Iranian Deputy Oil Minister Noureddin Shahnazi-Zadeh said the two sides have agreed on a contract for the construction of a 350 km pipeline and terminal on the border shared by the two countries.
“The construction of the joint pipeline needs an investment of $US350 million,” said Mr Shahnazi-Zadeh.
In 2007, Iran and Armenia reached a primary agreement on construction of the pipeline from the Iranian northwestern city of Tabriz to the border city of Mughri, Armenia.