China has signed a major strategic agreement with Iran based on which it will provide funds for Iran to develop electricity projects.

The agreement was signed between Iran Power and Water Equipment and Services Export Company (SUNIR) and China�s Shandong Electric Power Corporation (SEPCOIII) on Tuesday. Details of the agreement are not known. Nevertheless, officials say a key theme in SUNIR-SEPCOIII agreement will be�the exclusivity right for the Iranian side to�deliver electrical goods, equipment, and services to over a dozen Asian and African countries for a period of five years.

The target countries include Iraq, the UAE, Turkey, Afghanistan, Azerbaijan, Syria, Oman, Lebanon, Qatar, Armenia, Turkmenistan, Tanzania, Georgia and Kyrgyzstan.

SUNIR CEO Bahman Salehi told reporters after signing the agreement that the technicalities over Sunir- SEPCOIII cooperation will be discussed in mutual meetings that will be held in the near future.

Salehi said the two companies will start with the development of new electricity projects in Iran and China or third countries.

�We have planned to invest $5 billion in signing contracts and $2 billion in sales,� he has been quoted as saying by the media.

The official added that his company has also agreed to cooperate with SEPCOIII in implementing power projects through the framework of engineering, procurement and construction (EPC) in Iran and other countries once the sanctions against Iran are lifted.

Salehi further emphasized that several other similar key agreements for cooperation with the Chinese companies in the area of electricity industry have been prepared, adding that they will be signed during the upcoming visit to Tehran by China�s President Xi Jinping.

By Press TV