Russian, Indian leaders pledge closer cooperation in energy projects

MOSCOW, May 24 (Xinhua) -- Russian President Vladimir Putin and his Indian counterpart A.P.J. Abdul Kalam agreed Tuesday to strengthen cooperation in energy projects between the two countries.

After talks in the Kremlin with Kalam, who is the first Indian head of state to visit Russia in 17 years, Putin predicted closer cooperation with India in oil and natural gas projects and noted progress in joint projects for India's Kudankulam nuclear power plant.

"The volume of investment has been growing. The two countries reached an agreement on large-scale investment by Indian state- owned oil and gas company ONGC in the Sakhalin-1 project," Putin was quoted by the Itar-Tass news agency as saying. He added Moscow and New Delhi also have "other possible plans of joint work in this field."

Kalam noted good opportunities for cooperation between Russia and India in the Sakhalin-1 oil and natural gas project and the potential of the future Sakhalin-3 project.

The Sakhalin-1 project, in which the ONGC holds a 20-percent stake, involves development of oil fields off the northern coast of Sakhalin Island. Estimated reserves stand at 307 million tons of oil and 485 billion cubic meters of natural gas. The ONGC said in March it planned to apply with Russia's state- owned oil company Rosneft for a license to develop a hydrocarbons field in the Sakhalin-3 project and that the two companies had agreed in principle to jointly submit the bid.

The Sakhalin-3 project involves development of oil fields that are estimated to have reserves of over 600 million tons of hydrocarbons.

Itar-Tass also quoted Putin as telling Kalam that considerable progress has been made in implementing large joint projects in the construction of the Kudankulam nuclear power plant.

"The startup of the first reactor is scheduled for 2007. Everything runs as scheduled," Putin said. Russia handed over the first nuclear reactor of the plant to India in January.

Alexander Ivanchenko, an official of Russia's nuclear energy company Rosenergoatom, said earlier the company will train a total of 150 Indian engineers for the Kudankulam nuclear power plant by 2006.

The Russian president described India as one of Russia's key partners in Asia and the Pacific and confirmed Moscow's interest in "enhancing the standard and scale of interaction with India in various fields."

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