Iran said on Saturday that a deal has been reached with South Korea to launch a joint shipbuilding venture between the two countries.

The venture will be established between Iran Shipbuilding and Offshore Industries Complex Company (ISOICO) and Hyundai, IRNA reported.

ISOICO Managing Director Hamid Rezaian�has emphasized that the related consultations as well as key agreements for the move have already been taken care of.

Rezaian said that his company will work over the development of the seventh generation of ships with Hyundai.

He added that marketing and taking advantage of joint markets would be on the agenda of the two companies.

ISOICO, as the Middle East�s largest shipbuilding company, would be a suitable partner for Hyundai, the official said adding that the lifting of the sanctions would serve to create attractive investment opportunities for both companies.

Rezaian had announced in late November that ISOICO is looking into partnerships with major international shipbuilders including Hyundai and Germany�s Nordic Yards Wismar.

He added that similar talks have been held with other companies from Italy, China and Turkmenistan.

Iran has a sprawling shipbuilding industry, chiefly devoted to constructing oil tankers and container ships as well as offshore structures.

The country owns the world�s largest fleet of oil supertankers consisting of 42 VLCCs, each able to carry 2 million barrels of oil.

With the removal of the sanctions, the Islamic Republic plans to expand its container fleet in order to extend its forward coverage beyond all frontiers.

Iran�s biggest operator, the Islamic Republic of Iran Shipping Lines (IRISL), wants to put out orders for Triple E vessels which can carry more than 18,000 containers, its chairman Mohammad Saeidi said recently.

By Press TV