Seoul - South Korea and Australia agreed Monday to begin preparatory talks for a bilateral free trade pact and to boost economic ties, the presidential office in Seoul said.

South Korean President Lee Myung Bak met visiting Australian Prime Minister Kevin Rudd and welcomed the recommendation of a study group that a trade agreement would benefit to both countries' economic growth and trade expansion, the office said.

It didn't specify when trade talks would start.

"Lee stressed his wish to enhance cooperation with Australia in the fields of mineral resources and energy and asked for Rudd's support for Korean enterprises operating in Australia," the presidential office said.

Australia is South Korea's biggest trading and investment partner in the mineral resource sector.

Rudd, who arrived in South Korea on Sunday from Beijing, called for cooperation in the liquefied natural gas sector.

Lee and Rudd also agreed to strengthen diplomatic cooperation in the Asia-Pacific region and the global arena to work together on climate change, arms control, nonproliferation and other issues.

During Rudd's stay in Seoul, defence officials from the two countries signed a preliminary agreement to protect each other's confidential information, which is needed for joint operations and defence cooperation, the daily The Korea Herald said.

Before arriving Sunday night, Rudd was in the South Korean port city Pusan to lay a wreath at the UN cemetery where Australian soldiers who fought in the 1950-53 Korean War are buried. (dpa)