Iran has signed a $2 billion deal with China to build what the Islamic state is calling the world's tallest dam.
The official IRNA news agency on Monday reported the deal to construct the Bakhtiari dam in Iran's western province, Lorestan.
The Chinese firm Sinohydro Corporation and Iranian counterpart Farab would jointly build the dam.
The dam is planned to be 315 meters high and hold Iran's largest reservoir of about 4.8 billion cubic meters. The project will support a hydroelectric power station.
The United Nations Security Council and Western nations have imposed sanctions on Iran for its controversial nuclear program. The United States and allies fear Iran is developing atomic bombs under cover of a civilian nuclear energy program. Tehran says its nuclear aims are peaceful.