Russian prime minister arrives in Vietnam to promote ties
HANOI - Russia's Prime Minister Mikhail Kasyanov arrived in Vietnam on Tuesday to promote a strategic partnership between the former Cold War allies and build on a landmark visit just over a year ago by President Vladimir Putin.
Kasyanov will stay until Thursday and the two countries will discuss ways to expand their main area of cooperation nowadays -- oil and gas exploitation.
They are also expected to discuss Russia's pullout from the strategic naval and air base of Cam Ranh Bay in South Vietnam.
Vietnam's official media said the countries were expected to sign on Wednesday an agreement on a $100 million credit Russia has offered for two hydropower plants.
The Russian embassy said agreements would also cover peaceful cooperation in nuclear energy as well as in meteorology, medicine and health care.
The Saigon Times Daily said Kasyanov would be accompanied by officials of 10 firms operating in the oil and gas sectors, energy, industrial equipment and investment and trade promotion.
Kasyanov told the Vietnam News Agency last week Russia aimed to strengthen relations "in all domains and to enhance coordination of actions to address pressing international issues, including global and regional challenges."
He said Russia appreciated Vietnam's role as a dialogue coordinator with the Association of South East Asian Nations, a bloc with which Moscow is eager to boost ties.
He also said he had high hopes for the commissioning of the Dung Quat oil refinery, a project way behind schedule.
The $1.3 billion plant was due for completion next year as Vietnam's first big refinery, but Russia has said it will be delayed two years due to tendering and funding difficulties.
Weapons supplies
Discussions are also likely on resupply of Vietnam's mainly Soviet-equipped armed forces, given that the strategic partnership declared during Putin's visit last March covers military as well as trade and economic cooperation.
During his visit, Putin said Vietnam wanted new arms and Russia was willing to sell it advanced weaponry.
Russian aircraft maker Sukhoi said after that visit it wanted to offer its Su-20 MK fighter to Vietnam, which currently uses older Su-27s and Su-22 M4s. It also said it was considering a regional maintenance centre in the country.
Last month, Interfax news agency quoted Russia's LOMO Corp as saying it would deliver 50 portable SA-18 surface-to-air missiles to Vietnam this year, and production technology and equipment in two years time, under a $64 million contract.
Kasyanov comes as Russia is in the process of withdrawing from Cam Ranh Bay, which it has leased rent-free since 1979.
There still appears some disagreement as to when this pullout should be completed.
Vietnam's defence minister said this month it would be completed in May, while Russia's ITAR-TASS quoted a senior defence ministry official in Moscow as saying on Monday it would be completed on July 1.
Moscow's lease does not expire until 2004, but faced with a much reduced defence budget and a looming rental bill, it decided on an early pullout. Its presence there in recent years had been limited to a signals intelligence facility.
Vietnam has said it will not lease the base to any other country, but could offer its use for rescue missions and some services, including ship repairs.
TASS quoted the official as saying Hanoi had suggested Russian warships could use the base in future for repairs, refuelling or replenishment, if they gave advance notice.
The official said Russian combat jets would also be able to make occasional use of the Cam Ranh airfields, TASS said.
By David Brunnstrom - Reuters - March 27, 2002
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