Bolivia and Libya agreed Wednesday to establish diplomatic relations and join efforts to develop the nations' energy resources.
Bolivian Foreign Minister David Choquehuanca said the two countries signed a memorandum to set up diplomatic ties during a meeting with Libyan officials in La Paz.
Choquehuanca said Bolivia, which has large natural gas reserves, also wants help from oil-powerhouse Libya in developing its energy sector.
Leftist President Evo Morales established diplomatic relations with Iran last September, generating concern in Washington, which has tense relations with Teheran.