AUCKLAND- Auckland Company Intermech has won a $34 million contract to manufacture and install compressed natural gas (CNG) filling stations in Iran, an internet site, APN, quoted The New Zealand Herald, New Zealand's metropolitan newspaper .

A spokesman for the company yesterday confirmed Intermech and Iranian joint venture partner Pars Compressor Co had made a successful bid for a contract to the Iranian Fuel Consumption Optimization Organization worth $20 million.

Trade Minister Jim Sutton today congratulated Intermech on the deal. "The venture with Pars Compressor Co builds on the strong bilateral trade relationship New Zealand has with Iran," Mr. Sutton said in a statement.

Mr. Sutton said both he and Foreign Affairs Minister Phil Goff had discussed the potential for co-operation between New Zealand and Iran in developing CNG infrastructure in the Middle Eastern country during recent visits there.

Iran is currently trying to encourage its car users to switch from petrol to other fuels.

Intermech, which has 25 years experience in the field, is one of the few companies in the world able to supply complete technology for CNG refueling stations, Mr. Sutton said.