Iran is a very important partner for Armenia, Armenian President Robert Kocharian said at a joint news conference with Iranian leader Mahmoud Ahmadinejad.

"We should cooperate proceeding from mutual economic interests. During talks with the Iranian delegation a wide scope of issues was discussed. We specifically focused on energy issues. We agreed on building of an oil processing plant at the border with Armenia. We will launch construction of a water power plant and accomplish the Iran-Armenia gas pipeline. Agreement on construction of a railway was also achieved," President Kocharian said.