MOSCOW, Feb 13 (Reuters) - Russia is close to securing a deal to build four nuclear reactors in Turkey and the countries are in talks on a power supply deal worth $60 billion, news agencies quoted Russia's energy minister as saying on Friday.
Sergei Shmatko told reporters the nuclear reactors would have capacity of 1,200 megawatts each and that the total cost of the project would be between $18 billion and $20 billion, Interfax news agency reported.
Shmatko was speaking after meeting Turkish President Abdullah Gul, who was expected to discuss energy issues during his visit to Moscow. Ankara is keen to push through energy projects that would boost Turkey's role in the region.
Shmatko said Russia's proposal had been selected by the Turkish government over several rival bids. The contract would involve the construction of the reactors and participation in their operation.
He also said Russia and Turkey were in discussions over a long-term contract on electricity supplies, Interfax reported.
"The volume of the contract for supply of electricity from Russia to Turkey is valued at $60 billion over 15 years," Shmatko said.
Russia and Turkey are linked by the Blue Stream natural gas pipeline, which passes under the Black Sea.
LUKOIL (
LKOH.MM), Russia's largest independent oil company, also plans to invest $400 million in Turkey over the next decade, Chief Executive Vagit Alekperov said this month. LUKOIL agreed last year to buy Turkish fuel distributor Akpet.
"We have a very powerful foundation to our economic ties and that is a host of major projects where we cooperate, including Blue Stream and other energy projects," Russian President Dmitry Medvedev said prior to the meeting with Gul.
"We are cooperating in other areas and are interested in developing ties in the areas of electricity, nuclear energy and industrial cooperation." (Reporting by Guy Faulconbridge and Robin Paxton, Editing by Peter Blackburn)
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13-02-2009, 19:52
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