TEHRAN (ECOIDEAL)- South Korea's Ambassador to Tehran Kim Seung Ho underscored that Seoul supports the Korean companies' further cooperation and investment in Iran.
"The strategy of the South Korean government is based on further consolidation of ties between the two countries and the government is highly willing to see the Korean companies' cooperation and investment in Iran," Kim said, addressing economic activists in Iran's Northern province of Semnan on Sunday night.
He reminded dependence of his country's economy to the oil industry, and said Iran is the second supplier of South Korea's oil resources.
Kim also stressed further strengthening of relations between Tehran and Seoul.
Media reports said in December that China and South Korea are planning multibillion-dollar optimization and expansion of two major oil refineries in Iran.
South Korean companies have undertaken to provide 1.9 billion euros for improving and optimizing facilities at Isfahan Oil Refinery, the Iranian media quoted a senior energy official as saying.
A manager of the National Iranian Oil Refining and Distribution Company Alireza Arman Moqaddam said that the deal to expand the refinery was awarded to South Korea's construction giant Daelim Industrial Company last December.
The project, due for completion in 48 months, is to add facilities for the production of high value-added products to the oil refinery.
The plant currently accounts for supplying around 22 percent of Iran's demand for oil products with a capacity to process 375,000 barrels per day of oil.
Under the deal, the South Korean company will be in charge of designing, equipping and procuring material, constructing and financing.
South Korea's Eximbank signed a contract with Iranian banks in August to provide 8 billion euros ($9.4 billion) in loans for financing various projects in Iran by South Korean companies.
Source: Farsnews