New Delhi: India and Russia today (Jan 20, 2004) signed the much awaited over $1.5 billion deal for the purchase of 45,000 tonne aircraft carrier "Admiral Gorshkov."

According to Defence Ministry statement, the deal also covers the related purchase of equipment and systems for the carrier, which was approved by the Cabinet Committee of Security on January 17.

The agreement was signed by Defence Minister George Fernandes and his visiting Russian counterpart Sergei Ivanov.

"The signing of this contract constitutes a landmark in the military-technical co-operation and will contribute to furthering of our Defence, technological and bilateral relations as a whole," an official statement issued after the signing of the deal said.

The statement also said that India and Russia had agreed to elevate Defence relationship to "new areas and higher level and had greater content to Indo-Russian partnership in this field."

Ivanov also called on Prime Minister Atal Bihari Vajpayee and held a meeting with National Security Advisor Brajesh Mishra.

All the three Service Chiefs -- Admiral Madhavendra Singh, Air Chief Marshal S Krishnaswamy and Gen N C Vij also called on the visiting Russian Defence Minister.