Chinese Premier Wen Jiabao said?in Astana? on Thursday that China will maintain contact with Iran and conduct mutually beneficial cooperation with the country.

The Chinese premier made the remark at a meeting with Parviz Davoodi, first vice president of Iran, on the sidelines of the 7thprime ministers' meeting of the Shanghai Cooperation Organization (SCO) in Astana, the capital of Kazakhstan.

Iran is an observer of the SCO.

Chinese Premier Wen Jiabao (R) shakes hands with Parviz Davoodi, First Vice President of Iran, which is an SCO observer, in Astana, capital of Kazakhstan, on October 30, 2008. [Xinhua]?

Wen spoke highly of the traditional friendship between the peoples of China and Iran.

The premier said the Chinese side is willing to expand cooperation with Iran in compliance with the UN charter and on the basis of the five principles of peaceful coexistence, which will not only bring benefits for the two peoples but also be conducive to regional peace and stability.

Davoodi congratulated China on the success of the Beijing Olympics and Paralympics.

He said Iran-China relations are based on mutual respect, equality and mutual benefit, and that Iran hopes to enhance cooperation with China in fields such as politics, trade and economy.

Davoodi outlined the progress of the Iranian nuclear issue, saying Iran is willing to solve the issue through negotiation.

Wen said China believes Iran, a contracting state of the Treaty on the Non-Proliferation of Nuclear Weapons, has the right to peaceful use of nuclear energy.

Meanwhile, China calls for the maintenance of the international nuclear non-proliferation system, and thinks Iran's nuclear issue should be solved peacefully through dialogue and negotiation, Wen said.

The Chinese premier expressed the hope that Iran will continue to show flexibility on the nuclear issue, actively address concerns of the international community, and restore negotiations on the issue as soon as possible.

He said China will keep on playing a constructive role in promoting the appropriate settlement of the Iranian nuclear issue.

Wen arrived?in Astana on?Wednesday evening on a three-day official visit to Kazakhstan to attend the 7th prime ministers' meeting of SCO member countries.

The SCO, a regional organization founded in June 2001, comprises China, Russia, Uzbekistan, Tajikistan, Kyrgyzstan and Kazakhstan, with Mongolia, India, Iran and Pakistan holding observer status.

(Xinhua News Agency October 31, 2008)