Lee, leader of the conservative Grand National Party who was elected president this week, made his proposal for Siberia in a meeting with Gleb Ivashentsov, Russia's ambassador to South Korea, the report said.

"If we carry out the development project with Russia, it will be a turning point in economic cooperation in the Northeast Asian region and boost Russia's development as well. I'd like to start this project right after I assume office," Lee was quoted as telling Ivashentsov.

To implement his vision, the South Korean leader would use his country's technology and North Korea's labor, the report said. Siberia's resources include holding about 80 percent of Russia's oil.

The Yonhap report said the Russian ambassador didn't give an immediate response to Lee's proposal. He presented a letter from Russian President Vladimir Putin congratulating Lee on his election win and extending an invitation to visit Moscow, the report said.