Hyundai has signed a deal worth around $3.2b to invest in a major Iranian oil project, the South Korean firm confirmed. According to Daily Mail,  the fund will be directed to the second phase of the Kangan oil production and refinery project in the southwest part of the country.

The agreement marks one of the biggest investments since the nuclear accord between Tehran and world powers that lifted global sanctions on Iran.

“The project allowed us to spearhead into the Iranian construction market as a lead manager. We plan to do everything in our capacity to clinch additional projects in the future,” Korea Herald informed, citing a Hyundai’s spokesperson.

The second phase of the project focuses on establishing a petrochemical complex in Tonbak, a region 1,100km south of Tehran, for the annual production of about 1mt of ethylene, 500,000t of monoethylene glycol, and 350,000t of heavy and light polyethylene.

In related news, Iran also announced it signed initial oil deals with the European firms Total and Shell, potentially worth billions of dollars.