Russia, India ready addendum on Adm Gorshkov contract

Moscow: After two years of intense haggling, India and Russia may have finalised a "mutually acceptable" price for the Admiral Gorshkov aircraft carrier, according to the chief of the Russian arms export monopoly, Rosoboronexport. For the price the Indian Navy gets what would practically be a "totally new, state-of-the-art" ship that will remain seaworthy for 30 years.

Diagram of INS Vikramaditya

The new price will be formalised as an addendum to the original contract under which both nations agreed to the refurbishment programme of the Admiral Gorshkov carrier in 2004.

ITAR-TASS quoted Rosoboronexport chief, Anatoly Isaikin, as saying, "The negotiations are over, and a mutually acceptable solution for Russia and India has been found. The cost has grown, but the vessel's building time schedule has not been extended."

"Now the cost problems have been removed, and the ship will be completed on schedule," Isaikin said.

Earlier reports in April 2009 had quoted both Isaikin, and the then Indian Navy chief, Adm Sureesh Mehta, as saying that the new delivery schedule for the refurbished ship would be pegged at 2012.

Without confirming when the addendum would be signed by both sides, Isaikin said that along with the additional cost the new agreement would also fix the timeframe in which the work would have to be completed.