Siemens and Power Machines plan Russian gas venture
The German industrial group Siemens said Monday it will form a joint venture focused on gas turbines with the Russian firm Power Machines, as Siemens moves away from nuclear energy activities.
A Siemens statement said it would own 65 percent of a joint entity, and would in exchange give back a stake of 25 percent plus one share that it owns in Power Machines to the firm's dominant shareholder, Highstat.
Highstat is part of an industrial empire controlled by the Russian steel magnate Alexey Mordashov.
"It is extremely important to be active in Russia as a local player," Michael Suess, chief executive of Siemens' energy division said.
Siemens is also in talks with Russian nuclear giant Rosatom on another collaborative effort in the energy sector.
The German business daily Handelsblatt said Monday that Siemens wants to limit the extent of that deal now that German authorities have decided to abandon nuclear energy by 2022.
Siemens might seek to only work with Rosatom on projects that involve conventional energy sources, the newspaper said.
© 2011 AFP