The Iran Shipbuilding and Offshore Industries Complex Company (ISOICO) has signed a contract with Russian shipyard Krasnye Barrikady (Red Barricades) for oil rig construction and technology transfer, a report said.

“We are ready to provide ISOICO with the necessary equipment thanks to financial and insurance support of the Russian government,” Alexander Ilyichev, Krasnye Barrikady CEO, was quoted as saying by Iran Business News.

Under the agreement, the two sides will jointly build rigs for exploration and production of hydrocarbons in the Persian Gulf, the report said.

“The construction cycle is planned not for one year, but for decades,” Ilyichev said, highlighting that Iran had also expressed interest in buying new oil tankers for operation in the Caspian Sea.