wednesday has successfully test fired an upgraded version of its conventional medium-range Shahab-3 missile, the official news agency IRNA reported.

"The test fire was aimed at evaluating modifications that were recently made to the missile on the basis of research results," IRNA quoted Iran's defense ministry as saying in a statement.

The missile has a range of over 1,000 km, which was seen as a weapon that can hit targets in Israel, Iran's archenemy in the region.

Iran's Defense Minister Ali Shamkhani said Saturday that improvements to Shahab-3 missile "not only concern its range, but other specifications as well."

Iran's test fire of the modified missile was seen as a reaction to Israel, which tested Arrow II missile on July 28. Israel has made clear that Arrow II missile was aimed at fending off any possible attack by Iran.

Iran declared a suspension of its uranium enrichment in November 2003 and signed the Additional Protocol of Non-Proliferation Treaty in December of the same year.

The Muslim country has been consistently denying the US accusation that it is secretly developing atomic weapons, asserting that its nuclear research is fully peaceful and US accusation is politically motivated.