Paris - France and Russia agreed Friday on a broad "modernization partnership" for the energy and automobile industries, Russian Prime Minister Vladimir Putin said. "We have achieved a breakthrough," Putin told journalists at the end of the 14th session of the French-Russian commission for bilateral cooperation in Rambouillet, 50 kilometres south-west of Paris.
"We have achieved palpable results in all business areas," including energy, pharmaceuticals and car production, he added.
However, discussions over nuclear energy were "difficult," said Putin after talks with his French counterpart, Francois Fillon.
At the conference, which also involved numerous ministers from both sides, the two countries also negotiated an agreement that will enable Russia to take part in carbon emissions trading for the first time.
In the deal, the French bank BNP Paribas agreed to finance the construction of facilities for the Russian-British oil producer TKN- BP's Samotlor oilfield that would recycle waste gases that are currently simply being burned off.
This process would decrease greenhouse gas emissions, making Russia eligible to trade in carbon credits. However, the deal has not yet been finalized, and negotiations are continuing.
Putin said that French car maker Renault would provide modern technology worth about 300 million euros (447 million dollars) for the Lada auto factory in Togliatti, where in future Renault, Nissan and Lada cars would be built on the basis of the inexpensive Renault- developed Dacia Logan.
Renault currently holds a 25 per cent share of the Russian car maker Avtovaz, which produces the Lada and which is in need of 1.3 billion euros in capital to recover from the effects of the economic crisis.
Fillon emphasized an agreement French utility EDF signed with Gazprom for a 10 per cent share of the South Stream gas pipeline project currently underway and which is expected to increase and secure gas deliveries to Europe.
The South Stream gas pipeline will transport Russian natural gas via the Black Sea to Greece, Italy and Austria and is scheduled to be completed by the year 2015.
In addition, bilateral agreements were also signed in the area of culture and for the establishment of visas to ease professional migration between the two countries.
One issue that was apparently not discussed at Rambouillet was the possible purchase by Russia of at least one French Mistral helicopter carrier, and perhaps as many as five.
The announced sale has rung alarm bells in former Soviet-satellite nations such as Georgia, because of fears that the warship could be used to further Russian interests in the region.
However, the two premiers may have discussed the controversial deal during a meeting late Thursday, after Putin arrived in Paris. No details of these informal talks were provided.
