Energy Minister Sergei Shmatko and Yuri Petrov, Head of the Federal Agency for State Property Management, attended the meeting, which addressed the development of the Russian and European energy markets.

The sides focused on the implementation of Enel's investment programmes in the Russian power industry and on the prospects of developing cooperation in new spheres in Russia and outside it. They also discussed norms of market liberalisation, introduction of new energy-saving technologies for raising the efficiency of power generation, and the development of engineering in Russia.

Mr Conti said Enel was interested in promoting cooperation with Russia and was firmly set to implement its investment programmes in oil and gas exploration and production (upstream) and in the generation and marketing of electricity.

As of now, Enel's total investment in the Russian economy is worth some 3.2 billion euros. The CEO said the Italian company's investment in Russia from 2008 to 2012 is planned at 2.2 billion euros.

He said they believed in the stability of the Russian market and confirmed their position of principle in favour of reinvesting profits received in Russia.

When speaking about cooperation in power generation in conditions of reform of Russia's sector, Mr Conti said they accepted the need to ensure a reasonable balance between market principles and social guarantees for the people. In his words, Enel had worked at many energy markets in conditions of reform and was prepared to share its experience.

The Russian participants confirmed the country's intention to continue liberalisation of the electricity market, and reminded the Italian delegates about the need to implement their investment commitments.

In response, Mr Conti said his company would implement its investment programme in Russia's energy sector, citing as an example the groundbreaking ceremony for a new 410 MW power unit at Enel's Middle Urals district thermal power plant in the Sverdlovsk Region, scheduled for September 13, 2008.

Deputy Prime Minister Sechin pointed to the important role Enel was playing on the Russian market, particularly in power generation.

The sides expressed a common understanding of the need to expand cooperation in the energy markets of other countries. According to Enel, Inter RAO UES, a dynamically developing transnational company with offices in 14 countries, could become its partner in this undertaking.