Iran and Russia have reached an agreement to set up a petrochemical complex in the Assaluyeh seaport at the Persian Gulf, the local Press TV reported on Wednesday.

Iran's National Petrochemical Company (NPC) and an unnamed Russian oil company "recently signed a Memorandum of Understanding after near three years of talks over the construction of a petrochemical complex in the second phase of the Pars Special Economic Energy Zone (PSEEZ) in Assaluyeh," in southern Iran, said the report.

"Under the agreement, the Russian side will invest 1.5 billion U.S. dollars in constructing the complex," the report said, adding that Urea fertilizer and ammonia will be the main products of the petrochemical complex.