A green investment company in the UK plans to invest €500 million (£442.4m) in a solar power project in Iran.
Quercus has signed an agreement with Iran’s Ministry of Energy for the 600MW plant and is expected to be the sixth largest project of its kind globally.
Construction is to last three years, with the development of one fully operational 100MW plant every six months.
The project is expected to support Iran’s aim of installing 5GW of new renewable energy capacity by the end of the decade.
It also plans to reduce emissions by at least 260,000 tons per year.
Lord Lamont, the Prime Minister’s Trade Envoy to Iran, said: “We welcome initiatives that not only support sustainable energy solutions for the future but also underline the importance of developing improved trading relations between the UK and Iran.”