Riyadh: Saudi Arabia and Qatar have agreed to complete the demarcation of their border and establish a joint council to bolster bilateral relations.

The agreements were signed by Prince Nayef Bin Abdul Aziz, Saudi Interior Minister, and Shaikh Hamad Bin Jasem Bin Jabr Al Thani, Qatari Prime Minister and Foreign Minister, on Saturday night, according to the Saudi Press Agency.

The move to finalise borders is expected to impact gas pipeline projects in the Gulf region, Reuters said.

"The formation of the [joint] council reflects the keenness of the two countries to work at further cementing bilateral relations as well as to develop more cooperation to realise the aspirations of the leadership of both the countries," a joint statement said.

"It will also enhance the march of the GCC and realise coordination and integration among the member states."

The council will be chaired by Saudi Crown Prince Sultan Bin Abdul Aziz and his Qatari counterpart Shaikh Tamim Bin Hamad Al Thani.

Key objectives

Major goals include cooperation and coordination in issues of mutual interest, enhancement of diplomatic and consular cooperation, bolstering security cooperation and exchange of information.

It will also strive for a high level of cooperation in areas of finance, trade, telecommunications, transport, and civil aviation.

Implementation of joint projects, investment and cooperation in the fields of energy, industry and exchange of technical and training experiences are also in the works.