Venezuela has signed an agreement to export 20,000 barrels per day of gasoline to Iran, state TV reported Monday, boosting Teheran's defiance of looming Western threats of fuel sanctions if it doesn't suspend its key uranium enrichment program. The two countries signed the agreement late Sunday during the visit to Iran of Venezuelan leader Hugo Chavez, who pledged to deepen ties with Iran and stand together against the imperialist powers of the world. Western leaders have threatened to impose further sanctions against it should Iran refuse to bend to Western deadlines for nuclear talks aimed at curbing Teheran's nuclear activities. But the Venezuelan fuel will help cushion Iran against the biting sanctions. "On the basis of a strategic decision, it was agreed to export 20,000 barrels a day of gasoline from Venezuela to Iran," state TV quoted Chavez as saying at the end of his visit. The fuel shipments will begin in October. One of Iran's weakest points is its dependence on fuel imports. Despite its vast oil resources, it lacks the refinery capacity to meet its own demand and must buy vast quantities of commercial-ready fuel on the open market. Iran has managed to ride out the limited sanctions so far without serious hardships, although lack of significant foreign investment has left the economy stuck in low gear for years. Iranian leaders - particularly Ahmadinejad - have repeatedly insisted that Iran would never abandon its ability to make its own nuclear fuel. The US and some of its allies accuse Iran of using its civilian nuclear program as a cover to develop nuclear weapons. Iran has denied the charges, saying its nuclear program is aimed at only at generating electricity. US President Barack Obama and European allies have given Iran until the end of September to agree to talks on its nuclear program. Iran has rejected any deadlines but its top nuclear negotiator Saeed Jalili said last week that Teheran has prepared to present a package of new proposals and would be ready to open talks "in order to ease common concerns in the international arena." Chavez said Venezuela will import machinery and technology from Iran in return for its gasoline exports, the TV report said. The broadcast also quoted Ahmadinejad as saying that the two countries agreed to set up a bank together to help finance joint projects.