Russia offers India uranium field stake

8220;We have agreed with our Indian partners the creation of a joint venture for geological exploration and production of uranium,8221; Rosatom head Sergei Kiriyenko was quoted by state-run RIA news agency as saying on Monday.

8220;We offered them participation in the Elkon field,8221; he said,adding that the prospective joint venture could operate in third countries as well and build uranium processing plants in both Russia and India.

State-owned Russian mining company ARMZ Uranium Holding Co,or AtomRedMetZoloto,holds the licence to the Elkon field in Russia8217;s Sakha Republic. It is estimated to hold 344,000 tonnes of uranium,or 5.3 per cent of the world8217;s recoverable reserves.

The company,which also holds licences for uranium fields in Mongolia and Kazakhstan,earlier said it is looking for a strategic partner,such as Japan8217;s Mitsui,to help it develop the Elkon mine.

Russia is competing with French and American firms for lucrative contracts to build nuclear power plants for India as Asia8217;s third-largest economy needs to boost its energy supply to sustain rapid economic growth.

Putin visited India on March 12 to oversee a signing of about 10 billion worth of deals,which included an agreement on nuclear energy. Russia already has a 15 per cent share of the global reactor-building market.